ALEC survey reveals mixed Brazilian rental market

Rows of new yellow construction machinery in an industrial yard. 69.8% of companies have plans to purchase equipment in the next three months (Image: nakedking via AdobeStock - stock.adobe.com)

The Associação Brasileira dos Locadores de Equipment e Bens Móveis (ALEC) has revealed the results of its Locação Market Thermometer survey for January 2024, which provides a comprehensive view of the current situation of the rental market in the country.

In comparison between January 2024 and the same month of the previous year, the results show a mixed picture, with 41.7% of companies surveyed reporting that January 2024 was better compared to the same period in 2023.

This upward trend suggests positive growth in the rental sector over the past year, possibly driven by various factors, such as economic recovery and continued demand for rental services.

Meanwhile, approximately 30.2% of companies experienced underperformance in January 2024 compared to the same month in 2023.

This discrepancy in results highlights the diversity of experiences within the rental market, with some companies facing specific challenges while others make greater progress.

Regarding the comparison between January 2024 and December 2023, the data reveals a similar trend. While 37.2% of respondents noted an improvement, a significant 41% reported lower performance.

The survey also examined customer base growth and pricing adjustments in January 2024. Nearly two-thirds of respondents (65.5%) reported gaining more customers during the month and 32.4% of companies adjusted their pricing tables, suggesting relative stability in rates amid market dynamics.

In terms of future prospects, the study revealed that 69.8% of companies have plans to purchase equipment in the next three months. This investment intention is a positive indicator of optimism and confidence in the continued growth of the rental market in Brazil.

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