Vietnam Car Rental Market Outlook to 2027F
Driven by Increasing Internet Penetration Rate, Tourism and Urbanization
February 2023
157
About the Report
About the Report
The report provides a comprehensive analysis of the potential of Car rental industry in Vietnam. The report covers an overview and genesis of the industry, market size in terms of number of cars rented.
Its market segmentations include by Type of Booking, by Car Type, by Purpose; growth enablers and drivers; challenges and bottlenecks; trends driving adoption trends; regulatory framework; end-user analysis, industry analysis, competitive landscape including competition scenario and market shares of major players. The report concludes with future market projections of each market segmentation and analyst recommendations.
Market Overview:
According to Ken Research estimates, due to the impact of COVID-19, there has been a decrease in tourism resulting in a reduction in demand for car rentals and car rental prices in Vietnam. The Vietnam car rental market is expected to grow at a 16.7% CAGR during 2022-2027F, driven by Increasing Internet Penetration Rate, Tourism and Urbanization.
- Many cars rental companies in Vietnam have started to shift towards online booking systems to make it more convenient for customers to rent cars. This has made it easier for customers to compare prices and find the best deals.
- In 2027F, Hatchbacks will be the most preferable type of car contributing half the market share in Vietnam car rental market.
Key Trends by Market Segment:
By Car Type: In 2022, hatchbacks dominated the car rental market with two fifths market share in Vietnam Car Rental Market. Sedans are more fuel-efficient and offer spacious interiors, SUVs boast of ample cabin room and are perfect for driving on untarred roads and inclement weather conditions due to their powerful engine. Hatchbacks are often roomier than a mid-sized sedan and can navigate through city streets, squeeze into small parking spaces and offers a combination of elegant designs and huge versatility.
By Purpose: In 2022, Ho Chi Minch City was the most popular destination for leisure purpose in Vietnam car rental market. In 2022, Ho Chi Minh City was the most sought-after destination by domestic tourists, the second was Phu Quoc – the focus of summer tourism. Followed by destinations such as Hanoi, Da Lat, Nha Trang, Da Nang, Vung Tau, Quy Nhon, Hue, and Phan Thiet.
Competitive Landscape
The market is in a growing stage, the growth in the market is relatively slow. This can be due to high deposit fees and the hassle of contracts. Vietnam car rental market is highly fragmented with many small players present in the market. The Competition Parameter are Key Services, Average Ticket Size/km, Business USP and Service Portfolio among players. Popular car brands in Vietnam car rental market are Toyota, Ford and Kia providing airport pick and drop facilities. Major Players in the Vietnam car rental market are as follows;
Future Outlook
During the forecast period of 2022-2027, it is anticipated that Vietnam car rental market will grow at a CAGR of 16.7%. Leisure customer will remain the largest market by traveler type and it is also expected to witness the highest growth during the forecast period due to the rise in air travel and increasing domestic tourism. In 2027F, it is forecasted that car rental and ride hailing market will generate the maximum revenue.
Scope Of The Report
Scope of the Report
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Vietnam Car Rental Market |
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By Type of Booking
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Online Offline |
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By Car Type
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Hatchback Sedan SUV |
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By Purpose
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Business leisure |
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Vietnam Car Ride Sharing Market
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By Region
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Metropolitan Non- Metropolitan
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By Point of Service
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Rest Area Airport |
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By Type of Car |
Hatchback Sedan UV |
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By Distance |
Short Distance Long Distance |
