The COVID-19 pandemic caused a global shortage of semiconductors, which are essential components in modern vehicles. This shortage led to production slowdowns and shortages of new cars, which in turn drove up the price of used cars and rental cars.
Increased demand for rental cars
Car rentals have become more popular in recent years, as more and more people prefer the flexibility and convenience of renting a car over owning one. This increased demand, coupled with the supply chain disruptions, has put a strain on the rental car industry and led to higher prices.
Rising gas prices
Gas prices have risen sharply in recent months, which has also contributed to the higher cost of car rentals. Rental car companies typically pass on the cost of gas to their customers, so when gas prices go up, so do the prices of rental cars.
Inflation
The overall rate of inflation has also been rising in recent months, which has put upward pressure on all goods and services, including car rentals.
Here are some tips for finding a cheaper car rental:
* Book your car rental in advance. The earlier you book your car, the more likely you are to get a lower price.
* Consider renting a car from a smaller company. Smaller companies often have lower prices than larger companies, and they may be more willing to negotiate on price.
* Look for discounts and promotions. Many rental car companies offer discounts and promotions, especially for AAA members and military members.
* Consider renting a car from an airport location. Airport locations often have lower prices than off-airport locations, due to the higher competition.
* Be flexible with your travel dates and times. If you can, try to avoid renting a car during peak travel times, such as holidays and weekends. You may be able to get a lower price if you rent during off-peak times.
* Consider using a car-sharing service. Car-sharing services, such as Uber and Lyft, can be a cheaper alternative to renting a car, especially for shorter trips.
