Aljomaih Auto Rental (Ajar), a franchisee of the Enterprise Holdings rental brands in Saudi Arabia, reported double-digit growth in 2020, according to a report by Arab News.
Despite the pandemic and some of its vehicles being grounded due to the lockdown, the company still had 40% growth year-over-year, with 2020 being its first year of profitability, according to the report.
Ajar was able to maintain this growth by allowing its customers to keep rental vehicles in their driveways free of charge and use them if they needed to go to the supermarket or health clinic. This approach helped the company store its 4,500 vehicles since there wasn’t enough room to keep all the vehicles at all their facilities, says the report.
Ahmed Al-Lawendy, chief operating officer of Ajar, told Arab News that after the lockdown, the business recovered to pre-pandemic levels and started buying more vehicle. Its fleet in Saudi Arabia grew 27% year-over-year to 5,700 vehicles.
According to a report by the Research and Markets company, the car rental market in Saudi Arabia is forecasted to increase by 7.5% per annum between 2020 and 2026.
Currently, Ajar has offices in six Saudi Arabian airports and 24 locations across the Kingdom. The company plans to open eight more locations by the end of the year, according to the report.