Luxury Car Rental Market: Current Analysis and Forecast (2022-2028)
Emphasis on Rental Type (Business, Leisure); Booking Type (Offline, Online); End Users (Self Driven, Chauffeur Driven)); and Region/Country
Global Luxury Car Rental Market is expected to grow at a significant rate of around 7 % during the forecast period. The demand for luxury car rental services has been fueled by the significant increase in the number of people travelling around the world for both business and leisure. Dedicated mobile apps for customer convenience continue to help companies in the market reach a broader customer base due to increasing internet penetration in both emerging and established countries The field has changed recently due to the influence of technological developments, improving the management of business and consumer information. Additionally, the rise of online car rental booking apps has given the industry enough attention. Companies offer short-term or long-term rental cars, depending on the customer’s needs. Most services are available in tourist destinations and Tier 1 and Tier 2 cities. Moreover, Technology plays a key role in the growth and development of the car rental market. The increasing adoption of car rental software by major market players is boosting the market growth. In addition, the car rental business is so profitable that venture capitalists and angel investors are funding start-ups to launch their own car rental companies. Startups such as Turo, Getaround, Zoomcar, Zipcar, Socar and Kovi are new entrants to the car rental market.
Avis Budget, Goldcar, Sixt Rent A Car, LLC, Movida, Fox Rent A Car, Hertz Corporation., Localiza, Unidas,, eHi Auto Services Limited, Uber Technologies Inc. are some of the key players in the market. Several M&As along with partnerships have been undertaken by these players to facilitate customers with hi-tech and innovative products/technologies.
Insights Presented in the Report
“Amongst end user type, self-driven category to have highest CAGR during the forecast period”
Based on end user type, the market bifurcated into self driven and chauffeur driven. The self driven car is to witness higher CAGR during the forecast period. Growth is due to various factors such as increased interest in outdoor activities, tourism, and disposable income amongst youngsters who prefer self-driven cars. Additionally, luxury cars comes with high engine output and speed which nowadays young indiviuals want to experience themselves by driving the car .
“Amongst booking type, the offline to increase steadily in the market in 2020”
On the basis of booking type, the market is categorized into online and offline. During the projected period, it is anticipated that the offline segment would continue to increase steadily. Even while internet reservations are expanding, some customers still choose to make their luxury automobile reservations in person. The dominance can be linked to customers’ preference for in-person automobile rentals over internet browsing. Customers who make a reservation offline, as opposed to those who do so online, can view the exotic automobile in person and ask questions of the personnel. As a result, the offline market will grow steadily during the forecast period.
“APAC to have higher growth rate in the market”
Asia-Pacific dominated the market in terms of revenue share in 2019. This region is expected to continue its dominance during the forecast period. This growth is due to rising disposable income, growing population and expanding tourism industry in countries such as China and India. In addition, rising demand for luxury car rentals from business travelers is expected to drive growth in the region during the forecast period. Additionally, the Rise of billionaires in China and India is fueling the demand for luxury car rentals. Forbes argues that Asia-Pacific remains an emerging business category, showing good growth in the region. For example, imported luxury cars worth over $90,830 are becoming trendier in Japan.
Reasons to buy this report:
- The study includes market sizing and forecasting analysis validated by authenticated key industry experts.
- The report presents a quick review of overall industry performance at one glance.
- The report covers an in-depth analysis of prominent industry peers with a primary focus on key business financials, product portfolio, expansion strategies, and recent developments.
- Detailed examination of drivers, restraints, key trends, and opportunities prevailing in the industry.
- The study comprehensively covers the market across different segments.
- Deep dive regional level analysis of the industry.
Customization Options:
The global luxury car rental market can further be customized as per the requirement or any other market segment. Besides this, UMI understands that you may have your own business needs, hence feel free to connect with us to get a report that completely suits your requirements.
