Electric Car Rental Market

Electric Car Rental Market Overview:

The Electric Car Rental market industry is projected to grow from USD 13.09 Billion in 2024 to USD 34.83 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 13.00% during the forecast period (2024 - 2032). Electric Car Rental Market Size was valued at USD 11.39 billion in 2023. The increased presence of top-notch companies and the Internet to customize travel trips, in-car infotainment systems growing online rent-a-car services, and booking engines are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Electric Car Rental Market Trends

• The growth of the automotive market is being driven market growth

 By an increase in government regulations, incentives, and subsidies for electric vehicles (EVs). Government authorities globally are focusing on environmental sustainability and are implementing regulations to reduce carbon emissions. As the automotive industry is a significant contributor to carbon dioxide emissions, regulatory bodies are advocating for the adoption of alternative energy vehicles like EVs. This focus on reducing carbon emissions is acting as a catalyst for market growth, with a higher market CAGR expected as a result.

Additionally, introducing battery-swapping technology is the key trend impeding market growth. Range anxiety is a major problem that hinders the growth of electric cars. Battery manufacturers, suppliers, and OEMs are working on battery-swapping technology that allows batteries to be hot-swapped. Hot-swappable batteries allow you to change batteries in minutes, which solves the remote alarm problem. Changing the batteries allows you to travel 80 miles in 5 minutes, which is very useful for consumers. Replacement costs vary between batteries. It ranges from $80 to $100. Vendors plan to offer replaceable batteries for charging stations for an additional fee. The technology is being tested, but faster availability could help boost electric cars. These factors drive the Electric Car Rental market revenue.

Electric Car Rental MarketSegment Insights:

Electric Car Rental Vehicle Type Insights

Based on vehicle type, the Electric Car Rental Market segmentation includes battery cars, hybrid cars, and plug-in electric cars. The hybrid cars segment dominated the market. New opportunities are expected to arise for businesses to provide customized mobility services that cater to the preferences and requirements of customers worldwide due to the emergence of various market segments. Businesses are anticipated to find new prospects in the segments above for offering tailored mobility services that match the preferences and requirements of customers worldwide.

Electric Car Rental Application Insights

Based on application, the Electric Car Rental Market segmentation includes economic cars, exclusive cars, and others. The economic cars segment dominated the market. The demand for cost-effective and high-end cars depends on the customers' income level. Furthermore, individuals from middle-class backgrounds often choose economical cars for rental purposes.

Electric Car Rental Service Insights

The Electric Car Rental Market segmentation, based on application includes online and offline. The online segment dominated the market; Here's another possible rephrased version. The convenience provided to customers is a significant advantage of this service type, and it is anticipated to play a pivotal role in driving the growth of the global market throughout the projected timeframe.

Figure 1: Electric Car Rental Market, by Service, 2024 & 2032 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Electric Car Rental Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The North American electric car rental market area will dominate this market due to the Internet to customize travel trips, in-car infotainment systems growing online rent-a-car services, and booking engines.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Electric Car Rental Market Share By Region 2024 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe's Electric Car Rental market accounts for the second-largest market share due to the increased presence of top-notch companies. Further, the German Electric Car Rental market held the largest market share, and the UK Electric Car Rental market was the fastest-growing market in the European Region.

The Asia-Pacific Electric Car Rental Market is expected to grow at the fastest CAGR from 2024 to 2032. This is due to the increase in electric car sales and a large customer base. Moreover, China’s Electric Car Rental market held the largest market share, and the Indian Electric Car Rental market was the fastest-growing market in the Asia-Pacific region.

Electric Car Rental Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Electric Car Rental market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The electric car rental industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global Electric Car Rental industry to benefit clients and increase the market sector. In recent years, the Electric Car Rental industry has offered some of the most significant advantages to medicine. Major players in the Electric Car Rental market, including Zipcar (US), Avis Budget Group, Inc. (the US), Enterprise Holdings Inc. (US), Europcar Mobility Group (France), The Hertz Corporation (US), Sixt SE (Germany), Bluelndy (US), DriveElectric (UK), Easirent (UK), Green Motion International (UK), Wattacars (Spain), Zoomcar (India), and Europcar Group (France)., and others, are attempting to increase market demand by investing in research and development operations.

BETA was founded by Michael E. Grilli, PE, with a small team of three working from a Rhode Island office. BETA's goal has always been to enhance the quality of the communities they work and live in by delivering integrated solutions. BETA specializes in planning, engineering, design, asset management, landscape architecture, and construction services for state agencies and municipalities. BETA's test group is testing Joulez's Tesla rentals as the company finalizes its booking smartphone application. Joules intends to establish an EV rental fleet and an all-inclusive support system that allows customers to experience the benefits of driving an EV. Currently, Joules is focused on developing a smartphone app for booking and designing competitively priced rental apartments in New York City, ranging from $75 to $200 per day. Bergdale is interested in collaborating with electric vehicle manufacturers, airport authorities, airlines, EV charging companies, cities, and other parties keen on accelerating the transition to an EV-driven future.

Carzonrent, an Indian car rental company founded by Rajiv Kumar Vij in 2000, has secured exclusive franchisee rights for Hertz International in India. The company has established an EV platform, Plug Mobility, to provide its customers with sustainable and clean mobility alternatives. Plug Mobility aims to introduce 20,000 electric vehicles across India to serve various clients, including corporations, hotels, airlines, governments, public sector undertakings, and small and medium-sized enterprises. The company hopes to reduce carbon emissions by 389 million tonnes over the next five years by creating a uniform EV ecosystem.

