The first thing that comes to mind while planning a journey to another city or location, whether it be for a vacation or a business conference, is to set up suitable transportation. Even while public transit is virtually always an option, it is still not regarded as the most convenient option. Not to mention that it takes a little longer to get where you’re going than it would if you were to use your own car. So, renting a car is ultimately the best option that occurs to you.
And because we live in a digital age, we can easily rent a car nowadays based on our convenience and want to simply use our mobile phones. Because of the inherent advantages it provides to both car owners and travelers, the auto rental app has actually turned into a win-win situation. While a passenger can ride in comfort to their destination, the owners can make a sizable profit by renting out their vehicles. Let’s examine some statistics to see what the global market for automobile rental apps looks like.
- By 2024, the market for automobile rental apps is predicted to generate earnings that will increase by 18.5% annually.
- By the end of 2024, the market for car rental services will be worth $105,285m.
- Car rental applications alone in the US produce an average of $623.95 in revenue each year.
- There will be 549.2 million users of automobile rental apps worldwide by the year 2024.
Many new and established marketers enhanced their offerings in response to the market for car rentals’ phenomenal expansion and released a feature-rich car rental app onto the world stage. Let’s examine a few of them.
Hertz is the first and main company that comes to mind when we discuss vehicle rental apps. Walter Jacobs created one of the first and most well-known car rental companies in 1918. The world’s largest vehicle rental company currently runs more than 10,200 corporate and franchise offices in key locations throughout North America, Latin America, Asia, Europe, and other regions. Additionally, Hertz has moved its services to the web and mobile apps in order to better meet the unique needs of contemporary users. The company’s website received around 7 million unique visitors, according to reports. Additionally, Android and iOS customers downloaded tens of thousands of Hertz mobile apps.
One of the world’s most innovative providers of automobile rentals is Avis. Warren Avis established it in 1956, and as of that point, it was the first rental car agency to provide services at airports. Today, Avis has expanded into a global business with operations in close to 6000 sites in 165 nations. In order to meet the needs of its digital consumers, it, like Hertz, released a vehicle rental app on the international market. You can easily lock and unlock your car using the Avis car rental app, and you can even flash the lights to let other drivers know where your vehicle is parked.
In 2018, Skurt, a car-rental startup with headquarters in Los Angeles, was established. Since then, the business has put a lot of effort into building its brand recognition on a global scale. And as a result of their excellent work, Skurt was able to get over $10 million in Series A funding to expand their automobile rental services. The app works rather simply; after a user books a car using the app, Skurt makes the automobile available to them within 60 minutes of the booking. In addition, Skurt functions as a peer-to-peer service by connecting the travellers with the fleet owners directly. Los Angeles, Miami, and San Diego are the current locations where the company’s services are offered.
- Move About
The last but certainly not least is Get Around, another well-known company in the car rental industry. With the Get Around car rental app, you can easily reserve thousands of vehicles, including Tesla, BMW, and Toyota. Additionally, you may smoothly lock and unlock the car using the smartphone app, as well as check the fuel levels if necessary. You may avoid meeting the automobile owner in person by using this feature-rich app, which ultimately saves a tonne of time and money.
Why is Turo popular?
When it comes to car rental services, Turo is well-known. Since its founding in 2009, the service provider has generated enormous earnings by letting tourists rent cars in accordance with their needs. In addition to the USA, UK, Canada, and other top nations, Turo actively assists travellers worldwide. Customers may easily select the ideal vehicle for them, whether it be a jeep, a sedan, an F-150 truck, or even a vintage VW bus. The best thing is that the rental firm has complete insurance on all of the automobiles, so neither the traveller nor the owner needs to worry.
In the international market, Turo has been doing fairly well. Turo is currently used by over 10 million people, according to sources. The powerful auto rental app has about 350,000 registered vehicles as well. In order to take use of all those advantages, one may easily take advantage of this fantastic chance and launch an app like Turo on the global market.
All the advantages that Turo offers its users are listed below:
- A wide selection of vehicles for users, from cars to buses.
- Services that are inexpensive
- The business also provides interested customers with sports automobiles.
- The business efficiently manages the auto insurance coverage.
- A user-friendly and convenient platform.
How does Turo generate revenue?
We have so far talked about some incredible features of the Turo car-rental software that are enticing customers from practically every corner of the globe. Let’s focus on how this powerful app generates revenue presently.
We all know that Turo does not actually own any specific fleets or cars; rather, it simply connects car owners who are prepared to rent their vehicles with the ideal tourists who require them. As a result, the business makes money from every connection it makes. In other words, Turo makes money by charging a commission of roughly 15% of the overall cost, minus taxes. Additionally, the business generates revenue by adding on other costs like delivery fees, mileage surcharges, protection insurance, and so forth.
Turo has also included a unique feature to the app called “Extra” with the comfort of the customer and the organization’s earnings in mind. As the name implies, the function is specifically designed for users who wish to add additional accessories to their vehicle, such as child safety seats, picnic baskets, coolers, and other items. Take a peek at this BMW M3, for example. A BMW rental from another company would likely cost you approximately $200 per day, but with Turo, you can have that incredible vehicle for only $62 per day.
How much does it cost to create a Turo-like car-rental app?
The price of creating a car rental app is dependent on a few key elements, just like any other on-demand applications. We have, to name a few,
- Management Fees
- Cost of Development
- Test Price
- Platform Cost
- Cost of Customization
Would you like to learn more?
Omninos is always available to assist you in the best way possible, whether you want to learn more or design a feature-rich and reasonably priced auto rental app! Our qualified engineers and skilled testers make sure that nothing prevents the expansion of your car rental company.