Car Rental Market

Industry Overview

The Global Car Rental Market was valued at USD 86.3 billion in 2023 and is expected to reach USD 133.0 billion by 2030, growing at a CAGR of 7.1% during 2025-2030. Car rental service is an affordable option for people looking to move around in luxury vehicles without the hassles of purchasing these expensive vehicles and spending more money on maintenance. They spend less money on a short trip. The time a user rents a car may vary from a few hours to a few days or even a week. It all depends on the needs of the users.

The higher disposable income among people all over the globe as well as their changing lifestyle helps this market to grow. Moreover, there is an increase in the number of service providers across the globe offering car rental services to people looking for a comfortable ride with little hassles. Furthermore, leisure trips are facilitated by the improved road infrastructure, especially in developed countries. This has also helped in the growth of this specific business across the globe.

Overall, car rental services are gaining popularity and will continue to grow during the forecast period, especially in tourist places and airports. The trends are changing significantly which is benefiting travel and making moving around more pleasurable and convenient. All these are propelling the growth of the global car rental market.

Market Segmentation

Insight by Vehicle Type

According to the vehicle type, the global car rental market is divided into executive, economy, luxury, SUVs, and MUVs. Among these segments, the executive segment is expected to grow at a higher rate during the forecast period due to the growing number of travelers all over the globe, especially in developing countries. Additionally, this specific segment also offers advanced features while maintaining cost-effectiveness. This specific attribute makes it a more preferred mode of transport for the business class.

Insight by Application

According to the application, the global car rental market is divided into airport transport, local usage, outstation travel, and others. Out of all these segments, the larger contributor in terms of revenue is airport transport. This segment is also expected to grow at a fast rate during the forecast period due to the significant rise in the number of air travelers all over the globe.

Insight by Booking Type

The global car rental market can be divided into offline and online booking segments based on the booking types. Out of these two segments, online booking contributes to this market largely and is expected to do so in the forecast period. This is due to the rise in the use of digital technologies and the growing need for convenience in booking a service from anywhere and anytime, after making a thorough comparison of different service providers online.

Insight by Rental Length

Based on the duration of rentals, the global car rental market can be divided into short-term and long-term rentals. Out of these two types, short-term car rental holds a major share of the market it is more dynamic, convenient, and flexible.

Insight by End-User

Based on the end user, the global car rental market is divided into self-driven and chauffeur-driven segments. Out of these two segments, self-driven rentals are gaining more popularity and will hold a larger share of the market in the forecast period. This is mainly because these types of car rentals are quite flexible, convenient, and offer a better travel experience.

Global Car Rental Market Report Coverage

Industry Dynamics

Industry Trends

There is a significant growth in the tourism industry noticed over the past few years. In addition, the cost of ownership of personal vehicles is also very high. All these trends are expected to fuel the growth of the global car rental market.

It is also noticed that over the years there has been a momentous increase in the demand for online car rental services. This boosts the market since consumers can find and book a car rental service from virtually anywhere.

With such adoption of technology, the service providers can also offer better services to their customers.

Growth Drivers

The significant rise in air travel all over the globe, both for business and leisure, along with rapid globalization are the key factors that drive the growth of the global car rental market.

In addition, the growth of the car rental market all over the globe pertains to the rapid expansion of mobile and internet users. These users are highly dependent on technology and mobile devices to make payments for hotel booking, flight tickets, car rental services, and more.

Apart from that, there is also a large number of car rental service providers launching applications and offering other facilities to make the entire process convenient for the users. To drive more customers, they offer discount coupons, promotions, lower fares, easy availability of service, and real-time tracking.

Overall, these service providers use IoT technology to manage their fleet to offer better solutions and services. As a result, the global car rental service market is gaining momentum at a faster pace.

Challenges

The stringent emission standards, compliance requirements, fluctuating prices of oil, and the rise and easy availability of cheaper public transport may hinder the growth of the global car rental market.

Opportunities

The favorable government policies, fair compliance requirements, and the emphasis of the car rental service providers to offer better services to the customers at lower prices to beat the competition offer greater opportunities for the global car rental market to grow during the projected period.

Geographic Overview

North America is the largest contributor to the global car rental market in terms of revenue and it is expected to grow during the forecast period. This is mainly due to the rise in the number of domestic as well as international business and leisure trips. Moreover, there is a notable shift among the consumers towards such affordable services in this region and there is a large number of key players to offer them such services. All these pertain to the growth of the car rental market in this region.

