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Car Rental & Leasing in Germany - Market Research Report (2015-2030)

Chris Merklein Chris Merklein Frankfurt, Germany Last Updated: November 2025 WZ N77.11DE

Revenue

€30.9bn

2025

€30.9bn

Past 5-Year Growth

Profit

€X.Xbn

Employees

38,456

Businesses

3,723

Wages

€X.Xbn

Car Rental & Leasing in Germany industry analysis

In the years before the pandemic, the car rental industry benefited enormously from the positive economic conditions in Germany and many other countries, which led to a significant increase in the number of business and private trips. These travel activities form the main business basis of the industry. However, the coronavirus pandemic has put an end to this positive development, even if the industry was able to save itself from a slump in sales by significantly increasing prices. Nevertheless, industry turnover fell by an average of 4.8% per year between 2020 and 2025. For the current year, IBISWorld is forecasting an increase in turnover of 4.7% to 30.9 billion euros.

The business climate is likely to improve slightly in 2025. Companies are likely to take more business trips than originally planned, which should result in fewer car hire bookings. Private travellers from Germany are likely to use more industry services due to rising monthly net household incomes. In addition, the number of foreign travellers in Germany will increase in 2025 and have a positive impact on the industry. Strong competition from taxis and local public transport will continue to have a negative impact.

For the period from 2025 to 2030, IBISWorld expects average annual growth of 2.6% and an industry turnover of 35.2 billion euros by 2030. Over the next five years, industry players are likely to increasingly move into relatively new segments such as car sharing, which should lead to a blending of the two business concepts of rental and car sharing. In the long term, advances in autonomous driving are likely to further intensify this blending. The number of companies and operations is likely to increase by 2030, although the industry will probably increasingly divest itself of unprofitable locations, for example in rural regions. The industry will continue to be characterised by the switch to electric vehicles in the coming years.

Trends and Insights

  • Car hire companies in Germany could increasingly switch to electric vehicles in the future. However, the short range of the vehicles and the poorly developed charging network as well as the long charging times are currently still deterring many customers from booking electric hire cars.
  • The largest share of industry revenue is still being generated by regular car rental in the current year. However, as demand for operational leasing is increasing, the share of regular car rental is likely to fall in the coming years.
  • Car hire companies have established themselves primarily in the vicinity of Germany's major airports. There are large hotel chains that now cooperate closely with the major car hire providers.
  • For particularly environmentally conscious customers, local public transport offers an alternative to industry services. The introduction of the Deutschlandticket has made local public transport more attractive.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has declined at a CAGR of 4.8 % over the past five years, to reach an estimated €30.9bn in 2025.

Trends and Insights

The proportion of electric hire cars in the total fleet is above the national average

  • There are still problems with electric vehicles that prevent customers from booking them and car hire companies and car sharing providers from purchasing them. The shorter range of the vehicles, the inadequately developed charging network in some cases and the long charging times deter customers from booking and purchasing new vehicles. Industry players such as Sixt or the three major car manufacturers VW, Mercedes-Benz and BMW are therefore investing in the development and expansion of a charging infrastructure themselves. In addition, electric vehicles are on average more expensive to buy and currently still generate too little resale revenue.
  • Additional trends and insights available with purchase
Car Rental & Leasing in Germany
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

The electrification of fleets remains a controversial topic

  • German society is becoming increasingly environmentally aware. As a result, political players in Germany are pushing ahead with measures for greater environmental and climate protection. However, some of these are currently coming under pressure again. In 2023, it was decided that only emission-free cars may be newly registered in the European Union from 2035. However, there is currently renewed discussion about abolishing or watering down this decision. Furthermore, in Germany in 2023 it was discussed that stationary car sharing fleets in Germany should consist exclusively of climate-neutral cars from 2026. However, a corresponding law was never implemented.

Biggest companies in the Car Rental & Leasing in Germany

Company
Market Share (%)
2025
Revenue (€m)
2025
Volkswagen AG
3,175.8
Mercedes-Benz Group AG
1,497.4
Bayerische Motoren Werke AG
1,420.2

To view the market share and analysis for all 6 top companies in this industry, view purchase options.

Products & Services Segmentation

Car Rental & Leasing in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Regular car hire, Operating leasing and Car sharing and other services. Regular car hire is the largest segment of the Car Rental & Leasing in Germany.

