With the increase of population specially in the cities, public transportation services have become a headache for the people. Along with the rise of living standard, there are some people who do not have the ability the match these standards in every way. So they these types of rental services in order to fulfil their transport needs.
The first rental car company was named Avis, which was established in 1946 with 3 cars to rent their customers. Now the company is providing their rental services in more than 165 countries and cover more than 5500 locations. That’s the reason we are saying car rental service demands are increasing day by day. And creating an application around it is very important in order to succeed in the current market.
Nowadays everything is controlled by applications, and they play an especially important role to make our daily life more and more efficient. Among 10 industries 6 industries are developing and implementing their own applications. So, that they can make more effective business strategies to earn better revenue. And not only that app services are not bounded to established business only. Manu of the medium to small business and established to start-ups are opting for app development facilities by hiring dedicated developers present in the market.
On top of that, in the 2020 pandemic situation where are people are requested to maintain social distancing. This car rental application saves the lives of most people, especially health workers. Every health worker or person is not capable enough to buy a car so that they can safely travel safely. That is why the applications like hertz, Zipcars, Zoom cars, etc, are widely used to rent a car for their convenience at a reasonable cost.
To know more about car rental software development, how it works, its features, and the cost of developing it. Please continue the blog.
What is a car rental mobile app?
The car rental mobile applications are the apps that enable the users to accrue a car to fulfil the needs. As a user your will, be able to books the car you want for 24 hrs or more, by paying a reasonable amount. Moreover, some of these apps like zoom cars offer cars on a subscription basis. That means you will be able to ac acquire ownership of the car for a minimum of 6 months. This comes in handy when you travel a lot for your work and don’t stay at a place for more than 6 months.
This car rental booking software experience a huge hype on demand due to the pandemic situation. As along with the rental services users can also experience offers, flexible booking and dropping timings and pick up or deliver cars at your doorsteps. You can access the application from anywhere you want by using your smartphone and internet access.
Why businesses invest in car rental apps in future
The Car rental business is growing at a rapid pace. Many of the big investors are now investing a larger amount to bring more technologies to the dental care segment. The rental companies are trying to improve all the aspects of the car rental system. Maybe in the future, we will be able to ride automated AI induces car with self-driving capabilities.
Some people are not capable enough to buy a car. Even if they brought a car, they are not sufficient to maintain the maintenance cost of it. Here the rental apps help to own a car for few days so that you can complete your work and do not have to pay for its maintenance also. You just have to pay for the time and Kilometres that you have driven in it. There are ample amount of opportunities in this industry.
So, in order to succeed you just have to be clear you the aim and requirements of your business. And hire the best web development company, which can offer you a feature-packed application at a reasonable cost.
How car rental apps work
A rental car application can provide two types of services to their users, such as self-driven car service and cab service. Here is the process of how this car rental reservation software works in this market.
- Firstly, after downloading the application from the respective application market, you have to signup with the application by verifying your mail or phone number.
- After the verification process, you have to choose the types of car you want to use for transport and find the estimated cost.
- Then if you are satisfied with the fare you can search for cabs in the case of cab services. Whereas you have to book the vehicle in case of self-driven services along with the date and time of pick and drop or delivery of the car at your doorsteps.
- Now when search cab for the car rental application, if send a trip request to every available cab drivers in the locality. The person who accepts your request will the driver for your transportation service.
What people expect from car rental apps
People or users will opt for your car rental software development service only when they have some expectations. Here are some of the facilitates that user expects while choosing a car rental service. Such as
- The application should have a properly integrated navigation system. So that I can save time by following the right route for the trips.
- Implementation of the life location status checking is mandatory. So that the users can follow the cab till it reaches their doorstep, plus they don’t have to wait for the cab while standing outside.
- The rental calculator should be present in the application. so that the user can get a better idea of their trip before booking the car.
- Allow various method of payment gives better flexibility to the users. As not all person is comfortable with the same payment options. Usually, applications have payment options like UPI, Credit or Debit Card, Internet Banking and the traditional cash method.
After the trip is over you can always you can rate the services of the full-stack development company that has created the application.
Car rental apps market, statistics, and trends
The car rental industry is not only having a huge user base but also it is growing day by day. Like the other on-demand solution present in the market, these rental car apps also provide a lot of benefits to their users. Moreover, the unexpected growth in the user base makes this market one of the biggest places for new business opportunities.
