Benefits of GPS Tracking for Rent-To-Own

Rugged businesses are well aware of the risk-reducing and flexibility perks that come with rent-to-own (RTO) equipment versus equipment purchased outright. So much so, the global RTO industry is poised to expand at a compound annual growth rate of 4.63% between 2024 and 2031.

While the rent-to-own industry offers benefits to those who rent and lend equipment like excavators, skid steers and dump trucks, it also comes with downsides. Prevalent theft and asset loss cost RTO lenders a hefty chunk of change. Beyond paying for asset replacement, businesses must also fund potential insurance cost increases and operational disruptions.

Though rent-to-own businesses face costly risks, they can skew the odds in their favor by implementing preventative solutions, like asset intelligence, into their workflows. Accurate GPS tracking helps RTO companies protect their assets, streamline their repossession efforts and dodge avoidable costs.

Threats to RTO Companies Without Accurate GPS Tracking

1. Financial Losses: Improper use or missed customer payments can render your equipment lost, stolen or damaged. Replacing assets isn’t the only cost involved when loss, theft or damage occur; the aforementioned insurance price increases and costly operational disruptions can add up quickly. Inaccurate and inconsistent reporting can also hamper asset tracking and recovery efforts, increasing your costs. Liability concerns may hinder finances in instances like repossession teams reporting to the wrong location, or escalating a case due to assets being situated in a business or private property. Overall, loss- and theft-related costs can impede your business’s profitability and sustainability.
2. Customer Disputes: Disgruntled customers can be a sizable threat to any business. Settling disagreements over asset location and usage can be tricky and may not end well. For instance, if a customer requests deferred payments for non-usage, verifying asset usage may be difficult. When reporting claims or disputing false ones, RTO businesses may need an insurance safeguard to avoid any serious mishaps. Proactive measures can protect your company while improving customer satisfaction — a win for everyone. With service verification functionality, you can avoid a lot of the future headaches and back-and-forth.

How Accurate GPS Tracking Enhances Retrieval and Repossession Efforts

1. Asset-Locating Precision: GPS trackers provide accurate, near real time asset locations, reducing the time and bandwidth needed to recover equipment. Not all trackers are created equal, though. Some only specify a half-mile radius, giving the usual one-to-two-man repossession team a lot of ground to cover. Geoforce’s trackers, which offer more precision at under a tenth of a mile radius, narrow down search areas and mitigate repossession efforts. Asset locations for RTO companies vary depending on the customer base and region. Satellite and cellular integration ensures connectivity in a variety of environments when and where cellular coverage cannot be guaranteed.
2. Geofencing & Alerts: Rent-to-own businesses can use geofencing capabilities to set virtual boundaries that, when assets cross them, send alerts in near real time. Receiving notice of assets leaving designated areas can flag potential theft or loss incidents and help accelerate recovery. Geofencing alerts also allow RTO companies to optimize asset allocation and ensure their equipment steers clear of hazardous zones. Geofencing alerts free up employees from manually tracking and checking on assets, while still allowing you to track pertinent data in the Geoforce Platform whenever you need it.
3. Integration with Repossession Software: Integrating GPS data into your repossession management system through APIs can significantly streamline your operations. Information including location history, geofencing and pictures of your asset can all empower your team to operate more smoothly and with more knowledge.

How to Achieve Operational Optimization for Your RTO Business

Here’s how accurate GPS tracking can transform your workflows for the better:

1. Faster Repossession Qualification: Your GPS tracker can automatically report asset locations while integrated repossession management software verifies accounts to determine when an asset needs to be submitted for repossession. Eliminating the manual processes traditionally required means qualifying for a repossession can take a fraction of the time. Without its newfound bandwidth, your team can focus on more mission critical tasks.
2. Deployment Communication: GPS trackers’ consistency and reliability can provide equipment locations to your repossession management system, which subsequently dispatches your team to retrieve any missing assets. Equipping your team with the trackers’ abundant information empowers them to plan and execute an especially efficient repossession.
3. Optimized Repossession Team: GPS trackers optimize your repossession process, allowing your team to spend less time locating and recovering assets. Your team can also yield safety benefits from spending less time in construction sites, mines and other treacherous settings.

It’s Time to Level Up Your RTO Flow

Accurate GPS tracking empowers rent-to-own businesses to protect their equipment and ultimately streamline their retrieval or repossession efforts.

Safeguarding your assets and improving your operational efficiency is as simple as investing in reliable GPS tracking systems. Get a quote today for your RTO business.