Market Research Reports - Ken Research Saudi Arabia Car Leasing Market Future

Saudi Arabia Car Rental Market Driven by Growth in End User Industries, Increase in Number
of Establishments and Growing Working Force: Ken Research
Saudi Arabia long term car leasing market in terms of transaction value, segmentation on the
basis of end users (Logistics, FMCG & Home Delivery, Construction, Oil & Gas Sector,
Government sector and others), by regions (Central, Western, Eastern, Northern and Southern
region), by players (car rental companies and car dealers on the basis of fleet size). The report
also covers car rental/ leasing eco-system demand side and supply side, trends and
developments, regulatory scenario and a case study on ‘budget’ car Rental Company and its
success factors and key operation metrics. Competitive landscape of the industry and
comprehensive profile of leading players (Budget, Hanco, Best Rent A Car, Theeb Rent A Car,
Shary Rent A Car, Avis, Auto World, Hertz, Key Rent A Car and Samara) Market share of major
car dealers and car rental companies in the market, car leasing fleet by car category,
competition success factors.
Ken Research in its latest study, “Saudi Arabia Car Leasing Market Outlook to 2022 – By Car
Rental and Car Dealers, By End Users (Logistics, FMCG & Home Delivery, Oil and Gas,
Construction, Government offices, Others)”, suggests that demand for long term car
rental/leasing services in the country will grow at a positive growth rate owing to growth in end
user industry, emergence of new establishment and growing workforce, coupled with car
leasing service providers focusing on expanding their service portfolio and increasing their fleet
size.
Expected growth in logistics and construction industries, advancement in technology platforms
for better fleet management and client servicing, increasing number of players in long term car
leasing industry will drive growth of Saudi Arabia long term car leasing market in upcoming
years.
It is expected that logistics, FMCG and Home Delivery, Oil & Gas sector will account for more
than 75% of the total transaction value by 2022.
Saudi Arabia long term car leasing industry is expected to grow at a moderate growth rate
during the forecasted period on the back of strong tourist flows, growth in end user industries
such as FMCG, Construction, Oil & Gas and other sectors. The car rental companies will
dominate the long term car leasing service market by expansion of services to other regions,
reducing service prices and increasing their fleet size to meet increasing demand. During the
forecasted period, car rental companies are expected to upgrade their IT platform to deliver
better service experience, flexibility and security to the customers for better fleet management.
With slump in Oil and Gas sector in the past few years, the car rental businesses have been
increasingly focusing on non-oil sectors such as FMCG, Logistics, Construction to boost their
revenue and expand market share, it will also help them to reduce dependence on the Oil &
Gas sector’s growth. Under the National Transformation Program (NTP) 2020 and the Saudi
Arabia Vision 2030, the government plans to develop sea ports, railway lines, airports and
manufacturing facilities, with an aim to reduce the country’s dependency on the oil sector and