Which Factors Of Production Are Used By A Car Rental Company To Provide A Service That Has Value?
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industries.
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Impact of covid-19 on Car Rental Market
The global car rental market forecast shall be $1,48,129.4 million by 2027, increasing from $92,252.iv 1000000 in 2019 at a good for you rate of 15.5%. The North America car rental market is estimated to increase at a CAGR of 17.8% by registering a revenue of $30,529.five million, throughout the analysis period. Strategic collaborations among the market players along with the launching of advanced car rental services are expected to accelerate the North America car rental market place growth.
Car Rental Market Analysis:
Car rental is a service wherein customers rent a automobile, use it, and pay for just the duration that the customer rented it for. A automobile rental (hire) agency offers a large selection of cars to customers at affordable rates.
Impact Analysis of COVID-xix on the Car Rental Market
The global machine rental marketplace is predicted to witness a depression growth charge per unit during the outbreak of the COVID-19 pandemic, owing to the difficult-hit on the tourism industry, resulting in extreme revenue losses, massive shutdown, and avoidance of social life. As per data published past the world tourism arrangement (UNWTO), global tourism could decline by threescore-80% in 2020 mainly considering of the Covid-19 outbreak, resulting in a revenue loss of $910 billion to $1.two trillion. Furthermore, leading automobile rental companies such as Avis are imposing cost-saving measures that include a 20% reduction in its fleet along with a seventy% reduction in its workforce.
However, several companies operating in the car rental industry such as Revv and Hire-a-auto are coming forwards with their strategic steps to assist society, during the COVID-19 chaotic situation. Fright of viral infection while using public transport is the principal gene pushing the demand for rental automobile companies. Companies are hiring private rental cabs for their employees to assure safe travel to offices. Therefore, these enterprises take experienced sudden market growth in the COVID-19 pandemic. These key factors may generate investment opportunities for the car rental industry, in the global market place.
Superior services catering to the personalized needs of customers may generate remarkable acquirement for the global machine rental market place
The car rental manufacture is witnessing massive growth mainly because of the increase in the disposable income of consumers followed by the influence of loftier standard of living and spending more than on luxury vehicles for traveling. Moreover, the ventures involved in car rental businesses are providing cars according to the demand of customers with enhanced advanced condom features at a less expensive rate. Too, to maintain and fulfill all the requirements of high-performance cars, car rental companies such as Sixt SE and The Hertz Corporation take integrated their cars with smart digital solutions. For case, in February 2019, the SIXT SE company digitalized the auto rental process in Europe. Also, the company adopted connectivity technologies for its fleet direction and has already connected thousands of vehicles through the IoT cloud platform. These advancements may lead to an increase in the demand for auto rental services in the global market.
To know more than almost auto rental market drivers, arrive touch with our analysts here.
A surge in depression-cost public transportation may restrain the growth of the global car rental manufacture
The notable growth in depression-cost transportation in the developed, as well equally developing countries, may obstruct the growth of the global market. Moreover, volatility in the prices of oils may as well create a negative touch on the global car rental market during the forecast menses.
The growing accent on car rental direction software may create huge opportunities for the global auto rental marketplace, in the future
The car rental industry is growing at a very fast pace due to the rise in urban population and tourism. The growth in the number of tourists for national and international travel in different countries like Republic of india, Indonesia, and Indonesia is expected to provide lucrative opportunities for the motorcar rental market. Leading car rental companies are involved in providing connectivity among people by availing adept services for traveling. To offer more than effective and efficient services to their customers in the future, car rental companies are looking forward to car rental management software, as information technology helps in minimizing repetitive tasks and exhibit concentration on developing new business organization models and strategies. Moreover, information technology is providing easy online and offline booking services to people for diverse purposes such as business, leisure, and others. Thus, increasing penetration of machine rental management software offers huge opportunities in the forecast menses.
To know more about car rental Market Opportunities, get in bear on with our analysts here.
