Car Rentals - Angola

Angola

Highlights

Angola is expected to witness a substantial growth in the Car Rentals market, with revenue projected to reach US$383.80m by 2024.
This market is expected to grow annually at a rate of 4.77%, resulting in a projected market volume of US$484.50m by 2029.
In Angola, the number of users in the Car Rentals market is expected to reach 5.76m users by 2029, with a user penetration projected to be 10.1% in 2024 and 13.2% by 2029.
The average revenue per user (ARPU) is expected to be US$101.10.
By 2029, 49% of the total revenue in the Car Rentals market will come from online sales.
It is interesting to note that in global comparison, United States is expected to generate the highest revenue of US$32bn in 2024 in this market.
Despite being a challenging market due to infrastructure issues and limited availability of vehicles, car rental companies in Angola are seeing a growing demand from business travelers.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Car Rentals market in Angola has been experiencing significant growth in recent years. Customer preferences have shifted towards renting cars rather than owning them, leading to an increase in demand for car rental services. This trend can be attributed to several factors, including changing lifestyles, increasing urbanization, and a growing preference for convenience.

Customer preferences: Customers in Angola are increasingly opting to rent cars instead of buying them. This can be attributed to a shift in lifestyle choices, with many individuals prioritizing experiences over ownership. Renting a car allows customers to have access to a wide range of vehicles without the financial commitment of purchasing one. Additionally, renting a car provides flexibility, as customers can choose a vehicle that suits their specific needs for a particular occasion or trip.

Trends in the market: One of the key trends in the car rental market in Angola is the rise of online platforms and mobile applications that facilitate easy and convenient booking. These platforms have made it easier for customers to compare prices, choose from a wide range of vehicles, and make reservations from the comfort of their own homes. This has significantly increased the accessibility and convenience of car rental services. Another trend in the market is the growing demand for luxury and premium car rentals. As the economy in Angola continues to grow, there is an increasing number of affluent individuals who are willing to spend more on high-end car rental services. This trend is particularly prominent in major cities and tourist destinations, where visitors often seek luxurious transportation options.

Local special circumstances: Angola is a country with a rapidly developing economy, and this has had a significant impact on the car rental market. The country has seen an increase in foreign investment, leading to a rise in business travel and tourism. This has created a demand for car rental services, as visitors and business travelers require transportation during their stay. Additionally, Angola has a large expatriate population, many of whom prefer to rent cars rather than purchase them due to the temporary nature of their stay.

Underlying macroeconomic factors: The growth of the car rental market in Angola can be attributed to several underlying macroeconomic factors. The country's economic growth has led to an increase in disposable income, allowing more individuals to afford car rental services. Additionally, Angola's urbanization rate has been steadily increasing, with more people moving to cities for employment opportunities. This has created a need for convenient transportation options, further driving the demand for car rentals. In conclusion, the car rental market in Angola is experiencing significant growth due to changing customer preferences, increasing urbanization, and a growing preference for convenience. The rise of online platforms and the demand for luxury car rentals are notable trends in the market. The country's developing economy, foreign investment, and large expatriate population also contribute to the growth of the car rental market.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and online shares of car rental services.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, third-party studies and reports, federal statistical offices, industry associations, and price data. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as demographic data, GDP, consumer spending, internet penetration, and device usage. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, the S-curve function and exponential trend smoothing methods are applied.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.