The rental industry has been growing incredibly in the last few years. As per a recent study in the US, it was found that 77% of people prefer renting products over buying, as it is a great way of saving money. This trend of renting over buying has been altering the face of the re-commerce industry, which is reflected in the fact that more than $1 billion has been invested in rental setups online within the last five years. While fashion and transportation are the two sectors for which rental websites are popular, marketplaces to rent equipment, gears, appliances, and so on aren’t too far behind.
Hence, to help you get started, we have written this blog with insights on how to launch an online rental business in 2022, but first, let us be aware of a few popular online rental companies.
5 Popular Businesses in The Online Rental Industry
The top players catering to different niches in the online rental industry are:
RVshare – This is a peer-to-peer RV rental marketplace from where customers can rent RVs from private owners and dealers.
Turo– Is an online car rental marketplace that provides a cost-effective alternative to owning a car.
PoshRobe – Is a dress rental marketplace that provides individuals with an opportunity to access luxury wear.
Aloklub – Is a sports equipment rental marketplace in Spain that provides people with an opportunity to rent different products through rent, thus avoiding the need to buy.
United Rentals – This is an equipment rental company that provides tools and equipment for industrial and construction sites across the United States and Canada.
Steps To Start An Online Rental Business
As many new opportunities are being presented across the rental industry, in this section, we discuss in detail the steps to start an online rental business.
Choose or Identify A Rental Business Idea
The first step is to start by gaining knowledge about the market. This will act as fuel to drive your business in the right direction. Learn about the target market, including age, activity, preference to spot trends, and identifying opportunities. Ideally, your rental business idea should make money, serve your passion and provide value to the community. While several types of rental businesses can be pursued, it is important to note that some might yield a return right away, while others might be more impacted by the seasonality than others.
Click here to know about top online rental business ideas that can be started in 2022.
Analyze the Competition
Hard work and sincerity will get your rental business off the ground, but having a strong grasp of what your competitors are doing will equip your rental business with a strong foundation. This will also allow you to understand what tasks might lay ahead for your new business.
Choose Your Brand Name
Having a name for your rental business is imperative. Your branding, marketing efforts, and business documents will display and use the business name. So it would be best if you had a name that fits the industry standards, is appealing and memorable to the consumers, and most importantly, the domain by that name should be available for purchase.
Build Your Store/Marketplace
When it comes to building an online rental store/marketplace, there are two options:
- Readymade Website Builder (Rental Business Software) – A ready-made website builder or rental business software like YoRent is ideal for those who want to launch their online rental business quickly and at a low cost. There is absolutely no coding required – buy, install and start using the application.
- Custom Development – This method is more time-consuming and expensive than a ready-made product and is suitable for those who want to build an online rental store or marketplace tailored to their requirements. This method also provides the flexibility to add any functionality over time.
As the world becomes more environmentally and economically conscious, the demand for online rental services will grow. As a result, it is the right time for startups and entrepreneurs to start their online rental marketplace.