What to consider when entering the party rental industry
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Thinking of getting into the Party Rental
Industry?
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The party rental and event rental opportunity in Canada is growing…
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Canadian Tool Rental Market
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2013 - $725M
Copyright © 2013 American Rental Association and IHS Global Inc.
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Copyright © 2013 American Rental Association and IHS Global Inc.4
2013 -$197.2M
Canadian Party Rental Market Information
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Copyright © 2013 American Rental Association and IHS Global Inc.5
2013 -$197.2M
Canadian Party Rental Market Information
Based on these charts we can see that the Party Rental Market in Canada is 15 years behind the Tool Rental market in terms of
revenue
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And poised for growth rates of 2.5 – 5% in the next 4 years…
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“The public appetite for off-premise catered events remains strong, particularly in Toronto” – Event Rental Group
“The event industry continues to be strong in Alberta; 2013 was a great year for events and we are looking forward to an even stronger 2014” – Special Event Rentals
Source – Special Events Magazine – Nov/Dec 2013
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“Of the 30 Top Rental Companies from across North America, many of them share the same message: Growth is coming back – albeit slowly…the top 30
companies show a 7% boost in revenue over last year’s numbers” – Special Events Magazine, Nov/Dec 2013
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Source: Special Events Magazine
Home interior design and fashion trends driving
tabletop and linen inventory.
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Why Expand into Party Rental? Complimentary addition to equipment and small
tool rental business Recurring revenue Large potential for growth Large return on investment
Dramatically better returns than tool & equipment rental – product rentals generally priced to return investment cost in 8 – 12 turns,
Some premium items in 1 or 2 turns
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Where will the business come from? Weddings – single largest driver of party and event business Caterers Event Planners Community Festivals, County Fairs Golf clubs Resorts, Hotels, Banquet Halls, Convention Centres Trade shows Corporate events/functions Colleges, Universities And of course, Consumers
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Other business questions to consider How extensive an offering do you want to have?
How will your showroom be set up?
Business Infrastructure investments required
1. Delivery Vehicles, 2. Dish washing systems, 3. Washer/Dryers
How do you plan to store and transport rental inventory?
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What items to start with How extensive an offering do you want to have? Should seriously consider your showroom presentation Business Infrastructure investments
1. Delivery Vehicles, 2. Dish washing systems, 3. Washer/Dryers Storage and transportation containers Tents – are expensive, seasonal and require specially trained
labour – BUT they can be huge money makers Staging/flooring Specialty linens Bouncy castles – liability and safety issues Heaters
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What Rental Items to Start With Folding Tables: Wood or Plastic? Round Tables Plastic – 48”, 60” and 71” Wood – 48”, 60”, 66”, 72”
Banquet Tables Plastic – 4ft (x 24”), 5ft, 6ft and 8ft Wood – 4ft, 6ft, 8ft and 8ft x 42”
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What Rental Items to start with…Cont’d
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Plastic Folding Chairs
White Resin Folding Chairs
Chiavari Chairs Bistro Chairs
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What additional items to consider adding Dishes / Cutlery / Glasses & Stemware Tents – are expensive, seasonal and require specially
trained labour – BUT they can be huge money makers Staging/flooring Specialty linens Bouncy castles – liability and safety issues Heaters Whatever your customers are repeatedly asking for
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Information Sources to Follow www.ararental.org – American Rental Ass’n Consider keeping an eye on the following
publications that report on the events / party rental industry− Special Events Magazine− BizBash News− Rental Management Magazine− Canadian Rental Service− International Special Events Society− InTents Magazine
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About National Event Supply One of Canada’s leading event equipment
wholesalers to the party and event rental, foodservice and hospitality industry.
Family owned and operated business with locations including a showroom/warehouse in the greater Toronto area (Mississauga) and a warehouse in Vancouver (Delta).
Regularly ship coast to coast and to rural Canada
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Why Customers Buy from National Event Supply
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NES - Major product offerings Folding tables – plastic and plywood Folding chairs and Chiavari chairs Porcelain Dinnerware Specialty Platters/Bowls Flatware/Cutlery Glassware – Crystal and regular Newest addition – Linens including Spandex
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National Event Supply
Thank youContact details:
905-795-1667 or800-827-8953
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info@NationalEventSupply.com
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