Why are rental cars so scarce?
Why are rental cars so scarce? Halfway through 2022, and some rental firms still don't have enough cars because of a shortage of automotive chips. Manufacturers haven't built as many vehicles, and they have prioritized production of high-margin models (rather than the small, cheap vehicles holidaymakers typically rent).
Which state has the most rental cars?
California (3,698 businesses), Florida (2,869 businesses) and Texas (2,567 businesses) are the States with the most number of Car Rental businesses in the US. What costs do startup businesses in the Car Rental industry in the US need to be aware of?
Why is there such a shortage of rental cars?
That is because the shortage of semiconductor chips that has held up auto manufacturing persists, leaving rental car companies to operate with lower inventory after they sold off chunks of their fleets in the early days of the pandemic. Building that stock back up has been more difficult than expected.
Are rental cars still scarce in 2023?
Through 2023 at least, limited vehicle availability will continue. However, most experts report some recovery on the horizon. There were finally early signs of increased allocation to rental fleet channels in fall 2022. Operators still need to be clever in how they source cars as we inch toward supply recovery, though.
Why are rental cars so expensive again?
Car rentals cost more than they did a few years ago due to many different factors, but primarily because of supply chain issues related to the COVID-19 pandemic. As demand for rental cars fell, rental car companies sold segments of their fleets to stay in business during the lean times.