An online car rental booking system facilitates its customers to hire a car at rent anytime from a vast range of fleets. Various businesses are coming forward to reap the advantages of car-sharing services by hiring a reliable online car rental booking system development company.
Customers can easily browse the database of available vehicles to find their preferred vehicle and book it with ease.
According to the report of Allied Market Research, global car rental revenue in 2019 was $92.92 billion. By 2027, revenue from this business is projected to reach $214.04 billion at a CAGR of 10.7%.
The car rental business has experienced substantial growth in recent years, driven in part by the widespread use of smartphones and car rental apps.
Since the unprecedented time of Covid-19, online car rental booking business growth has decreased. Now that the market has recovered, it should come as no surprise that investors are investing in car rental system development.
If you are also willing to invest in a car rental online booking system, then knowing the advantages of the car rental system would be in your interest.
This blog will also provide you with a brief of the car rental online booking system business growth, and how an online car rental reservation system can be developed.
Table of Contents
Introduction of Car Rental System
All the activities involved in the car rental booking business can be streamlined and automated with the car rental system.
People who need to rent a car are connected to companies that can meet their needs through car rental software.
An online car rental software system is also meant to keep track of the vehicles, staff, and bookings. Car rental companies use the system to manage their fleets of cars and receive information regarding their available vehicles, running reservations, and car locations.
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Find Out How the Car Rental Business is Growing sustainably?
Here are some interesting facts about the growth of the car rental business worldwide.
Note: This information is from statista.com; visit their website for the original report.
- Car rental companies are rapidly adapting and improvising to accommodate the needs of consumers, which should lead to $164,335 million in revenue by 2022.
- In 2021, the global car rental business is estimated to generate $72,339m in revenue; that too alone in the USA.
- In the same report, the car rental market is forecast to grow at a rate of 11.75% by 2025, resulting in revenue of US$112,809m.
- It is estimated that by 2025, there will be 588.5 million car rental users.
- By the year 2025, the user penetration rate has increased to 7.5%, from 4.8% in 2021.
- It is estimated that each user will generate an average of $199.44 in revenue.
- Online sales will generate 70% of the total revenue of the car rental industry by 2025.
- In terms of revenue, the United States will dominate the world with a US$22.424.1m revenue in 2021.
What Are the Major Advantages of Online Car Rental Booking System?
Below we have listed the top 12 advantages of the car rental system.
- Online Booking Made Simple and Instant
This is one of the most obvious advantages of online car rental system development.
Your potential customers will be able to book a vehicle from wherever they are, at any time, thanks to the car rental system development.
As a result, this convenience will improve your customers’ experience, and as a result, increase your revenue.
- Effective Fleet Management
A car rental fleet management system makes it easy for business owners to manage all their vehicles in one place.
The business owner can add or remove vehicles from the fleet and check the status of live bookings status.
- Automatic Fare Calculation
Based on the date, time, and vehicle type, the online car rental software program automatically calculates and provides the fare to customers.
The software can be set to calculate fares using different parameters set by the business owner. By using this booking system, businesses can avoid some issues pertaining to the traditional booking system, such as price negotiations, and reduce the risk of miscommunication with their customers.
- Fuel Consumption Tracking
An online car rental reservation system lets users track fuel consumption and charge it off automatically on their bills.
As a result, business owners will be able to build a transparent relationship with their clients.
This feature also helps to analyze the vehicle’s health. When fuel consumption is higher than expected, a vehicle needs to be serviced.
- Be Informed With the Customer and Driver Information
Car rental online booking system stores the information of the driver and customer and makes this information available to business owners.
A business owner can also permanently delete the account of a customer or user if necessary.
- Billing Made Easy
Online car rental businesses face many challenges, including generating invoices for customers.
A car rental system development company can simplify this time-consuming process to a great extent.
Car rental software can generate the invoice itself as soon as the trip ends by calculating the fuel consumption, km driven, rented time, and so many other things.
An invoice is generated and shared with the customer along with a detailed breakdown of charges and a payment link so that they can make the payment instantly.
- Round the Clock Availability
One of the greatest benefits of an online car rental booking system is its availability 24 hours a day, 7 days a week.
Offering round-the-clock support will boost the company’s revenue by enticing more customers.
- Real-Time Vehicle Tracking System
Car online booking system developers can integrate the software with Google Maps to allow business owners to track the real-time location of all of their cars.
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- Anti-Theft Alert
How likely is it that the car will arrive on time and healthy? How will you feel if your car is taken away by a driver? A car rental company faces the following questions frequently.
Besides tracking the location of rented vehicles, rental company software allows you to immobilize them if suspicious movement is spotted.
- Keep Track of Fleet Maintenance and Damage
Car rental app development companies should integrate the app with functionality to keep the business informed about fleet maintenance and damage.
As a result, the utilization of the vehicle can be maximized; so does the income. In case of any damage to the vehicle, the business owner will be notified immediately.
- Track the Car Availability
Even after the customer confirms the booking, it is still a long process to confirm the availability of the vehicle.
Sometimes the company might fail to fulfill the needs of the customers. A car rental booking software program will provide the customer with a list of all the available cars during their specific date and time.
- Provide More Convenience
If the online car rental business is expanded to multiple locations, having the convenience of an online reservation system for a car rental business will help you manage all your business operations efficiently.
Furthermore, the car rental software can be scaled up and down depending on the customer’s demand.
How Do I Build an Online Car Rental System?
You may be influenced to change from a traditional to an online booking system if you take into account the advantages of the online car rental system development noted above.
You can dramatically increase the operating efficiencies of your company by making this change, but you may be intimidated by its complexity.
There are two ways of car rental portal development: either you can choose an off-the-shelf product such as a white-label solution or customized online car rental booking software development.
We’ll cover the pros and cons of both approaches in the following paragraphs.
The market is full of ready-to-use solutions that allow you to launch your car rental business in just a few days.
What are these off-the-shelf or white label products? The term refers to software that one company develops, rebrands, and then sells to another company.
You might need the assistance of a white-label car online booking system developer if you are uncomfortable with the setup of readymade solutions. They can help you set up the system and guide you through its operation.
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Customizing these business solutions to fit the specific needs of each customer can be performed easily; however, they still only cover business operations at the most basic level. If you want to add some unique functionality to your car rental fleet management system, then you should consider customized car rental software development services.
Customized Car Rental Online Booking System
By going this route, you will obtain a personalized car rental software application that accommodates your specific needs.
In this way, you will be able to improve your business operations and increase your chances of beating your competition.
For that purpose, you need to hire a leading car rental software development and taxi app development company with a remarkable development journey of developing personalized car rental software.
A customized app can be extended in the future to add additional functionality and features, which is hard to do with white label solutions.
Moreover, customized car rental software can also be integrated with third-party solutions.
Why Is BR Softech Likely to Empower My Car Rental Business?
BR Softech holds vast experience in cultivating the online car rental booking business.
Our highly skilled team of car online booking system developers is always eager to help our clients develop a powerful and engaging car online reservation system that will help to make them the leader in their industry.
Along with car rental booking software development, BR Softech also holds expertise in other domains such as truck booking app development.
Feel free to inform us about your requirements and we will do our best to meet them.
BR Softech Pvt. Ltd. excels in providing cost-effective IT Solutions. Established in August 2010 with over 10+ years of rich experience. An Apex rated IT serving company around the world. Our team of innovative and creative designers deals in web designing, mobile/ software development and other digital marketing services intending to deliver outstanding digital outcomes.