Auto Rental Market, past Vehicle Type :
The sports utility vehicle (SUV) will generate a acquirement of $13,131.9 million by 2027, mainly because of its enhanced flexibility along with the acceptable space for occupants
Source: Inquiry Dive Analysis
The global SUV rental market shall accept the fastest market place growth and it is anticipated to generate a revenue of $13,131.9 million by 2027, growing from $vii,532.6 million in 2019. The growth of the SUV segment for the global car rental market is mainly attributed to increased safety & convenience, adequate space for the occupants, and enhanced flexibility, comfort, and security. Rental SUVs are considered to be one of the perfect options for family trips attributable to the GPS facilities, additional cargo infinite, and availability of popular brands including the Range Rover Evoque, Mercedes GLA, Volvo XC90 and Ford Kuga. Likewise, these models characteristic infotainment options to keep tourists entertained and continued during traveling. These key factors are expected to boost the demand for rental SUVs in the global market place, during the projected period.
Still, the economic vehicle type shall have a dominating market share in the global market and is expected to annals a revenue of $47,323.nine million, during the analysis timeframe. Attributable to the increasing business organization about ecology pollution, global auto-makers have seen huge need for electric luxury cars, around the globe. Thus, multiple ventures involved in the car rental services are predicted to offer rental electric vehicles cars (EV) in the upcoming years. For instance, in June 2020, Lyft, the leading thespian in car rental services, announced that the enterprise will become for 100% adoption of rental EVs past the stop of the year 2030. These initiatives may create massive opportunities for the sub-segment, throughout the forecast period.
Car Rental Market place, by Application:
The global leisure segment for auto rental market will have the highest market share; this is mainly because of the growing disposable income
Source: Research Dive Analysis
The leisure sub-segment of the car rental marketplace will have the fastest growth and it is projected to surpass $95,179.0 meg by 2027, with an increase from $61,691.0 million in 2018; this is mainly attributable to the steady demand from tourists, particularly of developing economies. Moreover, the extensive growth of the segment is mainly attributed to the increasing disposable income, availability of online platforms, massive penetration of smartphones, and the surge in tourism across the globe.
On the other hand, the commercial sub-segment for the auto rental market will be the apace-growing segment and is estimated to generate a revenue of $52,947.4 one thousand thousand, throughout the analysis timeframe. In contempo years, organizations operating in the corporate sector across the globe are adopting to car rental option to heighten employee benefit packages with a decrease in the overall operational expenditure. Thus, many automobile rental service providers such as Europecar, Avis group, and Enterprise Holdings have started providing services to the corporate sectors. In addition to this, Toyota Motor Corp., a leading Japanese multinational automotive manufacturers are besides entering into the automobile rental concern to proceeds a strong hold into regional as well as the global auto manufacture, in the upcoming years. Thus, in Baronial 2020, Toyota has launched a car leasing service in India especially in Bengaluru, Mumbai, and Delhi. These factors are responsible for the flourishing of the segment growth, over the assay timeframe.
Car Rental Market, by Sales Channel :
The online sales channel will accept the meaning-growth in the global market; this is mainly because of the rising demand for comfort, convenience, and safety
Source: Inquiry Swoop Analysis
The online sales channel for the car rental market place shall take rapid growth and it is anticipated to generate a acquirement of $1,07,144.0 1000000 by 2027, during the forecast menstruum. An online auto rental system will help enterprises to manage multiple bookings, rails various rental statuses, contact the designated customers, statuses of cars, and bill different bookings aptly. Also, ease in accepting reservations, pre-requisite car cheque updates, scheduling a motorcar for pick upwardly by the customer, availability checks, and other operations can be performed by the online aqueduct, which will eventually increase the adoption of the segment, throughout the projected timeframe.
Regional Insights:
North America region has a lucrative market and it will reach upward to $30,529.5 million by the end of 2027 mainly because of the presence of industry players and their heavy investments to enhance the safe & convenience of customers
Source: Research Dive Analysis
The North America car rental market accounted for $16,614.7 1000000 in 2019 and is projected to register a revenue of $30,529.5 one thousand thousand by 2027. The extensive growth of the Due north America car rental market is mainly driven past the cardinal factors such as heavy investments by market place players along with the adoption of avant-garde systems such as innovative apps due to superior advantages. Also, massively increasing demand from the companies operating in the corporate sector is as well likely to bolster the demand for machine rental services, which will ultimately advance the car rental market growth, during the analysis period.
