DUBLIN, Nov. 16, 2023 /PRNewswire/ — The “The US Rent to Own Market: Insights and Forecast with Potential Impact of COVID-19 (2022-2027)” report has been added to ResearchAndMarkets.com’s offering.
The US rent to own market is expected to reach US$11.95 billion in 2023, growing at a CAGR of 6.77% during 2022-2027
The US rent-to-own market is characterized by fragmentation, with numerous players dominating the country’s landscape.
The rent-to-own market in the United States is poised for a positive outlook in the coming years, driven by factors such as tightening lending standards by both major and subprime lenders. Additionally, there is a growing demand for essential items like appliances and computers, which is expected to further increase in the near future.
Improved employment opportunities and access to education have attracted immigrants from various countries to the US. Many of these immigrants prefer renting homes and major household items like furniture due to the transient nature of their jobs or other reasons. As a result, they opt for rent-to-own providers, enabling them to pay monthly installments and eventually own the items. The substantial influx of international migrants has been a significant driver of the US rent-to-own market over the past decade.
The outbreak of the COVID-19 pandemic had a notable impact on the US rent-to-own market, as governments worldwide implemented lockdown measures. However, the overall impact on the market was positive in 2020.
While enterprises experienced revenue losses during the first quarter of the year, the industry rebounded due to increased demand for home ownership, rising rental prices, and other contributing factors. The future outlook for the rent-to-own industry in the US appears promising, driven by rapid technological advancements, the growth of e-commerce in home purchases, and other factors.
Trend: Rapid Pace in Technological Advancements
Technology is the base for usually all types of industries and with different invention coming due to growth demand, many industries are expected to gain benefit in different ways.
The pace of technological advancements has increased rapidly due to increasing internet uses and digital communication making the ecosystem faster and considerably reduced. In the US, consumer of rent-to-own industry want to use the advanced technology.
In-home service market, new platforms for marketing is extending the reach of many companies, whereas new improved software and programs are providing the companies new opportunities for upgrading their services, for instance, better query solving system, proper and simplified booking system, tracking the status of customer service, etc.
Challenge: Dependency on Vendors, Suppliers and Products
Company’s rely on the receipt of information from third party data vendors, and inaccuracies in or delay in receiving such information, or the termination of company’s relationships with such vendors, could have a material adverse effect on the business, operating results and financial condition.
Additionally, allegations of or actual product safety and quality control issues, including product recalls, could harm company’s reputation, divert resources, reduce sales and increase costs. Furthermore, If the company are unable to successfully appeal to and engage with the target consumers, the business and financial performance may be materially and adversely affected.
By Distribution Channel: In terms of distribution channel, the report provides the bifurcation of the US rent to own market into two segments: Brick & Mortar and E-commerce.
E-commerce channel held the largest market share and is expected to grow at a significant CAGR in the forecasted period. Stay at home and social distancing orders have been imposed all across the US due to the outbreak of COVID-19. This in turn has led to more and more people preferring e-commerce channels for purchasing various things on lease.
Key Topics Covered:
1. Executive Summary
2.1 Rent-To-Own: An Overview
2.1.1 Rent-To-Own Market
2.1.2 Rent-To-Own: Advantages and Disadvantages
2.1.3 Components of the Rent-To-Own Agreement
2.2 Rent-To-Own Segmentation: An Overview
2.2.1 Rent-To-Own Segmentation
3. The US Market Analysis
3.1 The US Rent to Own Market: An Analysis
3.1.1 The US Rent to Own Market: An Overview
3.1.2 The US Rent to Own Market by Value
3.1.3 The US Rent to Own Market by Distribution Channel (Brick & Mortar and E-commerce)
3.1.4 The US Rent to Own Market by Number of Stores
3.2 The US Rent to Own Market: Distribution Channel Analysis
3.2.1 The US Rent to Own Market by Distribution Channel: An Overview
3.2.2 The US Rent to Own Brick & Mortar Market by Value
3.2.3 The US Rent to Own E-commerce Market by Value
4. Impact of COVID-19
4.1 Impact of COVID-19
4.1.1 The Economic Effects of COVID-19
4.1.2 Response of Industry Players to COVID-19
4.1.3 Post COVID-19 Scenario
5. Market Dynamics
5.1 Growth Drivers
5.1.1 Spike in Urbanization
5.1.2 Significant Population of International Migrants
5.1.3 Surging GDP Growth
5.1.4 Rising Disposable Income
5.1.5 Growing Millennial Population
5.1.6 Rising Virtual Rent-to-Own Market
5.2.1 Dependency on Vendors, Suppliers and Products
5.2.2 Lack of Customer Security
5.2.3 Low Profit Margin
5.3 Market Trends
5.3.1 Hike in Internet Penetration
5.3.2 Rollout of Smartphone as New Category
5.3.3 Rapid Pace in Technological Advancements
6. Competitive Landscape
6.1 The US Rent to Own Market Players Comparison
6.2 The US Rent to Own Market Players by Number of Stores
7. Company Profiles
7.1 Rent-A-Center Inc.
7.1.1 Business Overview
7.1.2 Operating Segments
7.1.3 Business Strategy
7.2 goeasy Ltd.
7.3 The Aaron’s Company, Inc.
7.4 Co-Ownership Organization
7.5 FlexShopper Inc.
7.6 EZ Furniture Sales & Leasing
7.7 Buddy’s Home Furnishings Company
7.8 Snap Finance Company
7.9 Home Partners of America Company (HPOA)
7.10 Dream America Organization
7.13 Action Rent to Own
7.14 Divvy Homes
For more information about this report visit https://www.researchandmarkets.com/r/e0oifg
ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
Research and Markets
Laura Wood, Senior Manager
For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716
SOURCE Research and Markets
Originally published at https://www.prnewswire.com/news-releases/united-states-rent-to-own-market-insights-report-2023-2027-rising-disposable-income-growing-millennial-population-and-rising-virtual-rent-to-own-market-driving-the-11-95-billion-industry-301990819.html
Images courtesy of https://pixabay.com