Global Snapshot: In Heart of Kenya, Car Rental Company Looks to Business Travelers as Local Car Ownership Increases

In this web-exclusive Q&A with Mary Njema of Active Car Hire in Nairobi, Kenya, she explains how local rental demand has decreased as more Nairobi residents can afford car ownership. But through tourism and rentals by researchers, non-governmental organizations and the like, Active Car Hire has steadily increased to a fleet of 50 cars since starting in 2006.


Photos courtesy of Active Car Hire
Photos courtesy of Active Car Hire

What's your fleet size?

We have a fleet of 50 cars. We started in 2006 with one car that we bought through a loan and worked with it as a taxi. Now we are a full-grown car rental/leasing and transport company.

How many locations do you have and in what types of areas?

We have two locations: One at the city center in Nairobi and the other at Jomo Kenyatta International Airport (JKIA) in the arrivals area. The town office is the head office and is where all operations are done.


How did the business start?

The first sedan car we bought in 2006 was used for taxi services within Nairobi and airport transfers from and to JKIA. The business grew and at the end of 2006, we had acquired another sedan.

With two cars, we started doing car hire services and our clients could lease the vehicles on monthly basis for long-term rental. Our rates were very competitive and that made us grow at a high speed and by 2009 we had been able to get more vehicles including safari land-cruisers and other 4WDs.

At the moment, we have a fleet of 50 vehicles. Most of them we have leased, but now we buy brand-new vehicles from Toyota Kenya for our clients who need vehicles on a long term rental, and we have supplied hard tops land-cruisers for oil exploration in Kenya.

What are your primary sources of rental customers?

We work with both local and international organizations, including non-governmental nonprofits and other institutions. We have many repeat clients that we have served for more than five years. We also serve individual clients who make bookings through our online reservation form. We’re at about 50% online reservations and 50% locally made reservations.

Are you an affiliate of any kind?

We work with Njewa Safari Tours and Travel Ltd, who is a mother company to Active Car Hire.

What made you decide to include tour and even hired drivers in your business model?

Tour is doing quite well in Kenya and that’s why we decided to included safari Land-Cruisers and safari vans to transport our clients to various national parks and game reserves. Investors and business people are in large numbers in Kenya, and they rent vehicles for either long or short terms.

What have the advantages and/or disadvantages been in including these services?

Advantages of tour vehicles are that we have a high season from Jan. 1 to end of March, then from June 15 to end of December. During this period, the safari vehicles are in high demand — especially the 4WDs. These vehicles transport tourist and they use our driver guides.

Disadvantages of tour vehicles are during the low season when they are not in demand. The income is minimal but the drivers still have to receive their salaries.

CONTINUED:  Global Snapshot: In Heart of Kenya, Car Rental Company Looks to Business Travelers as Local Car Ownership Increases
« Previous  |  1  2  |  Next »

Comments

  1. Rachel [ May 29, 2015 @ 11:47PM ]

    Do you take cars from individual who would want to lease their cars.

  2. Rachel [ May 29, 2015 @ 11:47PM ]

    Do you take cars from individual who would want to lease their cars.

  3. Silas [ August 11, 2015 @ 01:06PM ]

    Do you lease out cars on behalf of other person.If yes what are your rates?

  4. Julius nyaga [ December 19, 2015 @ 04:11AM ]

    Do rent your cars for few days?especially this festive season for those who want to avoid matatu problems? If you do, how much is for 5 days,from Nairobi to Embu,

  5. Julius nyaga [ December 19, 2015 @ 04:16AM ]

    Do you rent your cars for those who want for few days, if you do,how much is 5days to Embu, especially those who want to avoid touts hick-ups,looking forward to hear from you sooner than later

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

The Customer Isn’t Always Right

Not caving to a customer with a blatant agenda may have consequences, especially for a small rental company that relies on stellar Yelp ratings to advertise. But business integrity must prevail.

The Truth Behind Compact Van Depreciation

Why are large van values holding up better than their compact counterparts, and will it last?

Car Rental’s Call to Action on Autonomous Vehicles

The car rental industry has built-in advantages to support a world with driverless cars, but it needs to take the next step in partnering with autonomous vehicle stakeholders.

Job Finder: Access Top Talent. Fill Key Positions.