Industry Statistics and Trends
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.4 % over the past five years, to reach an estimated $6.3bn in 2024.
Trends and Insights
Electric vehicles pose a double edged sword for car rental companies
- Growing awareness and adoption of electric vehicles and expanding charging infrastructure have increasingly attracted environmentally conscious travelers to rent electric cars.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
External competition remains a challenge
- Ride-sharing apps like Uber and Lyft offer point-to-point convenience and potentially lower costs for short trips or urban travel, directly competing with car rentals.
Biggest companies in the Car Rental in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Enterprise Holdings Inc. | 2,892.2 | 307.6 | 10.6 | |
Avis | 285.8 | 4.8 | 1.7 | |
Hertz Global Holdings Inc. | 225.9 | -26.1 | -11.6 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Airport rental services, Off-airport rental services and Leasing services. Airport rental services is the largest segment of the Car Rental in Canada.
Trends and Insights
Higher rates boost airport rental services
- Airport rental services are a specific branch of the car rental industry focused on providing rental vehicles to travelers arriving at and departing from airports. Airport rental companies typically operate dedicated counters or offices within airport terminals or in easily accessible off-site facilities.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Operators in the Car Rental industry in Canada rent and lease passenger cars without drivers, which are often used for short periods of time. Car rental agencies provide hearses, limousines and passenger cars, including automobiles, minivans and sport-utility vehicles (SUVs). Car rentals typically last 30 days or fewer, while leasing agreements typically last 12 months or longer. The industry excludes the rental or leasing of cars with drivers.
What's included in this industry?
Airport rental servicesOff-airport rental servicesLeasing servicesCompanies
Enterprise Holdings Inc. AvisHertz Global Holdings Inc.Purchase this report to view all 3 major companies in this industry.
Related Terms
AIRPORT RENTALSCAR SHARINGCONCESSIONOFF-AIRPORTRESIDUAL VALUEIndustry Code
NAICS 53211 - Car Rental in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Technological advancements like connected car technology, telematics and big data analytics are transforming the car rental industry. They help companies provide superior cus...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Airport rental services enjoy higher demand because of their convenient location and the return of international travel. Major cities like Toronto and Vancouver see an increa...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Ontario's large population and numerous tourist attractions attract car rental providers. The province's large cities and major airports generate significant business opportu...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The accelerating popularity of ride-share platforms has directly threatened car rental services. Ride-sharing makes accessing a ride simple with a mobile device and typically...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Large companies are increasingly relying on technology to remain competitive amid intense competition. Large car-renting establishments use new technologies to differentiate ...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Enterprise Holdings Inc. 's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Avis's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Hertz Global Holdings Inc. 's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Enterprise Holdings Inc. , and factors influencing its performance in the industry
- Description and key data for Avis, and factors influencing its performance in the industry
- Description and key data for Hertz Global Holdings Inc. , and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The Canadian Car Rental industry heavily depends on inbound international travel and per capita disposable income. More tourists and income from disposable spending boost ren...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Acquiring vehicles is consistently one of the most substantial expenditures for car rental companies. The financial burden of these high costs can be alleviated by forming st...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Car Rental industry in Canada in 2024?
The market size of the Car Rental industry in Canada is $6.3bn in 2024.
How many businesses are there in the Car Rental in Canada industry in 2024?
There are 1,994 businesses in the Car Rental industry in Canada, which has grown at a CAGR of 1.5 % between 2019 and 2024.
Has the Car Rental industry in Canada grown or declined over the past 5 years?
The market size of the Car Rental industry in Canada has been growing at a CAGR of 0.4 % between 2019 and 2024.
What is the forecast growth of the Car Rental industry in Canada over the next 5 years?
Over the next five years, the Car Rental industry in Canada is expected to grow.
What are the biggest companies in the Car Rental market in Canada?
The biggest companies operating in the Car Rental market in Canada are Enterprise Holdings Inc. , Avis and Hertz Global Holdings Inc.
What does the Car Rental in Canada include?
Airport rental services and Off-airport rental services are part of the Car Rental industry.
Which companies have the highest market share in the Car Rental in Canada?
The company holding the most market share in Canada is Enterprise Holdings Inc. .
How competitive is the Car Rental industry in Canada?
The level of competition is high and increasing in the Car Rental industry in Canada.
Related Industries
Widen your competitive advantage with related industries
Competitors
- New Car Dealers in Canada
- Taxi & Limousine Services in Canada
Complementors
- Used Car Dealers in Canada
- Car & Automobile Manufacturing in Canada
International industries
- Car Rental in the US
- Car Sharing Providers in the US
- Fleet Car Leasing in the US
- Passenger Car Rental and Hiring in Australia
- Passenger Car Rental and Hiring in New Zealand
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