Asia-Pacific automobile rental market share is projected to abound at a CAGR of xv.0% by registering revenue of $65,651.0 1000000 by 2027. Extensively increasing sales adoption of motorcar rental services in the corporate sector, growing disposable incomes, and increase penetration of smartphones in Asian countries particularly in Japan, China, S Korea, and India is projected to boost the growth of the car rental market place in the Asian Market. Furthermore, leading players are operating in the car rental services are opting for various effective strategies such as strategic alliances, launching of value-added products/services, and business expansion to strengthen market place position in the global industry. For instance, in August 2020, Air Asia Republic of india has teamed upwardly with Avis India to provide premium car rental services to airline-passengers. According to this deal, Air Asia India travelers can utilize the services of Avis beyond 14 cities including Noida, Delhi, Faridabad, Gurugram, Mumbai, Bengaluru, Chennai, Hyderabad, Chandigarh, Kolkata, Pune, Kochi, Jaipur, and Bhubaneswar. such primal factors are expected to propel the growth of the market, over the forecast period.
Competitive Scenario in the Global Car rental Market:
The avant-garde product evolution coupled with mergers & acquisitions are the frequent strategies followed past the significant market place players
Source: Research Dive Analysis
Some of the leading car rental market players include Avis Upkeep Grouping, Enterprise Holdings Inc., SIXT SE, Europecar, The Hertz Corporation. Bettercar Rental LLC, Carzonrent, Al-Futtaim., Eco Hire a Car., and Localiza. Car rental market place players are focusing on Merger & acquisition and advanced product developments. These are the constructive strategies followed by the startup too as established organizations.
Porter'south V Forces Analysis for Machine Rental Market:
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Bargaining Ability of Suppliers: The machine rental service suppliers are high in number, and established service providers of the car rentals are much larger and globalized. So, there will be less threat from the supplier. Thus, the bargaining power of the supplier is Moderate
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Bargaining Ability of Buyer: Buyers will accept huge bargaining ability, significantly because of multiple players operating in the car rental services. The car rental service provider offers multiple cars with popular brands at an affordable price rate. The buyers can freely choose the convenient service that best fits their preferences. Thus, the bargaining ability of the buyer is HIGH
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Threat of New Entrants: The companies inbound into the car rental market are adopting technological innovations such as developing integrated apps to attract the customers. As well, these companies are implementing diverse effective strategies such as offering discounts, free-rides, and many among others. Thus, the bargaining power of the new entrant is Moderate
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Threat of Substitutes: Customer preference and several substitutes are available in this market place such every bit government transportation services. However, such alternative options tin can't offer the kind of accessibility and convenience that a car rental service does. Thus, the threat of substitute is Low
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Competitive Rivalry in the Marketplace: The competitive rivalry among the industry leaders is rather intense, peculiarly between the global players including Avis Group, The Hertz Corporation, and Enterprise Holdings Inc. These companies are launching their value-added services in the international market and strengthening the footprint worldwide. Competitive Rivalry in the Market: High
| Aspect | Particulars |
| Historical Marketplace Estimations | 2018-2019 |
| Base of operations Year for Marketplace Estimation | 2019 |
| Forecast timeline for Marketplace Projection | 2020-2027 |
| Geographical Scope | N America, Europe, Asia-Pacific, LAMEA |
| Sectionalisation by Vehicle Blazon |
|
| Division by Application |
|
| Sectionalization past Sales Channel |
|
| Fundamental Countries Covered | U.S., Canada, United mexican states, Germany, French republic, UK, Italy, Spain, Russia, Balance of Europe, China, Japan, India, Australia, South korea, Rest of Asia-Pacific, Brazil, Kingdom of saudi arabia, United Arab Emirates, Rest of LAMEA |
| Cardinal Companies Profiled |
|
Frequently Asked Questions
Q1. What is the size of the car rental marketplace?
A. The global machine rental market size was over $92,252.4 one thousand thousand in 2019 and is projected to reach $ane,48,129.4 million by 2027.
Q2. Which are the major companies in the car rental market?
A. Avis Budget Group, Enterprise Holdings Inc., and SIXT SE, are some of the key players in the global car rental Market.
