The Car Rental App Market is growing drastically, and if you are looking for car rental app development, amazing opportunities lie ahead. Read this blog to know more.
The on-demand apps are rising, and people need quick solutions to their problems. To offer mobile users a convenient solution to book car rental services, which can help them rent cars easily, the car rental app development cost can be a good option. Whether a short trip to a nearby mall or an outstation trip, the car rental app development can offer a convenient way to book cars on rent. Since the demand is high, travel businesses are eyeing car rental services to generate revenue enormously.
The car rental market is growing enormously, offering vast business opportunities in the car rental, tour, and travel domains. This market is expected to grow at a CAGR of 6.9% during 2022-2030. These stats also open doors of opportunities for car rental app development.
How Does Car Rental App Work?
Car rental apps allow users to easily book a car and receive notifications with details about the car and rental time. These apps typically allow users to explore available cars, choose a rental time, and make a reservation. They may include features such as tracking the car’s position, checking rental history, and receiving rental-related notifications.
Through the car rental app, users can rent cars based on specific locations within a city. These apps further offer unlimited driving kilometers, insurance coverage, and damage cost waiver. So if you are looking for car rental app development, you need to consider various features offered by competitive apps.
Cost of Car Rental App Development
Whenever you think of building any application, the first major aspect which comes into consideration is cost. Since app development can be costly, it is crucial to analyze features and app complexity to calculate costs. The costs may depend on various factors, but in general, if you talk about car rental app development costs, they may range between $20,000-$100,000.
What Affects Car Rental App Development Costs?
The car rental app development cost may range based on various factors, which are as follows:
- Technology Stack
The Technology stack is a software solution that is used to build a mobile application. In car rental app development, the technology stack decides which programming language, front-end or back-end framework, and the database will be used to develop the application. It can include a combination of frameworks, databases, and programming languages. The common technology stacks used commonly are – MEAN stack, MERN stack, etc.
- API Integration
There are various services and features used in building an app that can let users book car rentals along with various supporting functionalities. This may include maps, sms, push notifications, email service, payment gateway, cloud integrations, etc. Some of the APIs can be free of cost, but some may come with a subscription model or pay-as-you-go model, which adds to the development cost.
- Team Structure
App development requires programmers, designers, iOS/Android developers, a project manager, and a QA manager to ensure that app development is done with the best standards and may not result in any bugs. The cost of these resources is based upon their experience, and it may also depend on conditions like whether you hire them full-time, part-time, or freelance.
- Location & Hourly Rate
The development cost also vastly depends upon the development team’s location and hourly rates. In the US, it might range around $150-$250, while in India, it may be around $30-$80. The pricing and billing are also based on whether you hire resources full-time or freelance.
- App Features
The features included are a critical factor in deciding the major chunk of the car rental app development cost. The different features which are included in car rental app development are- booking of cars, scheduling rental, live tracking, payment gateway, SMS/Call/Push Notification Integration, Algorithm to eliminate booked listings, etc. On the other hand, the admins should have access to all the bookings, payments, live trip status, damages or insurance updates, etc.
Monetisation Option for Car Rental App
There are various ways to earn money through car rental app development as it involves various models, which are as follows:
- Commission: This allows car owners to list their cars for rent based upon an agreement under which the commission can be drawn based on the per-booking model.
- Subscription Fee: the nominal subscription fee, along with the add-on variables, can be added to the car rental package.
- Fixed Booking Hours: The revenue can be driven through fixed booking hours which can be based on per-hour calculation.
As you now know about car rental app development costs, you should consider all these factors to conclude how much you need to invest in order to build a full-fledged app. If you are a new entrant to the market, you should first create an MVP at a nominal cost and then switch to developing an app with diverse features. Still, have a doubt or Looking to develop a car rental app? Connect with experts at Alphonic.