Consumer Electronics & Appliances Rental in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: February 2024
NAICS 53221Revenue
$10.0bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
21,480
Businesses
1,747
Wages
$X.Xbn
Consumer Electronics & Appliances Rental in the US industry analysis
The industry serves consumers who lease or rent various items, including TVs, stoves, computers, and refrigerators, as it primarily caters to individuals with an immediate short-term need or those seeking to purchase big-ticket items but lack the necessary income or credit. The overall economy plays a significant role in determining industry demand; when economic conditions are complex and consumer confidence is low, consumers may opt to rent products until their incomes improve. On the other hand, during economic booms, consumers with higher disposable incomes and access to credit can buy newer, more expensive products. The industry experienced favorable countercyclical trends during COVID-19, as rising per capita disposable income and an increased prevalence of working from home caused revenue to spike in 2021. Overall, industry revenue has risen at a CAGR of 1.8% to $10.0 billion over the five years to 2024, despite an anticipated 4.6% decline in 2024.
Trends and Insights
- Major company spinoff changes the industry structure. The largest player in the industry split into two companies, increasing the number of major players in the industry.
- Consumers are attracted to the newest products. Companies benefit from renting out the latest products because of the higher premiums that can be charged.
- Companies are concentrated in urban areas. Establishments require a high density of low-income consumers to be successful.
- Companies attract consumers by offering an extensive product selection. The latest merchandise is typically preferred. Even if consumers can’t afford these goods, it increases the brand value of the company carrying the latest products.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 1.8 % over the past five years, to reach an estimated $10.0bn in 2024.
Trends and Insights
COVID-19 caused a spike in demand
- The industry exhibits a countercyclical nature, meaning its performance can improve during economic downturns. Renting electronics and appliances can be a more budget-friendly option compared to upfront purchases, especially for high-end items.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Evolving business models and the pivot to an online presence will boost revenue and profit
- Rising demand for online transactions will continue driving the industry's shift towards e-commerce transactions, encouraging more companies to have an online channel and online-only enterprises to enter the industry. By offering an online channel, companies can access a wider pool of consumers.
Biggest companies in the Consumer Electronics & Appliances Rental in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Rent A Center Inc De | 2,264.0 | 197.3 | 8.7 | |
Prog Holdings, Inc. | 1,951.6 | 213.5 | 10.9 | |
Aaron's Inc. | 1,519.9 | 104.5 | 6.9 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Appliances, Electronics and Computers. Appliances is the largest segment of the Consumer Electronics & Appliances Rental in the US.
Trends and Insights
The innovation of consumer electronics allows companies to charge premiums for the newest products
- Consumer electronics, the second largest source of revenue, covers a broad range of gadgets and accessories. Big-screen TVs have been the most popular product in this segment.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Consumer Electronics Stores in the US
Complementors
- Tool & Equipment Rental in the US
- Computer & Printer Leasing in the US
International industries
- Furniture, Appliance and Equipment Rental in Australia
- Furniture, Appliance and Equipment Rental in New Zealand
- Office Equipment Rental & Leasing in the UK
Table of Contents
About this industry
Industry definition
Companies within this industry rent or lease consumer electronics and appliances including DVD players, refrigerators, computers, stoves and TVs. Most industry transactions are through rental-purchase agreements that enable customers to take ownership of merchandise after an agreed-upon rental period. Companies that primarily sell electronics and appliances on a retail basis are excluded from this industry.
What's included in this industry?
AppliancesElectronicsComputersHousehold FurnishingsCompanies
Rent A Center Inc DeProg Holdings, Inc.Aaron's Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
RENTAL-PURCHASE AGREEMENT (RENT-TO-OWN CONTRACT)CONSUMER ELECTRONICSSUBPRIME CUSTOMERSAME-STORE SALESIndustry Code
NAICS 53221 - Consumer Electronics & Appliances Rental in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Major company spinoff changes the industry structure. The largest player in the industry split into two companies, increasing the number of major players in the industry.
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Consumers are attracted to the newest products. Companies benefit from renting out the latest products because of the higher premiums that can be charged.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Companies are concentrated in urban areas. Establishments require a high density of low-income consumers to be successful.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Companies attract consumers by offering an extensive product selection. The latest merchandise is typically preferred. Even if consumers can’t afford these goods, it increase...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The former largest company, Aaron’s Inc., restructured and split its business. The split resulted in the forming of Aaron’s Inc. and PROG Holdings, increasing the number of m...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Rent A Center Inc De's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Prog Holdings, Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Aaron's Inc.'s performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Rent A Center Inc De, and factors influencing its performance in the industry
- Description and key data for Prog Holdings, Inc., and factors influencing its performance in the industry
- Description and key data for Aaron's Inc., and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Companies must comply with state-specific laws in every state where they operate. Some states set a maximum price for goods purchased under rental-purchase agreements.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Cost-cutting programs have been implemented, reducing wage costs. Companies seek to become more efficient by enhancing inventory management systems and algorithmic decision-m...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Consumer Electronics & Appliances Rental in the US industry in United States in 2024?
The market size of the Consumer Electronics & Appliances Rental in the US industry in United States is $10.0bn in 2024.
How many businesses are there in the Consumer Electronics & Appliances Rental in the US industry in 2024?
There are 1,747 businesses in the Consumer Electronics & Appliances Rental in the US industry in United States, which has declined at a CAGR of 3.7 % between 2019 and 2024.
Has the Consumer Electronics & Appliances Rental in the US industry in United States grown or declined over the past 5 years?
The market size of the Consumer Electronics & Appliances Rental in the US industry in United States has been growing at a CAGR of 1.8 % between 2019 and 2024.
What is the forecast growth of the Consumer Electronics & Appliances Rental in the US industry in United States over the next 5 years?
Over the next five years, the Consumer Electronics & Appliances Rental in the US industry in United States is expected to grow.
What are the biggest companies in the Consumer Electronics & Appliances Rental in the US market in United States?
The biggest companies operating in the Consumer Electronics & Appliances Rental market in United States are Rent A Center Inc De, Prog Holdings, Inc. and Aaron's Inc.
What does the Consumer Electronics & Appliances Rental in the US in United States include?
Appliances and Electronics are part of the Consumer Electronics & Appliances Rental in the US industry.
Which companies have the highest market share in the Consumer Electronics & Appliances Rental in the US in United States?
The company holding the most market share in United States is Rent A Center Inc De.
How competitive is the Consumer Electronics & Appliances Rental in the US industry in United States?
The level of competition is moderate and increasing in the Consumer Electronics & Appliances Rental in the US industry in United States.
