Qatar Car Rental Market is projected to witness a CAGR of 9.27% to reach US$0.15 billion in 2027 from US$0.80 billion in 2020.
Significant growth in the travel and tourism industry of the country is one of the key factors driving the growth of the market. Many visitors and tourists choose to use a car rental service throughout their vacation to make their travel easier. The rising number of foreign tourists in the country is the major driver of the car rental market in the region. The car rental market is further expected to perform excellently as the country will be hosting FIFA World Cup 2022, 2022, attracting many tourists. Moreover, about 84.67% of the population belongs to the age group of 15-64 years, indicating a young population. The majority of the population belonging to this age group is highly attracted to new technology and social media. With significant use of the internet and social media, the consumer tase of preference is constantly changing, including in the automotive industry. The young generation is preferring to use car rentals instead of purchasing. In addition, rising urbanization is contributing to the online rental market. Furthermore, growing technical advancement and innovation in vehicle rental management systems is expected to surge the market in the coming years.
Growing demand for online car rental services and rising tourism are expected to boost the market.
The rising penetration of smartphone-based online rental car booking apps is significantly contributing to the overall market growth. Increasing usage of the internet has helped companies in the market to capture a large customer base with the help of online booking mobile applications for the convenience of customers. According to the World Bank, in 2020, 99.65% of individuals used the internet in Qatar. With such a high internet penetration rate the online car rental market is anticipated to be significantly high.
Moreover, cities like Doha amongst others are seeing growth in their tourism sectors which is anticipated to have a positive impact on the market growth of the car rental market. The initiative taken by the government to attract tourism to the country is projected to contribute to the overall market growth. For instance, in Qatar National Tourism Sector Strategy 2030, travel and tourism are one of the five priority sectors. Recently, Qmotor launched its online car rental service as the FIFA World Cup 2022 is approaching. All these factors are propelling the market growth of car rental in the region.
Key Developments:
Major developments by key players will also propel market demand in the country in the coming years. For instance, Surprice Car Rentals announced that it would operate outlets in Croatia's Dubrovnik International Airport and Qatar's Hamad International Airport in May 2022. Similarly, in May 2021, Points, a global pioneer in reward commerce, and Qatar Airways announced a new upgrade to the Qatar Privilege Club. The newest member perk from the Toronto-based firm that offers best-in-class solutions to the world's biggest loyalty programs will provide Qatar Airways Privilege Club members with even more value and freedom as they plan future travel. The addition of Hotel & Car Rewards, which is a first for the Qatar Airways Privilege Club, gives members even more options. The holistic travel package powered by Points is fully configurable and gives members access to up to 350,000 accommodations and over 20,000 car rental sites across the world.
| Report Metric | Details |
|---|---|
| Forecast Unit | Billion |
| Growth Rate | 9.27% |
| Study Period | 2017 to 2027 |
| Historical Data | 2017 to 2020 |
| Base Year | 2021 |
| Forecast Period | 2022 – 2027 |
| Segmentation | Type, mode of booking, Rental Category |
| Companies |
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