However, the APAC region is also expected to grow at a significant rate during the forecast period. This is primarily due to improved road networks and easy accessibility to high-end vehicles. There is also a significant rise noticed in self-driving renting of cars. This offers more flexibility and convenience to tourists.

All these factors have a positive impact on the global car rental market helping it to grow.

Competitive Insight

Key players in the car rental market are catering to the demand for these devices by investing in technologically advanced products in their product portfolio across the globe. Key players such as Avis and Uber have launched mobile applications through which customers get the ease of booking cars and choosing their desired vehicle. Moreover, several players are introducing their rental services at affordable prices in order to enhance their consumer base.

Some of the major players operating in the global car rental market are Sixt SE, Uber Technologies Inc., Carzonrent India Pvt Ltd., Europcar, Avis Budget Group, Inc., German Rent a Car, DTG Operations, Inc., Localiza Rent a Car S.A., Enterprise Holdings Inc., Tempest Car Hire, The Hertz Corporation, Alamo, and Eco Rent a Car.

Recent Developments by Key Players

SIXT and Stellantis collaborated for the purchase of up to 250,000 Vehicles, laying the foundation for further global expansion. These vehicles shall enrich SIXT’s rental fleet across Europe and North Americashall. This partnership share ambitious decarbonization strategy and customer-centric approach with cutting-edge technologies at the heart of their products and services

Enterprise Holdings has launched its new corporate brand name, Enterprise Mobility that shall serve consumers, businesses and governments. Enterprise’s portfolio offers luxury rental, fleet management, flexible vehicle, truck, carsharing, vanpooling, car sales, vehicle subscription and technology solutions are included.

Forecast Parameters

• Identifying variables and establishing market impact.
• Establishing market trends regionally.
• Analyzing opportunities and market penetration rates by understanding product commercialization, and regional expansion.
• Analyzing demand and supply trends and changes in industry dynamics to establish future growth.
• Analyzing sustainability strategies adhered to by market participants in an attempt to determine the future course of the market.
• Analyzing historical market trends and super-imposing them on the current and future variables to determine year-on-year trends.
• Understanding adoption, production, export, import and regulatory framework.

Data Validation

• Estimated and forecasted data was validated through industry experts.
• Apart from industry experts, data triangulation methods were used for validation.
• Bottom-up and top-down approach has been used for the estimation and forecast of market data, whereas the top-down approach was used for validation.
• Demand, as well as supply-side surveys, were conducted in order to understand the industry dynamics and data validation.

Primary Research

VynZ Research conducts extensive primary research to understand the market dynamics, validate market data and have key opinions from industry experts. The key profiles approached within the industry include, CEO, CFO, CTO, President, Vice President, Product Managers, Regional Heads and Others. Also, end user surveys comprising consumers are also conducted to understand consumer behaviour.

The Car Rental Market report offers a comprehensive market segmentation analysis along with an estimation for the forecast period 2025–2030.

Segments Covered in the Report

• Vehicle Type
  • Executive
  • Luxury
  • SUVs
  • Economy
  • MUVs
• Application
  • Airport Transport
  • Outstation
  • Local Usage
  • Others

Geographical Segmentation

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • U.K.
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia-Pacific (APAC)
  • China
  • Japan
  • India
  • South Korea
  • Rest of Asia-Pacific
• Rest of the World (RoW)
  • Brazil
  • Saudi Arabia
  • South Africa
  • U.A.E.
  • Other Countries

Source: VynZ Research

Source: VynZ Research

1.    Research Overview

        1.1.    The Report Offers
        1.2.    Market Coverage
                1.2.1.    By Vehicle Type
                1.2.2.    By Application
        1.3.    Research Phases
        1.4.    Limitations
        1.5.    Research Methodology
                1.5.1.    Data Sources
                        1.5.1.1.    Primary Research
                        1.5.1.2.    Secondary Research
                1.5.2.    Methodology
                        1.5.2.1.    Data Exploration
                        1.5.2.2.    Forecast Parameters
                        1.5.2.3.    Data Validation
                        1.5.2.4.    Assumptions
                1.5.3.    Study Period & Data Reporting Unit

