Global Tourism Vehicle Rental Market - Growth, Trends and Forecast (2018 - 2023)

  • ID: 4534334
  • Report
  • Region: Global
  • 94 pages
  • Mordor Intelligence
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  • Autoeurope
  • Budget
  • Easycar
  • Europcar
  • Hertz
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The tourism vehicle rental market is expected to grow at a CAGR close 12.08% during the forecasted period of 2018-2023. Vehicle rental services are relatively developed in the industrialized economies and have been around for a long time. More importantly, the general public is comfortable with the concept and as a result of proper procedures and insurance, there is little risk for the vehicle rental vendor. Previously, in the emerging economies, there existed several regulations and high-security deposits needed to be given by the customer to take a vehicle on rent. The market was also highly unorganized and unregulated. Tourists who have little idea about the local conditions need clarity and uniform rules that were not present earlier and were impeding the growth of the market. In the new decade, however, this sector, as a result of the entry of global brands into the emerging economies, has boomed. The entry of established players in the market has resulted in strong growth, as tourists are familiar with these global brands and are, therefore, more willing to choose this option.

With a total vehicle fleet size more than 2 million, United States is the leader in the tourism vehicle rental market, but the market is saturated and will post modest gains. The major growth is expected to come from Asia-Pacific countries like Vietnam, Philippines, India, and China where tourism is expected to grow sharply. Organized vehicle rental services are still in their nascent stage in the emerging economies and offer significant opportunities for growth. As per Statista's data, Zambia, in Africa, was the third fastest emerging tourism destination with an annual growth rate of 7.3 percent in travel and tourism's direct contribution to GDP projected for 2014 to 2024. The tourism sector in Iran is expected to boom, following the lifting of sanctions. Iran has a rich cultural heritage and important monuments, and tourist destinations and the number of foreign tourists are expected to rise exponentially. The local vehicle rental market is underdeveloped and offers players tremendous opportunities.

The rental market for luxury vehicles will grow at the fastest pace during the forecast period due to increased travel budgets of tourists around the world. Also, tourists from developed nations and emerging markets who are increasingly exploring new destinations prefer to rent luxury and high-end cars and this will boost the market for these cars. In the US alone more than 2.10 million vehicles are engaged in the car rental market.

As a whole, the tourism vehicle rental market is forecasted to show higher demand from foreign tourists as they have a larger budget and are willing to spend more per person. The market has been segmented by vehicle type (Budget, Mid-Size, Luxury), end-users (self-driven, rental agencies), booking mode (Offline, Online) and geography (North America, South America, Europe, Africa, Middle East and Asia-Pacific). With increasing, environmental pollution vehicle rental players are considering electric vehicles are an ideal solution for the tourist industry. They are anticipated to play an important role in minimizing the greenhouse emissions by a significant percentage provided all the rental vehicles are converted to electrical vehicles. The already existing electrical vehicles for tourists can be fully utilized by them by increasing the awareness about their presence.

Key Developments in Market:
  • January 2018: North Carolina Hopes to Lure ‘EV Tourists' with Rural Charging Stations. North Carolina decides whether to spend $13.8 million on charging infrastructure from a settlement with Volkswagen for producing illegally-polluting vehicles.
  • March 2018: Tourism Ireland has welcomed the announcement by Hainan Airlines of its new flight from Beijing to Dublin, commencing on 12 June 2018. This is the first ever flight from Mainland China to Ireland and will help to significantly boost tourism from China to Ireland.

Reasons to Purchase this Report
  • Analyzing various perspectives of the market with the help of Porter’s five forces analysis
  • Detailed analysis on the product type that is expected to dominate the market
  • Detailed analysis on the regions that are expected to witness fastest growth during the forecast period
  • Identifying the latest developments, market shares, and strategies employed by the major market players.
  • 3-month analyst support, along with the Market Estimate sheet (in Excel)
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1. Introduction
1.1 Study Deliverables
1.2 General Study Assumptions

2. Research Methodology
2.1 Introduction
2.2 Analysis Methodology

3. Executive Summary

4. Market Overview And Technological Trends
4.1 Current Market Scenario
4.2 Technology Trends
4.3 Porter's Five Forces Model
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products and Services
4.3.5 Competitive rivalry within the industry

5. Market Dynamics
5.1 Drivers
5.1.1 rise in the disposable income levels among the general population
5.1.2 increasing demand from foreign tourism
5.2 Restraints
5.2.1 local rental market unorganized and unregulated
5.3 Opportunities
5.3.1 using the Internet for customizing travel trips and online reservations & bookings

6. Tourism Vehicle Rental Market, By Vehicle Type
6.1 Budget
6.2 Mid-Level
6.3 Luxury

7. Tourism Vehicle Rental Market, By Booking Mode
7.1 Online
7.2 Offline

8. Tourism Vehicle Rental Market, By End User
8.1 Self Driven
8.2 Rental Agencies

9. Tourism Vehicle Rental Market, By Geography
9.1 North America
9.1.1 United States
9.1.2 Canada
9.1.3 Mexico
9.1.4 Rest of North America
9.2 South America
9.2.1 Brazil
9.2.2 Argentina
9.2.3 Rest of South America
9.3 Asia-Pacific
9.3.1 China
9.3.2 Japan
9.3.3 India
9.3.4 Rest of APAC
9.4 Europe
9.4.1 United Kingdom
9.4.2 Germany
9.4.3 France
9.4.4 Rest of Europe
9.5 Africa and the Middle East
9.5.1 UAE
9.5.2 South Africa
9.5.3 Saudi Arabia
9.5.4 Iran
9.5.5 Rest of MEA

10. Competitive Landscape
10.1 Introduction
10.2 Market Share Analysis

11. Key Vendor Analysis (Overview, Products & Services, Strategies)
11.1 Autoeurope
11.2 Avis
11.3 Budget
11.4 Carzonrent
11.5 Easycar
11.6 Enterprise
11.7 Europcar
11.8 Europe Luxury Car Hire
11.9 Hertz
11.10 Kemwel
11.11 Sixt
11.12 Zoomcar
12. Future Outlook Of The Market
13. Disclaimer
Note: Product cover images may vary from those shown
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  • Autoeurope
  • Avis
  • Budget
  • Carzonrent
  • Easycar
  • Enterprise
  • Europcar
  • Europe Luxury Car Hire
  • Hertz
  • Kemwel
  • Sixt
  • Zoomca.
Note: Product cover images may vary from those shown
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Note: Product cover images may vary from those shown