North American Rental Industry Expects New ‘Normal’ in 2024

By Jenny Lescohier In 2021, the North American rental companies were nearly unanimous in being ‘up,’ but two years later, the latest economic forecast from the American Rental Association is predicting what ARA VP Josh Nickell calls a ‘normalization,’ a return to more moderate growth. Here’s what he has to say about what to expect in 2024 and beyond. Equipment rental in North America is predicted to “normalize” going into 2024, according to Josh Nickell, vice president of equipment rental for the American Rental Association (ARA). “Rental is going back to ‘normal,’ but normal means that strategy matters again – geography matters, fleet mix matters, customer type matters,” Nickell said. “In late 2020 to 2022, you just showed up with equipment and you made money. “Everybody was breaking records, from the national rental chains to the smallest rental companies; everybody was having record years, and everybody was raising prices. The conversation was, ‘How much are you up?’ And now, the conversation is changing to ‘What’s my market like?’” Nickell stressed this shouldn’t be taken as a pessimistic viewpoint. It’s simply coming back down to Earth from unprecedented circumstances during the time of Covid. Rental companies are still seeing growth, but at a more moderate level. “People might say, ‘We’re only up 9% this year,’ instead of the 15% they expected,” he said, noting many companies that are feeling the reality check are still seeing double-digit growth. READ FULL ARTICLE >>