The car rental business is still needed by the community. Especially lately the price of plane tickets is very expensive, so many are returning to use cars. In addition, many cities in Indonesia are already connected to toll roads. This makes the car rental business revive again for reasons of efficiency and economy.
However, what about the long-term opportunities?
Let’s look at the following description.
Car Rental Business Opportunities Still Wide Open
If you look at the current traveling trend, the car rental business still has the potential to run in the future. In 2018 alone, the number of passengers on land, sea and air transportation modes tends to increase. This shows that people still regard traveling as a necessity.
Along with the rising price of airline tickets and the existence of toll roads, road trips are in great demand.
The reasons above are enough to convince aspiring car rental entrepreneurs to get started right away.
The tendency for people to choose roadtrip-style traveling will continue to increase. Moreover, the existing toll roads offer beautiful views. Not to mention that smooth toll roads without obstacles make road trips even more enjoyable. This is why the car rental business is still a big opportunity.
Tips for Starting a Business
The big question is is it difficult to open the car rental? The answer is not that difficult. Prospective entrepreneurs only need to know what preparations must be made before entering this business world.
Below are reviews that may help:
Prepare Strong Capital
When the opportunity is still there, prepare capital to pick up the opportunity. If the capital is sufficient, the prospective entrepreneur can buy a new car unit. However, if you don’t have much capital, use an existing car or share it with relatives or friends. Agree to buy a car that people often choose to travel with.
Usually, the car that people like is an MPV type car. This car is popular because of its large capacity. Suitable for family or traveling with friends. As much as possible, try not to go into debt when starting a business.
However, if you are forced into debt, calculate properly the current ability to pay. Project rental income with obligations to pay. Take a look at the description in the photo illustration below.
|Photo Source: Bizguide BCA|
Apply the Right Business Strategy
Decide on all the necessary strategies because this is a real war machine. Choose the right car rental business location. The strategic location is certainly an advantage. However, if getting a strategic location is difficult, start by making your home a business location. With a note, there needs to be an intensive promotion when the location of the business is at home.
Intense promotion is the key to success. In this digital era, use social media platforms.
Instagram and blogs will be very helpful. Create a blog or a special website that explains the advantages of a car rental business. Explain what cars are offered, fares, routes, as well as the quality of the drivers. Don’t keep the slightest information, let consumers get all the information on the blog or company website.
Consider the Security Aspect
The car rental business is a high-risk business. It is not uncommon for people to quit this business because their car is lost or used for crime. However, with good planning and management, security aspects can be managed as well. First, pay attention to the completeness of the car rental documents. Make sure the tenant has a clear identity and make sure the administration is organized.
In addition, it is important to install a GPS to track the location of the rented car. If necessary, also install CCTV in the rental car. GPS is a must-have tool for every car entrepreneur. When something bad happens to the car and its passengers, GPS can help track the location of the incident. In addition, also pay attention to the quality of the driver. Make sure the driver is an honest person and has a good driving style.
Choose the Right Car Insurance
It is important for car rental entrepreneurs to insure their cars. Cars rented by different people are prone to accidents. By having insurance for a rented car, losses due to accidents can be minimized. Choose a trusted car insurance and fast service. Adjust premiums with current business capabilities. Generally, people choose all risk insurance for their vehicles.
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Build Network to Expand Business
For some people building a network is very difficult. Especially for people with poor communication skills. If you want a successful car rental business, building a network is very important. Get acquainted with the same players in this business. That way, they can exchange orders with each other when needed.
Taking business seminars is a good first step in building a network. From here, try to get acquainted with other entrepreneurs. In addition, being part of a community can also help in building a network. Don’t be shy to learn from senior car rental entrepreneurs. Learn how they have successfully grown their business.
Complete with Tour Packages
The car rental business will be more attractive if it is equipped with a tour package. For novice travelers, renting a car plus a tour is an option that is often taken. Make an efficient and attractive tour route. Also, provide a communicative, friendly and informative driver to accompany guests during the trip. Make sure the tour packages offered are attractive.
Offer attractive package prices and don’t set the tour rates too expensive at the beginning. Provide a promo price if necessary. However, keep calculating the right amount of the promo. Don’t let the promo price make your business lose. Before starting to arrange a tour package, it’s a good idea to do a survey of what kind of tour model people are interested in.
Don’t Forget Car Care
Cars are a major component of this business. Because it is important to maintain good performance. Given the high flying hours of the car, don’t forget about maintenance. Perform routine checks on brake quality, oil changes, balancing and other maintenance. By doing regular checks, the quality of the car remains excellent and driving safety is guaranteed.
Business Development Control
We assume the business has been successful. Do not continue to be complacent because every business has a saturation point. When the business is already successful, consider expanding. After successfully working on the individual market, try to penetrate into the industry. Offer rental services to companies.
Usually, the company requires a rental car for operations as well as the allocation of a leadership car.
Create a company profile that displays company milestones. In addition, maximize the use of websites or blogs.
When the company is big, the information about the rental business in cyberspace must be easy to find and always updated. To anticipate the needs of the fleet, first obtain the cooperation contract, only after that can prepare the fleet according to what is stated in the contract.
The Need for Consistency to Keep Businesses Sustained (Sustainable)
The car rental business demands consistency. Discipline and maintain the system that was built in the beginning. Don’t be easily distracted by more successful competitors, suddenly dropping rents, rising gasoline prices and so on. Use every obstacle as a whip to innovate more. It’s hard work to build relationships and provide the best service.
Consistent in evaluating the business that has been running is very necessary. Double check that all procedures have been executed. Whether the quality has been maintained and when is the right time to improve the quality of service. How to retain customers and so on. With consistency, this business will continue to shine.
In conclusion, the car rental business is still very feasible to run. This business opportunity is still good because the trend of people traveling by road is increasing. With good capital and management, this business has a bright and promising future.
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Hopefully this info is useful and see you again in the next article.