The car rental business has been around for decades, but with the prevalence of mobile technology and smarter customer preferences, it is experiencing a surge in demand. A car rental mobile app can help car rental businesses to better reach out to their customers, improve services and grow their business.

If you’re a car rental agency, an entrepreneur, or an investor looking to build a car rental mobile app, there are many questions coming to your mind. This article will explore everything you need to know about developing a car rental mobile app, including the cost and features necessary.

So, before you hire mobile app developers, let’s know more about this process, and let’s start with some important statistics.

Car Rental Industry Statistics:

Car Rental Industry Statistics
  • According to reports, the car rental industry is all set to touch the mark of $104 billion in revenue by the end of 2024. Furthermore, there will be around 620 million active users of car rental services by the end of 2027.
  • The total market capitalization of the car rental industry was around 119.28 billion in 2021, and it will cross the mark of approximately $223.07 billion by the end of 2027.
  • When it comes to the compound annual growth rate, the car rental industry will grow at a rate of around 6% between 2021 and 2031.

Looking at the statistics, it is clear that the car rental industry has immense potential. On this note, let’s explore why this industry is booming at this rapid pace before you opt for professional bespoke app development services.

Understanding The Concept Of The Car Rental Business & Why It’s So Popular:

The car rental business has become increasingly popular in recent years, with people from all walks of life taking advantage of its convenience and affordability. Whether you’re a college student looking for a way to get around campus or an international traveller needing transportation during your stay, understanding how car rentals work is essential.

Uplift Your Car Rental Business With Mobile App

Car rental companies typically offer short-term leases on vehicles ranging from compact cars to luxury sedans and SUVs. Prices vary depending on the type of vehicle and other factors such as duration, location, and added features like insurance coverage and additional drivers.

In addition to providing mobility solutions while travelling, renting a car can also be cost-effective compared to traditional taxi services or public transport options in some cases. With so much flexibility available at reasonable prices, it’s no wonder why more people choose this option when they need temporary transportation solutions.

Why Is The Car Rental Business’ Future Bright?

Why is the car rental business future bright

High Demand:

The car rental industry is experiencing a period of consistent growth, with more and more people turning to it for their transportation needs. This trend is expected to continue as more people are travelling for business, leisure and other activities.

Furthermore, car rental companies can target a wide range of demographics, ranging from millennials to baby boomers. Also, with the emergence of new technologies, car rental companies can provide better services to customers and make their operations more efficient.

Technological Advances:

The car rental industry is being revolutionized by technology, with companies introducing digital tools to streamline their operations and make customers’ experiences faster, more efficient, and more enjoyable.

Many car rental companies are now offering mobile apps that allow customers to book a vehicle and pick it up on the same day in some cases. Customers can also take advantage of features such as GPS tracking, real-time notifications, and smart-fuel detection in order to save time and money.

Favourable Regulations:

Government policies support the car rental industry, providing it with legal protection and financial incentives when needed. This has allowed companies to continue expanding their operations while protecting customers from scams or fraud.

In addition, policies like the Low Carbon Vehicle Scheme in the USA provide financial incentives for companies that switch to greener cars, helping them reduce their emissions and become more environmentally friendly.

The car rental industry is here to stay, and its future looks bright. With more people opting for this convenient and affordable way to get around, car rental companies are positioned to take advantage of the opportunities that come with this new market.

Leveraging custom mobile app development solutions, companies can make booking a car even easier and more convenient. With the right technology, they can provide customers with the best possible experience while growing their business seamlessly. On this note, let’s explore how to develop a car rental app.

How To Develop a Car Rental Mobile App?

How to develop a car rental mobile app

Developing a car rental mobile app requires a number of steps. The biggest challenge is ensuring that the app is secure and user-friendly while meeting all industry standards. Here is a guide on how to develop a mobile app.

Define Your Requirements:

Before starting to develop the app, it is essential to define your requirements. Ask yourself the questions that will determine what features the app should and shouldn’t have. This will ensure that you create an app that meets the needs of both your customers and your business.

In addition, perform comprehensive and in-depth competitor analysis to understand what features and functionalities your competitors are providing. This will help you identify the unique selling point of your app and how it can stand out from the competition. Your app needs to have some moat that other apps don’t have.

Select a Development Technology:

The next step is to select a suitable development technology for your app. There are a few different technologies and frameworks available for development, such as native apps, hybrid apps, and cross-platform apps. You should opt for the one that best suits your requirements and budget.

For example, if you need to develop an app quickly, then opting for cross-platform technology can be beneficial as it allows you to create an app that can be used on multiple platforms. At the same time, native apps provide the best user experience as they are designed specifically for a particular platform.

Wireframing The Screens And Features:

Ask the mobile app developers to create wireframes for all the screens and features of the app. It helps visualise how the app will look and function. This is an important step as it allows you to get feedback from users during the development process, which can help make changes if needed.

Wireframing is an essential process that covers the entire workflow of the app, from the entry point to all the features and functionalities. This helps developers understand how everything should be connected and gives them a better idea of how to develop the app. Using tools like and Sketch will help you create high-quality wireframes in no time.


