UAE’s new residents drive car rentals, subscriptions as cost of buying turns major factor

UAE’s new residents drive car rentals, subscriptions as cost of buying turns major factor

Dubai: Guess who’s fuelling a boom for the car rental - and subscription – business in the UAE these days? The growing numbers of new residents in the country, who for the initial months, at least, prefer to rent/subscribe their set of wheels rather than buy. Plus, more companies are offering the perks of a leased car along with other benefits in the package, done with the intent to offset what inflation costs would have on the individual’s take home. “For a certain type of employer, offering a car is now standard for their mid- to senior appointments,” said the head of a recruitment firm. (Also, more job contracts are seeing increased contributions by the employer to the cost-of-living allowance and for rents too.) Whatever be the case, the profile of those renting a car through digital portals or the physical leasing firm is changing. Nicholas Watson, CEO and co-founder of rent-on-demand platform Udrive can vouch for that. “The most increased usage has been in the larger vehicle segment such as SUVs and family vehicles primarily driven by more new arrivals to the country,” said Watson. “While the resident user base of our service is the largest, we are also