India’s growth in the car rental market was the largest unorganized market to date. Due to abundant cheap labor, and car rental in India is often considered a driver-driven vehicle. moreover, which is otherwise considered a luxury in high-income countries. Self-Drive Car Rental Market in India 2020-2021
The self-Drive Car Rental Market 2020-2021 was unheard of In Indian until 2005 when Hertz launched its licensed operations called Carzonrent, creating a niche.
The segment remained a niche until 2019 when Fico mobility launched its operations in Bangalore with a fleet of 10 vehicles.
which has now gone past 6,000 as of June 2021.
MARKET DYNAMICS- Self-Drive Car Rental Market in India 2020-2021
The self-drive car rental market in India 2020-2021. And is primarily driven by a gap of 130 million driving license holders. And 30 cars/1000 people in 2020 for car owners. Also, there is also a compact carcass that measures 3.6m in length. Furthermore is powered by 1L of gas. Engine owners who prefer to rent a large, safe, and powerful vehicle for intercity trips. About 40% of the new cars sold in India belong to this segment.
Over the past 12 months, there has been a growing trend of investment in self-drive car rental operators by car manufacturers.
Maruti started it in Fico Mobility back in 2020, followed by Mahindra in Zoom cars in 2019
Hyundai in Revv in 2020, and now Mahindra again in Zoom cars in 2021.
MARKET SIZE AND FORECAST
The self-drive car rental market in India is heavily focused on tier-1 cities like Mohali, Panchkula, Chandigarh, Mumbai, and Pune. currently, Till 2019, about 60% of the rental used to happen on weekends. then which has now increased to 75% as of May 2021.
The rental charges typically range from 1500 INR per day for small cars to 15,000 per day for bigger SUVs and luxury cars, with a 15-20% variation simultaneously, subsequently, then between Months and weekends.
We believe, the self-drive car rental market in India. Including estimated at 100 Million in 2021 is massively under-penetrated. And there is very powerful growth potential.
The self-drive car rental market size in India. And will grow to 100 Million by 2021.
There have been many new entrants in the self-drive car rental market in India.
but the market structure has remained more or less the same.
The older entrants like Fico Mobility, Zoomcar, and Revv have consolidated their position, increased
their fleet size, and expanded to many centers. after, afterward, at last, before, currently, during, earlier, immediately, later, meanwhile, now, recently, simultaneously, subsequently, then
Fico, the market leader in the ride-hailing market in India has announced.
Second, That it will enter the self-drive car rental market but only in the luxury and corporate leasing segment.
To know more about the ride-hailing market in India. Read our report on Car rental, first, second, third
Almost all operators, started operations from 5-6 metro cities and are constantly looking to expand.
and their services to smaller cities and even internationally to attract a new set of consumers.
Most of the operator’s Ex Zoomcar, then Fico Mobility has now adopted an asset-light business model i.e. Moreover, they source cars from taxi operators, private owners, and institutions to improve their margins and reduce their and liability.
The cars sourced from private owners via leased programs now make up for 10-13% of the total fleet size.