The Real Shipping Container Leasing Business Model
As people see the many uses of a shipping container, used as homes, as boats, as apartment complexes, or even as in-ground swimming pools, how is it that these containers are still offered as leases to the public? Doesn’t it make more sense for a shipping container leasing company to pack up and find alternative ways to use containers? As it turns out, no. These ideas and concepts that are flooding the market are actually strengthening the business model of the average Australian business of shipping containers. Here’s why.
Shipping Container Leasing Makes a Good Income
There are two types of shipping container leasing companies, and neither of them crosses over into the other world. The first model is the standard home container leasing which many are familiar with. The containers are offered as solutions to the average Australian home as a way to store their goods or have a container to help when shifting. This makes a good income from the temporary leasing options that they offer to the average homeowner. For many, it’s a good way to add an extra shed or storage room out the back without paying for a permanent structure.
The second leasing company offers their containers to a different market, shipping companies. These companies don’t like to buy their own containers because they can often sit unused in dockyards around the world, and this represents wasted money if they are an asset for the business. Leasing companies offer their containers on a consignment so that the company can save money. Both of these markets are sustainable and offer excellent returns on their investments.
Shipping Containers Are Reliable
One of the reasons that shipping container leasing companies continue to thrive is because their products are not going to go away any time soon. They are very durable, as they were built to last for over 25 years on the open seas in harsh and dangerous conditions. So, as a simple leased option, the container doesn’t face the same levels of stress and demand on it, so it will last longer and be always available. Just as the market isn’t going away, neither is the actual product of shipping containers.
Shipping Containers Are an Untapped Market
Although they may seem like they are everywhere, the market for leased containers is strong. There isn’t a vast competition for these containers, and the places that offer them are seen as staples in their field. Although it’s not hard to find in a major city, there are usually just one or two shipping container leasing companies. They work hard, develop excellent customer relations and offer good service. That keeps them in business without any competitors to give them a hard time.
While the future of shipping containers might change, these businesses promise to be around for a long time to come. They are an integral part of Australian culture and they won’t be made redundant any time soon.