The Chilean division of CSI Leasing, the largest privately held independent IT lessor in the US, expects sales to spike to US$10mn this year from US$1mn recorded in 2010, CSI Leasing Chile's country manager, Elena Fernández-Cavada, told BNamericas.
The division is betting heavily on financial sector business, as well as newer releases such as MyCSI, which allows clients to monitor their rented equipment via the internet.
Fernández-Cavada said plans are also in the works to leverage an alliance with US unified storage solutions provider NetApp (Nasdaq: NTAP) to accelerate business - particularly among banking clients - during the course of this year.
NetApp Latin America formed a partnership with CSI Leasing in 2010, whereby NetApp agreed to offer its customers CSI services including leasing, budget management solutions and administrative management tool MyCSI.
"We are helping NetApp right now with a significant project that they have with a financial sector company, but they are still in negotiations," she said. "The deal is for all of that company's storage, and it includes our proposal."
However, the storage giant is still working to gain ground against its top competitors, such as HP (NYSE: HPQ) and EMC (NYSE: EMC), according to the executive. "NetApp has still not achieved significant penetration in the market."
Major players such as IBM (NYSE: IBM) and HP offer product rental options, according to CSI Leasing Chile's sales manager, Javier Pacheco.
Still, the biggest hurdle the company faces in the Chilean market does not come from other competitors, but rather is psychological in nature, according to Fernández-Cavada. Local companies are oftentimes tempted by a sense of satisfaction derived from owning - and not renting - their IT goods.
"The most significant barrier is the client's tendency to want to have the products at some point in time," she said. "They initially accept the idea of renting, but there's always the potential that they might want to buy them."
CSI Leasing Chile tries to overcome those hurdles by showing clients the TCO benefits of renting equipment, Pacheco said.
The parent company has been in the IT leasing industry since 1972 and now has offices in Mexico, Costa Rica, Argentina, Brazil, Chile, Colombia, Guatemala and Honduras.
Chile is one of the company's newest regional markets, while CSI Leasing has the most mature business in Mexico, according to previous BNamericas reports.