Tech and Temporary Transportation: Which Advancements Are Shaping The Car Rental Industry
In the United States, more than 93% of households have access to at least one car as of 2020, but the car rental industry is still alive and well in the 21st century, both in America and around the world.
The vast majority of car rentals are completed for one of two reasons: as a service or insurance replacement, or for leisure. This means that when someone’s daily vehicle is out of commission, or when they are looking to enjoy a sense of luxury, they turn to car rentals. Like much of the automotive industry, car rental is one space that has been significantly impacted by technology, and these are some of the most prevalent influences in that shift.
Digital Booking and Alternative Platforms Are Reshaping The Experience
An old trope in car rentals is that the experience is rather clunky. That is to say, many people are primed to wait in line at a counter, and to have only a vague sense of control over the type of rental car they receive. However, the rise of apps and accessibility is changing the industry materially.
Car-sharing services like Turo, Getaround, and Zipcar allow users to select the exact vehicle they want to rent with included insurance and simple pickup/drop-off options. These platforms make renting a car feel more like online shopping, and they modernize the entire experience for users so it’s no longer such a chore to rent a car.
Rental Companies Are Hedging Against Theft with Satellite Systems
Car rental companies have been exploring the option of tracking their vehicles for nearly 20 years — it’s a concept that makes some drivers uncomfortable, but it’s in the best interest of everyone involved when assessed realistically, and modern advancements have made it more feasible than ever.
Anti-theft satellite systems can be monitored from drivers’ smartphones, empowering them to keep track of their rental car easily and giving them the option of alerting the company immediately should it go missing. This is the sort of integration that simply wasn’t possible a mere five years ago.
Eco-Friendly Vehicles Are Taking Center Stage
One of the biggest ways that technology is influencing car rentals is simply by changing the industry’s ethics. As automotive tech advances, consumers’ expectations rise in kind; this means that more and more people renting cars are interested in options like electric vehicles.
Interestingly enough, the vast majority of consumers who are interested in renting electric cars — over 90% of them—simply want an economy vehicle, so vendors are including a large number of basic models in their fleets, and only a select few luxury versions.
As technology continues to shape the future of automobiles, there is no question that it will also influence the world of car rentals. Whether it’s by enhancing the renter experience, providing more comprehensive security, or changing the way consumers approach vehicles in general, technology will no doubt play a large role in the trajectory of the car rental industry.
