ID: MRFR/AM/6355-HCR | February 2021 | Region: Global | 100 pages
The Truck rental market includes hiring or leasing commercial vehicles. Truck rental is a surging market that serves individuals, companies and agencies. Truck rentals curb the level of self-owned trucks on the road. Logistics, industries and construction industries are the crucial factors of truck rental market growth. Further, the fleet owners are implementing cost-cutting strategies to offer cost-efficient rental trucks. Thus, truck transportation cost will significantly reduce in the future. These are the factors that fuel the global truck rental market in the forecast period.
Truck renting lessens operational risks. It is an effective way to meet seasonal truck demand. Also, it is a useful way to cope with contract uncertainties. Leasing or renting a truck is highly economical than owning a truck. Moreover, truck rental eliminates additional costs such as servicing, maintenance and vehicle replacement. Today, the truck rental market Revenue is 72.58 USD billion. The estimated growth rate of the truck rental market till 2024 is 9.86%. Furthermore, the rate of truck rental providers is also escalating every year. It is another factor that fosters the growth of the truck rental market at an exponential pace.
Covid 19 analysis
The covid 19 pandemic has destructive impacts on the truck rental market. The truck rental market Analysis suggests the difference in the market during the covid 19. The impacts are significant that has disturbed the flow of the market. The three crucial effects are on-demand, supply chain and market finances. A decrease in truck demand in covid 19 leads to high freight rates.
The freight charges increase by 30-45 percent that affected the emergency truck demands. During covid 19, the trucks on- road are less as they are plenty of restrictions. The rental trucks are not allowed in red and orange zones that ultimately reduces the overall demand. As per the market forecast of 2024, the demand for the truck rental will increase by 50 % from May 2020. Further, there will be a constant rise in the demand of truck rental market Value till 2024.
There are plenty of reasons to hire a truck. The automotive industries faced severe downfall during covid 19. However, the automakers are diversifying their services by offering vehicle rentals and leasing. Their aggressive advertising and exceptional rental offers are the driving factors of the truck rental Industry. Apart from their vehicle sales, they are offering their trucks for rent. It is one of the crucial factors that boom the truck rental market. The growing demand, the optimal operational costs and the outsourcing process are the factors for high demand. These factors have increased the adoption of truck rentals in various industries.
The cost of maintenance and fluctuating fuel rates also boosts the demand for truck rentals. Especially the commercial users require the truck for different purposes. Also, house shifting activities are a major cause of the demand for these rental trucks. Rental trucks are available regularly. It is convenient for many industries to rent trucks than maintaining or owning a truck. Some logistic services integrate mobile apps for truck booking. It enables customers or industries to hire rental trucks with ease. The availability and low operational costs are the top demand driving factors for the truck rental market.
Covid 19 has caused global financial instabilities. The rate of people buying vehicles is less in the upcoming years. Especially, due to high truck prices, the rate of individuals owning a truck is less in the future. However, for commercial, industrial and residential purposes, individuals will hire truck rentals as they are affordable. According to the demand forecast, the demand for truck rental will reach its peak by 2024. The demand for light and heavy trucks is high due to the low costs. Also, the customers preferring the OEM trucks are high. It will ultimately grow the truck rental market by 3 % by 2022 and more than 9% in 2024.
The unavailability of truck rental services in underdeveloped regions is a major restraint. The availability of trucks is more in the developed countries. However, the underdeveloped regions do not have any access to these truck rentals. The unavailability of trucks and lack of awareness are the major setbacks of the truck rental market Outlook.
Some of the challenges in the truck rental market are covering market size, segments and supply-demand factors. The 2024 forecast suggests that the truck rental market needs to improve decision-making in all these aspects. The truck rental market Sizeis vast and highly competitive. To survive competition regulating supply-demand properly is essential. Also, it is profitable for the truck rental companies by offering rentals for authentic businesses. Deciding which market segment is profitable is essential for earning revenue. The major challenge of the market is finding a business or organisation that requires rentals on a regular basis. Furthermore, another challenging factor in the market is offering efficient trucks for low costs.
There is a serious need for availability and awareness. The truck rental market needs to pay attention to the availability of rental trucks. Integrating truck rental with mobile apps is essential in future years. Due to which, any organisations will have the convenience to book truck rentals with ease. Also, upgrading the vehicle system and reducing vehicle cost is essential to increase the demand.
There has been a growing demand for truck rental in North America, the Pacific, Europe, and the Middle East. North America owns the massive truck rental market Share in the world. It earns about 44% revenue in the truck rental market. The US is a prominent country that offers truck rentals for cost-effective prices. Both small and heavy trucks are used in the US trucking industries. Most of the industries in the US prefer rental trucks to save costs and other stringencies related to owning a truck.
The class 1-3 truck is known as a light-duty truck. Classes 2B are known as light heavy-duty trucks.
The classes of 4-7 trucks are known as medium-duty trucks.
The 7-8 class trucks are known as heavy-duty trucks. There are several road restrictions for heavy-duty vehicles. They are essential for commercial and industrial; purposes.
By lease type
The lease type truck rental is increasing in demand in the forecast year. Also, leased truck rental services include fuel charges and other value-added services. Finance lease rental truck is an attractive option in the truck rental market In the US.
The rental truck service provider option includes transportation services that offer trucks for rent. Even the automakers such as Volvo and Daimler are transforming into to service providers to offer truck rentals.
North America has the biggest-truck rental market in the world. Also, the countries such as Europe, the Pacific, Africa and Central America meet the global truck rental market trends. The demand and supply of truck renting in these countries are estimated to increase during the forecast period of 2024. The opportunities to establish truck rentals are also high in these areas.
The market competitive-analysis is a detail about the major players in the commercial market. The major players of the rental market earn high revenue from the truck rentals. Also, these competitors provide exceptional truck rental and leasing services.
The prominent competitors in the truck rental market are
The key market players
The key market truck rental market focuses on both organic and inorganic growth strategies. All the key players have a wide-consumer base for truck rentals. The growth opportunities for the key players are high during the forecast period.
The top key players in the truck rental market are
Frequently Asked Questions (FAQ) :
The truck rental market is poised to mark 15.3% CAGR.
Increasing awareness about the benefits of leasing trucks over purchasing is expected to drive the expansion of the truck rental market.
On the basis of lease type, the segments of the truck rental market are full-service lease and financial lease.
Unavailability of truck rental services in developing and underdeveloped regions can check market growth in the near future.
The key participants of the truck rental market are AMERCO (US), Penske Truck Leasing Co., L.P. (US), PACCAR Leasing Company (US), MAX Rental.lu AG (Luxembourg), Ryder System, Inc. (US), United Rentals, Inc. (US) Sixt SE (Germany), Almano (US), Avis Budget Group Inc. (US), Advantage Rent-a-car (US), Budget Car Rental (US), and Europcar (UK).