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Vietnam Car Leasing Market |
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By Lease Duration |
1 Year 2 Year 3Year 4 Year or more
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By Type of Car |
Premium Sedan SUV |
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By Region |
Metropolitan Non- Metropolitan
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By End-User |
Corporate Individual
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Car Ride Hailing Market |
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By Region |
Metropolitan Non- Metropolitan
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By Type of Car |
Sedan SUV Compact |
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Vietnam Car Self Drive Market |
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By Type of Car |
Hatchback Sedan SUV |
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By Point of Service |
Rest Area Airport |
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By Duration |
Around a Month 1-2 Days Around a Week
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By Cities |
Metropolitan Non- Metropolitan
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By Booking Channel |
Online Offline |
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By Booking Period |
Weekends Weekdays |
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By Segment of Car |
Standard Luxury |
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By Status of Ownership |
Owned Leased |
Products
Products
Key Target Audience – Organizations and Entities Who Can Benefit by Subscribing This Report
- Car Rental Service Providers
- Car Rental Companies Aiming to Establish in Vietnam
- Vietnam Automotive Industries
- Government Bodies & Regulating Authorities
- Venture Capitalist Targeting the Car Rental Market
- Automotive Industry Association
- Car Manufacturers
- Existing Car Rental Companies
- OEM Dealerships
- New Market Entrants
- Investors
- Car Rental Associations
Time Period Captured in the Report
- Historical Period: 2017-2022
- Base Period: 2022
- Forecast Period: 2022-2027F
Companies
Major Players Mentioned in the Report
Leading companies
- Hertz
- Trust Car Rental
- Kayak
- Mai Linh
- Avis
- Budget
- VN Rental
- Green World Car Rental
- Car for Rent
- Enterprise
Table of Contents
Table of Contents
1. Executive Summary
1.1 Executive Summary: Vietnam Car Rental Market, 2022
2. Country Overview of Vietnam
2.1 Country Demographics, 2022
2.2 Population Analysis of Vietnam, 2022
2.3 Urbanization in Vietnam, 2022
2.4 Overview of Tourism, 2022
3. Overview of Vietnam Car rental Market
3.1 New Passenger Car Sales in Vietnam, 2021
3.2 Average Price of Passenger Cars in Vietnam, 2017-2022
3.3 Mobility Landscape in Vietnam
3.4 Supply Side Ecosystem of Vietnam Car Rental Market
3.5 Business Cycle of Vietnam Car Rental Market
4. Snapshot of Vietnam Car rental Market
4.1 Overview of Vietnam Car Rental Market
4.2 Value Chain Analysis of Vietnam Car Rental Market
4.3 Business Model of Vietnam Car Rental Market
4.4 Timeline of Major Players in Vietnam Car Rental Market
4.5 Market Sizing Analysis of Vietnam Car Rental Market, 2017-2022
4.6 Market Segmentation By Type of Booking on the Basis of Car Fleet Size, 2022
4.7 Market Segmentation By Car Type on the Basis of Car Fleet Size, 2022
4.8 Market Segmentation By Purpose on the Basis of Car Fleet Size, 2022
4.9 PESTEL Analysis
4.10 SWOT Analysis of Vietnam Car Rental Market
4.12 Porter’s 5 Analysis
4.13 Trends and Developments in Vietnam Car Rental Market
4.14 Growth Drivers of Vietnam Car Rental Market
4.15 Challenges in Vietnam Car Rental Market
4.16 Process For Applying Car Rental Business License
4.17 Consumer Pain Points in Vietnam Car Rental Market
4.18 Competition Landscape of Vietnam Car Rental Market, 2022
4.19 Cross Comparison (Market Share, Fleet size, Revenue, Inception date, Average ticket size, Type of Fleets, Business Model, Revenue Model, Recent Developments)
4.20 Future Market Analysis of Vietnam Self Drive Car Rental Market, 2022-2027F
4.21 Future Market Segmentation By Type of Booking on the Basis of Car Fleet Size, 2027F
4.22 Future Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2027F
4.23 Future Market Segmentation By Purpose on the Basis of Car Fleet Size, 2027F
5. Snapshot of Vietnam Car Ride Sharing Market
5.1 Overview of Vietnam Car Ride Sharing Market
5.2 Timeline of Vietnam Car Ride Sharing Market
5.3 Value Chain Analysis of Vietnam Car Ride Sharing
5.4 Market Sizing Analysis of Vietnam Car Ride Sharing Market, 2017-2022