Trends and Insights

Regular car hire remains the most important segment

  • The largest share of industry turnover in the current year is generated by regular car hire with an extendable maximum duration of two months and a daily fee.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This sector comprises the short-term rental of vehicles with a maximum total weight of 3.5 tonnes. Like car sharing, operational leasing, i.e. medium-term car hire with the option for customers to exit at short notice, is also part of this sector. In contrast, the rental of motorbikes and caravans is not part of the industry, nor is the rental of motor vehicles with drivers.

What's included in this industry?

Products and services covered in the Car Rental & Leasing industry in Germany include Regular car hire, Operating leasing and Car sharing and other services.

Companies

Companies covered in the Car Rental & Leasing industry in Germany include Volkswagen AG, Mercedes-Benz Group AG and Bayerische Motoren Werke AG.

Purchase this report to view all 6 major companies in this industry.

Related Terms

Related terms covered in the Car Rental & Leasing industry in Germany include operating/operating leasing, vans, carsharing, local public transport (public transport), global distribution system (gds) and new distribution capability (ndc).

Industry Code

WZ 2008

WZ 77.11 - Car Rental & Leasing in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Car hire companies in Germany could increasingly switch to electric vehicles in the future. However, the short range of the vehicles and the poorly developed charging network...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The largest share of industry revenue is still being generated by regular car rental in the current year. However, as demand for operational leasing is increasing, the share ...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

Car hire companies have established themselves primarily in the vicinity of Germany's major airports. There are large hotel chains that now cooperate closely with the major c...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

For particularly environmentally conscious customers, local public transport offers an alternative to industry services. The introduction of the Deutschlandticket has made lo...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Share Now, the largest car sharing provider in Germany and even Europe, was sold to the car company Stellantis in July 2022. Share Now was previously part of Your Now Holding...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Volkswagen AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Mercedes-Benz Group AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Bayerische Motoren Werke AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for 3 additional companies

Detailed analysis

  • Description and key data for Volkswagen AG, and factors influencing its performance in the industry
  • Description and key data for Mercedes-Benz Group AG, and factors influencing its performance in the industry
  • Description and key data for Bayerische Motoren Werke AG, and factors influencing its performance in the industry
  • Description, key data and performance trends for 3 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

The vehicle tax to be paid is based on the classification of the Euro standards. In more and more cities in Germany, there are environmental zones in which driving bans apply...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Fuel costs make up the largest item in the cost of materials. The global market price for crude oil fluctuates frequently, which is why the share of material costs in the cos...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Car Rental & Leasing industry in Germany in 2025?

The market size of the Car Rental & Leasing industry in Germany is €30.9bn in 2025.

How many businesses are there in the Car Rental & Leasing industry in Germany in 2025?

There are 3,723 businesses in the Car Rental & Leasing industry in Germany, which has grown at a CAGR of 4.3 % between 2020 and 2025.

How may import tariffs affect the Car Rental & Leasing industry in Germany?

The Car Rental & Leasing industry in Germany is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Car Rental & Leasing industry in Germany?

The Car Rental & Leasing industry in Germany is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Car Rental & Leasing industry in Germany grown or declined over the past 5 years?

The market size of the Car Rental & Leasing industry in Germany has been declining at a CAGR of 4.8 % between 2020 and 2025.

What is the forecast growth of the Car Rental & Leasing industry in Germany over the next 5 years?

Over the next five years, the Car Rental & Leasing industry in Germany is expected to grow.

What are the biggest companies in the Car Rental & Leasing industry in Germany?

The biggest companies operating in the Car Rental & Leasing industry in Germany are Volkswagen AG, Mercedes-Benz Group AG and Bayerische Motoren Werke AG

What does the Car Rental & Leasing industry in Germany include?

Regular car hire and Operating leasing are part of the Car Rental & Leasing industry in Germany.

Which companies have the highest market share in the Car Rental & Leasing industry in Germany?

The company holding the most market share in the Car Rental & Leasing industry in Germany is Volkswagen AG.

How competitive is the Car Rental & Leasing industry in Germany?

The level of competition is moderate and increasing in the Car Rental & Leasing industry in Germany.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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