.png)
Car Rental Trends Shaping Global Mobility Programs
The global car rental market is evolving, with direct implications for corporate HR, travel, and mobility programs. Growth, digital transformation, and shifting employee expectations are changing how organizations manage ground transportation.
The Demand-Driven Market
The global car rental market is projected to expand at 2.6% yearly through 20351 due to increased corporate needs, global tourism, and demand for personal, flexible transportation.
For relocating employees, rental cars are often a critical bridge between arrival and full settlement, helping maintain productivity during temporary housing and logistical delays.2
Separately, the booking of rental cars has also grown decisively toward digital channels as more than 71% of car rental bookings are made online today. This is driven by ease of comparison, pricing transparency, and mobile accessibility.3
For HR and Global Mobility leaders, this reflects a broader expectation: employees want consumer-grade experiences when booking business travel. Platforms that allow real-time comparison and booking are no longer optional but expected. When a corporate Travel Management partner or negotiated supplier agreement is in place, leaders should confirm the online booking tool uses negotiated rates and direct-billing options.
Cost Sensitivity and Employee Behavior
A growing trend in the market, especially popular among younger employees, is the rise of “bleisure” travel – that is, business trips combined with leisure activities. This is driving demand for flexible rental services that cater to both corporate and family travel needs.
However, location and affordability remain the dominant decision factor for car renters:
- A NerdWallet study showed that renting a car for seven nights (a short-term leisure/business-trip rental, not a relocation-length rental) at a downtown location costs $86 less on average than renting from an airport location where they tend to be about 18% more expensive than downtown counterparts.² Airports often charge rental companies extra for operating on-site and these costs are passed to customers.
- Airport car rentals account for more than 38% of total rental activity each year due to their convenience for business and leisure travelers. However, local, short-term rentals are growing rapidly, projected to increase at 12.1% annually as urban mobility models and car-sharing gain traction.3
This information is particularly relevant for relocation and assignment programs as employees may need flexible, short-term transportation beyond traditional airport use cases.
Customers are also making trade-offs to reduce costs: an October 2024 survey conducted by Zubie’s rental fleet management team, involving 2,016 respondents from only the U.S., showed:
- Affordability is the top priority for 77% of consumers when selecting a rental car,
- 48% chose fuel-efficient rental cars to save money,
- Hidden fees remain a concern as 56% of respondents report a disconnect between advertised prices and their final bills, and
- 48% would choose a less convenient pickup location to save money.3
This has clear implications for policy design. Organizations that align travel policies with these behaviors, such as encouraging cost-effective locations or vehicle types, can better control cost without reducing flexibility.
Customer Experience and Demand Trends Impact Satisfaction
Despite digital advancements, the rental experience still presents challenges:
- 57% of renters report frustration with the checkout process, and
- 40% report dissatisfaction with the return experience.3
For HR teams focused on employee experience, this is a critical gap. Ground transportation is often one of the first and last touchpoints on a business trip. Stress during this process can negatively impact a relocating employee / family’s relocation experience and productivity.
Consumers; vehicle demands are also shifting:
- Economy cars account for over 32% of rental revenue, reflecting continued cost sensitivity.3
- SUVs are one of the fastest-growing segments -- projected growth is 10.7% annually through 2030 -- driven by demand for more spacious interiors and cargo capacity for families and travelers with luggage.3
- Most car rental agencies are expanding their hybrid and EV fleets to meet increasing demand for alternatives, especially in urban areas.1 However, charging infrastructure availability and EV rental supply vary widely by location and country, which global mobility teams should factor into policy for international assignments.
This diversification signals that a “one-size-fits-all” approach to rental car policies may no longer be effective. Different trip types, such as short-term business travel versus relocation-related travel, may require different strategies.
Implications for HR and Mobility Leaders
The car rental category question is no longer static, so key priorities for organizations include:
- Aligning policy with employee behavior: cost sensitivity, digital booking
- Improving experience consistency across booking, pickup, and return
- Adapting to flexible mobility models, including local and short-term rentals
- Segmenting vehicle strategies based on trip purpose
- Negotiating and enforcing use of corporate-rate / travel partner-integrated booking channels
- Standardizing insurance coverage and duty-of-care / incident-reporting requirements
As the market continues to grow, digitize, and become more employee-driven, success for HR and Mobility leaders will depend on balancing cost control with flexibility while also delivering a seamless experience that meets rising workforce expectations.
If you would like to discuss supplier, diversity global relocation, mobility or talent management strategy trends, please contact your NEI representative any time.
