Imagine a world in which you can have it all but own none of it. With the rise of rentership, it's not only possible, it's inevitable.
Temporary use of everything from cars to clothing is the latest trend disrupting businesses of all shapes and sizes. Modern consumers favor the on-demand nature of rentership. Rather than invest money in owning things, spending on experiences has greatly outpaced consumption of goods.
For the car transportation industry, keys to growth will be found in three places:
- Artificial Intelligence. Provide real-time and long-term insight to optimize future utilizations
- Predictive Analytics. Help customize vehicle style, location, and best fit for users' wants and needs
- Data Analytics. Drive cost reduction and boost overall revenue
Ridesharing apps, such as Uber and Lyft, initially posed a threat to the car rental industry. But I see this shift as an opportunity.
Forward-thinking car rental companies can use AI to achieve greater efficiency, reduce operating costs, and deliver once-unimaginable customer satisfaction by combining their unique fleet management experience with ridesharing capabilities and tailoring future offerings to their oh-so-rich customer data sets.
Specifically, there are four driving forces behind this shift within the car rental industry:
- Fleet Utilization
- AI provides real-time and long-term insights to optimize fleet utilization.
- AI enables customization at scale to suit customer needs.
- Dynamic and time-based fee structures that are transparent and designed around the consumer – not the provider
- Environmental Benefits (Greening):
- Car sharing minimizes the production of new vehicles. This, coupled with electric cars, will reduce dependency on the oil industry.
These forces have opened up a wide variety of exciting possibilities for new business models and revenue streams.
Technology shifts are at the heart of what's possible. Ask me how I can help your organization leverage AI to quickly outpace your competition. Let's explore the rentership landscape together.