Europe Car Rental Market Research Report – Forecast till 2032

Europe Car Rental Market Research Report Information By Type (Leisure/Tourism and Business), By Booking Type (Offline Booking and Online Booking), By Rental Type (Short-term and Long-term), And By Region–Market Forecast Till 2032

ID: MRFR/AM/11025-HCR | 128 Pages | Author: Aarti Dhapte | March 2024         

Europe Car Rental Market Overview:


Europe Car Rental Market Size was valued at USD 15.8 Billion in 2022. The Global Europe Car Rental market industry is projected to grow from USD 17.56 Billion in 2023 to USD 41.07 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 11.20% during the forecast period (2023 - 2032). rising Demand for mobility services, a rise in tourism, and an increase in business travel are the key market drivers propelling the market growth.


Europe Car Rental Market


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Europe Car Rental Market Trends


Growing awareness for rental cars is driving the market growth


The increasing inclination for eco-friendly and electric rental cars is one notable trend. In response to growing environmental consciousness and sustainability concerns, European automobile rental firms are adding electric and hybrid vehicles (EVs) to their fleets. This pattern is consistent with the region's drive to impose stringent emission regulations and reduce emissions. Low-emission zones are being established in many European cities, which promotes the use of electric vehicles (EVs) and fuel-efficient cars. This, in turn, propels the Market CAGR of the car rental market toward environmentally friendly solutions. Emphasizing digitalization and online booking systems is another major development in the European vehicle rental business. A growing number of clients are looking for contactless and easy rental and booking processes due to the COVID-19 epidemic and technological advancements. In order to facilitate online booking, payment, and vehicle access for their clients without requiring in-person interaction, car rental firms are investing in user-friendly applications and websites. This trend is a key driver in the development of the market because it improves client experiences and simplifies operations for rental providers.


Furthermore, health and safety precautions are receiving more attention in the European car rental sector. Car rental companies have responded to the worldwide health problem by improving cleaning methods, implementing touchless pick-up and drop-off procedures, and transparently disclosing their sanitation practices. Particularly in light of growing health concerns and travel limitations, these steps are crucial to regaining consumer trust and guaranteeing that automobile rental services continue to be a dependable and safe means of transportation. For the foreseeable future, it is anticipated that the emphasis on safety will continue to be a major trend in the European vehicle rental industry. Thus boosting the Europe Car Rental market revenue.


Europe Car Rental Market Segment Insights:


Europe Car Rental Type Insights


The Europe Car Rental market segmentation, based on type, includes Leisure/Tourism and Business. The leisure/tourism category is larger than the commercial segment in the European automobile rental market. The dominance of leisure and tourism is a result of multiple reasons. Europe welcomes millions of travelers each year and is a popular travel destination worldwide. Renting a car is the ideal way for tourists to see new places and cultures while looking for easy and adaptable modes of transportation.


Europe Car Rental Booking Type Insights


The Europe Car Rental market segmentation, based on Booking Type, includes Offline Booking and Online Booking. Online booking category account for a larger share of the European automobile rental market than offline ones. This supremacy is the result of multiple reasons. Customers are using online booking platforms more and more due to the ease of use and broad adoption of digital technology. Online booking satisfies customers' increasing demands for frictionless and quick rental experiences by providing the freedom to compare pricing, verify vehicle availability, and complete reservations from the convenience of a smartphone.


Figure 1: Europe Car Rental Market by Booking Type, 2022 & 2032 (USD Billion)


Europe Car Rental Market by Booking Type, 2022 & 2032 (USD Billion)


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Europe Car Rental Rental Type Insights


The Europe Car Rental market segmentation, based on Rental Type, includes Short-term and Long-term. The short-term rental segment outpaces the long-term rental segment in size within the European automobile rental market. Multiple variables lead to the prevalence of short-term rentals. Europe is a well-liked travel destination for tourists looking for affordable, short-term transit options for journeys both personal and professional. Short-term rentals' ease and adaptability fit the temporary character of these trips. Short-term rentals are also popular for weekend getaways, city exploration, and airport pickups, which serve to meet the needs of infrequent travelers and contribute to their segmental growth in the European car rental industry.


