The global car rental market, driven by the demand for mobility solutions and the convenience of vehicle rental services, is witnessing significant industry growth. Innovations by the largest rental car companies and the rise of online platforms have enhanced customer experiences, offering flexibility and streamlined booking processes. Market segments like short-term rentals and economy cars are thriving due to their affordability, appealing to a broad customer base. North America and Asia-Pacific are key contributors to this expansion, with the latter poised for rapid growth. Additionally, the industry is adapting to urban mobility changes by incorporating eco-friendly vehicles and exploring peer-to-peer car sharing, aligning with a shift towards sustainable and user-centric mobility options. This evolution, detailed in our comprehensive report PDF, indicates that vehicle rental services will play a crucial role in the future of transportation. For detailed industry statistics on market size, price trend, and revenue growth, refer to Mordor Intelligence™ Industry PDF, with detailed market analysis and forecasts available in a free report PDF download, highlighting the potential and dynamics of the global car rental industry. Adding to this, our annual report will provide a deeper dive into the industry statistics, market cap and industry worth, showcasing size global and price trends. This profile PDF includes essential market data to help stakeholders understand the current state and future prospects of the car rental market.

  Car Rental Report Covers the Following Countries: USA, United States, US, Canada, DE, Germany, German, UK, United Kingdom, FR, France, French, ES, Spain, Spanish, IN, India, Indian, China, Chinese, JP, Japan, Japanese, KR, South Korea, South Korean, SA, South America, South American, MEA, Middle East and Africa, Middle Eastern and African, MENA, Middle East, Middle Eastern, Africa, African

The revenue in the 'Car Rentals' segment of the shared mobility market worldwide was modeled to stand at ************** U.S. dollars in 2024. Between 2017 and 2024, the revenue rose by ************* U.S. dollars, though the increase followed an uneven trajectory rather than a consistent upward trend. The revenue will steadily rise by ************* U.S. dollars over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

In 2024, China ranked first by number of users in the 'Car Rentals' segment of the shared mobility market among the 9 countries presented in the ranking. China's number of users amounted to ************** users, while the United States and Germany, the second and third countries, had records amounting to ************* users and ************ users, respectively.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

The United States car rental market is estimated to grow steadily, with a market size of USD 35.4 billion in 2025, increasing to USD 56.9 billion by 2035. The industry will grow at a CAGR of 4.85% between 2025 and 2035 due to the growth in demand for dynamic transportation alternatives and the integration of digital rental platforms.

Car Rental Industry Analysis in the United States

Competitive Outlook

The United States Vehicle Rental Market Report is Segmented by Application (Leisure and Tourism and Business and Corporate), Vehicle Type (Passenger Cars and More), Booking Channel (Online and Offline), Rental Duration (Short-Term and More), Propulsion (ICE Vehicles and More), Service Model (Traditional Corporate Fleets and Peer-To-Peer Platforms), and Region. The Market Forecasts are Provided in Terms of Value (USD).

US Car Rental Market size is expected to be worth around USD 78.8 Billion by 2034, from USD 37.9 Billion in 2024, at a CAGR of 7.6%.

The number of users in the 'Car Rentals' segment of the shared mobility market worldwide was modeled to stand at ************** users in 2024. Between 2017 and 2024, the number of users rose by ************** users, though the increase followed an uneven trajectory rather than a consistent upward trend. The number of users will steadily rise by ************** users over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

In 2024, the United States ranked first by revenue in the 'Car Rentals' segment of the shared mobility market among the 9 countries presented in the ranking. United States' revenue amounted to ************* U.S. dollars, while China and Germany, the second and third countries, had records amounting to ************* U.S. dollars and ************ U.S. dollars, respectively.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

[216+ Pages Report] The global car rental market size is expected to grow from USD 121.38 billion in 2023 to USD 246.12 billion by 2032, at a CAGR of 8.17% from 2024-2032

The GCC Car Rental Market is Segmented by Booking Channel (Online and Offline), Rental Duration (Short-Term and Long-Term), Vehicle Type (Hatchback, Sedan, and More), Service Type (Self-Drive and Chauffeur-Drive), End-User (Individual, Corporate and SME, and More), and Country. The Market Forecasts are Provided in Terms of Value (USD).

