UAE Rent a Car

UAE Rent a Car Market Research Report: Forecast (2022-2027)

By Type of Car (Economy, SUV, Multi Utility Vehicle, Luxury), By Application (Leisure, Commercial), By Drive Type (Self-Driving, Chauffeur), By Booking Type (Offline, Online), By Usage (Local, Airport Read more

  • Automotive
  • Apr 2022
  • 103
  • AT66011

Market Definition

"Rent a car," or car rental services, are when a company offers vehicles to customers on temporary bases and charges them based on the type of vehicle chosen, miles/hours driven, and the number of days, among other parameters. These services are swiftly gaining popularity across the UAE, owing primarily to the mounting influx of tourists, pilgrims, & migrants using rental cars for local commute.

Market Insights

The UAE Rent a Car Market is projected to register around 8.9% CAGR during the forecast period, i.e., 2022-27. Most of the market expansion would be driven by the growing focus of the UAE government on the economic diversification away from the oil & gas sector, i.e., portraying massive expenditure on the tourism sector to attract tourists, pilgrims, and migrants to the country. As a result, the demand for car rental services for local commute is increasing swiftly across the country and driving the UAE Rent a Car Market. 

Report Coverage Details
Study Period Historical Data: 2017-20
Base Year: 2021
Forecast Period: 2022-27
CAGR (2022-2027) 8.9%
Region Covered Dubai, Abu Dhabi & Al Ain, Sharjah & Northern Emirates
Key Companies Profiled Thrifty, Hertz, Emirates Transport, Massar Solutions, Sixt Rent a Car, Fast rent a car, Kayak, Europcar, Avis Rent a Car, Dollar Rent a Car, Others
Unit Denominations USD Million/Billion

 

Besides, favorable policies & easy licensing in the country are leading to the consumer inclination toward using rental cars for commercial applications like cab & taxi services, etc. In addition, massive expenditure on hosting Auto Expos, where the event spans around 6 months & expects more than 3 million people, is another crucial aspect playing a prominent role in propelling the demand for car rental services in the UAE. 

Moreover, growing encouragement by the UAE government for the adoption of electric & hybrid vehicles by laying out incentives is also likely to generate growth opportunities for the leading market players with an anticipated rise in the vehicle fleet over the coming years. Furthermore, easy licensing is showcasing a mounting competition between prominent car rental companies in the UAE for offering superior value-added services instead of just heading toward a price war. 

Such strategies include services like a sliding scale termination policy, pooled mileage for corporates, and guaranteed replacement of vehicles during servicing, among others. Hence, these aspects indicate that the UAE Rent a Car Market is set to observe an upward trend through 2027.

Impact of Covid-19 on the UAE Rent a Car Market

In 2020, the Covid-19 pandemic had a decelerating effect on most industries across the UAE, and the Rent a Car Market was no exception. All car rental services were suspended in the country owing to the imposition of lockdown & stringent movement restrictions by the government to curb the spread of this dreadful disease.

Additionally, the severity of the disease was so concerning that most people restrained themselves from using rental services and instead chose personal vehicles to avoid the virus spreading. As a result, the market witnessed a downward trend and caused massive financial losses for the leading players & stakeholders.

However, with gradual improvement in the pandemic situation, the government uplifted the restrictions and allowed the recommencement of business operations. It, in turn, not only resumed the car rental services but also demonstrated a mounting influx of tourists, which, in turn, surged the growth of the UAE Rent a Car Market.

  1. Introduction
    1. Product Definition
    2. Research Process
    3. Market Segmentation
    4. Assumptions
  2. Preface
  3. Executive Summary
  4. Impact of COVID-19 on UAE Rent a Car Market
  5. UAE Rent a Car Market Outlook, 2017-2027
    1. Market Size & Analysis
      1. Revenues
      2. Total Cars Available for Rental
    2. Market Share & Analysis
      1. By Type of Car
        1. Economy
        2. SUV
        3. Multi Utility Vehicle
        4. Luxury
      2. By Application
        1. Leisure
        2. Commercial
      3. By Drive Type
        1. Self-Driving
        2. Chauffeur
      4. By Booking Type
        1. Offline
        2. Online
      5. By Usage
        1. Local
        2. Airport
        3. Outstation
      6. By Rental Duration
        1. Short Term
        2. Long Term
      7. By Region
        1. Dubai
        2. Abu Dhabi & Al Ain
        3. Sharjah & Northern Emirates
      8. By Company
        1. Competition Characteristics
        2. Market Share & Analysis
        3. Competitive Matrix
  6. UAE Rental Economy Car Market Outlook, 2017-2027
    1. Market Size & Analysis
      1. Revenues
    2. Market Share & Analysis
      1. By Application
      2. By Drive Type
      3. By Booking Type
      4. By Usage
      5. By Rental Duration
      6. By Region
  7. UAE Rental SUV Market Outlook, 2017-2027
    1. Market Size & Analysis
      1. Revenues
    2. Market Share & Analysis
      1. By Application
      2. By Drive Type
      3. By Booking Type
      4. By Usage
      5. By Rental Duration
      6. By Region
  8. UAE Rental Multi Utility Vehicle Market Outlook, 2017-2027
    1. Market Size & Analysis
      1. Revenues
    2. Market Share & Analysis
      1. By Application
      2. By Drive Type
      3. By Booking Type
      4. By Usage
      5. By Rental Duration
      6. By Region
  9. UAE Rental Luxury Car Market Outlook, 2017-2027
    1. Market Size & Analysis
      1. Revenues
    2. Market Share & Analysis
      1. By Application
      2. By Drive Type
      3. By Booking Type
      4. By Usage
      5. By Rental Duration
      6. By Region
  10. UAE Rent a Car Market Pricing Analysis
  11. UAE Rent a Car Market Policies, Regulations, Product Standards
  12. UAE Rent a Car Market Trends & Insights
  13. UAE Rent a Car Market Dynamics
    1. Growth Drivers
    2. Challenges
    3. Impact Analysis
  14. UAE Rent a Car Market Hotspot & Opportunities
  15. UAE Rent a Car Market Key Strategic Imperatives for Success & Growth
  16. Competition Outlook
    1. Competition Matrix
      1. Product/ Solution Portfolio
      2. Target Markets
      3. Target End Users
      4. Research & Development
      5. Strategic Alliances
      6. Strategic Initiatives
    2. Company Profiles of Top Companies (Business Description, Product Segments, Business Segments, Financials, Strategic Alliances/ Partnerships, Future Plans)
      1. Thrifty
      2. Hertz
      3. Emirates Transport
      4. Massar Solutions
      5. Sixt Rent a Car
      6. Fast rent a car
      7. Kayak
      8. Europcar
      9. Avis Rent a Car
      10. Dollar Rent a Car
      11. Others
  17. Disclaimer
UAE Rent a Car Market Segmentation
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