Unlike any other online services, car rental is not going to see any decline, not even twenty years down the line.
- Car rental global industry grew to $74.149 billion in 2016
- The global car rental is expected to reach $99.6 billion by 2022
- 17.71 million people used Hertz (a recognized car rental company in the US) within a period of 12 months before Spring 2017
You can’t deny the above stats – online car rental is a successful business proposition. We have various other reasons to vindicate the tremendous growth that the car rental services have witnessed in the last five years across the globe. Enterprise, Hertz, National, Thrifty, Budget, Dollar, ZoomCar are literally minting money with their car rental apps and online services. They are evolving with more technology-driven processes.
Today, even if you’ve forgotten your cash or wallet at home but got your mobile phone along, you have pretty much everything you need with you. Two reasons to this #1 – because it’s a smartphone and #2 – it provides an Internet connectivity! That’s all you want if you need to pay (mobile payments) at the store, to order your morning coffee after a long run or to hire a taxi to reach home safely.
Focusing on this last part in this article, what do you foresee as the future of car rentals? Any speculations?
Yes, you are right. It’s going to be massive. Car rental services are a mind-blowing concept, which might have faced some complaints or controversies due to the tough competition out there, but there’s going to be no downward change in the value. In fact, the number of people using car rental services is multiplying each day.
People of all ages have liked this idea of renting a car for their countryside trips with family and friends. It solves a real-time problem for them, especially for the people who can’t afford to buy a car.
Today’s car rental services are extremely convenient and easy-to-use. You can call them on-demand at your place through your desktop or mobile phone, keeping away from the inconveniences of going to the vendor or involving a middleman.
So, as a startup, if you’re thinking of starting a car rental service, you’re good to go. Your potential customers have several reasons to use your services and they will definitely do it. You can’t get any stronger reasons than the ones mentioned below.
We all know why mobile app services dominate our lifestyle today. It’s simple. Because they have provided us absolute convenience and automation to perform our tasks. The same way online car rental services are loved because they are automated. You don’t have to negotiate, you don’t need to deal with bad-mouthed drivers. You just need to book a car for yourself while you are out of town on a business trip or whenever you want it. By renting a car through these services, you are saving a lot of time, which is very precious. I hope you agree with me.
Just like you feel this comfort as a customer, same will be felt by your potential customers if you start a car rental app. Trust me!
Cost-effective solution for urbanites
Driving in style is one thing and driving for a need is other. Car rental services help you do both. However, ride-hailing services like Uber and Lyft have eaten up the market of car rentals in some respects. Nonetheless, if you’re taking a long trip or have hefty luggage with you, car rentals are always more economical and feasible than the cab-booking services.
What’s driving interest in car rental services is how they treat their customers. When you’ve booked a rental service, let’s say Rent-a-Car in New York City, you need not worry at all. Give a call after you’ve arrived, and a luxury shuttle will be waiting for you at the airport to transport you to the rental lots.
Moving ahead, some of the car rental companies like Beverly Hills Rent-a-Car offers VIP services where someone well-dressed and a pleasing smile welcomes you at the airport in your rental, guides you with the car’s system and hands over the keys. In some cases, if you need, they also provide you with a chauffeur while you can enjoy the ride relaxing in the backseat.
No hopping from one taxi to the other
A person, on a two-day business trip, is jam-packed with business meetings, sparing only short lunch and snack breaks, arriving late to the hotel room, need to catch an early morning return flight. This person needs nothing but a personal car to get around. S/He will definitely don’t want to keep booking cabs every now and then but want a car that’s with them for two days. In this case, renting out a mini car or a mid-sized sedan will be the best idea.
The edge that these car rentals of today enjoy is that they are available to you from the time of your arrival at the airport till the time you reach back there. Be it a business trip or a vacation, you can bring the comfort of your home on the roads of some other city. On top of that, you can drive vehicles that you’ve only fantasized.
Maintain comforts of home on the road
Many of the big companies like Hertz, Dollar have the most premium collection of cars to provide on rent. Featuring Mercedes, BMWs and Hummers, through your car rental services, you can cater to those with bigger budgets. Some people have this pursuit of luxury cars, but they don’t find it worthy to invest their savings in buying an expensive car due to other financial commitments. For them, you can be the angel on the earth.
This is driving the users crazy. Seriously! Like who wouldn’t love to drive a BMW X Series on their first date, just in a few dollars. Car rental services give the chance to drive a high-end car or maybe your dream car that’s perfectly personalized to your needs and luxuries.
Self-service through apps
Adding new dimensions and components to the existing models, car rental companies are also allowing people to rent out the car on their own replacing the traditional rental counter/booth process. It’s like you can reach to the nearest self-service kiosk installed at the rental location and pick up your car from there. Everything else can be managed by the app. This will certainly bring bigger smiles to customers who don’t want to deal with a person when picking up their car from the rental location.
If you run a car rental business or thinking to start one, make it online- as a website or a mobile app or both. You can hire a top app development company or a startup app development company to develop the pixel perfect app for you. The future of car rentals will be customer-driven and on-demand, where the customers actually don’t want to deal with a human but with the app interface so that they have to invest minimum time and make minimum interactions to pick up the car from the rental location. Automated online reservations will make your and customer’s life easy and smooth. Thus, the demand for a car rental app is going to increase manifold.
Related post that talks about costs of a car rental app development.
The Future of Car Rentals
As per experts, the future of the car rental business will morph into car-sharing. As the rules of the government are getting more stringent against the more intense traffic seen on the roads, the day is not far when more people will rent out car on subscription and share with multiple people, hour-to-hour basis. Currently, companies like Zipcar an car2go are providing carsharing based on hourly car rentals. The tech is ready to make major automations and we foresee autonomous cars to be on the streets in the next five years.