To understand this better, let us look at some of the major reasons why renting a car is a more hassle-free experience as compared to car ownership.
Owning a car, which once was a matter of prestige, is today seen only as an added commitment. Car ownership comes with its fair share of recurring costs such as insurance, repairs and maintenance, and the annual depreciation value. Thus, millennials are now preferring instant gratification without long-term commitment weighing them down. This is where self-drive car rental services come into play. These car rental services allow users to drive the car of their choice and pay rent for the usage.
Besides, the onset of the pandemic has made it difficult for people to buy a new car. The rental car industry, hence, emerged as the way out. The revenue in the car rental industry is expected to reach USD 1,898 million by 2021, while the user penetration is projected to hit 5.3% by 2025.
With the pandemic leaving a profound impact on the world and transforming our day-to-day lives drastically, car rentals are turning out to be the easier, more affordable solution. To understand this better, let us look at some of the major reasons why renting a car is a more hassle-free experience as compared to car ownership.
Options & Availability
With car rentals, it has become easier for users to find the right vehicle based on their requirements. Whether one needs a car for a vacation, attending a business meeting, or simply traveling to another city with family, car rental services are offering a wide range of vehicles suiting an individual’s needs just at the click of a button.
Despite being a relatively new service, rental cars are gaining more traction over personally owned cars as they are a cost-effective solution. Renting a car allows users to save a great deal of money while enjoying hassle-free services without any long-term commitments.
Most of the car rental service providers have come up with flexible subscription models which yet again are acting as a boon in times of pandemic. Hence, with car rental options, users can now drive a car with a nominal subscription cost which is free of maintenance and other additional expenses that come with a personal vehicle.
Amidst the pandemic, when safety is the major concern of users, rental car services have reassured customers that their cars are thoroughly cleaned and virus-free. Car rental providers are taking utmost care in cleaning and sanitizing the cars before and after every use, maintain exceptional hygiene levels. Sanitizing every part of the car from doors, seats, and handles to steering wheel and keys is ensuring increase safety and security of the users. Furthermore, players in the shared mobility industry have even introduced keyless entry systems to ensure minimum touchpoints and optimum safety.
Another advantage offered by rental cars is limited responsibility / commitment. Most rental car service providers have guidelines in place regarding the repair and maintenance of cars. The potential misuse and damage to the cars are in the hands of renters. For instance, when the car is picked and dropped, users are required to sign a detailed checklist on the condition of the car. In case of any damage, it is the renter’s responsibility to get it fixed. Apart from this, users are freed of any additional commitment like paying NTSA Inspection, insurance, maintenance charges, or any other expense that happens over time.
Car rental service providers are constantly integrating the latest technology to enhance customer satisfaction. Using best-in-class Mobile Apps that incorporate AI and ML technology for further improving user experience is offering an added advantage. For example, brands are now installing speed governors and trackers, keyless entry systems, and other tech-enabled features to ensure a safe and convenient experience for customers. Added features like chatbots, emails, text messages, and calls for quickly resolving any query raised by customers have helped service providers in leveling up their game to the next level.
With the advent of technology, it has become easier for users to rent a car as compared to owning one. Tech-powered car rental services can be availed with the click of a button on our smartphones, making it easier for users to check the availability and book a car of their choice.
Integration of comprehensive technology along with safety measures in the car rental services has further ensured businesses to expand their services on a wide user spectrum and improve the overall user experience. The rental car industry is poised for explosive growth over the next few years and is certainly a sustainable model.