Not really: A big part of the "MO" of the rental car company is knowing when to buy and when to sell. Cars have very predictable depreciation.
The reason why rental cars are always "generally new" is because they make the most profit selling their cars when they are 1-2 years old.
Before 2020, Teslas kept their value and even appreciated. This was an unsustainable fluke due to high demand and low supply of EVs. (I know someone who sold their 1-year-old Tesla for a profit.) Given how car rental companies work, a fleet made of cars that hold their value or appreciate is ideal.
In 2021 this changed overnight, and clearly Hertz bet more than they should. I own two Teslas and, if I ran a car rental company, I would have had customer demand drive my transition over to EVs. (I've never rented an EV when traveling.)
gwbas1c|1 year ago
The reason why rental cars are always "generally new" is because they make the most profit selling their cars when they are 1-2 years old.
Before 2020, Teslas kept their value and even appreciated. This was an unsustainable fluke due to high demand and low supply of EVs. (I know someone who sold their 1-year-old Tesla for a profit.) Given how car rental companies work, a fleet made of cars that hold their value or appreciate is ideal.
In 2021 this changed overnight, and clearly Hertz bet more than they should. I own two Teslas and, if I ran a car rental company, I would have had customer demand drive my transition over to EVs. (I've never rented an EV when traveling.)