Q3. Which region possesses greater investment opportunities in the coming time to come?
A. The North America region possesses great investment opportunities for the investors to witness the most promising growth in the hereafter.
Q4. What is the growth rate of the Northward America market?
A. North America automobile rental market is anticipated to grow at 17.8% CAGR during the forecast menses.
Q5. What are the strategies opted by the leading players in this market?
A. Chapters expansion, product development, along with joint ventures are the key strategies opted by the operating companies in this marketplace.
Q6. Which companies are investing more on R&D practices?
A. Europecar and The Hertz Corporation. companies are investing more on R&D activities for developing new products and technologies.
ane. Research Methodology
1.1. Desk-bound Research
1.2. Real time insights and validation
1.three. Forecast model
1.4. Assumptions and forecast parameters
one.4.1. Assumptions
1.4.ii. Forecast parameters
i.v. Data sources
one.5.1. Primary
1.5.2. Secondary
ii. Executive Summary
2.ane. 360° summary
ii.2. By Vehicle Type trends
2.iii. By Awarding trends
2.four. By sales Channel trends
3. Market place Overview
three.1. Market segmentation & definitions
iii.2. Key takeaways
3.2.1. Top investment pockets
3.2.2. Superlative winning strategies
3.3. Porter's five forces analysis
iii.iii.i. Bargaining ability of consumers
3.3.2. Bargaining ability of suppliers
iii.3.three. Threat of new entrants
3.3.4. Threat of substitutes
3.3.5. Competitive rivalry in the market
3.4. Market dynamics
3.4.ane. Drivers
3.4.2. Restraints
iii.4.3. Opportunities
3.v. Technology mural
three.six. Regulatory landscape
3.seven. Patent landscape
iii.eight. Pricing overview
three.viii.1. By Vehicle Blazon
3.8.2. Past Awarding
3.eight.3. By Sales Channel
three.9. Market place value concatenation assay
3.nine.ane. Stress point analysis
three.9.2. Raw textile analysis
3.9.3. Manufacturing process
3.ix.four. Distribution channel assay
3.9.v. Operating vendors
3.9.five.ane. Raw fabric suppliers
3.9.5.2. Product manufacturers
3.nine.5.3. Production distributors
3.10. Strategic overview
4. Car Rental Market, by Vehicle Type
iv.one. Luxury Cars
iv.1.1. Market size and forecast, by region, 2019-2027
4.1.ii. Comparative market share analysis, 2019 & 2027
4.2. Executive Cars
4.2.1. Market size and forecast, by region, 2019-2027
four.two.2. Comparative market place share analysis, 2019 & 2027
four.3. Economical Car
iv.three.one. Market size and forecast, by region, 2019-2027
4.3.ii. Comparative market share analysis, 2019 & 2027
4.4. Sports Utility Vehicle(SUV)
4.4.1. Market size and forecast, by region, 2019-2027
4.4.2. Comparative market place share assay, 2019 & 2027
iv.5. Multi Utility Vehicle(MUV)
4.5.ane. Market place size and forecast, by region, 2019-2027
4.5.2. Comparative market share analysis, 2019 & 2027
five. Motorcar Rental Market place, by Application
5.one. Leisure
five.1.1. Market size and forecast, by region, 2019-2027
5.i.ii. Comparative market share assay, 2019 & 2027
v.2. commercial
5.2.1. Market size and forecast, past region, 2019-2027
5.ii.two. Comparative market share analysis, 2019 & 2027
half dozen. Auto Rental Market place, by Sales Channel
6.1. Online
half dozen.1.1. Market size and forecast, by region, 2019-2027
6.1.two. Comparative market share analysis, 2019 & 2027
6.2. Offline
6.2.ane. Market size and forecast, past region, 2019-2027
six.2.2. Comparative market place share analysis, 2019 & 2027
7. Automobile rental Marketplace, by Region
7.1. North America
7.1.one. Marketplace size and forecast, by vehicle type, 2019-2027
7.1.2. Market size and forecast, by application, 2019-2027
seven.i.three. Market size and forecast, past sales aqueduct, 2019-2027
7.1.4. Market place size and forecast, by land, 2019-2027
7.i.v. Comparative market share analysis, 2019 & 2027
7.i.6. U.S.
