Use Cases Of Web3 Car Rental Marketplace | FAQs Related To Web3 Car Rental Marketplace

Are you interested in building a web3 based car rental marketplace? Moving forward and establishing a full-fledged business in this niche requires a lot of awareness, which is somehow lacking among many modern entrepreneurs. Entrepreneurs' primary reason for exploring this field is its growing popularity. The car rental marketplace offers swift transactions and reduced service costs, advantageous to both users and providers. Before understanding this business in detail, let's get into the basics!

What Is A Web3 Car Rental Marketplace?

It is a decentralized car rental platform that permits the users to rent out a car whenever they require and that too of their own choice via a web3 platform. The services being offered via a rental web3 dApp are very much authentic and budget-friendly. The interface is flawless, and the services provided are attainable. One can check the real worth of the car rental market by having a look at the statistics below;

Statistics

• By 2022, the global car rental market is expected to reach about $125 billion worldwide.
• The profit generated by the car rental marketplace is estimated to reach $83.02 billion in 2022.
• The Market size value in 2021 was around $103.14 billion.
• The compound annual growth rate (CAGR) of 8.23% is predicted for the year 2022-2026.
• The P2P Car Rental Marketplace Model is projected to expand by 700% in the upcoming eight years.
• The approx. market volume of $113.90 billion is projected by 2026.
• Nearly 604.2 million users are expected by the end of 2026.
• The car rental marketplace is expected to generate total revenue of 71% via online sales by 2026.
• Currently, the user penetration is about 5.6% and is expected to strike at 7.7 % by 2026.
• About $193.90 is the average revenue per user amount.
• It has been predicted that most of the revenue during 2022 will be generated in the United States i.e.$25,590 million.
• It is expected to cover regional horizons like North America, Europe, Asia Pacific, and Latin America.

Compares to traditional car rental platforms, a web3 marketplace for car rentals is only similar on the face of it. It operates in a decentralized space which is new and confusing for businesses and entrepreneurs. Naturally, several questions will spring up related to the new way of renting cars. So, let’s dive into some of the most frequently asked questions about the web3 car rental marketplace.

What Are The Types Of Car Web3 Rental Marketplaces?

Creating web3 carsharing marketplaces mainly involves two types of marketplaces. Let’s discuss it in detail:

B2C Web3 Car Rental Marketplace

In this type of car rental marketplace, businesses rent their cars directly to their customers. Such a prototype is immensely adaptable as it offers rentals for round trips, one-way drives from one station to another, and free-floating trips (no fixed station).

P2P Web3 Car Rental Marketplaces

In this type of marketplace, the car owners share their vehicles with the individuals who are in need of it. This type of renting process exists for a brief period of time. That's probably the best way to make money. The most appreciable thing is that there is no need for an arbitrator.

What Are The Business Models of P2P Car Rental Marketplace?

The web3 car rental marketplace business model targets business owners, car owners, and renters. An outline of this P2P model is shown below;

Car Owners

• There is proper registration and comprehensive listings of cars by car owners.
• The business owner probes the listings and correspondingly approves as well as rejects them.
• All the approved listings are flaunted on the site and are visible to all visitors, whereas the rejected ones are sent back for reassessment.

Renters

• The listings are browsed by the Renters, from where they can choose the rental date and time with the help of a reservation calendar.
• A certain amount of rental fees is paid by the Renters to book the car.
• The commission from the rental fee is taken from the business owners while the remaining amount is assigned to the car owner.
• There is a proper conveyance process established between the Rentee and the car owner.

Business Owners

• There is adequate verification of the vehicle, and if something inappropriate is seen, then the business owner is informed about the same.
• The damage costs will be deducted from the security deposit, whereas if the vehicle is in perfect shape, the entire money is returned to the business owner.

What Is The Business Model Of B2C Car Rental Marketplace?

In the B2C car rental marketplace model, business owners list their commercial vehicles for rent. Here, there is a disadvantage for the customers, as they don't get to interact with the main party. The technical support service provides all the communication-related stuff. The vehicles are made available to consumers for a brief period of time. They also charge hefty rental charges with fixed amounts for an increased time.