5.5 Market Segmentation By Region on the Basis of Car Fleet Size, 2022
5.6 Market Segmentation By Point of Service on the Basis of Car Fleet Size, 2022
5.7 Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2022
5.8 Market Segmentation By Distance on the Basis of Car Fleet Size, 2022
5.9 Growth Drivers of Vietnam Car Ride Sharing Market
5.10 Trends and Developments in Vietnam Car Riding Market
5.11 Challenges in Vietnam Car Ride Sharing Market
5.12 Key Success Factors For Vietnam Car Ride Sharing Business
5.13 Competition Landscape of Vietnam Car Ride Sharing Market, 2022
5.14 Cross-Comparison of Vietnam Car Ride Sharing Market (Market Share, Fleet size, Revenue, Inception date, Average ticket size, Type of Fleets, Business Model, Revenue Model, Recent Developments)
5.15 Future Market Sizing Analysis of Vietnam Car Ride Sharing Market, 2022-2027F
5.16 Future Market Segmentation By Region on the Basis of Car Fleet Size, 2027F
5.17 Future Market Segmentation By Point of Service on the Basis of Car Fleet Size, 2027F
5.18 Future Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2027F
5.19 Future Market Segmentation By Distance on the Basis of Car Fleet Size, 2027F
6. Snapshot of Vietnam Car Leasing Market
6.1 Overview of Vietnam Car Leasing Market
6.2 Timeline of Vietnam Car Leasing Market
6.3 Value Chain Analysis of Vietnam Car Leasing
6.4 Market Sizing Analysis of Vietnam Car Leasing Market, 2017-2022
6.5 Market Segmentation By Lease Duration on the Basis of Car Fleet Size, 2022
6.6 Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2022
6.7 Market Segmentation By Region on the Basis of Car Fleet Size, 2022
6.8 Market Segmentation By End-User on the Basis of Car Fleet Size, 2022
6.9 Factors Determining Selection of Leasing Vendor
6.10 End-User Analysis in Vietnam Car Leasing Market
6.11 Growth Drivers of Vietnam Car Leasing Market
6.12 Trends and Developments of Vietnam Car Leasing Market
6.13 Issues and Challenges in Vietnam Car Leasing Market
6.14 Competition Landscape of Vietnam Car Leasing Market, 2022
6.15 Cross-Comparison (Market Share, Fleet size, Revenue, Inception date, Average ticket size, Type of Fleets, Business Model, Revenue Model, Recent Developments)
6.16 Future Market Sizing Analysis of Vietnam Car Leasing Market, 2022-2027F
6.17 Future Market Segmentation By Lease Duration on the Basis of Car Fleet Size, 2027F
6.18 Future Market Segmentation By Type of Cars on the Basis of Car Fleet Size, 2027F
6.19 Future Market Segmentation By Region on the Basis of Car Fleet Size, 2027F
6.20 Future Market Segmentation By End-Users on the Basis of Car Fleet Size, 2027F
7. Snapshot of Vietnam Car Ride Hailing Market
7.1 Overview of Vietnam Car Ride Hailing Market
7.2 Timeline of Major Players in Vietnam Car Ride Hailing Market
7.3 Value Chain of Vietnam Car Ride Hailing
7.4 Difference Between Traditional Taxis and Car Ride Hailing Apps in Vietnam
7.5 Market Sizing Analysis of Vietnam Car Ride Hailing Market, 2017-2022
7.6 Market Segmentation By Region on the Basis of Car Fleet Size, 2022
7.7 Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2022
7.8 Growth Drivers in Vietnam Car Ride Hailing Market
7.9 Trends in Vietnam Car Ride Hailing Market
7.10 Government Regulations
7.11 Implementation of Tax on Ride Hailing Companies
7.12 Bottlenecks and Challenges in Vietnam Car Ride Hailing Market
7.13 Consumer Pain Points in Vietnam Car Ride Sharing and Hailing Market
7.14 Differentiating Between 2 Major Players in Vietnam Car Ride Hailing Market
7.15 Advantages of Using Different Platforms in Vietnam Car Ride Hailing Market
7.16 Competition Scenario For Vietnam Car Ride Hailing Market
7.17 Competition Landscape of Vietnam Car Ride Hailing Market, 2022
7.18 Cross-Comparison (Market Share, Fleet size, Revenue, Inception date, Average ticket size, Type of Fleets, Business Model, Revenue Model, Recent Developments)
7.19 Future Market Analysis of Vietnam Car Ride Hailing Market, 2022-2027F
7.20 Future Market Segmentation By Region on the Basis of Car Fleet Size, 2027F
7.21 Future Market Segmentation By Type of Cars on the Basis of Car Fleet Size, 2027F
8. Snapshot of Vietnam Car Self Drive Market
8.1 Overview of Vietnam Self Drive Car Rental Market
8.2 Value Chain of Vietnam Self Drive Car Rental Market
8.3 Market Sizing Analysis of Vietnam Self Drive Car Rental, 2017-2022
8.4 Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2022
8.5 Market Segmentation By Point of Service on the Basis of Car Fleet Size, 2022
8.6 Market Segmentation By Duration on the Basis of Car Fleet Size, 2022