2.    Executive Summary

3.    Industry Overview

        3.1.    Industry Dynamics
                3.1.1.    Market Growth Drivers
                3.1.2.    Market Restraints
                3.1.3.    Key Market Trends
                3.1.4.    Major Opportunities
        3.2.    Industry Ecosystem
                3.2.1.    Porter’s Five Forces Analysis
                3.2.2.    Recent Development Analysis
                3.2.3.    Value Chain Analysis
        3.3.    Competitive Insight
                3.3.1.    Competitive Position of Industry Players
                3.3.2.    Market Attractive Analysis

4.    Global Market Estimate and Forecast

        4.1.    Global Market Overview
        4.2.    Global Market Estimate and Forecast to 2030

5.    Market Segmentation Estimate and Forecast

        5.1.    By Vehicle Type
                5.1.1.    Executive
                        5.1.1.1.    Market Definition
                5.1.2.    Luxury
                        5.1.2.1.    Market Definition
                        5.1.2.2.    Market Estimation and Forecast to 2030
                5.1.3.    SUVs
                        5.1.3.1.    Market Definition
                        5.1.3.2.    Market Estimation and Forecast to 2030
                5.1.4.    Economy 
                        5.1.4.1.    Market Definition
                        5.1.4.2.    Market Estimation and Forecast to 2030
                5.1.5.    MUVs
                        5.1.5.1.    Market Definition
                        5.1.5.2.    Market Estimation and Forecast to 2030

        5.2.    By Application
                5.2.1.    Airport Transport 
                        5.2.1.1.    Market Definition
                        5.2.1.2.    Market Estimation and Forecast to 2030
                5.2.2.    Outstation
                        5.2.2.1.    Market Definition
                        5.2.2.2.    Market Estimation and Forecast to 2030
                5.2.3.    Local Usage 
                        5.2.3.1.    Market Definition
                        5.2.3.2.    Market Estimation and Forecast to 2030
                5.2.4.    Others
                        5.2.4.1.    Market Definition
                        5.2.4.2.    Market Estimation and Forecast to 2030

6.    North America Market Estimate and Forecast

        6.1.    By Vehicle Type
        6.2.    By Application 
        6.3.    By Country
                6.3.1.    U.S. Market Estimate and Forecast
                6.3.2.    Canada Market Estimate and Forecast
                6.3.3.    Mexico Market Estimate and Forecast

7.    Europe Market Estimate and Forecast

        7.1.    By Vehicle Type
        7.2.    By Application 
        7.3.    By Country
                7.3.1.    Germany Market Estimate and Forecast
                7.3.2.    France Market Estimate and Forecast
                7.3.3.    U.K. Market Estimate and Forecast
                7.3.4.    Italy Market Estimate and Forecast
                7.3.5.    Spain Market Estimate and Forecast
                7.3.6.    The Netherlands Market Estimate and Forecast
                7.3.7.    Rest of Europe Market Estimate and Forecast

8.    Asia-Pacific Market Estimate and Forecast

        8.1.    By Vehicle Type
        8.2.    By Application 
        8.3.    By Country 
                8.3.1.    China Market Estimate and Forecast
                8.3.2.    Japan Market Estimate and Forecast
                8.3.3.    India Market Estimate and Forecast
                8.3.4.    Australia Market Estimate and Forecast
                8.3.5.    Rest of Asia-Pacific Market Estimate and Forecast

9.    Rest of the World (RoW) Market Estimate and Forecast

        9.1.    By Vehicle Type
        9.2.    By Application 
        9.3.    By Country
                9.3.1.    Brazil Market Estimate and Forecast
                9.3.2.    U.A.E. Market Estimate and Forecast
                9.3.3.    Other Countries Market Estimate and Forecast

