ID: MRFR/AM/6853-HCR | February 2021 | Region: Global | 100 pages
The Electric Car Rental Industry is expected to register a CAGR of 15 % during the forecasted period.
The electric car rental services allow customers to travel from one location to another via autonomous vehicles. The global electric car rental market has shown promising potential in recent times as most people have been opting for these innovative mobility solutions instead of opting for traditional car rental services. Some of the chief factors that have positively influenced the growth of the global market of electric car rental include the high awareness of electric car rental services and the associated advantages and rising demand for sustainable traveling solutions. According to the International Energy Agency (IEA), in 2019, electric cars accounted for 2.6 % of car sales at the global level. The rising popularity of electric cars is expected to influence the marketin the future.
Some of the factors that are expected to facilitate the market growth include the rising demand for sustainable and energy-friendly traveling options and the high focus on minimizing carbon emissions that are caused due to transportation.
An in-depth analysis of the global market of electric car rental has been carried out to ascertain its growth potential in the future. A broad range of market variables has been taken into account for conducting the market evaluation, including the market drivers, challenges, opportunities, and restraining factors. The major business entities that could increase the competition at a global scale have also been identified. Their performance could play a major role and mold the global market size.
Covid 19 Analysis
The global electric car rental market has been negatively affected by the Covid 19 pandemic. Due to the outbreak, the number of people traveling has shrunk considerably. People have been staying indoors due to stringent lockdown guidelines and to safeguard themselves from getting infected. This has diminished the demand for electric car rental services. However, during the forecasted period, the market is expected to recover and register strong performance owing to eased restrictions by various national governments.
Competitive Intensity in the Industry
There is high competition in the global electric car rental market setting, which increases uncertainty in the business landscape. As more people have been looking for sustainable and affordable mobility options, the demand for electric car rental solutions has surged. It has intensified the rivalry among major business players as most of them have been trying to capture a major portion of the global market share. The key market players that are expected to dominate the global market of electric car rental during the forecasted period are:
Recent Market Developments
Chief Variables Existing in the Market
The chief market drivers that favorably influence the electric car rental market include the growth of the travel and tourism sector and increased awareness about electric mobility services. As various governments have introduced new environmental regulations, businesses have shifted towards sustainable and environmentally friendly business concepts and ideas.
Several challenges exist in the global electric car rental market that hinders the growth of the market. Some major challenges include an unorganized electric vehicle rental service sector and the restricted availability of power resources. Similarly, the existence of vehicles that use CNG and gasoline also acts as a major challenge. These challenges could adversely impact the growth potential of the market during the forecasted period.
Several opportunities exist in the global electric car rental market that could be exploited to boost its performance. In emerging economies such as India and China, there is an opportunity to develop electric vehicles battery rental service centers. Furthermore, new technologies could be adopted in these innovative mobility services to offer customized traveling experiences to customers.
One of the chief restraints in the market is the high price of electric vehicles in the initial stage of business. The lack of finance could be a bottleneck for businesses and diminish their ability to offer quality electric car rental solutions. Another restraint is poor technical insight relating to new technologies that could be integrated into electric cars. These restraints could adversely impact the market performance in the future.
Cumulative Evaluation of the Market
The global electric car rental market is considered to be an attractive market. Several drivers exist that increase its attractiveness, such as a high focus to introduce sustainable mobility services and rising awareness of the benefits of EV rental solutions. Businesses operating in the market need to exploit the opportunities and strategically deal with the challenges during the forecasted period to expand the market size.
Overview of the main market segments
The global market of electric car rental can be segmented into battery cars, hybrid cars, and plug-in electric cars based on the vehicle type. Hybrid cars and plug-in electric cars have been showcasing good performance in the global electric car rental industry. During the forecasted period, these segments are expected to create new opportunities for businesses to introduce personalized mobility services aligned with the needs and preferences of global customers.
The global market of electric car rental can be segmented into economic cars, exclusive cars, and others based on application. The demand for economic and exclusive cars varies based on the income of the customers. While customers from middle-class backgrounds prefer economic cars for rental purposes, customers from the high-income group show an inclination towards exclusive rental cars. However, each segment is expected to capture a decent portion of the global market share of electric car rental during the forecasted period.
Based on service, the global market can be fragmented into online and offline. The online service option has gained high popularity among the market audience in the digitalized era. A major benefit associated with the service type is high convenience for the customers. This market segment is expected to play a major role during the forecasted period and grow the global market.
The global electric car rental market can be divided into several geographical segments such as the Asia Pacific, North America, Europe, and the rest of the world. Different market players are operating in each region, intending to capture a significant chunk of the market share. At present, the Asia Pacific regional segment has been dominating the global market setting due to the increase in sales of electric cars and the existence of a large customer base. During the forecasted period, the region is expected to drive global market growth. North America and Europe are also expected to showcase decent performance and influence the global market size of electric car rental in the future.
The global electric car rental industry report has shed light on diverse factors that exist in the market. Various strategic tools have been used to uncover macros and micro factors that could influence the market's growth potential during the forecasted period. Some of the chief market trends that have been identified include an increase in traveling and tourism activities and high consciousness and awareness about sustainable and environmentally friendly traveling options. A detailed insight into the competitive landscape has been presented as it could influence the global market size during the forecasted period.
Key Industrial segments
By Vehicle Type
|Market Size||2027: Significant Value|
|CAGR||15% CAGR (2020-2027)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Vehicle Type, Application and Service|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Zipcar (US), Avis Budget Group, Inc. (the US), Enterprise Holdings Inc. (US), Europcar Mobility Group (France), The Hertz Corporation (US), Sixt SE (Germany), BlueIndy (US), DriveElectric (UK), Easirent (UK), Green Motion International (UK), Wattacars (Spain), Zoomcar (India), and Europcar Group (France)|
|Key Market Opportunities||
|Key Market Drivers||The presence of top notch companies|
Frequently Asked Questions (FAQ) :
The global electric car rental market can rise at 15% CAGR by 2027.
The market can value can exceed USD 19 Billion by 2027.
Economic and executive are some electric car rental components.
Wattacars (Spain), and Europcar Group (France), Green Motion International (UK), and Zoomcar (India),) are some reputed names in electric car rental market.
The presence of top notch companies can drive the market.