Automotive Rental & Leasing Market by Vehicle Type (Commercial Vehicles, Passenger Vehicles), Duration (Long-term Leasing, Short-term Leasing), Mode, End-User - Global Forecast 2024-2030

Automotive Rental & Leasing Market by Vehicle Type (Commercial Vehicles, Passenger Vehicles), Duration (Long-term Leasing, Short-term Leasing), Mode, End-User - Global Forecast 2024-2030

The Automotive Rental & Leasing Market size was estimated at USD 274.09 billion in 2023 and expected to reach USD 286.02 billion in 2024, at a CAGR 4.38% to reach USD 370.10 billion by 2030.

Automotive rental and leasing refer to services that allow consumers and businesses to use vehicles without outright purchase. The services are designed to meet diverse needs, from temporary, short-term usage to longer-term leasing agreements. Each aspect of automotive rental and leasing serves a unique purpose in the market, catering to customer demands based on duration, budget, and usage requirements. Automotive rental primarily targets individuals or businesses needing a vehicle for a short period, ranging from a few hours to several weeks. Automotive leasing is aimed at individuals or entities that require a vehicle for an extended period, typically ranging from a few months to several years. Leasing offers an alternative to purchasing, providing the lessee access to a newer vehicle model for a fixed time in exchange for regular lease payments. The rising tourism and disposable income, the growing shift toward Mobility-as-a-Service (MaaS), and an increased focus on reducing carbon footprints have propelled the growth of the automotive rental and leasing market. However, fluctuating fuel prices and consumer concerns over safety and hygiene limit their adoption. The penetration of big data in automotive leasing and rentals and the adoption of blockchain technology and IoT by leasing companies offer significant opportunities for the expanding automotive rental and leasing market.

Regional Insights

In the Americas, particularly in the United States and Canada, the automotive rental and leasing market has shown significant growth, driven by robust demand for flexible mobility solutions and a significant rise in tourism and business travel activities. The presence of major players and the adoption of technology in services, including online booking platforms and mobile applications, have enhanced customer experience and boosted the market growth. However, regulatory challenges and fluctuating fuel prices pose ongoing concerns. The Asia-Pacific region is an emerging automotive rental and leasing market, with increasing disposable incomes, urbanization, and shifting consumer preferences towards rental and leasing services over vehicle ownership. The expanding business sectors and regional international tourism contribute significantly to the market's growth. The focus in China has been on electric vehicle (EV) leasing to complement the government's initiative toward cleaner energy. Japan prefers short-term car rentals and car-sharing services, especially in urban areas. The EMEA region exhibits a mature automotive rental and leasing market, particularly in Western Europe, characterized by high levels of competition and comprehensive regulatory frameworks. The market benefits from strong demand in both the tourism and business sectors, with environmental regulations pushing the fleet towards more sustainable options. The Middle East shows growth potential, driven by economic diversification efforts and increased tourism, especially in the Gulf Cooperation Council (GCC) countries. In contrast, the African market remains nascent, hindered by economic instability but with untapped potential due to increasing urbanization and mobile penetration rates.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Automotive Rental & Leasing Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Increasing tourism and disposable income
• Growing shift toward Mobility-as-a-Service (MaaS)
• Strict environmental regulations and an increased focus on reducing carbon footprints

Market Restraints

• Expenses associated with maintenance and operation

Market Opportunities

• Penetration of big data in automotive leasing and rentals
• Adoption of blockchain technology and IoT by leasing companies

Market Challenges

• Consumer concerns over safety and hygiene

Market Segmentation Analysis

• Vehicle Type: Diverse Fleet Offerings in Automotive Rental & Leasing Tailored for Transport Solutions Across Sectors
• Mode: Extensive adoption of online mode in automotive rental & leasing

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Automotive Rental & Leasing Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Automotive Rental & Leasing Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Drivalia expanded with the launch of a fourth franchise in Winsford

Drivalia launched its fourth UK franchise, Carr Movers, in Winsford, marking a significant step in its strategic expansion across the UK. This move is part of Drivalia's ambitious plan to enlarge its network from 27 locations to over 80 within two years. This expansion reinforces Drivalia's presence in the UK market and broadens the accessibility of flexible mobility solutions to a larger customer base.

Mercedes-Benz Expanded into Brazilian Truck Rental Market

Mercedes-Benz entered the truck rental market in Brazil, reflecting its adaptation to evolving market demands and its commitment to offering flexible transportation solutions. Mercedes-Benz aims to meet the growing needs of businesses seeking reliable and efficient logistics services by leveraging its renowned brand and extensive experience in automotive manufacturing.

Drivalia Launched Future Lease Program, Marking an expansion of its Future platform

Drivalia's latest innovation, the Future Lease program, marks a significant expansion of its Future platform. This program allows customers to rent these select vehicles for the long term. Future Lease aims to extend the lifecycle of ex-lease vehicles, providing a sustainable option that aligns with contemporary needs for flexibility and value in automotive leasing and rental services.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Automotive Rental & Leasing Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Automotive Rental & Leasing Market, highlighting leading vendors and their innovative profiles. These include Advantage Rent A Car by Orlando Rentco LLC. Group, ALD Automotive Private Limited, ANI Technologies Pvt Ltd (Ola), Arval Service Lease, Athlon Holding N.V., Auto Europe LLC, Avis Budget Group, Budget Group, Inc, Daimler Group, Deutsche Leasing AG, Easy Cab, EMMANKO AG, Enterprise Holdings Inc., ETrawler Unlimited Company, Europcar Mobility Group SA, Hertz Global Holdings Inc., LeasePlan Corporation NV, Mercedes-Benz Group AG, Penske Truck Leasing Co., L.P., Ryder System, Inc., Sixt SE, Sumitomo Group, Uber Technologies Inc., and Zoomcar Inc..

Market Segmentation & Coverage

This research report categorizes the Automotive Rental & Leasing Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Vehicle Type
• Commercial Vehicles
• Buses
• Trucks
• Vans
• Passenger Vehicles
• Cars
• Minivans
• SUVs
• Duration
• Long-term Leasing
• Short-term Leasing
• Mode
• Offline
• Online
• End-User
• Corporate/Commercial
• Individual/Personal

Region

• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year