Car rentals include wide-range of services related to renting vehicles for specific time periods. This could range from a few hours to a few months, in lieu of an appropriate fee. The growth of the car rental market is prominently supported by the growth of both inbound and domestic tourism flows. These services are often offered via websites and through online reservations. Car rental services have become the time and money-saver for individuals who require a vehicle for longer duration, as the conventional cab service could cost a fortune.
The increased awareness about car rental services, coupled with the needs in the tourism market primarily drives the car rental services market. The introduction of new business dynamics, increasing international tourist arrivals is some of the major factors driving growth of the car rental market currently. In US more than 2.10 million vehicles are engaged in the car rental market, which generates revenue worth of $1050/vehicle monthly in the country. US is one of the primary markets to witness growth in the car rental services. The market is anticipated to continue growing through the forecast period, driven by an increase in the number of air travelers, and steady growth in the disposable income. North America and Europe constitute the bulk of the market with more than 65% of the market share in the global market.
The leaders in the car rental services are expected to retain their competitive advantage over the regional players, by getting involved in the strategic alliances with airlines and hotels. There is an observed high per capita spending on car rental in the developing markets of Brazil, Australia, and India which is mainly due to the lack of availability of an organized public transport network, lower disposable income, and high tourist destinations which ensures that the holiday maker arriving at their destination, requires a rental vehicle. Growth will be considerably high in these countries due to the strength of the foreign tourism. However, domestic tourism need not necessarily lend itself to the demand for car rental. Technological advancements along with the expansion of leading car rental companies in developing regions, such as Asia Pacific and Latin America, would foster demand for car rental services in the coming years. This is further expected to create new opportunities for the global and regional niche players to enter the market in these regions, with cost-effective offerings, in order to gain majority of market share. However, low cost public transportation, and volatility in crude oil prices along with increased operational cost are some of the restraints in the global car rental market.
The report classifies and defines the car rental market size, in terms of revenue & volume. It provides a comprehensive analysis and insights into car rental service segments. The market is segmented on the basis of Booking type – Offline Access, Mobile Application, Other Online Access; Application purpose– Leisure/Tourism, Business, and others; Vehicle type - Luxury, Hatchback, Economy, Buses/Travel Trailers, and others; and by Geography – North America, Europe, Asia Pacific, Latin America and Africa & Middle-East. The report showcases potential growth opportunities in the forecast period, while also reviewing the market drivers, restraints, opportunities, car rental market trends, car rental market dynamics, competitive landscape, and other key aspects with respect to car rental services. The report also covers qualitative aspects such as value chain analysis, technological roadmap, and Porter’s five-force analysis for the global market. The key players in this market have also been identified and profiled. Avis, Hertz, Advantage-Rent-a-car are some of the dealers involved in the rental service market.
WHAT THE REPORT OFFERS
Market Definition and Scope along with identification of key drivers and restraints for each segment in the market.
Market analysis with specific studies and theoretical analysis on the car rental market for each region
Identification of factors that has been instrumental in changing the market dynamics, prospective opportunities for each segments and identification of key factors, influencing the market.
Extensively researched competitive landscape segment with the market dynamics for each major player across the region.
Identification and analysis of the macro and micro factors that affect the growth of the industry for each region as well as for countries.