In today’s tech-driven world, users are more inclined toward services with fewer interactions and can get doorstep through a mobile application. For this very reason, there is a huge market for on-demand services such as food delivery, self-care car rental, medicine delivery, movers & packers, and others.
However, in this post, we will talk about the car rental sector.
Over the years, self-driven car rentals have become a large part of the automotive sector. The addition of an online car booking system is another reason that soars up the demand for car rental. Car rental businesses worldwide invest in car booking software development for many reasons.
With car booking app development, car rental businesses are reducing users’ waiting time, providing them services on the go, allowing them to book in advance, etc. With the digitalization of the car rental space, businesses are lowering the overall cost of running a business and the ideal time for vehicles.
Ready to jump on the car rental business bandwagon with an online car booking system? Then, we at Suffescom Solution are ready to assist you in leveraging new technology to offer better service to your customers. Get in touch with our development team over a free demo call and discuss your car rental business application needs.
Let’s learn more about the scope of the online booking software systems in the car rental business without much ado.
Why Invest In Online Car Booking App Development?
The car rental business has seen significant growth and grown exponentially. While in 2017, the car rental market was just around $36,000 million. Within a decade, the global car rental market forecast shall be $1,48,129.4 million by 2027, at an estimated CAGR of 17.8%.
For this very reason, budding entrepreneurs worldwide are investing in online car booking app development and launching their own car rental services.
Are you ready to grow your car rental business by leaps and bounds with our online car booking system? Get in touch with our app development experts and discuss your car rental business needs TODAY!!
Still not sure why an online car booking app is a good investment idea? Here are some interesting facts for you:
According to Statista
- This year, the car rental business revenue is projected to reach US$83.02bn.
- Projected market volume of $1,48,129.4 million by 2027 and is estimated to grow at a CAGR of 17.8%.
- The number of users in the Car Rentals segment is expected to amount to 604.2m by 2026.
- The average revenue per user – is US 193.90 dollars (expected).
- 71% of the total revenue in this segment will come from the online car booking system by 2026.
- In global comparison, most revenue will be generated in the United States (US$25,590.00m in 2022).
How You Can Generate Money From Online Car Rental Booking App?
Generating money from renting a car is just a single source of revenue for your car rental business. However, with an online car rental booking app, you generate multiple other revenue streams as per your specific business needs. Look at the popular revenue generation options:
- Trip Commissions
Your car rental business will generate most of the revenue from trip commissions. As the platform admin, you can charge a fixed commission on each car rental. The trip commission usually varies from 15 to 25 percent per industry standards. However, as platform admin, you can change the trip commission to offer competitive prices to your customers.
- Surge Pricing
As the demand for car rental increases, you can charge a surge pricing for your customers. The online car rental booking system has advanced algorithms that allow you to charge a higher fee depending upon the demand and supply rule.
- Cancellation fee
Although this feature is not a revenue generation method, but an efficient way keeps the ride cancellation to a minimum. In this, you will charge a fixed cancellation fee when a user cancels a ride.
- In-App Advertisements
In-app advertisements are another way of generating revenue via your online car rental booking system. With your own car rental software, you can leverage your user base to build tie-ups with brands to promote their products and services on your platform.
Depending on which revenue generation methods fits well within your specific business model, you can opt for any one of them or all.
So, now you know how to generate money from your car rental business. Let’s have a look at the different types of car rental services you can offer online car rental software.
Online Car Rental Software For Different Types of Car Rental Services
With a wide range of vehicle fleets, you can serve a wide range of customers looking for different kinds of car rentals and vehicles. Have a look at the different types of car rental services businesses that our car rental software serves:
- Economy cars – Customers require these types of rental vehicles generally for the daily commute or when they are looking for budget-friendly trips. The rental cost of these vehicles is low and provides high value for budget travelers.
- Compact cars – Compact cars usually have a niche customer base. These are best suited for a daily commute and short trips and offer relatively larger seating space and comfort as compared to economy cars.
- Sedans and SUVs – Customers require these types of rentals for four reasons: performance, comfort, power, and long drives. The rental cost of these vehicles is high and has a niche customer base.
- Luxury cars – In this car rental service, customers usually look for cars of premium brands such as Audi, BMW, Volvo, etc. As the rental cost is high, celebrities, politicians, businessmen, and high-income individuals rent them according to their needs.
- Electric Cars – Electric cars are still in nascent stages, but the demand is growing to rent out these vehicles. These rental vehicles are generally used for local commutes or short trips. The demand for electric vehicles is slowly increasing in the market, thus making it a great rental vehicle to add to your fleet.
It doesn’t matter whether you provide luxury car rental service or have different types of vehicles in your rental fleet. With our online car rental booking system, managing every aspect of the business will be a cakewalk for you.
