Netherlands Car Rental Market Outlook to 2027F Driven by Increasing Demand from the Working-Age Population and Expansion of the Tourism and Travel Industry

The report provides a comprehensive analysis of the potential of the Car Rental industry in the Netherlands. The report covers an overview and genesis of the industry, market size in terms of revenue generated.

The Netherlands Car Market segmentations include By Market Structure, By Type of Vehicles, By ICE/EV, By Region, By Mode of Booking, By Client, and By Pick-up; growth enablers and drivers; challenges and bottlenecks; trends driving adoption trends; regulatory framework; end-user analysis, industry analysis, competitive landscape including competition scenario and market shares of major players. The report concludes with future market projections of each market segmentation and analyst recommendations.

Market Overview:

According to publisher estimates, the Netherlands Car Rental Market revenue grew from ~ € 1.7Bn in 2017 to approximately ~ € 2Bn in 2022 and is forecasted to grow further into ~ €4Bn opportunity by 2027F, owing to the increasing demand from tourists for business and leisure purposes hiring rental cars along with the Dutch government’s decision to increase the tax-free travel allowance.

The growing penetration rate of the internet (96.0%) and smartphones (87.0%) are driving more people to rent a car as the services are mainly provided through online platforms.

Average rental price per day per fleet has increased due to falling in new car sales owing to the shortage of semiconductor chips in the automotive sector and increasing fuel prices.

The Dutch electric vehicle market is at its initial growth stage where 25.0% of the new car sales in the country were electric.

Key Trends by Market Segment:

• By Market Structure: There is apreference towards the organized sector as most of the tourists look for legal documents and certifications of the vehicle to avoid security patrolling for safety measures
• By Type of Vehicle: The most popular car models in the market are VW, Mercedes, Opel, VW Up, Toyota Aygo, Polo, Opel Corsa, VW Golf, and Opel Astra. Small Car/ Hatchback has the highest market share among other types of vehicles in the country
• By Client: The Dutch love to travel and are curious explorers. The average Dutch household goes on holiday or leisure for at least 2-3 weeks a year spending up to ~ € 5000

Future Outlook

The Netherlands Car Rental market is projected to show a significant growth, to contribute ~ € 4.5 Bn by 2027F with increase in travel expenditure, rising demand for rental cars and short-term car leasing for personal choice. The growth rate of total fleet size is anticipated to increase over the period with surge in working class population to travel by cab aggregators avoiding public transportation along with government incentives and policies.