The Demand for Car Leasing in UAE is Expected to Register Growth in the Near Future

by Ankur Gupta Market Research

The share of car rental in UAE is the second largest within the entire car rental market in Middle East region with a major contribution in overall revenues in 2015. Hertz Corporation, Thrifty, Europcar, Sixt and Avis Budget have been the leading players in the UAE car rental market.
The growth in the number of tourists in the country has been majorly due to expansion of Emirates airline’s and Flydubai’s fleet network. The growth in Dubai’s cruise industry has helped by the opening of a third cruise terminal and better accessibility to Dubai. This has led to the rise in the number of tourist attractions in the country. Moreover, with an increase in the enterprises across UAE, the demand for vehicle leasing has enhanced.
UAE car rental market has majorly been driven by Dubai car rental market. The industry is showing encouraging signs of growth presently and is expected to register consistent growth in the near future. The industry is estimated to record growth on account growing consumer spending on travel and tourism. It is estimated that the industry will grow in the next 5 years with an increase in the number of international visitors and growing preference towards self drive car rental market.
The competition in this industry is envisaged to remain same since the newer players owing to their sheer fleet size will not gain much recognition in the market. Hence, the market will be guided by theses major players mainly Hertz, thrifty, super price rent a car and others. However, the role of car lease aggregators is likely to enhance backed by higher demand for cars leasing.
UAE Chauffeur driven car rental market has been broadly segmented on the basis of revenue from on-airport and off-airport or local markets
The contribution of online booking to the overall Chauffeur driven car rental market in the UAE has enhanced since consumers have become price conscious and look forward in search of best deals. Majority of the international tourists prefer online booking as compared to station or physical booking due to better internet speed and ease-in-accessibility.
The toll payment in UAE is similar to that in European countries. The toll road users are not required to pay at the toll booth because all the payments are made via pre-paid card. These pre-paid cards in UAE are called as Salik Cards.
For more information on the market research report please refer to the below link:
https://www.kenresearch.com/automotive-transportation-and-warehousing/automotive-and-automotive-components/uae-car-rental-leasing-market/42906-100.html