New Year, new confidence

2016-01-15

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Increased confidence, leads to growing investments.

There were encouraging signs in the ERA/IRN RentalTracker survey covering the last three months of 2015, and looking ahead to 2016. This confidence came after the sense of stability that was the main message from the third quarter survey, and could point to a brighter trend for the industry after a volatile 12 months. 

The ERA/IRN RentalTracker survey takes place every quarter and is jointly organised by IRN and the European Rental Association, and sponsored by Perkins. There were nearly 100 respondents to the fourth quarter/full-year questionnaire.

The amount of money rental companies are planning to invest in their fleets is a key indicator of confidence in the market, and the fourth quarter/full-year survey results showed further positivity, building on the momentum of the third quarter questionnaire. 

Throughout Europe, 38% of respondents said they planned to increase capital expenditure in their fleets by 10% or more in 2016, up from 33% in the last survey, with German respondents leading the charge at 74% (up from 60% in the last survey), followed by respondents from Spain, Benelux and the Nordic region – all of which came in above the European total. 

And the majority – 48% of respondents – said they planned to maintain the same investment levels this year, up from 44% in the third quarter survey, and just 14% of respondents said they planned to reduce fleet investment in 2016.
The balance of opinion on investment intentions (the difference in the percentage of respondents seeing positive and negative trends) also increased quarter-on-quarter, at +23.5%, from +14% in the last quarter.