![]() |
Page Length: | 10-12 |
Last Quarterly Update: | 12/28/2020 | |
SIC Codes: | 7513, 7514, 7515 | |
NAICS Codes: | 5321 |
Chapters Include: | ||
Industry Overview | Trends & Challenges | Industry Forecast |
Quarterly Industry Update | Call Prep Questions | Website & Media Links |
Business Challenges | Financial Information | Glossary & Acronyms |
Companies in this industry rent and lease passenger cars, trucks, and trailers. Major companies include Avis Budget Group, Enterprise Holdings, Hertz Global Holdings, Ryder, and U-Haul International (all based in the US), along with CAR Inc (China), Europcar (France), LeasePlan (the Netherlands), and Sixt (Germany).
The global car rental market is expected to reach nearly $120 billion by 2024, according to Grand View Research. China is seen as a key source of growth. Car rentals are growing in popularity in China's big cities, with demand being driven by better living standards, business rentals, and limits on ownership of private cars. The auto rental and leasing industry in the US includes about 19,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $63 billion.
COMPETITIVE LANDSCAPE
Demand for car rental is driven by business and leisure travel; for truck rental, demand is driven by home sales and corporate relocations. The profitability of individual companies depends on efficient operations and the ability to finance inventory. Big companies have economies of scale in acquiring vehicles and customers. Small companies can compete effectively by providing better service, alternative products, or lower prices. The US industry is highly concentrated: the 50 largest companies generate about 85% of revenue.
PRODUCTS, OPERATIONS & TECHNOLOGY
Major services include the rental and leasing of passenger cars, which accounts for about 65% of industry revenue, and the rental and leasing of trucks, trailers, ...
Would you or your company benefit from having unlimited access to First Research's industry intelligence tools?
Learn More About Subscription Options