56 Anuário Yearbook ABLA 2014 It was in the 1970s that, along with the period of significant growth inBrazil knownat the timeas the“Brazilian miracle”, a lot of car rental companies opened up around the country, including international playersHERTZ andAVIS. In the 1980s, the largest companies on the car rental market - apart from HERTZ and AVIS - were BELAUTO in Belém do Pará, LOCARAUTO in Porto Alegre, NOBRE, in Rio de Janeiro, and LOCALIZA, in BeloHorizonte. HERTZ and AVIS introduced an international standard, operating in a network and through franchising, becoming a benchmark for other car rental companies. Today, it isestimated that the car rentalmarket inBrazil is made up of over 2,000 companies, with a fleet that now exceeds 400,000 units and has about 3,000 points of sale. That is to say - it is an industry positioned in themarket by its relevance and representativeness with its associations, ABLA andANAV. However, the industryhas itsparticularitiesondifferent continents.While in theAmericanmarket the concentration ratio is very high -three players have a 95%market share - Europe is lessconcentrated - fourplayershavea70%market share. In Brazil, the market is still highly fragmented, as is typical of new industries - despite its being in existence for almost 60 years. As the country’s economic performance is the direct result of interference by different governments, growth has been highly inconsistent, with periods of recession. The companies are hostages of the growth rate in the country. In some sectors, suchas the car rental industry, theredis alsoahighlyvolatileconsumermarket for newandusedcars, which strongly impacts business costs. In addition, a country that has had some of the highest interest rates in theworld in the last 30 years provides little support for businesses that are as dependent on financeas the car rental sector is. Reflections on the car rental industry
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