China Car Rental Market Research Report, 2028

China Car Rental Market Research Report, 2028

Actual Market Research 30-01-2023 57 Pages Figures : 5 Tables : 10 Region : Asia-Pacific Country : China Category : Automotive & Transport Transportation

China is the world's second-largest car rental market, primarily driven by foreign car rental investments, strategic partnerships with domestic players and dealers, and fleet capacity expansion. The foreigners who are having difficulty navigating the high traffic in Chinese cities prefer chauffeur services or hiring a driver for the rented cars. The cost of the drivers is also quite low due to Chinese wages. People are more likely to use car rental services as a result of government restrictions on car purchases in some areas of China, which are intended to address the country's growing traffic and pollution issues. Rising consumer disposable income, expanding economies, and rising business travel costs are expected to boost regional market growth. Car rental will keep up with the times and continue to grow rapidly in the future years, due to new opportunities from consumption upgrades, technological innovations, and carbon net-zero initiatives. According to the research report, "China Car Rental Market Research Report, 2028," published by Actual Market Research, the market is anticipated to add USD 14.39 Billion by the end of 2028. Economy cars had the largest market share in the car rental market. One of the most important factors to consider when renting a car is its fuel economy, because it has an effect on operating costs. Because of the low maintenance and procurement costs, most market players prefer economy cars for car rental services. Furthermore, economy cars are compact in nature and provide adequate comfort to the passengers. A significant increase in the number of people travelling for business and pleasure across the country is fueling demand for car rental services and propelling the industry's growth. Employees travelling to China for business purposes increase demand for China car rentals to familiarize themselves with locations and business details. Rising internet penetration across developing as well as developed countries has further helped companies in the market capture a larger customer base with the help of dedicated mobile apps for the convenience of customers. More rental car types, such as SUVs and MUVs, are becoming available; increasing demand for China car rental. The convenience of booking cars offline by visiting car rental outlets or online through a website or app has increased the share of the China car rental market. Tourists are not permitted to drive in China unless they have a Chinese driver's license. Obtaining a Chinese driving license is a significant challenge for the Chinese tourism vehicle rental market. China is not one of the 194 countries that accept the International Driver's Permit (IDP). A Chinese driver's license is required to rent a car in China, and while foreigners can apply for one, the process is difficult. The high inflow of international tourists and the growth of domestic tourists who prefer car rentals are helping the growth of the tourism vehicle rental market in the country. The revenue generated by car rental companies for self-driven cars for hire is defined as the "car rental market." Car rentals for business, leisure, and insurance replacement make up the market value. Online tourist vehicle bookings are increasing in the country, owing to increased smart phone usage and an increase in the number of users aged 25 to 34 who prefer to book vehicle rentals through online channels. The Chinese car rental market is highly fragmented, with over 100 companies operating with fleets of less than 50 vehicles. Companies attempt to gain a competitive advantage over others by offering a diverse range of services. Enterprise Rent-A-Car, the world's largest car rental company, offers nationwide coverage in China through a network of over 2,500 locations in 200 cities through their Chinese partner, eHi. To avoid human traffic, renting a car is the best way to explore China. This means that the majority of rental cars include drivers. Tourists can rent cars at major airports and in towns and cities throughout China. They can rely on car rental companies to provide them with a driver who speaks and understands English. Airport Rentals can assist with one aspect: obtaining a great deal on a China car rental. The following are the best places in China to rent a car: Beijing Airport: Many visitors will arrive in China by flying into and out of Beijing Airport. Shanghai Pudong Airport or Shanghai Hongqiao Airport Shanghai is the world's most populous city, which explains why it has two international airports and numerous others. Major car rental companies in China include Avis' team strives to provide the best customer service possible through their vehicle selection and booking benefits. Hertz is all about new vehicles and rental desks in various locations to make renting a car easier no matter where you are and to provide options for one-way road trips in China. This is one of the fastest-growing markets for smart transportation services. The key players' adoption of car rental software provides the market with excellent future prospects. Improving mobile car rental apps is a critical factor in global market growth. Car rental software boosts the market's efficiency. Other benefits of using this include simple fleet optimization, cost management, and custom reports. Adoption of car rental software creates significant market growth opportunities. One of the most difficult challenges that car rental companies face is providing superior customer service. Lack of information on payment options, long booking times, and car availability are all factors that can stymie demand in the car rental market. The dire need for technology to overcome challenges has resulted in the development of mobile software and various mergers between car manufacturers and car rental companies in order to increase the number of cars. In the near future, such developments will determine the value of the car rental market. There are three major players in the car rental industry. Riders, drivers, and service providers are also important parties. Furthermore, the service provider manages the entire car rental process. The service provider controls the cost estimation and payment for car reservations. The unavailability of service providers in remote areas is a major market constraint. Car rentals are not available in underdeveloped areas. However, the lack of awareness about car rental services in these areas hampers market growth. Rental companies have added new features to online booking. The advancement of technology has driven the convenience of renting a vehicle through online booking to become the most popular choice among customers in recent years. With the ability to monitor the operation, performance, and maintenance of a rental vehicle in real time, it has proven to be an invaluable asset for drivers and fleet managers, allowing them to more efficiently identify risks and implement timely improvements to their rental services. Considered in this report • Geography: China • Historic year: 2017 • Base year: 2022 • Estimated year: 2023 • Forecast year: 2028 Aspects covered in this report • China Car Rental market with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By car Type • Luxury car • Executive car • Economy car • Sports utility vehicle (SUV) car • Multi utility vehicle (MUV) car By application Type • Leisure/Tourism • Business The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analysing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to car rental industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

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