Interview with Lifting Gear Hire: High Demand and Continuous Improvement
RER interviewed numerous rental companies about how they did in 2023 and what they expect for 2024. The following answers were provided by Lifting Gear Hire Corp., Bridgeview, Ill. Answers were provided via e-mail by Tony Fiscelli, president; Ryan Group, vice president of sales; and Thomas Beasley, vice president of business support services.
RER: How was 2023 for Lifting Gear Hire Corp., not necessarily in numbers or percentages, but in general?
LGH: The year 2023 has been a year of change and significant growth at LGH and we have positioned ourselves to allow LGH the opportunity for additional growth for many years to come. Due to the growth that we have had the past two years, we identified the need to restructure our sales regions and individual sales territories that would allow us to employ additional sales management, and also inside and outside sales representatives for future growth. In addition, we are very happy with the revenue growth we have seen from nearly all of our regions across North America this past year and have positioned ourselves for additional growth opportunities for the next few years with our current structure at LGH.
What kind of year do you expect in 2024? Not necessarily in numbers or percentages, but generally up or down? By how much, roughly?
All signs in 2024 are optimistic that we will maintain at the same growth levels we experienced in 2023. Plenty of large construction projects are underway and planning to continue in the new year. We also have many new projects that will kick off in 2024 that we have our sights on. Key markets that we’re monitoring for any changes are electric vehicles, renewables, and data center construction.
How was demand in your marketplace and what do you expect in 2024?
We have seen very high demand based on quote and order activity in the past couple years and expect the same in 2024.
Any interesting new developments in 2023? New branches, product lines or segments, acquisitions, new software or telematics, new people, new emphasis?
LGH is in the process of opening up our 24th LGH Rental Center in North America in the Baltimore / Washington D.C. area and we have also opened our first two rental sub-centers in Des Moines, Iowa, and Boston, Mass., in an effort to service these areas with local support and rental stock. Also in 2023 we have established a new product development and training department that has allowed us to better utilize our existing rental stock while also researching new products that would be a good addition to the current LGH rental fleet.
Is the marketplace more competitive now than a few years ago?
With advances in technology driving new construction opportunities, we continue to see our markets as very attractive for newcomers. However, we’ve created competitive advantage by our own investment in technology internally (IT systems and new rental equipment) to stay ahead of competition. By focusing on continuous improvement of our internal processes, we make doing business with LGH easy. This has enabled us to expand existing locations as well as build new rental facilities in new coverage areas. We are also hiring many new outside sales reps to improve the overall customer experience nationwide. We do have regional competition in small pockets throughout North America, but I wouldn’t say there is necessarily more competition than a few years ago due to the barriers of entry we’ve created.
What were the strongest markets for you in 2023? Non-res construction /industrial/ manufacturing construction/ residential construction / highway work / small contractors / landscapers / homeowners/ Others?
We do work in all of the markets listed with our top three being non-res construction, manufacturing construction, and industrial construction. Our target customers within those markets are general contractors, mechanical contractors, elevator companies, crane companies, steel erectors and many other trades.
