Just three companies own every major rental car brand in the US

The next time you’re at the airport weighing your options, remember this: nearly every major rental car brand in the US is owned by just three companies.

What looks like a crowded field of competing companies is really a carefully structured oligopoly.

Three corporate giants quietly run the show behind the scenes.

And once you see it, you can’t unsee it.

SBX CARS – View live supercar auctions powered by Supercar Blondie

Each rental car brand targets different customers

Enterprise Mobility is the largest of the three, and it’s the largest by a mile.

Best known for its neighborhood-based Enterprise Rent-A-Car locations, the company also owns National Car Rental and Alamo.

The core Enterprise brand targets everyday drivers and insurance replacement rentals, while National focuses on business travelers with speedier pickup and loyalty perks.

Finally, for budget-minded vacation renters, there’s Alamo.

Together, these rental car brands allow Enterprise Mobility to dominate both airports and local markets without looking like a monopoly.

Hertz Global Holdings is next on the list and arguably the most recognizable name in rental cars.

You may even own a used Hertz vehicle, given that they’re being sold on Amazon.

In addition to Hertz, the company owns Dollar and Thrifty.

Hertz positions itself as a premium brand with newer vehicles and high-profile partnerships, while Dollar and Thrifty cover the value end of the spectrum.

After emerging from bankruptcy during the pandemic, Hertz doubled down on fleet modernization and brand visibility, helping it regain its footing in an increasingly consolidated market.

The company is also a trailblazer of sorts, being the first in the industry to employ AI damage scanners.

Clearly, it’s been successful thus far, because other companies have since followed suit.

Rounding out the trio is Avis Budget Group, which operates Avis, Budget, and Zipcar.

Avis focuses on business travelers and higher-end rentals, Budget caters to cost-conscious customers, and Zipcar brings short-term, app-based urban rentals into the mix.

This diversified approach allows Avis Budget Group to compete across traditional rentals and newer mobility models without diluting its core brands.

Why do just 3 players dominate the rental car market?

So why has the rental car market become so dominated by just three players?

The answer comes down to scale, cost, and logistics.

Running a national rental operation requires massive vehicle purchasing power, sophisticated fleet management, insurance infrastructure, airport contracts, and technology platforms.

This makes it difficult for smaller competitors to survive, especially when margins are thin and fleet costs are high.

After all, losing a rental Lamborghini Huracán may not be a big deal to a major billion-dollar corporation, but has the potential to cripple a smaller company.

Over decades, consolidation proved more efficient than competition.

So there you have it.

While the logos may suggest endless choice, just three giants own the keys.

There might be different desks and prices, but every major rental car brand in the US belongs to the same corporate families.

Talk about the illusion of choice.

DISCOVER SBX CARS: The global premium car auction platform powered by Supercar Blondie