The Japan Car Rental Market Size is expected to reach USD multi-billion by 2032, at a CAGR of 9.37% during the forecast period 2022 to 2032. The next generation of the car rental market in Japan emerges attractive, with potential in both business and pleasure travel. The burgeoning tourism industry, growth of international air traffic, and increased disposable incomes are the primary drivers of the Japan car rental market.
The rental process of a car is the most popular alternative for tourists who want to explore rural Japan or remote areas, where public transit can be both challenging and expensive. A rental car can also be a cost-effective option when traveling in groups or while carrying a large amount of luggage. The Japanese car rental market is a long-standing and highly saturated industry that provides rental services for all types of vehicles, including vehicles such as cars, buses, trucks, and vans. One of the primary market variables in Japan is the tourism business. The majority of the millions of foreign tourists who visit Japan on a yearly basis choose to rent a car in order to explore the country on their personal circumstances. Car rental companies offer a variety of services and options for travelers, which include GPS navigation systems, English-language support, and price reductions for longer-term rentals. Another critical factor in the Japanese car rental market is the prohibitively expensive cost of owning a car.
Toyota Rentacar, Nippon Rentacar, Orix Rentacar, Times Car Rental (previously Mazda Rentacar), Nissan Rentacar, and Ekiren are the top car rental firms in Japan. Each has hundreds of locations around Japan, supplying cars of all types as well as huge vans, buses, and RVs in some circumstances. Furthermore, there are a number of private reservation websites for international travelers that work with one or more of the rental firms listed above. Rentalcars.com and ToCoo! Travel, for example, provides English online reservations for different rental businesses.
The Japan car rental market is currently in change, owing mostly to the growing popularity of electric vehicles, increasing demand for rental cars, greater internet and smartphone adoption, and a growing population. The industry is expanding due to rising demand for on-demand transportation services. Rising vehicle prices, restricted parking spaces, and increased auto upkeep expenses drive individuals toward utilizing on-demand transportation services for journeys and everyday transportation rather than owning a personal vehicle. As a result of consumers' greater preference for on-demand transportation, the Japanese car rental market has expanded.
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This research report categorizes the market for Japan Car Rental Market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Japan Car Rental Market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segments of the Japan Car Rental Market.
Japan Car Rental Market Report Coverage
|Forecast Period 2022-2032 CAGR:
|Historical Data for:
|No. of Pages:
|Tables, Charts & Figures:
|By Car Type, By Rental Category
|Toyota Rent a car, Nippon Rent a car, Orix Rent a car, Times Car Rental, JR Rent-a-Ca, Rentalcars.com, ToCoo! Travel, Nissan Rent a car, Ekiren, NicoNico Rent a Car, Smile Rental Car, Hertz, Sky Rent a car
|Pitfalls & Challenges:
|COVID-19 Empact,Challenges, Future, Growth, & Analysis
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- In 2022, the airport transport segment is witnessing a higher growth rate over the forecast period.
Based on the rental category, the Japan Car Rental Market is segmented into local transport, airport transport, outstation transport, and others. Among these, the airport transport segment is witnessing a higher growth rate over the forecast period. A major rise in airborne travelers in Japan in the past few years is expected to drive segment growth. Given this trend, many car rental companies are growing their fleets and pushing services at major airfields. Key industry players are present at airports, where clients can obtain round-the-clock automobile rental services, hence promoting segment growth.
- In 2022, the economy cars segment accounted for the largest revenue share of more than 37.8% over the forecast period.
On the basis of car type, the Japan Car Rental Market is segmented into economy cars, luxury cars, executive cars, SUVs, and MUVs. Among these, the economy cars segment is dominating the market with the largest revenue share of 37.8% over the forecast period. The lightweight nature and affordability of these cars are two of the primary elements fueling the rise of this market. As a result, inexpensive cars are becoming more popular for airports and intra-city transport in Japan.
- In 2022, the online segment accounted for the largest revenue share of more than 64.2% over the forecast period.
On the basis of the mode of booking, the Japan Car Rental Market is segmented into online and offline. Among these, the electronics segment is dominating the market with the largest revenue share of 64.2% over the forecast period. Nowadays, the online reservation system serves a range of objectives, including document verification for the renter, providing information about the automobile to the renter, services such as drop-off and pick-up of the rented car at a specific location, e-signing contracts, and electronic payment transactions. Customers' increasing reliance on smartphones for performing a number of tasks previously performed by desktop or laptop computers has considerably aided in the transformation of the car rental industry.
The report offers the appropriate analysis of the key organizations/companies involved within the Japan Car Rental Market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.
List of Key Companies
- Toyota Rent a car
- Nippon Rent a car
- Orix Rent a car
- Times Car Rental
- JR Rent-a-Ca
- ToCoo! Travel
- Nissan Rent a car
- NicoNico Rent a Car
- Smile Rental Car
- Sky Rent a car
Key Target Audience
- Market Players
- Government Authorities
- Consulting and Research Firm
- Venture capitalists
- Value-Added Resellers (VARs)
- In September 2022, SoftBank has created a subscription service that allows consumers to drive a used automobile for a fixed monthly fee, as it attempts to diversify its business portfolio in the face of lackluster growth in its core mobile phone company.
- In October 2022, Toyota has announced that it has resumed accepting leasing orders for the bZ4X EV in Japan, now that production of the crossover has resumed. The vehicle's production was halted following a safety recall in June, when 2,700 bZ4X cars were recalled due to a danger of wheels falling free. To boost interest in the automobile, which is only offered through leasing in its native market via the Kinto car subscription service, the company has also cut a one-time cost in half. The decision to lease the car rather than sell it all together was made to address customer concerns about battery-electric vehicle (BEV) ownership.
This study forecasts revenue at global, regional, and country levels from 2021 to 2032. Spherical Insights has segmented the Japan Car Rental Market based on the below-mentioned segments:
Japan Car Rental Market, By Car Type
- Economy Cars
- Luxury Cars
- Executive Cars
Japan Car Rental Market, By Rental Category
- Local Transport
- Airport Transport
- Outstation Transport
Japan Car Rental Market, By Rental Length
- Short Term
- Long Term
Japan Car Rental Market, By Fare Price
Japan Car Rental Market, By Mode of Booking
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