Since there is a lot of demand for rental new start-up little and medium companies are getting a proper chance to expand their business in this market. You just have to provide the best customer service and a feature-packed application to your users. The car rental application should be equipped with all the latest trends of the market. Here is the statistics of the present condition of the car rental application market,
- The total revenue that was earned by the car rental service of the worlds in 2020 is $55 million.
- The revenue growth predicted from 2021 to 2024 will be 18% of the present market revenue. Which may make the total revenue around $105,300 million in the year 2024.
- It was observed that a single user contributes more than 200 US dollars to the worldwide car rental market.
- The maximum amount of the total revenue has been seen generated from the US which is around 16,200 million US dollars.
Trending Business Models of Car Rental App
In to develop the best car rental software in the market you have to hire an experienced group of developers. Who are capable enough to implement the business models so that you can get better revenue from the application. There are only two business models that are used so that the car rental service can operate smoothly and effectively with a hitch.
Here are the two business models that any car rental services follow,
1. Commission Based
By following this business model you will be able to earn revenue in two ways. First, you can buy a car then put it under the service of for your application, so that the users can take your car and pay you on an hourly basis. A little portion of that payment will go to the developers. Secondly, you can lend the car to a driver who will take all the bookings of the users and give them personal rides around the city. This type of business model is followed by companies like Turo etc.
2. Car fleet of their own
This model is usually followed only by the established business. This is because it needs a lot of investments to buy cars under the name of the company and assign a driver to those cars. The users will use your application and book the car as their transportation services. As a company owner, you will earn the base fare of the ride pay ed by the users. You can pay the drivers monthly or according to the number of trips they have done in the month, week are day. One of the famous examples of those who use these types of car rental service app is Hertz.
Features of a Car Rental Mobile App
Like every other application present in the market the car rental applications have many features to offer. These features can be divided 3 major parts such as,
1. Features for Customer
The features of the application implemented so that the customers could have a better user experience while using the applications.
- Easy login – Usually, the applications use the Phone number or email address and password combo, to sign up with the applications. But nowadays you will be able to log into these applications with your social media accounts. And the information need will be extracted automatically from your social media handles.
- Choose Desire Car – The freedom of’s choosing the type of car is itself a big selling point. Usually, car rental solutions software provides the users 3 different option for travelling. Those are hatchbacks for the economical rate of transport, Sedan for premium rate of transport and SUV’s when the number of passengers is more.
- Scheduling of ride – As a user, you have the ability to schedule your rides whenever you want. But it depends on the availability of cars. If there is a car available for the trip, the app will automatically connect with the host.
- Booking Management – Booking or re-scheduling your trips are very easy from car rental applications. You can change it or cancel it any time and it is totally in your control. At the customer level, trip management features are implemented in these types of car rental mobile apps.
- Estimation of cost – This is the most effective features according to the customers. As for this feature, users get an estimation of the total ride fare before searching the car availability of the cars. Basically, the fare of the trips is a very important feature which should be regulated with importance, so every type of users can opt for your services easily.
- Tracking and navigation – Integration of the Google Maps or other navigating services is particularly important for these kinds of applications. As it helps the users to locate the car easily. Plus, well-guided navigation can make your trip time saving and effective for both the driver and the users. Choosing the best mobile app development company can help you in the proper integration of navigation services in your application.
- Delivery at doorstep – This is feature is available for both self-driven car rental or cab rental services. Usually, the pickup and drop in the case of cab rental services in done from doorstep to doorstep. But in the case of a self-driven car, your booked car will be delivered to your convenient location by the delivery executives of the car rental service.
- Vast payment option – The application should have varieties of payment options available in it. As all the customers are not comfortable using the same payment options. Some users prefer cash, some prefer UPI payment and other through card and net banking.
- Reward on referring – Earning rewards while referring the application to other uses is one of the most effective marketing strategies that every app uses. If the users refer their service to another user. Then both of the users are rewarded with a bonus or off on their upcoming rides.
- Push Notification – This feature helps the users to get all the important notifications of the app in a creative manner. Better presentation of the push notification may lead your application towards a larger user base.
2. Features for Driver/Host
The features which are implemented to make the user experience of the driver or host better.
- Seamless Login – Just like the customers the hosts or the driver also have the option to log in to the app with the phone number or email along with the password. To provide smooth login services you have to use the best car rental software development tools present in the market.