What Are The Revenue Models Of P2P Car Rental Marketplace?

With multiple revenue models of the P2P car rental marketplace, business owners can make huge profits and ROIs. The process of earning revenue from the car rental marketplace needs adequate precision. The core thing is that no compromise should be made on the client's service. Hence, balancing both things is the hardest part. Now, if the application already has an inherent payment option from where the transaction takes place, then the commission is the only way to take in the revenue. The commission-based monetization method is highly expandable and can somewhat work to any extent. The other benefits of monetizing a car rental marketplace are obtaining extra charges on delivery, protection plans, supplementary mileage, etc. Explore some of its revenue generation streams:

Rental Commission

The commission-based monetization method is highly expandable and can somewhat work to any extent. The car rental marketplace owner takes a small portion of the commission from the total rental fee charged by the car owner. The other benefits of monetizing a car rental marketplace are obtaining extra charges on delivery, protection plans, supplementary mileage, etc.

Paid Listings

In the car rental marketplace, the owner can charge individuals for exhibiting their cars in featured paid listings.

Subscription Packages

The owner curates various subscription packages to create multi-tier subscription packages for consumers. Additionally, several benefits and perks are provided to the consumers for the charges offered every month.

Paid Promotions

There is the availability of third-party product promotions by paying the owner a certain amount of money.

Additional Services

The add-on services like vehicle cleaning, vehicle insurance, on-road assistance, etc, are provided by the marketplace owner.

What Are The Key Features of The Car Rental Marketplace For Renters?

With multiple revenue models of the P2P car rental marketplace, business owners can make huge profits and ROIs. Explore some of its revenue generation streams:

Advanced Booking Calendar

The advanced booking calendar includes time and date selection components. Multiple setting criteria are available such as minimum rental duration, buffer state for vehicle upkeep, and controlled delivery period. There are dedicated alternatives for the start and end date of the rental period start and options for selecting octane vehicles for rentals. These options are essential as they accurately compute the timing of the car accessibility to the renter on the required date.

Search Filters

Seamless search filters lead to a great user experience. They want a convenient element to get through the whole website. Search filters help with choosing the car type, distance, fuel type, pricing, servicing, engine, car type, etc. The add-on attributes of the P2P car rental marketplace for rentees are GPS tracking and four wheel drive (4WD) that boost all the wheels equivalently.  These search filters help the users get what they want quickly and also help lower the bounce rate.

Compare Option

One of the most futuristic qualities that are not being allocated by most car rental websites is the comparing factor. This comparison option is an advanced feature that not many marketplaces provide. At the time of renting, it aids the rentees to have an expeditious comparison between consumer-chosen vehicles in a table format. This car rental marketplace has the ability to flaunt the correlation of up to four vehicles. This provides ease to the users by helping them out with the prime choices to upgrade the customer experience.

Extended Rental Duration

There are times when rentees require the vehicle for extra days. For that, they need to contact the car owners. Now, it is nearly impossible for the owners to manually pick up the calls. Therefore there is a dedicated feature that comes in addition to the advanced booking calendar. Here, the user can see if the vehicle is available for the forthcoming days or not. And if the dates are available, then the rental duration can be extended.

Chat Support

The users really appreciate real-time technical support with live chat feature. To obtain the trust of the users, it's better to build comprehensive chat support that has everything related to the FAQ and customer support services with instantaneous chat availability.

What Are The Web3 Car Rental Features For Car Owners?

Car owners can list their cars on the platform for renters to rent. They can manage their vehicles, income, and more on one dashboard.

Income Calculator

The fundamental thing that the car owner should know about the car rental marketplace is the rental income. When the user visits the income calculator page, they have to fill in car details like car type, model no., fuel type, manufacturing year, engine type, etc. An estimated income is generated after all the details are filled in accurately. 

Buffer Period and Minimal Rental Duration

During the buffer period, the vehicle is kept in the examination and maintenance mode. Within that time frame, the vehicle is not allowed to rent his/her car and therefore must abide by the buffer time period. Another thing is that car owners should specify the minimal rental duration while publishing their listing in the marketplace. This enables the renters as well as the owners to maintain a fixed rental cost per booking.

