Industry Analysis & Industry Trends
The Car Rental and Leasing industry struggled prior to and during the economic downturn. However, a number of factors have driven an acceleration in industry growth in subsequent years. Since 2010-11 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 3.5% in 2015-16, as stagnant global economic conditions are anticipated to weaken business confidence and tourism levels, while growth in the real effective exchange rate impedes growth.
Industry revenue is estimated to rise at a compound annual rate of 5.5%... purchase to read more
Industry Report - Industry Analysis Chapter
The Car Rental and Leasing industry has expanded over the past five years, although a degree of volatility has been evident. Prior to 2010-11, the industry suffered from major declines in demand and intense pricing competition. Demand was propelled by rampant growth in business confidence, tourism and government capital expenditure in line with improving economic conditions. This led to buoyant growth in 2011-12. However, revenue once again declined in 2012-13 as the economy wavered. Industry revenue is expected to grow at a compound annual rate of 5.5% over the five years through 2015-16 to total £13.6 billion.
Revenue has increased strongly in recent years, although growth is expected to slow to 3.5% in the current year... purchase to read more