Car Rental Market Trends

Growth Drivers

• Growing Number of Connected Cars – with advancements in internet of things (IoT) and 5G technology. Continuous growth of vehicles becoming more and more connected is expected to drive the car rental market in the projected period, as is car rental services are becoming more data driven these days. It was observed that, globally, ~ 47 million connected cars were sold in 2020, and it increased by 20% in 2021.

• Increasing Employment in Car Rental Industry – for instance, in 2020, car rental industry employed ~ 132,900 employees in United States.

• Upsurge in Share Mobility Services – for instance, car sharing is bound to get better, as it is forecasted that by 2030, ~400 million people will rely on robotic car sharing.

• Rising Number of Autonomous Vehicles – according to the estimation by 2040, there will be more than 30 million autonomous vehicles in the world.

Challenges

• Need of High Investment
• Restricting Organizational Terms and Conditions
• Availability of Low-Cost Alternatives

The global car rental market is segmented and analyzed for demand and supply by application into commercial and leisure. Amongst these segments, the commercial segment is anticipated to garner the largest revenue by the end of 2033, backed by the growing number of tourists along with the surge in the tourism industry worldwide. For instance, travel and tourism industry contributed about USD 5.8 trillion to the global GDP in 2021, which marked an increase of ~ USD 1 trillion as compared to 2020.