The North American market suffered greatly during the pandemic and sold most of its vehicles during the COVID-19 lockdowns. However, with the resumption of travel and the reopening of the market, the demand for car rentals has increased more than before the pandemic. According to Kayak, a travel search engine, searches for car rentals and luxury car rental prices skyrocketed during the holiday period, from 12/11/2020 to 07/01/2020, compared to 2019. According to the search engine, searches for luxury cars in 2021 increased by 230% compared to 2019 and 243% compared to 2020. Meanwhile, the average daily cost of rent is 75% higher than in 2019 and 66% higher than in 2020. Porsche Cars North America and Wheels Up, a private aviation company, have teamed up to offer their high-end customers VIP service and unparalleled lifestyle experiences, from ground to air travel. The partnership grants Wheels Up members access to exclusive benefits of the Porsche Drive vehicle subscription service and a 10% discount on short-term rentals.
Currently, Europe holds the third-largest market share; however, it is expected to exhibit the highest compound annual growth rate (CAGR) during the forecast period. Europe also faced the problem of selling inventory during the pandemic, amid increased demand after the pandemic. For example, thousands of tourists visit the city of Malaga in Spain every year as a gateway to Spain’s famous Costa del Sol. These tourists are used to spending a maximum of $600 per week on luxury car rentals.
The rest of the world is made up of Latin America and the Middle East and Africa. The Middle East is anticipated to contribute significantly to the growth of the market. This can be attributed to the region’s wealth and the developed travel and tourism industry. In 2021, Amazon started offering car rentals in Sharjah, Dubai, Abu Dhabi, Ajman, and Ras Al Khaimah.