United Rentals Reports Strong Digital Adoption
United Rentals (NYSE: URI) reports robust digital adoption, with over 70% of Q1 2024 revenue generated from customers using its digital tools like Total Control, United Rentals Mobile App, and online marketplace. These platforms support safety, productivity, and sustainability objectives. Telematics data, accessible via Total Control, helps customers monitor and optimize equipment usage. United Rentals leads the industry with 375,000 telematics-enabled units. Recent digital enhancements include improved payment management, customized notifications, availability info, equipment access management, and order history access, streamlining the rental process.
- Over 70% of Q1 2024 revenue from customers using digital tools.
- Industry-leading 375,000 telematics-enabled equipment units.
- Enhanced digital capabilities improve customer experience and decision-making.
- Telematics data optimizes fleet utilization and tracks GHG emissions.
- New features simplify rental process: payment management, notifications, availability info, equipment access, and order history.
- Positive customer feedback on digital platform usage and benefits.
- No specific financial metrics reported, limiting insight into overall financial health.
- Possible high dependence on digital tools for revenue.
- No mention of cost or investment in developing these digital tools.
Insights
United Rentals has shown impressive digital adoption, with
From a tech perspective, the adoption of tools like Total Control and the United Rentals Mobile App suggests that the company is at the forefront of digital transformation in the equipment rental industry. The use of telematics and cloud-based solutions showcases a forward-thinking approach, helping customers track equipment usage, manage fleets and monitor GHG emissions. These capabilities can lead to significant productivity boosts and cost savings for customers by ensuring optimal equipment utilization and reducing downtime.
The emphasis on features such as customized notifications, equipment access management and detailed order histories shows a clear focus on user-friendliness and efficiency. These enhancements are critical in today's digital age, where customers expect seamless and intuitive experiences.
From a financial standpoint, the strong digital adoption reported by United Rentals is a positive indicator for future growth. Digital transformation can lead to cost efficiencies, improved customer retention and potentially higher margins. By digitizing processes like equipment rental and fleet management, United Rentals is likely reducing operational costs and enhancing customer satisfaction, which can translate to increased revenue and profitability.
Moreover, the ability to provide customers with benchmarks and insights through digital tools could create additional value-added services, potentially opening new revenue streams. The focus on sustainability, with features tracking GHG emissions, also positions United Rentals favorably in an era where environmental considerations are increasingly important to stakeholders.
Investors should note that the initial costs of developing and maintaining these digital tools might impact short-term profitability. However, the long-term benefits, including improved efficiency and customer loyalty, could outweigh these upfront expenses.
Customers Representing Over
Customers are using United Rentals’ digital platforms throughout the rental experience: from renting equipment, checking real-time status of deliveries, placing service calls and tracking status, taking equipment off rent, to making payments. In addition, customers can monitor usage remotely through telematics to right size the fleet on the project, ensuring that the rented fleet is utilized effectively.
Telematics data is available through Total Control, a cloud-based worksite management solution that offers visibility and insights into boosting productivity, equipment utilization, tracking GHG emissions and connecting Worksite Performance Solutions™ like equipment and site access management. The Company has the largest number of telematics-enabled equipment in the industry with over 375,000 units.
“The industry is continuously evolving, and digital solutions have helped strengthen our partnership with customers,” said Paul Maddison, Director of Digital Innovation, United Rentals. “Our team is focused on simplifying the customer experience, as well as providing relevant alerts and notifications throughout the rental process.”
United Rentals is dedicated to delivering the best digital experience to customers and continues to improve and expand its digital capabilities and features.
Within the last year, United Rentals launched a series of new capabilities and feature enhancements to the self-service digital experience that help customers streamline the rental process and make more informed decisions for their worksites.
- Manage Payments: Users can view, share and pay invoices through the United Rentals Mobile App, in addition to Total Control.
- Notifications: Users can customize email and text notifications for tasks across all project stages from quote through final invoice.
- Availability and Substitutions: Provides customers with availability information and substitution options before checkout, reduces friction during the rental process, saves customers time and preserves project schedules.
- Equipment Access Management: Permissioned users can view equipment access PIN codes within the United Rentals Mobile App to better ensure equipment productivity and safety.
- Order History: With one click, customers can access all current and past rental orders on the website and add the entire order to the checkout cart. The feature also includes smart filters so users can intuitively navigate transaction history.
Feature enhancements are now available to customers through United Rentals digital platforms.
“As the world's largest rental provider, we can provide customers with benchmarks to help understand how their fleet management compares to other industry leaders. We partner with customers to identify opportunities and drive positive outcomes. These are all enabled by our digital tools." said Ty Campbell, Director of Customer Success.
For more information on the United Rentals suite of digital tools, visit UnitedRentals.com/digital.
About United Rentals
United Rentals, Inc. is the largest equipment rental company in the world. The Company has an integrated network of 1,520 rental locations in
View source version on businesswire.com: https://www.businesswire.com/news/home/20240514930939/en/
Elizabeth Grenfell
Vice President, Investor Relations
O: (203) 618-7125
investors@ur.com
Source: United Rentals, Inc.
FAQ
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