Market Size of Spain Car Rental Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 5.95 Billion |
| Market Size (2029) | USD 7.47 Billion |
| CAGR (2024 - 2029) | 10.13 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Spain Car Rental Market Analysis
The Spain Car Rental Market size is estimated at USD 5.95 billion in 2024, and is expected to reach USD 7.47 billion by 2029, growing at a CAGR of 10.13% during the forecast period (2024-2029).
Over the long term, the rising number of tourists in the country and the increasing car rental fleet size are driving the car rental market in Spain. The country has 47 UNESCO World Heritage Sites, numerous beaches on the Atlantic & Mediterranean, and many ongoing festivals across the year, which aid in gathering millions of international tourists, along with domestic tourists.
In June 2022, the Spanish government's announcement of EUR 110 million investment in tourism competitiveness indirectly benefited the car rental market by attracting more potential investors.
People's attitudes toward traveling light are changing, and they prefer renting a car to owning one, especially when traveling. This social mindset shift has contributed to an unusually high demand for rented cars. Spain is no longer a destination for visitors who arrive by car. Tourists are looking for car rentals for their vacations. As a result, the country is experiencing a car rental crisis.
The electric rental fleets in the country are also expected to grow in the coming years, encouraging the rental services offered across the country to attract customers and curb greenhouse emissions. Some of the prominent players in the Spanish airport car rental market are Europcar Mobility Group, Hertz Corporation, and Avis Budget Group.
However, tourist travel behavior and vacation expectations have been reset following the pandemic. Following three years of revenue decline (due to the pandemic), the car rental industry is expected to see an increase and a healthy profit.
