The ‘Global Car Rental Market Report and Forecast 2023-2028’ by Expert Market Research gives an extensive outlook of the global car rental market, assessing the market on the basis of its segments like booking type, application type, vehicle type, and region.
The key highlights of the report include:
Market Overview (2018-2028)
- Forecast CAGR (2023-2028): 4.7%
The demand for car rentals is being driven by an increase in the number of individuals travelling for both business and pleasure around the world, which is fuelling the global car rental market expansion. In the past few years, there has been a marked rise in international travel. Travelers from over the world are growing more selective about their travel and expect services that are well-known, dependable, and of the greatest quality.
Some of the largest car rental firms are working to capitalise on preference of travellers to rent cars in new destinations by enlarging their brands and global distribution networks. Governments in developed and developing nations alike are placing a strong emphasis on reducing vehicle emissions and promoting car rentals as one an affordable means of transportation.
Factors including the rising popularity of on-demand mobility services and the low rates of automobile ownership among millennials are supporting the growth of the global car rental market . The public is increasingly turning to on-demand transportation services for travel and daily commuting due to rising vehicle prices, a lack of parking spaces, and high maintenance costs. Also, improvements in road infrastructure and rise in disposable incomes are promoting market expansion. The market for car rentals is also expected to experience major change as a result of technological advancements like self-driving cars.
Industry Definition and Major Segments
Car rental is the service of temporarily hiring a car for a set amount of time through online or offline sources. Travelers and those without private vehicles are the main targets of car rental businesses. Renting a car is thought to be a more cost-effective option than buying one because it allows for greater mobility, less expensive travel, and avoidance of significant ownership costs.
Based on booking type, the market is bifurcated into:
- Offline Access
- Online Access
The market on the basis of application type is divided into:
- Leisure/Tourism
- Business
On the basis of vehicle type, the market is segmented into:
- Luxury/Premium Cars
- Economy/Budget Cars
- SUVs
- MUVs
Based on region, the market is divided into:
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
Market Trends
One of the key trends boosting the expansion of the global car rental market is the significant growth of the travel and tourism sector globally. With the aid of specialised mobile apps for customer convenience, growing internet penetration in both developed and developing countries has further assisted the market in capturing a wider customer base. In recent years, the market has seen a transformation due to the impact of technology improvements. Improved corporate information management and hassle-free reservations are the two strategies that enable car rental companies to effectively supply their customers with improved services.
With the increasing reliance of consumers on smartphones for a variety of functions once performed by computers, customers now have a different experience renting a car. A boost to the car rental market growth is also being given by the growing urban population and its increased propensity for travel and adventure. Hence, people are using car rentals to expand their mobility and reduce the cost of travel. Another factor that stimulates market growth is the rise in environmental conservation awareness.
Key Market Players
The major players in the global car rental market report are ACE Rent-a-Car Reservations, Inc., Advantage Rent-a-car, National Car Rental, Avis Budget Group, Inc., Eco Rent a Car, Enterprise Holdings Inc., Hertz Corp., Global Cars, Localiza–Rent-a-car SA, and Europcar Group, among others. The report covers the market shares, capacities, plant turnarounds, expansions, investments and mergers and acquisitions, among other latest developments of these market players.
The report studies the latest updates in the market, along with their impact across the market. It also analysis the market demand, together with its price and demand indicators. The report also tracks the market on the bases of SWOT and Porter’s Five Forces Models.