7.ane.6.ane. Market size and forecast, by vehicle type, 2019-2027
vii.i.6.ii. Market size and forecast, by application, 2019-2027
7.ane.6.3. Market size and forecast, past sales channel, 2019-2027
7.i.vi.iv. Comparative market share analysis, 2019 & 2027
7.1.seven. Canada
7.i.7.one. Market size and forecast, past vehicle type, 2019-2027
7.1.7.two. Market size and forecast, by application, 2019-2027
seven.one.seven.3. Market place size and forecast, by sales channel, 2019-2027
7.1.vii.4. Comparative market place share assay, 2019 & 2027
seven.one.8. United mexican states
7.1.viii.1. Market size and forecast, by vehicle type, 2019-2027
7.1.8.2. Market size and forecast, by awarding, 2019-2027
7.1.8.3. Market size and forecast, by sales channel, 2019-2027
7.1.8.4. Comparative market place share analysis, 2019 & 2027
seven.2. Europe
7.2.ane. Market size and forecast, by vehicle type, 2019-2027
vii.2.2. Market size and forecast, by application, 2019-2027
seven.2.3. Market place size and forecast, by sales channel, 2019-2027
seven.2.iv. Marketplace size and forecast, by country, 2019-2027
7.2.5. Comparative market share analysis, 2019 & 2027
7.2.six. Federal republic of germany
7.2.six.1. Marketplace size and forecast, by vehicle type, 2019-2027
7.two.6.ii. Market size and forecast, by application, 2019-2027
vii.2.half-dozen.3. Market size and forecast, by sales channel, 2019-2027
7.ii.six.four. Comparative market share analysis, 2019 & 2027
vii.2.vii. United kingdom
7.2.7.ane. Market size and forecast, by vehicle type, 2019-2027
7.2.vii.2. Market size and forecast, by application, 2019-2027
seven.2.vii.iii. Market size and forecast, by sales channel, 2019-2027
7.2.7.4. Comparative market place share assay, 2019 & 2027
7.2.8. French republic
vii.2.8.1. Marketplace size and forecast, by vehicle type, 2019-2027
7.ii.viii.two. Market size and forecast, by application, 2019-2027
7.ii.8.iii. Market place size and forecast, by sales channel, 2019-2027
7.2.8.4. Comparative market share analysis, 2019 & 2027
7.ii.ix. Espana
vii.2.9.1. Market size and forecast, by vehicle blazon, 2019-2027
vii.two.nine.2. Market size and forecast, by application, 2019-2027
7.2.ix.3. Market size and forecast, past sales aqueduct, 2019-2027
7.2.9.four. Comparative market share assay, 2019 & 2027
7.2.x. Italian republic
7.ii.x.1. Market size and forecast, by vehicle type, 2019-2027
7.2.ten.two. Market size and forecast, by application, 2019-2027
7.2.x.3. Market size and forecast, by sales channel, 2019-2027
7.2.10.iv. Comparative market share assay, 2019 & 2027
7.2.11. Rest of Europe
7.2.xi.ane. Market place size and forecast, by vehicle blazon, 2019-2027
7.2.11.2. Market size and forecast, by awarding, 2019-2027
seven.two.11.3. Market size and forecast, past sales channel, 2019-2027
7.2.11.4. Comparative market share assay, 2019 & 2027
7.3. Asia Pacific
7.3.one. Marketplace size and forecast, by vehicle type, 2019-2027
seven.3.2. Market size and forecast, by awarding, 2019-2027
7.iii.3. Market size and forecast, by sales channel, 2019-2027
7.3.4. Market size and forecast, by land, 2019-2027
7.3.5. Comparative market share analysis, 2019 & 2027
7.3.6. China
7.3.six.1. Market size and forecast, by vehicle blazon, 2019-2027
vii.3.6.2. Marketplace size and forecast, by awarding, 2019-2027
vii.3.6.3. Market place size and forecast, by sales aqueduct, 2019-2027
7.3.6.iv. Comparative market place share analysis, 2019 & 2027
7.3.7. Republic of india
vii.three.7.1. Market size and forecast, past vehicle type, 2019-2027