10.    Company Profiles

        10.1.    Sixt SE
                10.1.1.    Snapshot
                10.1.2.    Overview
                10.1.3.    Offerings
                10.1.4.    Financial Insight
                10.1.5.    Recent Developments
        10.2.    Uber Technologies Inc.
                10.2.1.    Snapshot
                10.2.2.    Overview
                10.2.3.    Offerings
                10.2.4.    Financial Insight
                10.2.5.    Recent Developments
        10.3.    Carzonrent India Pvt Ltd.
                10.3.1.    Snapshot
                10.3.2.    Overview
                10.3.3.    Offerings
                10.3.4.    Financial Insight
                10.3.5.    Recent Developments
        10.4.    Europcar
                10.4.1.    Snapshot
                10.4.2.    Overview
                10.4.3.    Offerings
                10.4.4.    Financial Insight
                10.4.5.    Recent Developments
        10.5.    Avis Budget Group, Inc.
                10.5.1.    Snapshot
                10.5.2.    Overview
                10.5.3.    Offerings
                10.5.4.    Financial Insight
                10.5.5.    Recent Developments
        10.6.    German Rent a Car
                10.6.1.    Snapshot
                10.6.2.    Overview
                10.6.3.    Offerings
                10.6.4.    Financial Insight
                10.6.5.    Recent Developments
        10.7.    DTG Operations, Inc.
                10.7.1.    Snapshot
                10.7.2.    Overview
                10.7.3.    Offerings
                10.7.4.    Financial Insight
                10.7.5.    Recent Developments
        10.8.    Localiza Rent a Car S.A.
                10.8.1.    Snapshot
                10.8.2.    Overview
                10.8.3.    Offerings
                10.8.4.    Financial Insight
                10.8.5.    Recent Developments
        10.9.    Enterprise Holdings Inc.
                10.9.1.    Snapshot
                10.9.2.    Overview
                10.9.3.    Offerings
                10.9.4.    Financial Insight
                10.9.5.    Recent Developments
        10.10.    Tempest Car Hire
                10.10.1.    Snapshot
                10.10.2.    Overview
                10.10.3.    Offerings
                10.10.4.    Financial Insight
                10.10.5.    Recent Developments
        10.11.    The Hertz Corporation
                10.11.1.    Snapshot
                10.11.2.    Overview
                10.11.3.    Offerings
                10.11.4.    Financial Insight
                10.11.5.    Recent Developments
        10.12.    Alamo 
                10.12.1.    Snapshot
                10.12.2.    Overview
                10.12.3.    Offerings
                10.12.4.    Financial Insight
                10.12.5.    Recent Developments
        10.13.    Eco Rent a Car
                10.13.1.    Snapshot
                10.13.2.    Overview
                10.13.3.    Offerings
                10.13.4.    Financial Insight
                10.13.5.    Recent Developments

11.    Appendix

        11.1.    Exchange Rates
        11.2.    Abbreviations

Note: Financial insight and recent developments of different companies are subject to availability of information in secondary domain.