8.7 Market Segmentation By Cities on the Basis of Car Fleet Size, 2022
8.8 Market Segmentation By Booking Channel on the Basis of Car Fleet Size, 2022
8.9 Market Segmentation By Booking Period on the Basis of Car Fleet Size, 2022
8.10 Market Segmentation By Segment of Car on the Basis of Car Fleet Size, 2022
8.11 Market Segmentation By Status of Ownership on the Basis of Car Fleet Size, 2022
8.12 Growth Drivers in Vietnam Self Drive Car Rental Market
8.13 Trends and Developments in Vietnam Self Drive Car Rental Market
8.14 Parameters Affecting Consumers in Vietnam Self Drive Car Rental Market
8.15 Challenges in Vietnam Self Drive Car Rental Market
8.16 Competition Landscape of Vietnam Car Leasing Market, 2022
8.17 Cross Comparison (Market Share, Fleet size, Revenue, Inception date, Average ticket size, Type of Fleets, Business Model, Revenue Model, Recent Developments)
8.18 Future Market Analysis of Vietnam Self Drive Car Rental Market, 2022-2027F
8.19 Future Market Segmentation By Type of Car on the Basis of Car Fleet Size, 2027F
8.20 Future Market Segmentation By Segment of Car on the Basis of Car Fleet Size, 2027F
8.21 Future Market Segmentation By Duration on the Basis of Car Fleet Size, 2027F
8.22 Future Market Segmentation By Booking Periods on the Basis of Car Fleet Size, 2027F
8.23 Future Market Segmentation By Region on the Basis of Car Fleet Size, 2027F
8.24 Future Market Segmentation By Point of Service on the Basis of Car Fleet Size, 2027F
8.25 Future Market Segmentation By Booking Channel on the Basis of Car Fleet Size, 2027F
8.26 Future Market Segmentation By Status of Ownership on the Basis of Car Fleet Size, 2027
9. Impact of Covid-19 on Vietnam Car Rental Market
9.1 Impact of Covid-19 on Vietnam Car Rental Market
9.2 Post Covid-19 Trends in Vietnam Car Leasing and Self Drive Car Rental Market
9.3 Analyst Recommendations
9.4 Hofer’s Matrix of Vietnam Car Rental Market
9.5 Digitalization Trends in Vietnam Car Rental Market
9.6 Case Study - OLA
9.7 Learnings From Uber’s Failure in Vietnam
9.8 Strategies Adopted By Grab
9.9 Partnerships
9.10 Cluster Analysis of Vietnam for Car Rental Companies
9.12 Ansoff Matrix
9.13 Investment Opportunities in Vietnam Car Ride Hailing Market
9.14 Policy Implications For Car Ride Sharing/Hailing Companies
11. Research Methodology
11.1 Market Definitions and Assumptions
11.2 Abbreviations
11.3 Market Sizing Approach
11.4 Consolidated Research Approach
11.5 Sample Size Inclusion
11.6 Limitation and Future Conclusion
Disclaimer
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Research Methodology
Research Methodology
Step 1: Identifying Key Variables:
Ecosystem creation for all the major entities and referring to multiple secondary and proprietary databases to perform desk research around market to collate industry level information.
Step 2: Market Building:
Collating statistics on rented car over the years. We will also review statistics to understand revenue earned and total cars rented which can ensure accuracy behind the data points shared.
Step 3: Validating and Finalizing:
Building market hypothesis and conducting CATIs with industry experts belonging to different companies to validate statistics and seek operational and financial information from company representatives.
Step 4: Research output:
Our team will approach multiple car rental providing companies and understand nature of service segments and sales, consumer preference and other parameters, which will support us validate statistics derived through bottom to top approach from car rental providers.
Frequently Asked Questions
Frequently Asked Questions
01 How big is Vietnam Car Rental Market?
The Vietnam Car Rental Market expected to show a CAGR 2022-2027 of ~16%, resulting in a projected market volume of US$1.10bn by 2027.
02 Which are the major players in Vietnam Car Rental Market?
The major players in Vietnam Car Rental Market are Hertz, Trust Car Rental, Kayak, Mai Linh, Avis, Budget and VN Rental.
03 What are the growth drivers of Vietnam Car Rental Market?
The major growth drivers of Vietnam Car Rental Market are Increasing Internet Penetration Rate, Tourism and Urbanization.
04 What are the challenges in Vietnam Car Rental Market?
The Vietnam Car Rental Market is showing a relatively slow growth which is due to high deposit fees and the hassle of contracts.
05 Which is the most preferred car type in Vietnam Car Rental Market?
The most preferrable car type in Vietnam Car Rental Market in 2022 are hatchbacks.
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