7.3.7.2. Market size and forecast, by application, 2019-2027
7.3.7.3. Market size and forecast, by sales aqueduct, 2019-2027
7.iii.7.4. Comparative marketplace share analysis, 2019 & 2027
7.three.viii. Australia
7.3.eight.1. Market size and forecast, by vehicle blazon, 2019-2027
7.3.eight.ii. Market size and forecast, by awarding, 2019-2027
7.3.8.iii. Market size and forecast, by sales aqueduct, 2019-2027
7.3.viii.4. Comparative market share analysis, 2019 & 2027
7.3.9. Rest of Asia Pacific
7.three.9.1. Market size and forecast, past vehicle type, 2019-2027
seven.3.9.2. Market size and forecast, by application, 2019-2027
vii.iii.9.3. Marketplace size and forecast, by sales channel, 2019-2027
vii.3.9.four. Comparative market share analysis, 2019 & 2027
7.4. LAMEA
7.4.ane. Marketplace size and forecast, by vehicle type, 2019-2027
7.four.two. Market place size and forecast, past awarding, 2019-2027
7.iv.three. Market place size and forecast, by sales channel, 2019-2027
seven.four.4. Market size and forecast, by state, 2019-2027
vii.4.5. Comparative marketplace share assay, 2019 & 2027
vii.4.vi. Latin America
seven.4.6.1. Market size and forecast, past vehicle type, 2019-2027
7.4.half dozen.2. Market size and forecast, by application, 2019-2027
7.4.6.3. Market place size and forecast, past sales aqueduct, 2019-2027
7.iv.6.4. Comparative market share assay, 2019 & 2027
7.4.vii. Center East
7.4.7.ane. Market size and forecast, by vehicle blazon, 2019-2027
7.4.7.2. Market size and forecast, by application, 2019-2027
7.4.7.3. Market size and forecast, past sales channel, 2019-2027
7.4.7.4. Comparative marketplace share analysis, 2019 & 2027
7.iv.eight. Africa
7.4.eight.one. Marketplace size and forecast, by vehicle type, 2019-2027
7.4.eight.2. Market size and forecast, by application, 2019-2027
7.4.viii.iii. Marketplace size and forecast, past sales channel, 2019-2027
seven.4.viii.4. Comparative market share analysis, 2019 & 2027
8. Company Profiles
8.1. Avis Budget Group
8.1.1. Concern overview
viii.1.2. Fiscal performance
viii.1.3. Product portfolio
8.ane.iv. Recent strategic moves & developments
eight.one.5. SWOT analysis
8.2. Enterprise Holdings Inc.
viii.ii.1. Concern overview
8.2.2. Financial performance
8.ii.three. Production portfolio
eight.2.4. Recent strategic moves & developments
8.2.5. SWOT analysis
8.3. SIXT SE
viii.three.1. Business organization overview
eight.3.two. Financial performance
8.iii.3. Product portfolio
eight.three.4. Recent strategic moves & developments
8.3.v. SWOT analysis
8.4. Europecar
8.iv.1. Business overview
8.4.2. Financial functioning
8.4.three. Product portfolio
8.4.4. Recent strategic moves & developments
8.4.5. SWOT analysis
viii.5. The Hertz Corporation.
viii.5.ane. Business overview
viii.five.two. Financial performance
8.5.iii. Production portfolio
viii.5.4. Recent strategic moves & developments
8.5.5. SWOT analysis
8.half-dozen. Bettercar Rental LLC
8.6.1. Business organization overview
8.6.2. Financial functioning
8.6.3. Product portfolio
8.6.4. Contempo strategic moves & developments
8.6.5. SWOT analysis
8.seven. Carzonrent
8.7.1. Business organization overview
viii.7.two. Fiscal functioning
8.7.3. Product portfolio
8.7.iv. Recent strategic moves & developments
8.7.five. SWOT assay
8.eight. Al-Futtaim.
eight.eight.i. Business organization overview
8.8.2. Financial performance
8.8.three. Product portfolio
8.8.4. Recent strategic moves & developments
viii.eight.five. SWOT analysis
viii.ix. Eco Rent a Motorcar.
