06 Mar 2023 | 4 min read
Contactless rental is not only a wise choice for the car rental operator, but also for the customer. When we speak about contactless rental we mean a software solution to digitize and automate a car rental business. A digital rental model enables time-saving, operational costs optimization, and efficient fleet management for a premium car rental experience.
The car rental market is becoming more competitive and is quickly sliding into the world of fleet digitization. Car rental companies must grab the opportunity here since the 25-45 years old age group represents 75% of the rental market and are more willing to pay a plus price for a digital and immediate experience.
In the article on the advantages for the car rental operator, we set out the carousel of reasons (benefits, rather than reasons) why a car rental business should go digital. But we do not want to stop there, today we showcase another vital side: the user experience.
Today’s user seeks immediacy and convenience in booking and picking up their rental car. Choosing a contactless rental gathers all these needs and generates 2.0 benefits that a traditional car rental could never provide. Let’s see them together!
Choosing a contactless car rental over a traditional one can offer significant time savings. With contactless car rentals, car keys are often directly inside the connected car, making them ready to be picked up with just a few clicks from the renter’s phone. This not only eliminates the need to wait in line at a rental desk but also drastically cuts off time to complete paperwork in order to pick up the keys. Additionally, the choice of a contactless rental can greatly reduce the amount of paperwork required, including ID, driver’s license, and contract signatures.
With the convenience of technology, renters can save valuable time and streamline their user car rental process, allowing them to get on the road quickly and easily.
With a contactless rental, contactless vehicle access can be done in a much more distributed manner across the territory. The end user will be able to use the GPS location to go to the car or even have it delivered near him/her.
The ability to rent a vehicle 24/7 is a significant advantage for the end user when it comes to choosing a contactless car rental with connected vehicles. Unlike traditional car rental companies, which typically operate on fixed business hours, a connected fleet allows for digital management of operations. It provides users with access to their car rental vehicle at any time of the day or night 365 days a year. With digital management, car rental companies allow remote control of their vehicles. Furthermore digital car rental companies allow users to access their booked cars without the need for physical interactions with other people or at the front office. Thanks to a contactless rental model digital pick up and drop off is made possible. The 24/7/365 access allows for unlocking and locking of the vehicle. The retrieval and return of the keys is also managed digitally.
This not only provides greater flexibility and convenience for the end user but also streamlines the car rental process, reducing wait times and minimizing the potential for errors or delays.
When it comes to renting a car, one of the most tedious tasks is keeping track of the mileage. From remembering the initial mileage at pick-up to ensuring that you don’t exceed the allotted kilometers, it can be a hassle to keep track of it all. However, with more and more connected cars in rental fleets, this task is becoming a thing of the past.
For the end user, this means that the car is equipped with an odometer feature and GPS tracking. These components automatically record the car’s trip and distance traveled. In this way there’s no need for the user to manually enter the kilometers at pick-up and drop-off. Surely the chances of errors or disputes over mileage is extremely reduced.
In addition to the time savings, another advantage of choosing a contactless car rental is that the specific car model and features are often guaranteed.
When renting a traditional car, it is possible that the desired make or model may not be available, leading to disappointment or the need to make last-minute adjustments. With contactless car rentals, once you book a connected rental car, you will receive a direct reservation to that specific vehicle that includes contactless rental. This ensures that you will no longer have to worry about any unforeseen timing issues due to vehicle availability. Additionally, you simply have to go straight to the car without going through a front office, the place where more often the unexpected car change occurs.
With the use and availability of safety features such as GPS tracking, DTC (Diagnostic Trouble Code for car issues identification), service alerts for car maintenance, odometer, and many more, car rental companies can have a better understanding of the condition and usage of their vehicles. This can lead to more accurate maintenance and repair schedules, ultimately resulting in a better car rental experience for the end user.
Opting for a contactless car rental can provide clients with significant advantages, particularly when it comes to car insurance based on driving behavior. With the availability of connected cars in contactless rentals, driving behavior can be tracked and analyzed in real-time. This advantage allows for customized insurance premiums that accurately reflect the individual driver’s risk profile. By driving safely and responsibly, clients can demonstrate a low-risk driving pattern and potentially qualify for lower insurance rates. This also promotes safer driving habits and helps reduce the overall risk of accidents on the road.
A carmaker example of this driving behavior-based insurance is Tesla. Tesla, based on user driving behavior, offers clients different insurance plans. If you are a “careful” driver you pay less than a more “witty” driver.
Many insurance companies are starting to use black boxes to do this kind of analysis on their customers to tailor their offers based on different driving profiles. By choosing a connected car with these specific features, clients can enjoy a more environmentally-friendly and cost-effective driving experience.
Based on the topics covered in the first two articles, by leveraging cutting-edge technologies, the car rental operators on one side are poised to remain at the forefront of innovation and continue to meet the evolving needs of their customers in the years to come. On the other side, choosing a contactless rental for the customer is the go-to for having the desired amenities only a click away. Whether you’re a frequent traveler, a busy professional, or just looking for a better way to rent a car, a contactless rental is the go-to!
Stay tuned for the next episode where we will talk about…