Europe Car Rental Regional Insights


By region, the study provides market insights into European region. Germany dominates the European car rental market as the largest region, owing to its robust economy, thriving tourism sector, and inclination towards efficient transportation. Due to its strategic location in Europe, Germany serves as a hub for both domestic and foreign passengers, which stimulates demand for car rental services and propels the expansion of the area. Spain is the most rapidly expanding region in the European vehicle rental market due to its thriving cultural attractions, pleasant climate, and robust tourism industry. Due in large part to its attractiveness as a travel destination, Spain has a rapidly expanding car rental business. Demand for rental cars is particularly high during leisure and vacation travel.


Figure 2: Europe Car Rental Market Share By Region 2022 (USD Billion)


Europe Car Rental Market Share By Region 2022 (USD Billion)


Source: Secondary Research, Primary Research, MRFR Database and Analyst Review


Europe Car Rental Key Market Players & Competitive Insights


Leading market players in the European vehicle rental sector compete fiercely with one another. Players are concentrating on market developments such as technology developments, contactless services, and user-friendly booking platforms as the market changes. New entrants in the Europe Car Rental industry are gaining ground by emphasizing online platforms and digitalization.


Key Companies in the Europe Car Rental market include



  • Avis Budget Group Inc.

  • Enterprise Holdings Inc.

  • Europcar International

  • The Hertz Corporation

  • InterRent Car Rental

  • Peugeot Open-Europe

  • SIXT SE

  • OK Mobility Group

  • Fraikin SAS

  • Budget Truck Rental LLC


Europe Car Rental Market Segmentation


Europe Car Rental Type Outlook



  • Leisure/Tourism

  • Business


Booking Type Outlook



  • Offline Booking

  • Online Booking


Rental Type Outlook



  • Short-term

  • Long-term


Country Outlook



  • Germany

  • UK

  • France

  • Italy

  • Spain

  • The Rest of Europe

Report Scope:

Report Attribute/Metric Details
Market Size 2022 USD 15.8 Billion
Market Size 2023 USD 17.56 Billion
Market Size 2032 USD 41.07 Billion
Compound Annual Growth Rate (CAGR) 11.20% (2023-2032)
Base Year 2022
Market Forecast Period 2023-2032
Historical Data 2018- 2022
Market Forecast Units Value (USD Billion)
Report Coverage Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered Type, Booking Type, and Region
Countries Covered Germany, UK, France, Italy, Spain, and the Rest of Europe
Key Companies Profiled Avis Budget Group Inc., Enterprise Holdings Inc., Europcar International, The Hertz Corporation, InterRent Car Rental, Peugeot Open-Europe, SIXT SE, OK Mobility Group, Fraikin SAS, and Budget Truck Rental LLC
Key Market Opportunities Expansion of electric and eco-friendly vehicle rental options
Key Market Dynamics Offering long-term and subscription-based car rental models Enhancing customer experience through digitalization and convenience




Frequently Asked Questions (FAQ) :

The Europe Car Rental market size was valued at USD 15.8 Billion in 2022.

The global market is projected to grow at a CAGR of 11.20% during the forecast period, 2023-2032.

Germany had the largest share of the global market in 2022.

The key players in the market are Avis Budget Group Inc., Enterprise Holdings Inc., Europcar International, The Hertz Corporation, and Budget Truck Rental LLC.

The leisure/tourism category dominated the market in 2022.

The online booking had the largest share in the global market in 2022.

Key Questions Answered

  • Global Market Outlook
  • In-depth analysis of global and regional trends
  • Analyze and identify the major players in the market, their market share, key developments, etc.
  • To understand the capability of the major players based on products offered, financials, and strategies.
  • Identify disrupting products, companies, and trends.
  • To identify opportunities in the market.
  • Analyze the key challenges in the market.
  • Analyze the regional penetration of players, products, and services in the market.
  • Comparison of major players’ financial performance.
  • Evaluate strategies adopted by major players.
  • Recommendations
Request Free Sample

Why Choose Market Research Future?

  • Vigorous research methodologies for specific market.
  • Knowledge partners across the globe
  • Large network of partner consultants.
  • Ever-increasing/ Escalating data base with quarterly monitoring of various markets
  • Trusted by fortune 500 companies/startups/universities/organizations
  • Large database of 5000+ markets reports.
  • Effective and prompt pre- and post-sales support.
Speak to Analyst
Leading companies partner with us for data-driven Insights.
Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo Client logo

Kindly complete the form below to receive a free sample of this Report

Please fill in Business Email for Quick Response
Invalid