Since the festival, the industry giant Shenzhou and Yiyi have successively announced price cuts. The largest P2P car rental platform in China has also provided 10 million car rental subsidies. The industry believes that the current car rental industry is fiercely competitive, and the major players hope to take this battle and start a round of market reshuffle.
On October 9th, China’s largest car rental company’s car rental in China announced a price cut, and the daily rental price fell to 59 yuan, which is only one-half to one-third of the mainstream car rental price. On the evening of October 10, a rental car was sold for a profit, the price was set at 55 yuan, only 4 yuan lower than Shenzhou.
P2P car rental also participated in the war, Baojiao car announced that the new registered users will be given a 200 yuan cash red envelope, which can be used to deduct the cost of renting a car.
The reporter learned that the price reduction of Shenzhou car rental does not cover all models, the designated Buick Excelle, New Santana, Honda Fit, Kia K2 daily rent is 59 yuan, Chevrolet Cruze, Honda Feng Fan is 79 yuan. The price of the car rental has dropped, but the deposit, insurance and handling fees at the time of renting the car have not changed, which is consistent with the previous one.
The price cut brings obvious passenger flow. On October 23, a car rental in Shenzhou was located in a store in Qingshan District. Mr. Jin was consulting a car rental. He said, "59 yuan is two meals, which is much lower than the previous two hundred rents. There is no car maintenance, maintenance, community parking fees, the whole family to go out to play, car rental is very cost-effective."
China’s car rental told reporters on the 23rd that from the current data, after the “low-cost actionâ€, the occupancy rate of the car rental in Wuhan was higher than before, and the current occupancy rate is nearly 70%. Baojia also said that it is the peak period of orders, and the total order is expected to double from last month.
The industry believes that similar to the subsidy war of taxi software at the beginning of the year, the car rental giants rushing to cut prices also stem from robbing the market.
The domestic car rental market, Shenzhou and the top two. According to the consulting firm Roland Berger, China's car rental market share is 31.2%, while car rental accounts for 8.2%, and other tens of thousands of car rental companies share the remaining 60% market.
Lu Zhengyao, former chairman and CEO of the China Car Rental Board, told the media that the action was due to the need to further expand market share in China. “In the beginning of the industry, we felt that market share is more important than anything else.â€
“The domestic car rental market is big enough. At present, the brand concentration is not high, and there is still a lot of room to be tapped. This round of price wars, the financially powerful car rental giants and the VC2-supported P2P rental platform have the strength to participate. The purpose is to Competing for the market and winning users." Bao Yi EEO Li Rubin told reporters.
The industry believes that price cuts are good for consumers, are conducive to popular car rental habits, price wars are shuffled, and the market will also intensify differentiation. “The top three car rental companies in the United States occupy 95% of the market, and some companies have up to one million cars. In the future, the concentration of the industry will increase, the number of enterprises will decrease rapidly, and the scale advantage will be more obvious.â€
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