Developing an MVP (Minimum Viable Product) is a great way to test your app before it goes live. An MVP contains just the basic features of the app, which allows you to get user feedback and make necessary changes as needed quickly. This also helps save time and money as you can ensure that all the features are working properly without having to develop the entire app.

Building an MVP will also help companies save substantial costs because it requires less development time than building an entire app. Furthermore, you’re open to collecting feedback from users and making improvements accordingly.


The user interface (UI) and the user experience (UX) of a car rental mobile app are crucial for its success. The UI should be visually attractive, intuitive, and responsive, while the UX should make sure that booking a car is smooth and effortless. Designers need to pay attention to every detail while designing an app, such as colours, fonts, navigation, and more.

The app should provide users with all the information they need at a glance. It should be straightforward and easy to use. For example, the booking process should be simple and uncomplicated; users should be able to book a car in just a few steps.

Development and Testing:

Once the design is finalised and approved, developers can start building the app. They need to ensure that the app works properly on all platforms. After the development process is complete, it should be thoroughly tested before going live.

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Testing is a vital step that ensures that all features are working as intended and there are no bugs or glitches in the app. It is also important to test the app’s performance on different devices to make sure that it works properly.

On this note, let’s check out the must-have features for your bespoke car rental mobile app so that it stands out from the rest.

Benefits of Developing a Mobile App For Car Rent Business

Benefits of developing a mobile app for Car Rent Business

User-Friendly Experience: A well-designed mobile app makes things simple for customers. With just a few taps, they can explore your fleet, make a reservation, and even pay!

GPS Tracking: Integrating GPS technology into your car rental app offers numerous advantages. You can easily track your vehicles, ensuring their safety and timely maintenance.

Promotions & Discounts: Want to boost your revenue and attract new clients? Offer exclusive promotions and discounts through your app. This will incentivize users to book through the platform and foster loyalty as they enjoy the perks of being an app user.

Analytics: Knowledge is power, and mobile app analytics provide invaluable insights. By examining user behavior, preferences, and demographics, you can tailor your services to meet customer needs better.

Streamlined Management: A mobile app can simplify various aspects of running your car rental business. For instance, managing reservations, billing, and fleet inventory becomes a cinch.

Must-Have Features Of Your Bespoke Car Rental Mobile App

Must have features of your bespoke car rental mobile app

Seamless Customer Registration And Login:

A secure and user-friendly registration process is a must-have feature. Customers should be able to register their details while security checks and verifications are being carried out without any interruption to the process.

Real-time Bookings And Notifications:

Customers should be able to make plans and bookings in real-time. The app should also alert customers of any changes, updates, and notifications regarding their booking instantly.

Secure Payments With Multiple Payment Gateways:

A secure payment gateway is an essential feature of any car rental app. It should provide customers with multiple payment options and process payments quickly and securely. Also, customers should be able to track their payments and view their payment history.

Live Vehicle Tracking:

Customers should be able to track their vehicle’s location in real time. This helps in providing a better customer experience and enhances the safety of the customers. Customers should also be able to view the estimated time of arrival of their vehicle.

Discounts And Loyalty Programs:

An app should offer discounts and loyalty programs for customers who frequently use the car rental service. This helps in creating customer loyalty and also encourages them to use the service more often.

Communication Features:

The app should have communication features that enable customers to contact the service provider in case of any queries or issues. Customers should also be able to contact the drivers in case they have any questions. This helps in providing a better customer experience.

These are some of the must-have features for your bespoke car rental mobile app. You can also ask your mobile application development company to add custom features as per your requirements. This can help you in creating a unique and feature-rich app that stands out from the crowd.

After exploring the features, let’s look at some of the monetization strategies for your custom car rental application.

Monetisation Features For Car Rental Applications:


You can earn through your car rental mobile app by displaying advertisements. Advertising space within the app will attract potential sponsors who are willing to advertise their products and services.

In-app Purchases:

By offering in-app purchases, you can generate good revenue through your app. You can offer additional features and services through in-app purchases that customers can buy on an opt-in basis.


You can offer subscription-based services through your car rental mobile app. Customers can pay a fixed fee on a regular basis to access various services and features. This will help in getting a steady stream of income from the customers.

These are some of the monetization strategies that can be used to generate revenue from your car rental mobile app. On this note, let’s explore how much it costs to build a custom car rental mobile app.

How Much Does It Cost To Develop a Car Rental Mobile App?

Developing a car rental mobile app is a complex and time-consuming process. The development cost depends on the type of platform, the design, hire the best mobile app developers for the work and other factors.

Developers usually estimate costs based on what features they will include in the app. Developing an MVP will cost you between  $10,000 and $35,000 building an app with advanced features, it will cost you between $35,000 and $75,000. To get a more accurate estimate, you should contact a professional mobile app development company like AGS for an accurate estimation.

Want to Know the exact cost estimation for your car rental app development project

After exploring the cost of developing a car rental application, let’s check out different factors that influence the development cost. Before you start searching for mobile app developers for hire, it’s important first to understand the costing parameters.

