Global Car Rental Business Market is anticipated to reach US$ 120.06 Bn by 2026 from US$ 88.4 Bn in 2020 at a CAGR of 5.2% during a forecast period.

Global Car Rental Business Market Overview

The car rental business is the renting of vehicles for short periods, often ranging from a few hours to a few weeks. Due to the ease of reserving and availability of rental cars, the car rental business has become a popular business all over the world. The need for hassle-free money transfers, simple booking, real-time tracking, and high security contributes to the growth of the car rental business market. Furthermore, the worldwide Car Rental industry is expected to benefit from the growing usage of smartphones and internet users. Region-wise North America is the largest market with a revenue of a share of 42% in 2020. On the other hand, the Asia Pacific region is the fastest-growing region and is likely to grow at a CAGR of 6.3% over the forecast period.

Global Car Rental Business Market Dynamics

The cost-effectiveness of car rental services, as well as value-for-money car rental services, are expected to propel the global car rental business market ahead. Thus, the usage of luxury and premium car rental services is expected to increase due to an increase in business and leisure travel globally. Market participants are focusing their efforts on providing low-cost services, particularly for leisure travel. Several well-known car rental firms are offering attractive schemes at reasonable prices to expand their customer base. Also, the concept of sharing and pooling is expected to attract more consumers, particularly those with lower incomes. In accordance with this, people are turning to car rental services such as taxis and carpooling for improved mobility and cost-effective travel. This, in turn, is expected to propel the global Car Rental market during the forecast period. The implementation of government policies, as well as the growing awareness of the need for environmental protection, is another factor driving the market's growth. Governments of different countries are promoting car rental services to minimize pollution by reducing the number of cars on the road. Other factors, such as the development of car rental business services via websites and smartphone-based applications, are expected to propel the market even further. Customers' increased use of smartphones to do a range of tasks previously performed by personal computers has substantially aided in the transformation of the car rental experience. However, rising diesel and petrol costs, as well as the growing market for ride-sharing, like Uber, Lyft, and Ola, are expected to hinder the growth of the car rental market share over the forecast period. COVID-19 Impact on the Global Car Rental Business Market COVID pandemic has a major impact on the market in terms of sales as more than 44% of sales of units are hampered owing to disruption in transport capabilities of the manufacturers due to stringent norms of lockdown and increasing safety concerns. Manufacturing operations have been halted, and the supply chain has been disrupted, resulting in a drop-in car rental business activities in the pandemic. Due to travel restrictions throughout the world to prevent the spread of the virus, demand for rental cars has slowed at airports due to lower worldwide air traffic. In this context, the worldwide car rental business market reached a market value of US$ 89. 6 billion in 2020, after decreasing by 31.7% in 2019. However, in the second half of 2020, with safety and hygiene, Individual mobility and social distancing norms are expected to enhance markets conditions.

Global Car Rental Business Market Segmentation Analysis

By Vehicle Type, the economy segment dominated the market, with a market size of US$ XX Bn. in 2019 and to reach US$ XX Bn. by 2026, with over 31% revenue share. The growth is attributed to the compact nature and cost-effectiveness of economy cars. Thus these cars are widely used for airport and intra-city travel. The executive segment is expected to register the fastest growth over the forecast period. The increasing number of business travelers throughout the world is a major driver in accelerating segment growth, especially in developing countries. In addition, the growing preference for executive vehicles may be ascribed to their optimal combination of advanced features and cost-effectiveness, which makes them a preferred transport medium among business owners. By Application, the economy segment dominated the market, with a market size of US$ 36.0 Mn. in 2019 and expected to reach US$ XX Mn. by 2026, with a CAGR of XX%. The growth of the segment is attributed to the rise in air travelers across the globe. Leading vehicle rental businesses have facilities at airports, where consumers can benefit from hiring services, thereby boosting segment growth. To know about the Research Methodology :- Request Free Sample Report The local Usage segment is expected to grow at a faster pace during the forecast period. Travelers' choice for vehicle rental services for day-to-day travel has shifted due to the lack of route flexibility and set schedules of public transportation services. This in turn is expected to drive the segment growth during the forecast period.

Global Car Rental Business Market Regional Insights

Asia Pacific is expected to emerge as the fastest-growing market, with a CAGR of 7.8% owing to the growth in income, improved road connectivity, and the rapidly growing tourism industry in the region. Furthermore, the self-drive rental trend is likely to gain momentum across the region in the coming years. The growing availability of high-end luxury as well as economical automobiles, especially in developing countries, is boosting the region's car rental market. China, India, and Indonesia are the region's fastest-growing economies, together accounting for more than half of the Asia-Pacific vehicle rental market. The USA is the largest car rental market in North America. Increased travel and business tourism are responsible for the countries growth. In 2019, North America held the highest market share of XX% in the global car rental business market. Leading market key players are working to demonstrate the opportunity to car rental business market. Major players are involved in adopting maintainable strategies to gain competitive edges such as new product launches, product up-gradation, and MA, collaborative agreements. For example, Sixt SE released a mobility app in March 2019 to provide users with services including car rental, sharing, and cab-hailing. The Hertz Corporation, in collaboration with CLEAR, created the Hertz Fast Lane, an online portal. For the convenience of consumers, this platform employs biometrics to carry out and speed up the complete vehicle rental procedure. In May 2021, Uber announced the introduction of Uber Rent, a new vehicle rental service in collaboration with CarTrawler, a Dublin-based car rental firm. The objective of the report is to present a comprehensive analysis of the Global Car Rental Business Market to the stakeholders in the industry. The past and current status of the industry with forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants. PORTER, SVOR, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers. The report also helps in understanding Global Car Rental Business Market dynamics, structure by analyzing the market segments and project the Global Car Rental Business Market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the Global Car Rental Business Market make the report investor’s guide.

Global Car Rental Business Market Scope: Inquire before buying

Global Car Rental Business Market by Region:

• North America • Asia pacific • Europe • Middle East and Africa • South America

Global Car Rental Business Market: Key Players

• Enterprise Rent-A-Car • The Hertz Corporation • Sixt SE • Europcar • Avis Budget Group • Avis Rent-A-Car System, LLC • Budget Rent-A-Car System, Inc • Payless Car Rental • Enterprise Holdings In • Alamo Rent-A-Car • National Car Rental • Europcar • Rent-A-Wreck of America, Inc. • Sixt AG • Dollar Thrifty Automotive Group, Inc