I used to run a business, and one day we decided that we wanted to create some promotional collateral that would require some video. So, I called a guy that I knew in the area (let’s call him Joe) who had a reputation for producing quality videos. As we began to discuss my business’ creative vision and conceptual ideas, it became apparent that we were also going to need a green screen. Well, Joe didn’t have a green screen. He apologized for not having the equipment necessary to handle our project and wished us luck in finding someone that did.
So, we called around until we found another promising vendor (let’s call him Bill). Now, Bill admitted that he didn’t own a green screen but explained to us that he could easily rent one and had done so for several other clients. Bill got the job. We paid him about $5,000 for that project, and his invoice included the cost of the green screen rental and delivery fees, which he had simply passed along to us. The project went so smoothly that Bill became our go-to guy for all of our video work. Plus, on more than a few occasions, we referred Bill to other businesses and even for a wedding or two.
Think about it… renting that green screen did not cost Bill a dime (because he passed the costs to us), yet between our repeat business and referrals he must have made a small fortune over the years that he worked with us. There’s no telling how much money Bill made as a result of that one rental, but it was the exact same amount that Joe lost because he failed to rent a green screen and seize that opportunity to be our vendor.
Here’s the great news – you don’t have to wait for a phone call to start thinking proactively about creative ways to leverage equipment rentals in order to expand the capabilities and offerings of your current business. Just ask yourself if there is some additional service your business could provide customers if you had access to equipment that you don’t currently own. Now, consider this – since there’s practically no piece of AV-related equipment that can’t be rented – you almost certainly do have access to that equipment.
Plus, equipment rental offers a host of other advantages, like:
- You can try out a new service offering to see if there is demand for it and if your business can accomplish it effectively without making an expensive and risky capital investment.
- You can potentially attract an entire new customer base that was not viable before you added the new capabilities.
- You can take on new jobs and generate new revenue streams without negatively impacting cash flow.
- You can avoid getting stuck with outdated and obsolete equipment due to rapid advances in technology – and you’ll always have affordable access to the latest and best equipment.
- If you intend to buy equipment, renting allows you to test out different types and brands before making a purchase decision.
- You can pass the costs along to your customers and even mark up the rental for added profit.
- You can give your business more flexibility and versatility to bid on jobs you may have passed on before.
Expanding business offerings and growing revenues are just a creative thought away. For example:
- Videographers could rent green screens (like Bill did) to expand their ability to shoot all kinds of videos and commercials. Or, they could rent web streamers to offer clients live feeds of their events. How many brides would like the ability to stream their wedding to friends and family that couldn’t make it to the wedding?
- Photographers could rent specialty lenses or even drones to offer the most unique photos and angles.
- Event producers could rent a video wall to take presentations to a whole new level of professionalism.
Whether you’re proactively searching for new revenue streams for your business, or you just want to be more flexible and expand your ability to serve a wider range of customer demands, equipment rental is an often overlooked and untapped ocean of opportunity. If you don’t own the equipment you need to do a job – just rent it and take the job.
About the author
Robert Preville is the CEO of KWIPPED, an online B2B equipment rental marketplace. At KWIPPED.com businesses can quickly and easily locate, discover and rent specialized equipment from a global network of suppliers that span 16 industry verticals. Learn more at www.kwipped.com.