References
Business Research Insights: Car Rental Market Report – Business Research Insights
Nerd Wallet: Car Rental Industry Analysis – Grand View Research
Grand View Research: Car Rental Market (2025 - 2030)
Car Rental Trends Shaping Global Mobility Programs
The global car rental market is evolving, with direct implications for corporate HR, travel, and mobility programs. Growth, digital transformation, and shifting employee expectations are changing how organizations manage ground transportation.
The Demand-Driven Market
The global car rental market is projected to expand at 2.6% yearly through 20351 due to increased corporate needs, global tourism, and demand for personal, flexible transportation.
For relocating employees, rental cars are often a critical bridge between arrival and full settlement, helping maintain productivity during temporary housing and logistical delays.2
Separately, the booking of rental cars has also grown decisively toward digital channels as more than 71% of car rental bookings are made online today. This is driven by ease of comparison, pricing transparency, and mobile accessibility.3
For HR and Global Mobility leaders, this reflects a broader expectation: employees want consumer-grade experiences when booking business travel. Platforms that allow real-time comparison and booking are no longer optional but expected. When a corporate Travel Management partner or negotiated supplier agreement is in place, leaders should confirm the online booking tool uses negotiated rates and direct-billing options.
Cost Sensitivity and Employee Behavior
A growing trend in the market, especially popular among younger employees, is the rise of “bleisure” travel – that is, business trips combined with leisure activities. This is driving demand for flexible rental services that cater to both corporate and family travel needs.
However, location and affordability remain the dominant decision factor for car renters:
- A NerdWallet study showed that renting a car for seven nights (a short-term leisure/business-trip rental, not a relocation-length rental) at a downtown location costs $86 less on average than renting from an airport location where they tend to be about 18% more expensive than downtown counterparts.² Airports often charge rental companies extra for operating on-site and these costs are passed to customers.
- Airport car rentals account for more than 38% of total rental activity each year due to their convenience for business and leisure travelers. However, local, short-term rentals are growing rapidly, projected to increase at 12.1% annually as urban mobility models and car-sharing gain traction.3
This information is particularly relevant for relocation and assignment programs as employees may need flexible, short-term transportation beyond traditional airport use cases.
Customers are also making trade-offs to reduce costs: an October 2024 survey conducted by Zubie’s rental fleet management team, involving 2,016 respondents from only the U.S., showed:
- Affordability is the top priority for 77% of consumers when selecting a rental car,
- 48% chose fuel-efficient rental cars to save money,
- Hidden fees remain a concern as 56% of respondents report a disconnect between advertised prices and their final bills, and
- 48% would choose a less convenient pickup location to save money.3
This has clear implications for policy design. Organizations that align travel policies with these behaviors, such as encouraging cost-effective locations or vehicle types, can better control cost without reducing flexibility.
Customer Experience and Demand Trends Impact Satisfaction
Despite digital advancements, the rental experience still presents challenges:
- 57% of renters report frustration with the checkout process, and
- 40% report dissatisfaction with the return experience.3
For HR teams focused on employee experience, this is a critical gap. Ground transportation is often one of the first and last touchpoints on a business trip. Stress during this process can negatively impact a relocating employee / family’s relocation experience and productivity.
Consumers; vehicle demands are also shifting:
- Economy cars account for over 32% of rental revenue, reflecting continued cost sensitivity.3
- SUVs are one of the fastest-growing segments -- projected growth is 10.7% annually through 2030 -- driven by demand for more spacious interiors and cargo capacity for families and travelers with luggage.3
- Most car rental agencies are expanding their hybrid and EV fleets to meet increasing demand for alternatives, especially in urban areas.1 However, charging infrastructure availability and EV rental supply vary widely by location and country, which global mobility teams should factor into policy for international assignments.
This diversification signals that a “one-size-fits-all” approach to rental car policies may no longer be effective. Different trip types, such as short-term business travel versus relocation-related travel, may require different strategies.
Implications for HR and Mobility Leaders
The car rental category question is no longer static, so key priorities for organizations include:
- Aligning policy with employee behavior: cost sensitivity, digital booking
- Improving experience consistency across booking, pickup, and return
- Adapting to flexible mobility models, including local and short-term rentals
- Segmenting vehicle strategies based on trip purpose
- Negotiating and enforcing use of corporate-rate / travel partner-integrated booking channels
- Standardizing insurance coverage and duty-of-care / incident-reporting requirements
As the market continues to grow, digitize, and become more employee-driven, success for HR and Mobility leaders will depend on balancing cost control with flexibility while also delivering a seamless experience that meets rising workforce expectations.
If you would like to discuss supplier, diversity global relocation, mobility or talent management strategy trends, please contact your NEI representative any time.
