Computer Hardware Rental Services Procurement Category Market Research Report from IBISWorld has Been Updated

Share Article

Price declines will continue as computers and related input costs decline for suppliers; however, declines in price will be mitigated by growing demand and rising private investment in computers and software. For these reasons and to help procurement professionals make better buying decisions faster, business intelligence firm IBISWorld has updated a report on the procurement of Computer Hardware Rental Services in its growing collection of procurement category market research reports.

IBISWorld industry market research
Rental prices have fallen due to the declining price of technology and hardware

Computer hardware rental services have a buyer power score of 4.5 out of 5, indicating high negotiating power for buyers. “This score reflects a steady decline in rental fees due to the wide availability of suppliers and the declining cost of inputs,” says IBISWorld research analyst Andrew Krabeepetcharat. “Input costs for suppliers have declined at a steady rate over the past three years.” Additionally, the low level of price volatility benefits buyers because it creates a more predictable purchasing environment and reduces the likelihood of price hikes. Stable price declines during the period allow buyers to take the time to carefully evaluate suppliers and their options.

Furthermore, buyers benefit from the low level of supply chain risk in the market. Suppliers are able to source their computer hardware from a variety of sources and face low risk of discontinuity. Suppliers also have a low level of risk from downstream demand because all types of businesses use computer hardware rental services. According to Krabeepetcharat, “The wide range of clients for suppliers reduces the bankruptcy risk of suppliers and creates a more stable purchasing environment.” Major suppliers of computer hardware rental services include Apple Inc., CDW, Dell Hewlett-Packard, IBM, Staples and Office Depot.

However, buyer negotiating power is limited by a moderate level of switching costs because rental contracts generally lock in agreements for one to five years. Also, rental contracts are difficult and costly to terminate after signing. Installation and setup fees also make it difficult for buyers to switch to another vendor after a rental contract has been agreed on. Consequently, although buyer negotiating power is high, buyers should take time to carefully evaluate their needs and resources before entering into a contract. For more information, visit IBISWorld’s Computer Hardware Rental Services procurement category market research report page.

Follow IBISWorld on Twitter:!/IBISWorld
Like IBISWorld on Facebook:

IBISWorld Procurement Report Key Topics

This report is intended to assist buyers of computer hardware rental. Computer hardware rental companies allow businesses to rent computer hardware for a fee based on the value of the equipment rented. Suppliers include manufacturers, retailers and third-party suppliers. This report does not cover the rental of computer peripherals.

Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Gavin Smith
IBISWorld Inc.
+1 (310) 866-5042
Email >
Visit website