8.9.1. Concern overview
eight.9.2. Financial performance
8.ix.3. Product portfolio
8.9.4. Recent strategic moves & developments
8.9.five. SWOT analysis
viii.ten. Localiza.
8.10.ane. Concern overview
eight.ten.2. Fiscal operation
eight.10.3. Product portfolio
8.10.iv. Recent strategic moves & developments
8.10.5. SWOT analysis
Car rental is a pop service that helps in day today transport and commute. Car rental services provide cars on rent to customers for a payment. The car rental agencies offer a big selection of cars to customers at affordable rates.
Growth Drivers of the Industry
The car rental industry is witnessing a massive growth in recent years mostly considering of the increase in the disposable income of consumers. These consumers who maintain a college standard of living are near likely to spend more on luxury vehicles than the public transport. Moreover, the ventures involved in the car rental businesses are providing cars according to the demand of customers with enhanced avant-garde safe features at a relatively lesser expensive charge per unit. Also, to maintain and fulfill all the requirements of high-operation cars, car rental companies such as Sixt SE, and Hertz Corporation have integrated their cars with smart digital solutions. These are the main influencing factors behind the growth of the market.
Impact of COVID-19 on the Manufacture
The global car rental market is predicted to witness a low growth rate during the outbreak of COVID-xix pandemic, owing to hard-hit to the tourism industry, extreme revenue losses, massive shutdown, and avoidance of social life. As per data published by the earth tourism organisation (UNWTO), global tourism could decline by 60-fourscore% in 2020 mainly because of the Covid-19 outbreak, resulting in a revenue loss of $910 billion to $1.2 trillion. Furthermore, leading machine rental companies such as Avis are imposing cost-saving measures that include a 20% reduction in its fleet along with a 70% reduction in its workforce.
However, several companies operating in the motorcar rental industry such equally Revv and Rent-a-automobile are coming forrad with their strategic steps to assistance the society during the dark menses. Other factors such as hazard of viral infection while using public send, restrictions on public ship are also fueling the need for rental motorcar companies.
Recent Trends Fueling the Manufacture Growth
As per a recent report past Research Dive , the leading players of the global car rental market include Enterprise Holdings Inc., Avis Budget Group, Europecar, SIXT SE, The Hertz Corporation., Carzonrent, Al-Futtaim., Eco Hire a Car., Bettercar Rental LLC, and Localiza.
These marketplace players are focusing on developing unique strategies including mergers and acquisitions, product launches, existing technology upgradation, and collaborations and partnerships to sustain the market contest.
Some of the recent developments of the market are mentioned below:
- In August 2020, Air Asia India has teamed upward with Avis India to provide premium car rental services to airline-passengers. According to this deal, Air Asia India travelers can use the services of Avis across xiv cities including Noida, Delhi, Faridabad, Gurugram, Mumbai, Bengaluru, Chennai, Hyderabad, Chandigarh, Kolkata, Pune, Kochi, Jaipur, and Bhubaneswar.
- In August 2020, Toyota has launched a car leasing service in Bharat particularly in Bengaluru, Bombay, and Delhi.
- In February 2019, some other leading actor SIXT SE has digitalized the car rental process in Europe. Also, the visitor has adopted connectivity technologies for its fleet management and has already connected thousands of vehicles through the IoT deject platform.
- In a contempo printing release, Avis Budget Group has announced the launch of a new all-in-one digital travel assistant. The company has launched this product in collaboration with Verizon and Edison Interactive. The product is exclusively available to the customers of Avis, Payless Auto Rental and Budget.
- A latest news proclaims Europcar Mobility Group'southward new strategic Brotherhood with ECO Rent a Car in India. This partnership is typically aimed at the do good of both ECO and Europcar customers. As a result of this partnership, ECO customers will exist able to access Europcar's car rental services directly from ECO'southward website and volition be able to purchase all-inclusive packages outside of India through the Europcar Worldwide Network.
Decision
To sum upwardly, the necessity of motorcar rental services is never going to finish, so are the developmental strategies. The leading market players are emphasizing on the product development and other smart strategies so that the growth of the industry never stops.
Source: https://www.researchdive.com/401/car-rental-market
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