Factors Affecting The Cost Of Creating a Car Rental Mobile App:

Factors affecting the cost of creating a car rental mobile app

The Number Of Features:

A car rental application will have features like price comparison, booking and payment options, customer login, location tracking, etc. The more features you include in the application, the more time and money will be required for its development. Furthermore, each feature will require the development of an additional module, which will cost more money.

The Complexity Of The App:

Another factor that affects the cost of car rental mobile app development is its complexity. If you want to create a complex app with multiple functions, it will take more time and money to develop. For example, if you want to develop an app with real-time tracking, multilingual support, and payment integration, it will be more expensive than a basic car rental app.


The type of platform you choose for your car rental mobile app will also influence the development cost. If you’re developing an app for Android or iOS, then the cost to build a native app will be higher than a hybrid or web app. Hybrid apps are cost-effective to build because they use the same code to run on multiple platforms.


The design of a car rental mobile app is also an important factor in determining the cost of development. If you want a visually appealing and user-friendly design, then it will take more time and money to develop. Furthermore, if you want custom animation or graphics for your app, then this will also add to the development cost.

The Number Of App Developers:

The number of app developers you hire will also affect the cost of development. If you want to develop a complex car rental mobile app, then it’s best to hire a team of experienced mobile app developers to get the job done efficiently and quickly. It’s important first to figure out the core requirements so that you can determine the number of developers and their experience levels.

Location Of Developers:

The location of the developers you hire will also affect the cost of development. For instance, if you hire developers from a developed country with a higher cost of living, then it will be more expensive than hiring developers from a cheaper country. Like, if you hire developers from the US, then it will be more expensive than hiring developers from India or Ukraine.

Scalability And Maintenance:

Scalability and maintenance are also important factors in determining the cost of development for a car rental mobile app. The more complex the app is, the more time and money will be required to maintain it. Furthermore, if you want to make changes or add new features, then this will also require additional resources and costs.

It’s important to consider all these factors before you start building a car rental mobile app. On this note, check out how long it takes to develop a personalized car rental mobile application from scratch.

How Long Does It Take To Develop a Custom Car Rental Mobile App?

The exact duration of car rental mobile app development depends on the complexity and number of features in the application. Generally, a simple app with basic features can take approximately 4 to 6 weeks, while a complex app with multiple features will take anywhere between 12 to 24 weeks. It’s important to hire the best app developers from professional companies like Auxano Global Services to get the maximum value for your money.

Why Choose Auxano Global Services For Car Rental Application Development?

Auxano Global Services is the top mobile app development company in the USA. We are a team of experienced developers and designers who have built hundreds of successful apps for clients in the USA and around the world. Our approach to development is focused on creating the best user experience, which leads to higher customer satisfaction and better results.

We have a proven track record of developing custom car rental mobile apps and providing excellent customer service throughout the development process. Our team of highly skilled developers can create a personalized car rental app with real-time tracking, user authentication, payment integration, and more.

We also offer ongoing support and maintenance for the app after it has been launched in the app store. Our team of experienced professionals is always available to provide assistance and answer any questions you have about the application.

Build Your On-Demand Car Rental Business With Us

At AGS, we follow an agile methodology to develop and are committed to providing quality products and services at competitive prices. So, if you’re looking for an experienced mobile app development company that can deliver a custom car rental mobile app, then AGS is here to help.

Wrapping Up!

The demand for car rental mobile apps is increasing due to the convenience and cost-effectiveness they offer. However, it’s important to consider all the factors involved in the development process before building the app. These include the cost of developers, scalability and maintenance, and the duration of development. Hiring a professional mobile app development company like Auxano Global Services can help you create a successful car rental mobile app that meets all your requirements.

Frequently Asked Questions

  • 1. How much does it cost to develop a car rental mobile app?

    The exact cost of developing a car rental mobile app depends on the complexity and features of the application. Generally, it costs between $10,000 and $35,000 for an MVP & for an advanced features app, it will cost between $35,000 and $75,000 to develop a car rental mobile app from scratch.

  • 2. How long does it take to develop a custom car rental mobile app?

    It takes anywhere between 4 to 24 weeks to develop a custom car rental mobile app, depending on the complexity and number of features.

  • 3. Why are car rental mobile apps so popular?

    Car rental mobile apps are popular because they offer convenience and cost savings to customers. They allow users to book cars from any location, view available cars and their prices, compare rental companies, and make payments with ease.

  • 4. What features should a car rental mobile app have?

    A car rental mobile app should have features such as real-time tracking, user authentication, payment integration, and more. The exact features of the app depend on each user’s specific requirements.

  • 5. What are the monetisation options for car rental mobile apps?

    Car rental mobile apps can be monetized through in-app purchases, subscriptions, advertisements, and other methods.

About the Author

Milan Koradiya

Krunal Shah

As the Android Team Lead, Milan Koradiya possesses immense expertise in Android app development. He is a creative thinker and holds a great vision when it comes to planning a project. His management and technical skills have been a significant contribution to the company. He has an all-embracing hands-on experience in trending technology as well, such as Flutter, Kotlin, Xamarin, React Native, and Ionic.