Rental Car Research

Currently doing due diligence/ research on the rental car industry. A few major rental companies here on the Big Island can potentially be future business partners aiding with the presence on more EVs on the Island. For now, I’m looking into what trends this industry follows the most, what points of leverage they pursue in business, and how they could be of help to me and vice verse.

Here’s the link I’m initially starting this research with: https://www.marketwatch.com/press-release/car-rental-services-market-outlook-demand-growth-potential-trends-regional-and-forecasts-report-2020-05-15

The top companies are: Avis Budget Group, Hertz, and Sixt.

California does indeed have companies that rent out EVs, one of them is Sixt: https://www.sixt.com/electric-car-rental/#/

These companies use growth and expansion strategies in order to retain a sizeable market share, which makes sense because in the days of Uber and Lyft, companies need to broaden their reach continuously. I’m just not sure exactly what these growth strategies are. The good news is, though, that you could probably categorize “adopting new electric vehicles” as an expansion strategy, as it taps a new market and type of cars. With any luck, I can use that to create a value proposition that one of the companies present on this island will like.

In the rental car industry, the highest-ranked factors of importance for a company is the industry momentum and their return on equity.

Another site tackles a few different trends in the industry: https://hub.wtm.com/the-trends-driving-car-rental/

The link above describes the smartphone revolution and how it impacts ordering and navigating cars; phones will also be the medium by which we interract with these rental car companies. It also describes excess vehicles as an issue, both for the glut it gives companies and for the various environmental concerns they cause. Consumers will soon begin demanding more and more EVs, which is already beginning to be a driving force that these industries cannot ignore. Sixt already offers several high-end luxury EV models. Other than a few other companies, EV rentals are hard to find online.