References
Business Research Insights: Car Rental Market Report – Business Research Insights
Nerd Wallet: Car Rental Industry Analysis – Grand View Research
Grand View Research: Car Rental Market (2025 - 2030)
Car Rental Trends Shaping Global Mobility Programs
The global car rental market is evolving, with direct implications for corporate HR, travel, and mobility programs. Growth, digital transformation, and shifting employee expectations are changing how organizations manage ground transportation.
The Demand-Driven Market
The global car rental market is projected to expand at 2.6% yearly through 20351 due to increased corporate needs, global tourism, and demand for personal, flexible transportation.
For relocating employees, rental cars are often a critical bridge between arrival and full settlement, helping maintain productivity during temporary housing and logistical delays.2
Separately, the booking of rental cars has also grown decisively toward digital channels as more than 71% of car rental bookings are made online today. This is driven by ease of comparison, pricing transparency, and mobile accessibility.3
For HR and Global Mobility leaders, this reflects a broader expectation: employees want consumer-grade experiences when booking business travel. Platforms that allow real-time comparison and booking are no longer optional but expected. When a corporate Travel Management partner or negotiated supplier agreement is in place, leaders should confirm the online booking tool uses negotiated rates and direct-billing options.
Cost Sensitivity and Employee Behavior
A growing trend in the market, especially popular among younger employees, is the rise of “bleisure” travel – that is, business trips combined with leisure activities. This is driving demand for flexible rental services that cater to both corporate and family travel needs.
However, location and affordability remain the dominant decision factor for car renters:
- A NerdWallet study showed that renting a car for seven nights (a short-term leisure/business-trip rental, not a relocation-length rental) at a downtown location costs $86 less on average than renting from an airport location where they tend to be about 18% more expensive than downtown counterparts.² Airports often charge rental companies extra for operating on-site and these costs are passed to customers.
- Airport car rentals account for more than 38% of total rental activity each year due to their convenience for business and leisure travelers. However, local, short-term rentals are growing rapidly, projected to increase at 12.1% annually as urban mobility models and car-sharing gain traction.3
This information is particularly relevant for relocation and assignment programs as employees may need flexible, short-term transportation beyond traditional airport use cases.
Customers are also making trade-offs to reduce costs: an October 2024 survey conducted by Zubie’s rental fleet management team, involving 2,016 respondents from only the U.S., showed:
- Affordability is the top priority for 77% of consumers when selecting a rental car,
- 48% chose fuel-efficient rental cars to save money,
- Hidden fees remain a concern as 56% of respondents report a disconnect between advertised prices and their final bills, and
- 48% would choose a less convenient pickup location to save money.3
This has clear implications for policy design. Organizations that align travel policies with these behaviors, such as encouraging cost-effective locations or vehicle types, can better control cost without reducing flexibility.
Customer Experience and Demand Trends Impact Satisfaction
Despite digital advancements, the rental experience still presents challenges:
- 57% of renters report frustration with the checkout process, and
- 40% report dissatisfaction with the return experience.3
For HR teams focused on employee experience, this is a critical gap. Ground transportation is often one of the first and last touchpoints on a business trip. Stress during this process can negatively impact a relocating employee / family’s relocation experience and productivity.
Consumers; vehicle demands are also shifting:
- Economy cars account for over 32% of rental revenue, reflecting continued cost sensitivity.3
- SUVs are one of the fastest-growing segments -- projected growth is 10.7% annually through 2030 -- driven by demand for more spacious interiors and cargo capacity for families and travelers with luggage.3
- Most car rental agencies are expanding their hybrid and EV fleets to meet increasing demand for alternatives, especially in urban areas.1 However, charging infrastructure availability and EV rental supply vary widely by location and country, which global mobility teams should factor into policy for international assignments.
This diversification signals that a “one-size-fits-all” approach to rental car policies may no longer be effective. Different trip types, such as short-term business travel versus relocation-related travel, may require different strategies.
Implications for HR and Mobility Leaders
The car rental category question is no longer static, so key priorities for organizations include:
- Aligning policy with employee behavior: cost sensitivity, digital booking
- Improving experience consistency across booking, pickup, and return
- Adapting to flexible mobility models, including local and short-term rentals
- Segmenting vehicle strategies based on trip purpose
- Negotiating and enforcing use of corporate-rate / travel partner-integrated booking channels
- Standardizing insurance coverage and duty-of-care / incident-reporting requirements
As the market continues to grow, digitize, and become more employee-driven, success for HR and Mobility leaders will depend on balancing cost control with flexibility while also delivering a seamless experience that meets rising workforce expectations.
If you would like to discuss supplier, diversity global relocation, mobility or talent management strategy trends, please contact your NEI representative any time.
References
Business Research Insights: Car Rental Market Report – Business Research Insights
Nerd Wallet: Car Rental Industry Analysis – Grand View Research
Grand View Research: Car Rental Market (2025 - 2030)
