Auto Rental News
MenuMENU
SearchSEARCH

The 3 Biggest Challenges of Contactless Car Rental

With contactless service becoming more of a necessity, the car rental industry must step up its adoption. Here's how to overcome three common barriers.

by Annemari Muru, Liigu
December 21, 2021
The 3 Biggest Challenges of Contactless Car Rental

With over a quarter of consumers saying that having limited help when something goes wrong is a challenge, it is crucial to your operations to provide non-stop human support.

Photo: Liigu

3 min to read


Contactless services are becoming a necessity for more and more customers. According to a GetApp survey of nearly 1,000 U.S.-based consumers, “92% of respondents consider the availability of a contactless experience important right now — i.e., during the pandemic — while 82% say it’ll remain important even after the pandemic is over.”

Since the demand for contactless is so high, why is contactless car rental still such a rarity?

Ad Loading...

Because it’s easier said than done. Here’s why.

1. Connectivity

Choosing the right technology consumes a lot of money, time, and research power. A successful contactless car rental company has to invest in a secure phone-as-a-key system complemented with encrypted digital key management, software applications, and programming interfaces. Also, it needs telematics devices and other hardware. Because contactless is fast, all those pieces have to be connected with a smooth wireless technology like BLE (Bluetooth) or NFC (Near Field Communications, for shorter distances). Customers travel to various destinations and unlocking/locking the car can't take more than a few seconds in all of them. Whether it’s a remote mountain area, desert, or an underground parking lot, connectivity is crucial to provide a seamless user experience.

2. User Experience

The fact that a contactless car rental company doesn’t need any rental desks improves the customer experience significantly. Consumers are twice as likely to choose ease of use (50%) as the most important aspect of contactless experiences over the next option (data security, 25%). The contactless service has to be as user-friendly as possible, meaning that every step of the rental process is well explained, easily understandable, and convenient. More importantly, time-saving.

Therefore, designing the customer journey,including online and offline interactions, requires careful planning with keeping constant focus on customers' needs. Liigu’s reviews prove that it’s worth the effort, as one states: “Appreciated the virtual keys, the very clear signup and pickup instructions, the 24/7 text support, and the general intelligent planning plus attention to detail.”

3. Human Support

Connectivity and user experience are nothing without the human touch. What do we crave the most when technology fails? Probably a nice voice on the other side of the phone or a personalized text on the chat focused specifically on our problem. We don’t want bots and templates; we want empathy.

Ad Loading...

Almost 30% of consumers say that having limited help when something goes wrong is a challenge with contactless services. Especially when contactless experiences aren’t widely offered in the car rental industry and customers might feel a little insecure. It is crucial to provide non-stop human support using customers’ preferred channels and skilled agents. A responsive and caring team can do miracles when technology fails. Exceptional customer care should be a statement piece of every contactless car rental company. 

Contactless car rental comes with its challenges, but it’s certainly worth investing in. The ongoing pandemic has changed our view on many traditional "ways of doing things." It set a new normal, driven by the top-notch technology.

Customers got used to fast, convenient solutions that are available to them at any moment. They won’t go back to pen and paper. Time to accept the challenge and go contactless.

About the Author: Annemari Muru is leading bustler at Liigu, an app-based mobility service that offers contactless car rental and car subscriptions. This article was authored and edited according to ARN editorial standards and style. Opinions expressed may not reflect that of ARN.

Subscribe to Our Newsletter

More Rental Operations

Sixt H1 financial results
Rental Operationsby StaffAugust 14, 2026

Sixt Revenue Tops $2.4 Billion in First Half of 2026

Sixt’s first-half revenue surpassed $2.4 billion for the first time as demand outpaced fleet growth, lifting utilization and earnings despite weaker consumer sentiment in North America.

Read More →
Bobby Klyce in memoriam image
Rental Operationsby Chris BrownAugust 13, 2026

In Memoriam: Bobby Klyce, Avis Licensee Legend

The longtime Birmingham Avis operator and 2018 Auto Rental News Impact Award recipient was remembered as an advocate for independent licensees and the broader car rental industry.

Read More →
Vibe coding webinar promo image
Rental Operationsby StaffAugust 12, 2026

How to Build Custom Fleet Tools With AI and Vibe Coding [Webinar]

A new Automotive Fleet webinar explores how fleet managers are using AI and vibe coding to automate routine work and create simple operational tools without traditional programming skills.

Read More →
Ad Loading...
Globe image with Text: GBTA Business Travel Forecast

Car Rental Rates Forecast to Rise 3.6% in 2026 Before Easing in 2027

Car rental rates are projected to rise less than airfares and hotel rates in 2026, then become the only major travel category forecast to decline in 2027, according to projections from GBTA and ALTOUR.

Read More →
Car rental sign with financial graph in background
Rental Operationsby Chris BrownAugust 2, 2026

Avis Cuts Fleet as Summer Demand Trails Expectations

Avis Budget Group increased second-quarter earnings despite lower Americas revenue and softer-than-expected summer demand. The company also expanded Avis First and advanced its autonomous fleet operations with Waymo.

Read More →
car rental booking engine on computer screen with text: Bookings aren't the whole story
Rental OperationsAugust 1, 2026

Why Bookings Are Only the Start of the Rental Day

A reservation captures demand. The operating test is whether the business can keep the customer, vehicle, commercial terms, and next action aligned until the rental is closed.

Read More →
Ad Loading...
Rental Operationsby Chris BrownJuly 31, 2026

This Is the Oldest Car Rental Advertisement You’ll Ever See

This ad for Saunders Drive it Yourself, believed to be the first car rental company in the U.S., was found in an Omaha phone book from 1926.

Read More →
A counter agent chats with a customer over a rental counter
Rental OperationsJuly 21, 2026

The Desk Upsell Is Costing Operators More Than it Earns

Counter upsells generate revenue, but they can also slow transactions, erode trust, and cost repeat business. Fully inclusive pricing may offer operators a better path to long-term value.

Read More →
U-Save Mauritius team

U-Save Expands Indian Ocean Presence with New Master Franchise for Mauritius

The franchise has been acquired by Mauritian travel entrepreneur Umarfarooq Omarjee, an established figure in the island's tourism and mobility sector.

Read More →
Ad Loading...
Back view of a remote driver in front of a screen delivering a car to a location.

Global Carsharing Fleet Projected to Reach 768,000 Vehicles By 2030

A new Berg Insight forecast outlines several business models driving the projected growth in public carsharing worldwide through 2029.

Read More →
Ad Loading...