Industry Analysis & Industry Trends
The Car Rental and Leasing industry struggled during the economic downturn. However, a number of factors have driven acceleration in industry growth more recently. Since 2013-14 improving economic conditions have prompted rising demand from businesses for vehicle leasing and from tourists for car rentals. This has driven strong revenue growth over much of the past five years, although the industry did struggle in 2012-13 as the economy faltered. Revenue is estimated to grow at a more modest rate of 3.6% in 2016-17, as stagnant global economic conditions are anticipated to weaken business confidence and tourism levels.
Industry revenue is estimated to rise at a compound annual rate of 4.1% over the five years through 2016-17 to £14.2 billion... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Car Rental and Leasing industry has a low level of concentration because many firms are small or medium-sized. IBISWorld expects the top four firms to account for 23.1% of industry revenue in 2016-17. The expansion of the industry's larger firms has increased industry concentration over the past five years.
There has been some merger and acquisition activity during the past five years. Major mergers include the Lex and Lloyds TSB Autolease merger in 2009. Enterprise Rent-A-Car acquired commercial vehicle rental firm Burnt Tree in 2014 and City Car Club in 2015. There have also been many smaller mergers between single-operation firms. However, this has had little influence on the industry's concentration level because so many small firms operate in the industry... purchase to read more