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New Car Rental Alternatives will not Leave Traditional Rentals in the Dust

Submitted by robyn on July 16, 2012
Industry Trends
Why traditional car rentals still reign supreme over car-sharing services
Purple Smart Car representing car2go car-sharing service

Car-sharing is convenient, but traditional rentals aren't going anywhere

Is the in-city car2go service that is now operating in many cities worldwide going to wipe out traditional car rentals as we know them? I don't think so, but they are a cool concept nonetheless.

The Car2Go Concept

I read an interesting article in the National Post which boasts the many advantages of this relatively new service. For those of you who aren't up to speed with this new phenomenon, car2go allows people to 'rent' a vehicle, last minute without having to go to traditional agency reservation counters. Members pay a fee for their membership card that lets them pick up Smart Cars in designated parking lots. They swipe the card, get in the vehicle, turn on the ignition and they're off!

Convenient, But Limited

Sure — this is a great alternative to taking the bus when you're in a pinch or don't feel like walking the 6 km to get to your office. The cost is relatively reasonable and you don't have to pay for parking which can become extremely costly in most cities. It is also an environmentally-friendly alternative to renting a gas guzzling SUV.

Traditional Rentals Still Win

But the reality remains that many people want to find the best car rental deal so that they can have a vehicle to 'call their own' for anywhere from a day to a week to a month. While the car2go Smart Cars are good for hourly (or daily, max) rentals, it doesn't make economic sense to rent these vehicles for longer periods of time. Plus, they aren't overly practical vehicles for groups, families, vacations or executives wanting something upscale. So, while the car2go service is a snappy way to get from point A to point B in a pinch, I don't think traditional independent car rental deals will be left in the dust.

The Best of Both Worlds

Car-sharing is great for quick urban trips, but when you need a vehicle for a full day or longer — especially for families, groups or road trips — nothing beats the value and convenience of a traditional independent car rental.

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