Market Trends

Car Rental Market Trends under Coronavirus Covid19 – 11th edition, from 31st July to 15th August 2020

Emmanuel Scuto
August 26, 2020
In these difficult times for the tourism industry in general and for the car rental industry, WeYield has decided to aggregate anonymized data from the various clients we have per geographical zone.

The goal is to share some key performance indicators for the months of August and September 2020 from our WeYield Apps. In this eleventh edition, we compared the indicators between two reference dates (31st July versus 15th August).

These data have no statistical mean due to limited set of companies but more to step back and enlarge the perspective to other areas on the planet. Hope this helps.

Let’s believe the pick-ups are back.

August has seen late demand, with a big increase in days and Util in past two weeks, however Util at 40% is far behind the same position as last year at this time (-34 pts).
September also saw an increase in demand and has time to catch up last year.
RPD is currently high versus last year, we expect it to drop to stimulate demand.

Increasing days on rent and RPD signify strong demand for August. Util at 61% by mid month suggests final Util levels will be high and may be coupled with further RPD increases.
There are indications of strong demand, we hope this continues as Util at 28% is -18 pts behind the same time last year.

Days on rent and RPD increased over past two weeks with some minor infleeting (+4%), Util is looking good at 66% and RPD remains high and inline with last year.
September fleet figures also indicated infleeting (+8) to meet demand. Util is only 4pts behind same time last year and RPD is looking strong.

Util is high at 64% however RPD has dropped significantly in last two weeks suggesting either a weakening of demand, or that operators have lost confidence.
September RPD has also dropped, this is despite an increase in fleet (+8%).
Perhaps pricing is being driven by less experienced players in the marketplace.

August has seen +7% increase in fleet and strong RPD increases in past two weeks. Util already at 70% (+2pts vs last year) is expected to finish high.
September exhibits similarities to August demand and Util is already at 34% (+ 10 pts vs last year).

August is showing an increase in demand with RPD rising since the end of July. Util at 64% is ahead of last year by +2 pts.
September is showing demand build up, with RPD still below but catching up on last year. Util at 16% is behind last year by -4 pts but has shown a +5 pts increase since end of July.
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Emmanuel Scuto
August 26, 2020

I am CEO and founder of WeYield with 25 years of passion about revenue performance acceleration in the revenue management field (hotels, theme park, car rental), I created WeYield in 2012.I am here to help car rental operators who want to change in piloting their business with more agility and freedom while improving their performance. I like being able to participate in the transformation of the organizations. Working with WeYield's revenue managers and engineers gives me a lot of energy to create new features and approaches.

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