Europcar to Launch Subscription Service in Australia

Europcar Mobility Group is looking to turn the traditional model of car rental "on its head." On June 10, the global mobility company announced plans to pilot a new subscription-based carsharing model in Australia in the coming months, as well as continue its push into green mobility solutions.

This mobility makeover is being prompted by the rise in alternative modes of car ownership as well as rapid digitization and post-pandemic demand for seamless app-based customer service, according to a news release.

Europcar Mobility Group’s Australian Managing Director Benoît Garel said the new iniatives, under the banner of "Innovation Drive," would forever change car rental. “There has been no greater shift in car hire than what will occur over the next 12 to 18 months here in Australia as the local market continues to rebound exponentially,” Garel said. “This is an industry that has been slow to embrace the opportunities that digitization can provide in order to deliver truly frictionless customer service.”

“We’ve listened to customers who want to get on the road faster when they arrive at their destination and corporates who want more sustainable hire options and are working toward our customers being able to seamlessly manage all facets of car hire digitally – from contactless pick-up, unlocking the car with your phone, to submitting vehicle condition reports digitally and much more," Garel continued. “These innovations are all part of our global strategy to lead the category into the next wave of mobility, which also includes encouraging the shift from vehicle ownership to usage.”

Globally, Europcar Mobility Group in March had its corporate greenhouse gas emissions targets validated by the Science Based Targets Initiative (SBTi).  The approval of these carbon reduction targets reinforces the group's strategy to facilitate and encourage a usage-based approach to mobility, rather than one of ownership.

A study by Savvy indicates the average annual running cost for a medium sized car in Australia begins at $13,782, with the average Aussie spending up to 14% of their income on transportation.

Europcar Mobility Group plans on progressively rolling out its new innovations in Australia in the second half of 2022 with pilot projects to launch in key locations prior to broad take-up across its Australia-wide network.