Table of Contents
Research Methodology for the Luxury Car Rental Market Analysis (2022-2028)
Analyzing the historical market, estimating the current market, and forecasting the future market of the global luxury car rental market were the three major steps undertaken to create and analyze the adoption of luxury car rental in major regions globally. Exhaustive secondary research was conducted to collect the historical market numbers and estimate the current market size. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were also conducted, with industry experts across the value chain of the global luxury car rental market. Post assumption and validation of market numbers through primary interviews, we employed a top-down/bottom-up approach to forecasting the complete market size. Thereafter, market breakdown and data triangulation methods were adopted to estimate and analyze the market size of segments and sub-segments of the industry pertains to. Detailed methodology is explained below:
Analysis of Historical Market Size
Step 1: In-Depth Study of Secondary Sources:
Detail secondary study was conducted to obtain the historical market size of the luxury car rental market through company internal sources such as annual reports & financial statements, performance presentations, press releases, etc., and external sources including journals, news & articles, government publications, competitor publications, sector reports, third-party database, and other credible publications.
Step 2: Market Segmentation:
After obtaining the historical market size of the luxury car rental market, we conducted a detailed secondary analysis to gather historical market insights and share for different segments & sub-segments for major regions. Major segments are included in the report as rental type, end user and boiling type. Further country-level analyses were conducted to evaluate the overall adoption of testing models in that region.
Step 3: Factor Analysis:
After acquiring the historical market size of different segments and sub-segments, we conducted a detailed factor analysis to estimate the current market size of the luxury car rental market. Further, we conducted factor analysis using dependent and independent variables such as rental type and boiling type of luxury car rental. A thorough analysis was conducted for demand and supply-side scenarios considering top partnerships, mergers and acquisitions, business expansion, and product launches in the luxury car rental market sector across the globe.
Current Market Size Estimate & Forecast
Current Market Sizing: Based on actionable insights from the above 3 steps, we arrived at the current market size, key players in the global luxury car rental market, and market shares of the segments. All the required percentage shares split, and market breakdowns were determined using the above-mentioned secondary approach and were verified through primary interviews.
Estimation & Forecasting: For market estimation and forecast, weights were assigned to different factors including drivers & trends, restraints, and opportunities available for the stakeholders. After analyzing these factors, relevant forecasting techniques i.e., the top-down/bottom-up approach were applied to arrive at the market forecast for 2028 for different segments and sub-segments across the major markets globally. The research methodology adopted to estimate the market size encompasses:
- The industry’s market size, in terms of revenue (USD) and the adoption rate of the luxury car rental market across the major markets domestically
- All percentage shares, splits, and breakdowns of market segments and sub-segments
- Key players in the global luxury car rental market in terms of products offered. Also, the growth strategies adopted by these players to compete in the fast-growing market
Market Size and Share Validation
Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, Regional Head, Country Head, etc.) across major regions. Primary research findings were then summarized, and statistical analysis was performed to prove the stated hypothesis. Inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.
Split of Primary Participants in Different Regions
Market Engineering
The data triangulation technique was employed to complete the overall market estimation and to arrive at precise statistical numbers for each segment and sub-segment of the global luxury car rental market. Data was split into several segments & sub-segments post studying various parameters and trends in the areas of rental type,end user and booking type, in the global luxury car rental market.
The main objective of the Global Luxury Car Rental Market Study
The current & future market trends of the global luxury car rental market were pinpointed in the study. Investors can gain strategic insights to base their discretion for investments on the qualitative and quantitative analysis performed in the study. Current and future market trends determined the overall attractiveness of the market at a regional level, providing a platform for the industrial participant to exploit the untapped market to benefit from a first-mover advantage. Other quantitative goals of the studies include:
- Analyze the current and forecast market size of the luxury car rental market in terms of value (USD). Also, analyze the current and forecast market size of different segments and sub-segments
- Segments in the study include areas of rental type, end type and booking type.
- Define and analysis of the regulatory framework for the luxury car rental
- Analyze the value chain involved with the presence of various intermediaries, along with analyzing customer and competitor behaviors of the industry.
- Analyze the current and forecast market size of the luxury car rental market for the major region.
- Major countries of regions studied in the report include Asia Pacific, Europe, North America, and the Rest of the World.
- Company profiles of the luxury car rental market and the growth strategies adopted by the market players to sustain in the fast-growing market
- Deep dive regional level analysis of the industry
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