The idea of owning or renting a recreational vehicle has always been a part of life for families who reside in the US. As most can’t afford to own an RV, there is always an option of renting it for traveling.
There is an anticipated market revenue of $282 million for the RV rental business in the US. And the growth percentage of RV rentals is about 2.5% between 2015-2020.
In this blog, we’ll be educating you on the online RV rental industry – their business model, revenue model, and features to have in an app. And in the end, we’ll be giving you an exclusive set of tips to have in mind while running your RV rental startup.
What is the RV rental business?
RV rental business is a place where people or travelers rent recreational vehicles for a particular period of time. It is possible to move the traditional renting business to an online-based business by owning a marketplace.
People who own an RV won’t need it around the clock. They could make some money out of it by renting.
What is an online RV rental business plan?
As we discussed, people who own an RV won’t need it all the time, they could rent it out to earn some money. That’s where you come in with your online marketplace.
You can run an aggregator-based business model where you connect the RV owners who want to rent it and people who need to rent an RV for the time being.
When you own a marketplace it is essential to figure out your revenue system too!
How does the online RV rental business make a profit?
As an admin, you’ll be collecting your earnings on a commission basis from both the RV owner and the renter.
You’ll be receiving the commission in the name of the service fee from both the Renter and the RV owner.
The commission amount will be determined by the admin based on two methods: Fixed Method and Percentage Method.
What could be the features of an online RV rental marketplace?
This list of features could have potential user-friendliness to it. You [as the platform owner] have to consider all these features to provide excessive benefits to both your end-users.
RV Owner Features:
The registration process is simple – the RV owners can register with their email addresses or social accounts. They have to submit the vehicle documents for the admin to verify.
The RV owners can take a look at their current booking and upcoming bookings in their easy-to-use dashboard.
The payout method is used to receive the earnings of the RV owner. The RV owner has to add their bank details properly to receive their earnings from the platform.
RV Renter Features:
Advanced Search Filters:
When the renter wants to book, they’ll like to apply filters to find out the right fit for them. These are some of the filters that you could include in the RV rental marketplace – trip dates, RV type, instant booking, price, vehicle features, and vehicle rules.
This feature can enhance the booking experience for renters.
The renters can book an RV without requesting the owner’s permission.
The RV renters can wishlist the vehicles that they like as future options to look into.
Ratings and Reviews:
The RV renter can review and rate the experience of using the RV after the vehicle has been dropped off to the owner.
Admin Panel Features:
The admin will be managing all the users (both the RV owners and the renters) of the platform with the simple to use dashboard.
The admin will be managing all the listings made by the RV owners. The admin will be checking their (RV owners) login information and the vehicle documents that they submitted while listing the RV on the platform.
The admin will be managing all the reservations made by the RV renter to check the bookings. And also to manage the refunds and payouts to the renters and RV owners respectively.
Manage Service fee:
Like we discussed in the revenue model section. The admin will be receiving service fees from both the RV owner and renter. And also manages the transfer of earnings to the RV owners.
The admin can review both the ratings and reviews given to each other (RV owner to renter and vise versa). And the admin can also write a review for the RV.
Tips to compete with the other online RV rental marketplaces:
There are numerous gigs to choose from when it comes to listing and renting RVs from a marketplace. Give your target audience a reason to pick your rental marketplace using these tips!
Giving out Discounts:
We all know how discounts work amongst customers. Give out seasonal discounts for using your marketplace – mark festivities, holiday season, road trip seasons, etc. and give out exciting offers and discounts. This strategy can be used to pull in more people to list and rent from your platform.
Consider Insurance policies:
When the users want to list their RVs on your platform they are going to look at whether you aid them with the insurance if the vehicle is damaged. Make sure that you provide a document or something when there is a need for the RV owner to claim the insurance money.
Generate solid listings:
Renters come into your platform not only by offers and discounts but also with quality RVs to rent. So, as the marketplace owner, it is your responsibility to bring in legit RV owners into the platform to list their vehicles.
Adapt to customer dynamics:
As a business owner, it is essential to keep yourself on toes with constant revisions of the tastes and preferences of your target audience. Always try to implement something new in your marketplace to keep your customers interested and feel engaged in your marketplace.
Communicate the Safety Procedures:
List all the safety precautions you would anticipate in your marketplace to show that you care about your renter’s safety and security. It authenticates your marketplace to be different from others.
Have you thought of owning a marketplace that can be customized into anything you want for your business?
I bet you did! Introducing RentALL Cars, a 100% customizable and scalable online marketplace to build your dream online RV rental business.
Are you excited about owning an online RV rental marketplace? We know you do!
To know more details get in touch with us!
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