Similar to the trend set by ride-hailing giants like Uber, car rental apps are now witnessing a tremendous surge in demand within the industry. The allure of renting a car lies in its comfort and cost-effectiveness, making it a preferred choice for many. Due to these unprecedented reasons, there is an increased number of car rental apps like Turo in the online space.
Yes, almost 65% of the people in the Northern countries are wishing to use rental cars for their professional and personal trips. Henceforth, apps like Turo are sharing a big economy in the entire travel and rental industry.
So, this is the right time for you to seize the opportunity. Let’s make your mark in this thriving industry by launching a robust car rental software solution in the digital space.
Have a deep look at the market overview, a wide range of business types, business model planning, and build the car rental app.
Market Overview: The Use Of Car Rental App
While analyzing the previous year’s reports of car rental apps, I found that the online car rental business has noticed a big growth in the period of 2017-2022, which has shared an average of 90 billion USDs every year.
According to the report of AlliedMarketResearch, it has proven that in the year 2019, online car rental marketplaces yielded about $93 billion. Also, forecasted that by the year 2027, this value will be doubled and can value over 200 billion USD.
In light of this, starting your investment in this industry could rank your revenue to multi-billion dollars. Your sole need is to have the best car rental business strategies.
Read more to capture the enlightening strategies while developing your car rental marketplace.
Analyze Your Car Rental Business Types
It is important to understand what type of business you want to do. The base of this step completely depends on your investment plan. So, initially fix your startup budget. And plan your car rental business model according to your regional demand.
Here I’ve listed some common car rental demands, which will suit all regions.
Car Rentals On Airports
Many people are in great need of finding a rental car in the Airports and in the need to rent it for a certain period. So, these airport car rentals are high nowadays. Creating your car rentals for travelers will tune your profit high.
Luxury Car Rental
Catch the consumers who are looking to use luxury cars on a rental base. Specializing your business model for higher-end luxury and exotic vehicles will give you an expensive business market. Simultaneously, it creates an easy way to earn big revenue in a short span.
Car Sharing Services
This is similar to the ride-hailing apps, the only difference is that there is no driver to take care of the car. Users can rent the cars for short periods, often by the hour, and are usually stationed at convenient locations throughout a city or urban area.
One-Way Car Rental
Making the platform to rent cars one way. Customers can pick up the car at one location, and drop it off at another, where your car rentals are available. This will be flexible for travelers with different start and end points.
Mentioned are some of the vital car rental business types which are usually making demands. There are some more car rental types to pick from, they are,
- Corporate car rental
- Event car rental
- Electric car rental
- Online Travel Agencies
We can discuss these topics elaborately in the further car rental chapters.
Plan Your Car Rental Business Model
I think you might get confused, what is the car rental type or model?
Yes, the above are some types involved in the car rental business types. Based on your locality you can fix your rental type that caters to the demand.
The business model is to exaggerate which process your car rental business is going to work. We can say that the business model will determine your car rental startup investments too.
Peer To Peer Car Rental
This is creating a defined car rental platform to connect individual car rental owners and potential renters. The real-time example is Turo.
In this model, you don’t want to own cars or travel business. It operates on a sharing economy model, allowing private individuals to make their vehicles available for rental when they are not using them.
This way, car owners can earn extra income from their idle vehicles, and renters can access a wide variety of cars for short-term use.
You can also charge the renters and the owners as platform fees. It will be based on the car type and the rental period.
Car Rental Aggregators
A car rental aggregator platform means building an online platform for the users to compare and contrast the car rental options from various car rental companies in a single place.
In this model, the inventory source is from traditional car rental companies, which present a wide selection of vehicles from numerous rental agencies to the users.
Aggregators do not own the car for themselves, instead, they partner with the established car rental companies that provide the fleet.
The booking process in this model will be processed through the aggregators and executed by the specified car rental company’s system.
Let you choose anyone as your car rental business model, and build a successful car rental app.
Build Your Car Rental App
Once selecting your car rental business model and type, you might have a clear idea of how your app should appear.
Car rental app development should process through some significant stages. They are,
1. Conceptualize your rental app and its design
Decide your design concept, that should grab users at a single sight. Analyze and give brief details to your design team about the user interface wireframes and user experience flows.
As a platform owner, you should focus entirely on giving an intuitive user-friendly interface to the users that make the booking and rental process smooth for the car renters and owners.
2. Decide Your Tech Stack
Choose your technology for car rental app development, which includes frameworks and databases. Ask your mobile app development company to give brief knowledge about the tech stack and fix a scalable one that will adapt to all future trends.
3. Work For Essentials
After completing the front and backend development of your car rental app based on your customized design and functional specifications, work to list out the other development sides.
- Fix the user authentication conditions
- Incorporate the car rental core and advanced features.
And finally, execute it by ensuring the app design and its optimization on different devices.
4. Go Through Your Car Rental App With Third Party Integration
It is highly significant to possess other-party integrations, for the seamless functionality of your car rental app. Mention your team to process your essential integrations such as
- APIs to connect the car rental aggregators
- Mapping services for location tracking and navigation.
- Integrate secured payment gateways
Until this, you can complete your car rental app development maximally. The completion of app development will involve other activities that will be completely based on the ideation of your development team.
5. Finalize Your Car Rental App Development
You have to work on the app development that is mentioned above, and also you have to focus on some other responsibilities like
- User authentication and security
- Launch and marketing
- Scrutinization for consistent improvements
- Legal and regulatory considerations
Let’s make your car rental app development fulfilled by concentrating on every stage of the aforementioned stages. Your tedious and smart strategies in the car rental business development will lead you to launch a successful car rental app.
Note: Keeping your customers with high star ratings through immense customer support will always make your brand a high reputation. Also, focus on updating your app to stay ahead in the competitive market.
Time To Go With Makent Cars
Assuredly, this blog will take a deep dive into the critical process of building a car rental app and its fundamental steps.
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