As car rental subscriptions continue to be a solution in helping the industry adjust to the changing economic landscape, one executive believes the notion might help companies in a number of ways.
MaaS could open up a range of opportunities for car rental companies like Enterprise, which could benefit from increasing revenues from people who give up vehicle ownership for renting a vehicle.
A ResearchAndMarkets.com report predicts that the worldwide rental car industry will experience a CAGR of 7.5 percent within 5 years, citing environmental concerns as a major driver of that increase.
In the wake of car rental companies Enterprise and Hertz introducing subscription packages to their customers, industry experts believe such a move just might be what the doctor ordered.
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The Motor Vehicle Rental Modernization Act will force such companies to abide by current laws that affect car rental companies like Enterprise, Avis, Hertz and Budget, which could balance the scales.
Car rental companies seem to be exploring the Netflix route: charge a monthly subscription and offer a variety of packages according to what types of vehicle models available and amenties.
Many car dealerships struggle to decide whether a rental service within is worthwhile. The demand for vehicle rental availability at a convenient location is ever growing.