List of Tables

Table 1 Sources
Table 2 Study Periods
Table 3 Data Reporting Unit
Table 4 Global Car Rental Market Size, by Vehicle Type,  2018 – 2023 (USD Billion)
Table 5 Global Car Rental Market Size, by Vehicle Type,  2025 – 2030 (USD Billion)
Table 6 Global Car Rental Market Size, by Application,  2018 – 2023 (USD Billion)
Table 7 Global Car Rental Market Size, by Application,  2025 – 2030 (USD Billion)
Table 8 Global Car Rental Market Size, by Region,  2018 – 2023 (USD Billion)
Table 9 Global Car Rental Market Size, by Region,  2025 – 2030 (USD Billion)
Table 10 North America Car Rental Market Size, by Vehicle Type,  2018 – 2023 (USD Billion)
Table 11 North America Car Rental Market Size, by Vehicle Type,  2025 – 2030 (USD Billion)
Table 12 North America Car Rental Market Size, by Application,  2018 – 2023 (USD Billion)
Table 13 North America Car Rental Market Size, by Application,  2025 – 2030 (USD Billion)
Table 14 North America Car Rental Market Size, by Country,  2018 – 2023 (USD Billion)
Table 15 North America Car Rental Market Size, by Country,  2025 – 2030 (USD Billion)
Table 16 Europe Car Rental Market Size, by Vehicle Type,  2018 – 2023 (USD Billion)
Table 17 Europe Car Rental Market Size, by Vehicle Type,  2025 – 2030 (USD Billion)
Table 18 Europe Car Rental Market Size, by Application,  2018 – 2023 (USD Billion)
Table 19 Europe Car Rental Market Size, by Application,  2025 – 2030 (USD Billion)
Table 20 Europe Car Rental Market Size, by Country,  2018 – 2023 (USD Billion)
Table 21 Europe Car Rental Market Size, by Country,  2025 – 2030 (USD Billion)
Table 22 Asia-Pacific Car Rental Market Size, by Vehicle Type,  2018 – 2023 (USD Billion)
Table 23 Asia-Pacific Car Rental Market Size, by Vehicle Type,  2025 – 2030 (USD Billion)
Table 24 Asia-Pacific Car Rental Market Size, by Application,  2018 – 2023 (USD Billion)
Table 25 Asia-Pacific Car Rental Market Size, by Application,  2025 – 2030 (USD Billion)
Table 26 Asia-Pacific Car Rental Market Size, by Country,  2018 – 2023 (USD Billion)
Table 27 Asia-Pacific Car Rental Market Size, by Country,  2025 – 2030 (USD Billion)
Table 28 RoW Car Rental Market Size, by Vehicle Type,  2018 – 2023 (USD Billion)
Table 29 RoW Car Rental Market Size, by Vehicle Type,  2025 – 2030 (USD Billion)
Table 30 RoW Car Rental Market Size, by Application,  2018 – 2023 (USD Billion)
Table 31 RoW Car Rental Market Size, by Application,  2025 – 2030 (USD Billion)
Table 32 RoW Car Rental Market Size, by Country,  2018 – 2023 (USD Billion)
Table 33 RoW Car Rental Market Size, by Country,  2025 – 2030 (USD Billion)
Table 34 Snapshot – Sixt SE
Table 35 Snapshot – Uber Technologies Inc.
Table 36 Snapshot – Carzonrent India Pvt Ltd.
Table 37 Snapshot – Europcar
Table 38 Snapshot – Avis Budget Group, Inc.
Table 39 Snapshot – German Rent a Car
Table 40 Snapshot – DTG Operations, Inc.
Table 41 Snapshot – Localiza Rent a Car S.A.
Table 42 Snapshot – Enterprise Holdings Inc.
Table 43 Snapshot – Tempest Car Hire
Table 44 Snapshot – The Hertz Corporation
Table 45 Snapshot – Alamo
Table 46 Snapshot – Eco Rent a Car

List of Figures

Figure 1 Market Coverage
Figure 2 Research Phases
Figure 3 Secondary Sources for Different Parameters
Figure 4 Methodology
Figure 5 Data Mining & Exploration
Figure 6 Data Triangulation
Figure 7 Assumptions for Market Estimation and Forecast
Figure 8 Market Synopsis
Figure 9 Global Car Rental Market - Growth Drivers and Restraints
Figure 10 Competitive Benchmark
Figure 11 Global Car Rental Market Highlight
Figure 12 Global Car Rental Market Size, by Vehicle Type, 2018 - 2030 (USD Billion)
Figure 13 Global Car Rental Market Size, by Application, 2018 - 2030 (USD Billion)
Figure 14 Global Car Rental Market Size, by Region, 2018 - 2030 (USD Billion)
Figure 15 North America Car Rental Market Highlight
Figure 16 North America Car Rental Market Size, by Vehicle Type, 2018 - 2030 (USD Billion)
Figure 17 North America Car Rental Market Size, by Application, 2018 - 2030 (USD Billion)
Figure 18 North America Car Rental Market Size, by Country, 2018 - 2030 (USD Billion)
Figure 19 Europe Car Rental Market Highlight
Figure 20 Europe Car Rental Market Size, by Vehicle Type, 2018 - 2030 (USD Billion)
Figure 21 Europe Car Rental Market Size, by Application, 2018 - 2030 (USD Billion)
Figure 22 Europe Car Rental Market Size, by Country, 2018 - 2030 (USD Billion)
Figure 23 Asia-Pacific Car Rental Market Highlight
Figure 24 Asia-Pacific Car Rental Market Size, by Vehicle Type, 2018 - 2030 (USD Billion)
Figure 25 Asia-Pacific Car Rental Market Size, by Application, 2018 - 2030 (USD Billion)
Figure 26 Asia-Pacific Car Rental Market Size, by Country, 2018 - 2030 (USD Billion)
Figure 27 RoW Car Rental Market Highlight
Figure 28 RoW Car Rental Market Size, by Vehicle Type, 2018 - 2030 (USD Billion)
Figure 29 RoW Car Rental Market Size, by Application, 2018 - 2030 (USD Billion)
Figure 30 RoW Car Rental Market Size, by Country, 2018 - 2030 (USD Billion)