- Easy Check and receive Request – After ending one trip the drivers are able to receive the next available customer from that same locality. The hosts have both the option to receive or reject the request so that the request does not remain pending for a longer span of time.
- Details of the trip – When the host/ driver accepts your transportation request the application will give all of your information to the driver including your name, your location, destination address and even the payment method that you have chosen.
- Dashboard for drivers – This one of the important feature of the application helpful for the drivers. A better type of application dashboard contains all the major information and display it in one screen.
- Navigation during the rides – Like the user features, drivers apps should also have a better integration of the navigation services. So that the hosts are able to provide better time-saving services to their customers.
- Earning logs – The earning log present in the car rental reservation software for the hosts or the drivers should be as detailed as possible. The feature should also contain a detailed breakdown of the fare so that the hosts can get a proper idea of his or her earning.
3. Features for Admin
The features that are only implemented so that the admin of the application can effectively control every aspect of the application.
- Management of the fleet – Implementation of this feature will enable you to manage all the activities of your fleet more efficiently.
- Fare management – Usually, the total fare of the trip depends on factors like climatic condition, availability of cars or drivers and festive occasions. All this can be controlled by this feature.
- Analysis of the Income – As an owner or admin of the application, you have to keep the whole statistics on the income of the application. This feature helps to analyse the present revenue that has been earned by the company by serving the users.
How to develop a car rental app
The development process of a car rental application depends upon the type of the application. But there is a basic process to develop these types of applications, such as
- Adapting a Unique name and logo, because the people will know about your service by the name and logo of your car rental services
- Then the different business model is implemented in the application, in order to get better revenue and a bigger spectrum user base.
- After that, you have to decide the user interface design and make sure that the user gets a seamless user experience while they are using the application.
- Once the designs are fixed the development services will create the software with the help of a multi-language framework and development tools.
- After completing the development process the application is tested and deployed on the market.
- The feedback feature implemented in the application helps to identify the drawbacks of your app. You can rectify these drawback with future updates.
Hiring an Android app development company can make the development process more effective and time-saving.
Required Team Structure for Car Rental App Development
In order to ensure success in the car rental industry, you need to hire the best car rental mobile app development services present in the market. As they will be eligible to deliver you a better featured-packed product at a reasonable cost, along with user support. To develop an application there are various aspects and there are a group of developers to develop each and every aspects of the application carefully. Also, coordination among the different development teams is mandatory for a better result or product. Here are some of the common steam structure for developing a car rental application,
- Project Manager
- Back-end developer
- UX/UI designer
- Front-end Developer
- Android App developer
- iOS app developers
- Q&A professionals.
You can also increase your customer base by hiring an iOS developer and launching the application on the Apple Store as well. Plus, finding a way of launching the application on the wearables is also a selling point of the application.
Required Tech Stack for Car Rental App Development
Here is the tech stack required to develop a car rental application and launch it in the iOS or Android app stores,
- Cloud Computing- Google, AWS or Microsoft Azure
- SMS, or Chat verification- Nexmo or Twilio
- Database- HBase, Cassandra, MongoDB or Postgress
- Mobile Operating System- Android and iOS
- Payment gateway- PayPal, Braintree or Stripe
- Push notification- Push.io
- Real-time Analytics- IBM, Big Data, Cisco, Hadoop, Spark, or Apple Flink.
Cost of making a car rental app
The cost of developing a car rental management app depends upon various factors. Like, types of features implemented, integration of various graphic contents and developers’ services. The development cost will be more if you use high-end features in your application.
Again, choosing the right development service is also necessary as the developers in countries like the US and UK charges more. That is why hiring developers as a start-up is difficult. But you can outsource the development works to developers of countries like India, which is cost-effective even for start-ups.
Usually, the developers charge on an hourly basis while developing a car rental application. Here are some of the break down of the hours needed to develop an app
- Design of the app – 55 to 85 hours
- Admin panel development– 125 to 185 hours.
- Development of the user panel– 250 to 400 hours.
- APIs Development – 95 to 125 hours
It has been seen that if you choose the right mobile app developers for hire. Developing a basic application can cost you around $12,000 to $15,000. After the launch, you will be able to add other features as add-ons.
The car rental industry is a constant increasing industry. That is why there are many opportunities for start-ups to get success in this market. If you have a unique idea and you are clear about your business requirements. Hiring the best car rental app development company available in the market can be the most effective way to ensure success.