Key Companies in the electric car rental market include

• The Hertz Corporation
• Zoomcar
• Enterprise Holdings Inc.
• Drive Electric
• Green Motor International
• Avis Budget Group, Inc.
• Zipcar
• Europcar Group
• Blueindy
• Wattacars

Electric Car Rental Industry Developments

May 2024: Avis Budget Group, Inc. (NASDAQ: CAR) (the “Company”) announced today the pricing of a private offering of €200 million in additional 7.25% Senior Notes due 2030 (the “Notes”) by its wholly-owned subsidiary, Avis Budget Finance plc (the “Issuer”). The Indenture, dated July 13, 2023, under which the company had originally issued €400 million aggregate principal amount of 7.25% Senior Notes due 2030, will apply to the Issues as supplementary notes.

Electric Car Rental Market Segmentation:

Electric Car Rental Vehicle Type Outlook

• Battery Cars
• Hybrid Cars
• Plug-in Electric Cars

Electric Car Rental Application Outlook

• Economic Cars
• Exclusive Cars
• Others

Electric Car Rental Service Outlook

• Online
• Offline

Electric Car Rental Regional Outlook

North America

• US
• Canada

Europe

• Germany
• France
• UK
• Italy
• Spain
• Rest of Europe

Asia-Pacific

• China
• Japan
• India
• Australia
• South Korea
• Australia
• Rest of Asia-Pacific

Rest of the World

• Middle East

• Africa

• Latin America

Electric Car Rental Market Segmentation

Electric Car Rental Vehicle Type Outlook (USD Billion, 2018-2032)

• Battery Cars

• Hybrid Cars

• Plug-in Electric Cars

Electric Car Rental Application Outlook (USD Billion, 2018-2032)

• Economic Cars

• Exclusive Cars

• Others

Electric Car Rental Service Outlook (USD Billion, 2018-2032)

• Online

• Offline

Electric Car Rental Regional Outlook (USD Billion, 2018-2032)

• North America Outlook (USD Billion, 2018-2032)

  • North America Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • North America Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • North America Electric Car Rental by Service

    • Online

    • Offline

  • US Outlook (USD Billion, 2018-2032)

  • US Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • US Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • US Electric Car Rental by Service

    • Online

    • Offline

  • CANADA Outlook (USD Billion, 2018-2032)

  • CANADA Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • CANADA Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • CANADA Electric Car Rental by Service

    • Online

    • Offline

• Europe Outlook (USD Billion, 2018-2032)

  • Europe Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Europe Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Europe Electric Car Rental by Service

    • Online

    • Offline

  • Germany Outlook (USD Billion, 2018-2032)

  • Germany Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Germany Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Germany Electric Car Rental by Service

    • Online

    • Offline

  • France Outlook (USD Billion, 2018-2032)

  • France Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • France Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • France Electric Car Rental by Service

    • Online

    • Offline

  • UK Outlook (USD Billion, 2018-2032)

  • UK Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • UK Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • UK Electric Car Rental by Service

    • Online

    • Offline

  • ITALY Outlook (USD Billion, 2018-2032)

  • ITALY Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • ITALY Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • ITALY Electric Car Rental by Service

    • Online

    • Offline

  • SPAIN Outlook (USD Billion, 2018-2032)

  • Spain Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Spain Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Spain Electric Car Rental by Service

    • Online

    • Offline

  • Rest Of Europe Outlook (USD Billion, 2018-2032)

  • Rest Of Europe Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • REST OF EUROPE Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • REST OF EUROPE Electric Car Rental by Service

    • Online

    • Offline

• Asia-Pacific Outlook (USD Billion, 2018-2032)

  • Asia-Pacific Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Asia-Pacific Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Asia-Pacific Electric Car Rental by Service

    • Online

    • Offline

  • China Outlook (USD Billion, 2018-2032)

  • China Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • China Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • China Electric Car Rental by Service

    • Online

    • Offline

  • Japan Outlook (USD Billion, 2018-2032)

  • Japan Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Japan Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Japan Electric Car Rental by Service

    • Online

    • Offline

  • India Outlook (USD Billion, 2018-2032)

  • India Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • India Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • India Electric Car Rental by Service

    • Online

    • Offline

  • Australia Outlook (USD Billion, 2018-2032)

  • Australia Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Australia Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Australia Electric Car Rental by Service

    • Online

    • Offline

  • Rest of Asia-Pacific Outlook (USD Billion, 2018-2032)

  • Rest of Asia-Pacific Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Rest of Asia-Pacific Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Rest of Asia-Pacific Electric Car Rental by Service

    • Online

    • Healthcare

• Rest of the World Outlook (USD Billion, 2018-2032)

  • Rest of the World Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Rest of the World Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Rest of Asia-Pacific Electric Car Rental by Service

    • Online

    • Offline

  • Middle East Outlook (USD Billion, 2018-2032)

  • Middle East Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Middle East Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Middle East Electric Car Rental by Service

    • Online

    • Offline

  • Africa Outlook (USD Billion, 2018-2032)

  • Africa Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Africa Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Africa Electric Car Rental by Service

    • Online

    • Offline

  • Latin America Outlook (USD Billion, 2018-2032)

  • Latin America Electric Car Rental by Vehicle Type

    • Battery Cars

    • Hybrid Cars

    • Plug-in Electric Cars

  • Latin America Electric Car Rental by Application

    • Economic Cars

    • Exclusive Cars

    • Others

  • Africa Electric Car Rental by Service

    • Online

    • Offline