The number of users in the 'Car Rentals' segment of the shared mobility market in Europe was modeled to stand at ************* users in 2024. Between 2017 and 2024, the number of users rose by ************ users, though the increase followed an uneven trajectory rather than a consistent upward trend. The number of users will steadily rise by ************* users over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

Discover the booming Brazilian car rental market! This analysis reveals a $1.9 billion market in 2025, projected to grow at an 8% CAGR through 2033, driven by tourism, business travel, and online bookings. Explore key players, segments, and future trends. Recent developments include: June 2023: Brazilian car rental company Localiza opened a new tab by launching a follow-on share offering aimed at raising as much as BRL 4.5 billion (USD 935.51 million) to expand its car fleet and service network., May 2023: Brazilian ride-hailing app 99 planned to more than double the number of electric cars serving its passengers in Brazil in 2024, with the goal of reaching 1,000 vehicles.. Key drivers for this market are: Increase in Leisure Activities in the Country. Potential restraints include: Strict Vehicle Emission Regulations. Notable trends are: Leisure/Tourism is Expected to Grow at the Highest Rate.

The Germany Car Rental Market is Segmented by Application Type (Leisure /Tourism and Business), Booking Type (Offline and Online), and Rental Length Type (Short Term and Long-Term). The Report Offers the Market Size and Forecast of the German car rental market in value (USD Billion) for the above-mentioned segments.

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Europe Vehicle Rental Market Size 2025-2029

The Europe vehicle rental market size is forecast to increase by USD 21.46 billion, at a CAGR of 8.8% between 2024 and 2029.

The market is experiencing significant growth, driven by several key factors. Firstly, there is a growing awareness and preference for car rental among European consumers, particularly among the younger demographic. Secondly, the increasing dependence on technology-driven rental vehicle services is helping to expand the customer base and improve the overall rental experience. Additionally, the rising number of car-sharing services is contributing to the market growth, providing a more flexible and affordable option for consumers. The market is also facing challenges, such as increasing competition and regulatory compliance, which companies must navigate to remain competitive and profitable.

What will be the Europe Vehicle Rental Market Size During the Forecast Period?

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The Europe Vehicle Rental Market growth, caters to the needs of both business and leisure travelers. Automobiles are rented through both online channels and offline stores, with Rental Car services being the key players. Travelers prefer renting personal vehicles for flexibility and convenience during global travel or local usage. Car damage repair and insurance compensation policies are essential considerations for car rental operators. Entertainment systems and Internet booking applications have become essential features for car rentals, enhancing the user experience. Airport transport is a major segment, while economy cars and executive cars cater to different customer segments.
The upper middle-class demographic serves as a crucial consumer segment, with urbanization and rising internet penetration fueling demand in the vehicle rental market. Advancements in vehicle rental technology are optimizing operations, allowing companies to efficiently manage fleet management, customer bookings, and rental logistics. Airports continue to be prime locations for passenger car rentals and light truck rental, given their high traveler volume. The surge in leisure travel and bleisure (business and leisure combined), along with the trend of global commuting, is amplifying the demand for rental vehicles, including short-term car rental and long-term car rental services. Additionally, the adoption of electric vehicle rentals and eco-friendly car rental options is reshaping the industry, particularly in regions like Europe, where light trucks for rent are gaining traction. As consumers increasingly opt for rental solutions over ownership, the market is poised for sustained growth.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Distribution Channel

  Offline
  Online


Type

  Short term
  Long term


Geography

  Europe

    Germany
    UK
    France
    Italy

By Distribution Channel Insights

The offline segment is estimated to witness significant growth during the forecast period.

Offline distribution channels in the market include rental offices, travel agents, and hotel partnerships. These channels provide a tangible and convenient option for customers who may not feel comfortable using online platforms or who lack access to them. Additionally, offline rentals often attract spontaneous travelers or those in need of immediate assistance, as they can simply visit a rental office and secure a vehicle on the spot.

Travel agencies also play a significant role in the offline segment. Collaborating with these agencies allows vehicle rental companies to reach a wider audience, particularly tourists and business travelers, who often rely on travel agents for comprehensive travel services. Hotels also contribute to the offline distribution of rental vehicles. Many hotels partner with car rental companies to offer on-site services, enabling guests to book transportation directly through hotel concierges. These factors combined are expected to drive growth in the vehicle rental market in Europe during the forecast period.

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Market Dynamics

Our market researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

What are the key market drivers leading to the rise in the adoption of the market?

Growing awareness about rental cars among European people is the key driver of the market.