Basic Attributes Of Our Car Rental Booking System
- User Profile
- Rent Vehicle
- Estimated waiting time
- Vehicle Tracking
- Multi-Integrated Payment Methods
- Push Notifications & Alerts
- Driver Review & Rating
- Car Rental Prices
- Vehicle Rental Options
- Schedule bookings
- Auto Invoice
- View Booking History
- View Trip History
- Driver Profile
- Toggle Availability
- Route Optimization
- Accept/Reject Incoming Requests
- Push Notifications & Alerts
- In-app Call and Chat
- Live Tracking
- Reviews and Ratings
- Completed Trips
- Accept online/offline payments
- Admin Dashboard
- Manage Customers
- Manage Drivers
- Manage Payments and Surge Pricing
- View Rating and Reviews
- View Reports
Ultra Modern Features For Our Car Rental Software
Over the years, the car rental business has seen exponential growth and attracted many new players to enter this profitable business venture swiftly. To survive this tough competition, it is vital to provide your customers with ultra-modern features and enhance their overall experience. Take a look at some of the advanced features you can add to your car rental software.
- Phone Number Masking
With phone number masking feature, both users and drivers can mask their phone numbers when using the in-app call feature.
- Loyalty Programs
To ensure that users will keep on taking your car rental services, loyalty programs are effective methods. Loyalty programs such as offers, discounts, and coupons are best to ensure that customers will keep on taking your services.
- Multi-Lingual Support
This is a must-have feature if your target audience is multi-lingual or you plan to provide car rental services in different international locations.
- Social Login/Sign-Up
Integrating social media accounts with sign-in and sign-up procedures makes it easy for both users and drivers to register with the platform.
- Fare Calculation
With this feature, the users on the platform can calculate the estimated cost of a trip before even availing the car rental booking services.
- Bill Splitting
This is an interesting feature with which you can allow users to share the total rental expense and split the bill between them.
Additional Functionalities For Your Car Rental Business App
To ensure that your customers will keep on taking your car rental services, you can plan to add these proven profitable features as per your business model. With these features, you can stand apart from others and offer better car rental services to your customers.
- Intercity Traveling
There is a great demand in the car rental market for intercity travel as people frequently travel for work purposes or leisure. With this feature, you can widen your target audience and ensure that your users have everything on a single car rental business app.
- Daytime Packages
Daytime rental is where your car rental business will face huge competition and generate the most revenue. To dominate this segment, you need an engaging marketing strategy and lucrative rental packages to offer better value to customers.
- Membership Plans
Popular car rental service providers like Uber offer membership plans to offer better pricing and services to their prime membership riders. Allow users to choose a membership plan as per their particular car rental needs.
- Car Pooling
Carpooling is an interesting feature with which you can allow users to share their rides with other fellow riders. Carpooling lowers the trip’s overall cost for riders, and drivers earn more than usual for car rentals.
Remember to stand apart in the competitive car rental business; you always look to serve your customers better and offer them something to enhance their overall experience. Adding features to your car fleet like wheelchair compatibility, child-seat support, and mobile charging are just common add-ons to provide riders with a rich experience during the drive.
Our Step-by-Step Self-Drive Car Rental Software Process
Look at the overall car rental app development process to understand how we provide end-to-end app development solutions to our customers. We have divided our car rental app development process step by step for easy understanding.
- Project Analysis – In this application development phase, we first understand the client’s specific business requirements, and app development needs to be based on the initial input from the customers.
- Project Planning – After carefully analyzing the client’s application requirements, our development team starts planning the project and creating project milestones before moving further on to the development stages.
- Project Development – After getting approval for the wireframes and app designs, our app development team will move forward with the car rental app development. We keep our clients informed about the app development and take feedback from them after completing every project milestone.
- App Testing – In this phase, the application goes through different testing phases such as functional testing, stress testing, load testing, and others to ensure that the application works in the way it intended.
- App Deployment – After ensuring that the application is working fine and the client’s approval, our team will move forward to the deployment stages. As agreed, we will deploy the application on multiple platforms to ensure that the application reaches a wider target audience.
- Maintenance And Support – Every application needs maintenance and support for fine-tuning, fixing bugs, and as per the feedback provided by the customers. To ensure that your application stays competitive over time, we offer our post-deployment maintenance and support services.
How Much Does It Cost To Build A Car Rental Software?
Before moving further with your new business venture, knowing how much money you need to put in for online car booking app development is vital. When it comes to car rental software development cost, multiple factors weigh in that directly impact the overall development cost. Factors such as features of car rental software, app complexity, UI/UX design, software development partner, location, hourly rates, and many more.
Factors that impact the overall rental software development cost are:
- Native Android/iOS
- Application Tech-Stack
- App features & functionalities
- App features complexities
- Development team expertise
- App UI/UX Design
- Maintenance Plan
As multiple factors directly impact the overall development cost, providing the car rental software development cost is difficult. However, the estimated development cost will be somewhere between $15,000 to $30,000, which might go up depending on the factors discussed above.
Want to know the exact development cost of your self-drive car rental software? Get in touch with our development team over a free consultation call. Today!!
We at Suffesom solution are your right app development partner, whether you are looking to develop a car rental booking software system or need any tech advice. Our tech support team is always ready to lend an ear and assist you in helping your business grow with our reliable software solutions.
Tell our development team what you want in your car rental software, and we’ll take care of the rest.