“India has lower penetration of rental equipment.”
Munish Taneja, President-Equipment Hiring Business, Indiabulls Store One, urges the industry on improving rental yields and offering better operation and maintenance support to maximise the productivity of rental machines.
One pathbreaking offering: We have pan-India operations, which no other rental company offers today. We have our yards and operations team to support our freight in five locations. With a big fleet of 670 equipment, it is essential for us to offer good after-sales support – that is what differentiates us.
Demand drivers in 2019: Piling, access platforms and mining are the three segments that will be growth drivers in 2019.
Announcement contributing to the company’s growth in 2018: This year, our main announcement of diversification was an important one. Earlier, we were focussed on the real-estate segment, where we had a huge presence. This year, we have diversified into railways, roads, port and infra projects, and piling.
Challenge for the company in 2019: Being an election year, 2019 will be critical for large projects that are lined up.
Key strategy to success in 2019: Diversification into new industry segments and increasing the customer base. Apart from this, we will focus on large infra projects that have stable funding and faster execution.
Recommendation for growth of the construction equipment market: Compared to the developed market, India has a lower penetration of rental equipment. Rental yield is important for us to sustain and for future growth, which will enable us to provide good services to our customers. I request all rental competitors to focus on keeping a rental yield that will be beneficial to the customer and us.