The market is experiencing significant growth due to shifting consumer preferences towards mobility solutions. The tre

The revenue in the 'Car Rentals' segment of the shared mobility market in the United States was modeled to amount to ************* U.S. dollars in 2024. Between 2017 and 2024, the revenue rose by *********** U.S. dollars, though the increase followed an uneven trajectory rather than a consistent upward trend. The revenue will steadily rise by ************ U.S. dollars over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.

Car Rental Market size was valued at USD 148.17 Billion in the year 2024, and it is expected to reach USD 352.19 Billion in 2032, at a CAGR of 11.43% over the forecast period of 2026 to 2032.Global Car Rental Market DriversRise in Travel: A growing travel sector, encompassing both business and leisure trips, is fueling demand for car rentals. Travelers seek the flexibility and convenience that rental cars provide, allowing them to explore destinations at their own pace and navigate unfamiliar surroundings.Digital Transformation: The booking process has undergone a revolution with the widespread adoption of online platforms and mobile apps. Customers can now effortlessly research and compare prices, select their desired vehicle type, and make reservations electronically. Rental companies are actively investing in these digital tools to enhance the customer experience by streamlining the booking process and offering greater transparency.

The European car rental market, valued at €14.34 billion in 2025, is projected to experience robust growth, driven by a Compound Annual Growth Rate (CAGR) of 8.96% from 2025 to 2033. This expansion is fueled by several key factors. The burgeoning tourism sector across Europe, particularly in popular destinations like the UK, France, Germany, and Spain, significantly boosts demand for short-term rentals. Simultaneously, the rise of business travel and increasing reliance on flexible transportation solutions contribute to the market's growth. The convenience and affordability of online booking platforms further accelerate market penetration. Segmentation within the market reveals a strong preference for online booking and short-term rentals, although the long-term rental segment is witnessing steady growth, driven by relocation needs and the increasing popularity of subscription-based car services. Premium and luxury car rentals represent a lucrative niche, showcasing a willingness to pay for higher-end vehicles among a growing segment of travelers. Competition within the market remains intense, with established players like Avis Budget Group, Enterprise Holdings, and Hertz Global Holdings facing challenges from emerging local and international players seeking market share. Despite the positive outlook, certain challenges persist. Fluctuations in fuel prices and economic downturns can impact consumer spending and rental demand. Stringent environmental regulations, aimed at reducing carbon emissions from the transportation sector, may also influence the types of vehicles offered and operational costs. Furthermore, the increasing popularity of alternative transportation options, such as ride-sharing services and public transportation, could exert competitive pressure on the car rental industry. However, the market’s resilience stems from its ability to adapt to evolving consumer preferences through technological innovation, diversified service offerings, and strategic partnerships. The expansion of electric vehicle fleets and the introduction of sustainable practices are anticipated to mitigate environmental concerns and enhance the industry's long-term sustainability. Recent developments include: December 2023: SIXT SE, a German-based car rental company, announced that it was phasing out Tesla electric rental cars from its fleets because of reduced resale costs. SIXT was the second company apart from Hertz to announce the replacement of its electric vehicle fleet., October 2023: Enterprise Holdings, a car rental service provider operating worldwide, including across Europe, announced its plan to rebrand its name to Enterprise Mobility to reflect the 'evolution' of its global network of mobility solutions. In line with the new corporate brand, the company rolled out a new logo and tagline: ‘Advance the world, one journey at a time.’ However, the company stated that all Enterprise Mobility brands will remain unchanged as key offerings in its portfolio., June 2023: Europcar, a car rental company operating in Europe, announced its partnership with the BringOz logistics platform as part of its efforts to digitize internal processes and automate and optimize vehicle movement. Further, as per the agreement, both these companies will work in collaboration to streamline and maximize Europcar's resources by increasing the efficiency of vehicle transfers with consolidation.. Key drivers for this market are: Increasing Inbound Tourism to Fuel Market Growth. Potential restraints include: Increasing Inbound Tourism to Fuel Market Growth. Notable trends are: Online Segment of the Market to Gain Traction during the Forecast Period.

Global Market Share by Key Players

Discover the booming internet car rental market! This comprehensive analysis reveals key trends, growth drivers, and regional market shares from 2019-2033, featuring insights on major players like Enterprise, Hertz, and Avis. Explore the future of online car rentals.

The number of users in the 'Car Rentals' segment of the shared mobility market in Indonesia was modeled to amount to ************* users in 2024. Between 2017 and 2024, the number of users rose by *********** users, though the increase followed an uneven trajectory rather than a consistent upward trend. The number of users will steadily rise by ************ users over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Car Rentals.