Media Management Options

The car owners are facilitated with services like removing as well as uploading the media files from the listings. Now, these files can be of high or medium quality, and the image format could be either .png, .jpeg, or TIFF. The other media management option is the file selection format such as "PDF," where all the conditions and terms are stated.

Ranking Optimization Feature

Every car owner wants their car to be seen by most of the users. So, all they want is for their vehicle-related details to rank at the top of the search engine results page every time the user searches for the same. SEO is the best option for car owners to publicize their vehicles in front of a vast audience. It captivates their minds and compels them to rent out the same. Other ranking features like alt tags, optimized images, slug optimization, dwelling time, etc., are essential to rank it at the top position.

Order-Related Attribute

The car owners have the choice of enabling and disabling the listings at any point in time. They have the option to view order status, order status, history, payment details by the rentees, direct product delivery charges, and discounts on products.

What Are The Web3 Car Rental Features For Admin (Owner)?

Admin can exercise full control over the car rental platform and manage renters and car owners from one dashboard.

User Management

The admin of the platform can accept or reject car listings, access order history, manage listings, download reports, manage car owners and renter accounts, and set location and currency.

Detailed Analysis

Admin can get a detailed list of transactions and orders placed on the platform. It helps in getting the analysis of how the business is performing at every level.

Quick Communication

Owners can get in touch with renters and owners at any time with instant communication details and methods.

Business Model of B2C Car Rental Marketplace

In the B2C car rental marketplace model, the business owners list their commercial vehicles for rent. Here, there is a disadvantage for the customers, as they don't get to interact with the main party. The technical support service provides all the communication-related stuff. The vehicles are made available to consumers for a brief period of time. They also charge hefty rental charges with fixed amounts for an increased time.

Also Check: Impact of Metaverse in Automotive Industry

Why Should I Develop A Web3 Car Rental Platform?

Developing a web3 car rental platform includes several benefits, including increased transparency with blockchain technology, cryptocurrency parents, etc. Let’s discuss them in detail:

Transparency

Blockchain technology ensures transparent and tamper-proof records of transactions, providing users with confidence in the rental process and historical data.

Decentralization

Web3 technology allows for a decentralized platform, reducing the reliance on intermediaries and giving more control to both car owners and renters.

Security

Blockchain's cryptographic security helps safeguard user data, payment details, and rental agreements, reducing the risk of fraud and unauthorized access.

Smart Contracts

Smart contracts automate rental agreements, enabling automatic execution of terms when specific conditions are met, thereby enhancing trust and reducing disputes.

Multiple Revenue Streams

From commissions, in-app purchases, and subscriptions to paid listings, owners can earn profits from multiple revenue generation models.

Global Accessibility

A web3 car rental marketplace can be accessed by anyone with an internet connection, expanding the potential customer base beyond geographical boundaries.

How Much Does It Cost To Build Web3 Car Rental Marketplace?

On average, the cost of developing a web3 car rental marketplace ranges between $25,000 to $200,000. However, it is just an estimation. The overall cost depends on the project's complexity, features to be added, developers’ location, tech stack used, and more.

Get in touch with our experts to know the exact cost of developing your web3-based car rental platform with essential features and functionalities. 

Wrapping up!

A proper understanding of car rental marketplace development is required to check the end-user demands. Various factors are responsible for the popularity of the car rental marketplace, such as diminished carbon impact leading to a greener environment and enlarging global preference for a basic lifestyle. A Car Rental Marketplace Model has been exposed to massive success and will continue to do so in the upcoming years. The car rental marketplace does not require a pricey outlay. One just needs to know where the investment needs to be done with the appropriate tech stack and amazing custom designing.

Suffescom Solutions Inc. is regarded as one of the leading Web3 development companies in the US. We provide highly reliable web3 development services all across the globe and can help you with your car rental marketplace development. 

Contact us to build web3 platforms for all business sectors and experience the new way of business.

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