Market Size of Asia Pacific Tourism Vehicle Rental Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 8.50 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Asia Pacific Tourism Vehicle Rental Market Analysis
Asia-Pacific Tourism Vehicle Rental Market is valued at USD 29.87 billion in the current year and is anticipated to grow to USD 48.40 billion by the next five years, registering a CAGR of 8.5% in terms of revenue during the forecast period.
Over the medium term, tourism is rapidly growing while experiencing deepening diversification and becoming one of the fastest-growing economic sectors in the region. Modern tourism is closely linked to development and encompasses a growing number of new destinations. These dynamics turned tourism into a key driver for socio-economic progress. As tourism is a huge market, the demand for vehicle rentals is growing around the region.
Technology is an important factor that is expected to boost the market over the forecast period. The increased use of information technology is transforming the industry and allowing operators to provide better services to their customers. It includes the use of optimized customer information management, as well as the creation of user-friendly internet booking applications.
Tourism Car rental companies are developing strategic partnerships with corporates, airlines, insurance companies, and universities to reduce the percentage of single-occupancy vehicles while touring. Global car rental company Sixt SE is a trusted last-mile rental partner for many Asian Airlines such as China Airlines, Thai Airways, etc.
Increased concern and awareness of lower emissions primarily led to an increase in car rental options. Additionally, vehicle rental also provides the option of increased mobility without the concern of paying the costs associated with car ownership. These services are offered via websites and through other online platforms, which helped the growth of the tourism vehicle rental market.
Asia Pacific Tourism Vehicle Rental Industry Segmentation
A tourist rental vehicle is a self-propelled vehicle capable of being used for the temporary living, sleeping, or eating accommodation of persons on a rental basis for traveling and tourism purposes.
The Asia-Pacific tourism vehicle rental market is segmented by vehicle type, booking mode, end user, and country. By vehicle type, the market is segmented into economy and luxury/premium. By booking mode, the market is segmented into online booking and offline booking. By end-user, the market is segmented into self-driven and rental agencies. By country, the market is segmented into China, India, Japan, South Korea, and the rest of Asia-Pacific.
For each segment, the market sizing and forecast are done based on the value (USD).
| By Vehicle Type | |
| Economy | |
| Luxury/Premium Class |
| By Booking Mode | |
| Online Booking | |
| Offline Booking |
| By End User | |
| Self Driven | |
| Rental Agencies |
| By Country | |
| China | |
| India | |
| Japan | |
| South Korea | |
| Rest of Asia-Pacific |
Asia Pacific Tourism Vehicle Rental Market Size Summary
The Asia-Pacific tourism vehicle rental market is experiencing significant growth, driven by the rapid expansion and diversification of the tourism sector in the region. This sector has become a crucial component of socio-economic development, with modern tourism linking closely to new destinations and experiences. As a result, the demand for vehicle rentals is on the rise, supported by technological advancements that enhance service delivery through optimized customer management and user-friendly online booking platforms. Strategic partnerships with corporates, airlines, and other entities are further bolstering the market, as companies aim to reduce single-occupancy vehicle usage and promote sustainable travel options. The increasing awareness of lower emissions and the desire for mobility without the costs of vehicle ownership are also contributing to the market's expansion.
The market is poised for substantial growth over the forecast period, with investments in sustainable and community-based tourism projects playing a pivotal role. Initiatives by government bodies, such as the Ministry of Tourism and Creative Economy in Indonesia, are expected to drive demand for car rental services by enhancing infrastructure and attracting more tourists. The rise in road trip interest and the emphasis on comfort and safety post-pandemic are additional factors fueling the market. Online booking services, particularly through mobile applications, are becoming increasingly popular, offering convenience and real-time vehicle monitoring features. Key players in the market, including Zoomcar, Drivezy, and Sixt SE, are expanding their operations and fleet sizes, further propelling the market's growth trajectory.
Asia Pacific Tourism Vehicle Rental Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.1.1 Rise in Tourism Sector Across the Region
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1.2 Market Restraints
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1.2.1 Rise in Fuel Prices Restrict the Market Growth
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Suppliers
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION (Market Size in Value (USD))
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2.1 By Vehicle Type
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2.1.1 Economy
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2.1.2 Luxury/Premium Class
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2.2 By Booking Mode
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2.2.1 Online Booking
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2.2.2 Offline Booking
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2.3 By End User
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2.3.1 Self Driven
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2.3.2 Rental Agencies
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2.4 By Country
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2.4.1 China
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2.4.2 India
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2.4.3 Japan
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2.4.4 South Korea
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2.4.5 Rest of Asia-Pacific
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Asia Pacific Tourism Vehicle Rental Market Size FAQs
What is the current Asia Pacific Tourism Vehicle Rental Market size?
The Asia Pacific Tourism Vehicle Rental Market is projected to register a CAGR of 8.5% during the forecast period (2024-2029)
Who are the key players in Asia Pacific Tourism Vehicle Rental Market?
eHi Car Service Limited, Zoomcar India Pvt. Ltd., Hertz Corporation, Carzonrent India Pvt. Ltd. and Sixt Rent a Car, LLC are the major companies operating in the Asia Pacific Tourism Vehicle Rental Market.
