On how green solutions and regulatory reforms are shaping transport options in the Kingdom
In what ways is the car rental and mobility industry adapting to cater to international visitors and business travellers?
AZFAR SHAKEEL: Saudi Arabia’s booming tourism industry, driven by large-scale infrastructure projects, global sporting and entertainment events such as Formula 1 and Riyadh Season, and cultural attractions like NEOM, the Red Sea, AlUla, and Al Soudah, has significantly increased the demand for mobility solutions. In response, the car rental and leasing market has adapted by enhancing its offerings to provide international visitors and business travellers with greater flexibility, convenience and accessibility. One key adaptation has been the expansion of multilingual digital booking platforms, which allow seamless online reservations for tourists arriving in the Kingdom. Additionally, premium services such as chauffeur-driven vehicles, luxury car rentals and corporate leasing solutions have been introduced to cater specifically to business travellers.
Strategically-located branches across major cities and transport centres, including Saudi Arabia’s key airports, ensure accessibility for travellers. Modern fleets, equipped with advanced digital platforms and omni-channel customer support, help visitors secure vehicles in advance and navigate the rental process smoothly upon arrival.
Given the Kingdom’s push towards sustainability and net-zero goals, what role do car rental and leasing companies play in accelerating the adoption of electric vehicles (EVs) and supporting green mobility solutions?
SHAKEEL: The car rental and leasing industry is crucial in supporting Saudi Arabia’s transition to sustainable mobility and achieving its ambitious net-zero targets. As the Kingdom advances its Vision 2030 sustainability agenda, companies in this sector are aligning their strategies with national goals by incorporating greener vehicles and implementing policies to reduce carbon emissions. A key initiative has been the integration of hybrid and EVs into rental and leasing fleets.
While full-scale EV adoption depends on developing a robust charging infrastructure, many companies are already prioritising fuel-efficient and low-emission vehicles to support carbon reduction targets. Compliance with Saudi Standards, Metrology and Quality Organisation regulations ensures that fleets are designed to minimise environmental impact while maintaining high performance. In addition to fleet transformation, rental and leasing companies are incorporating sustainability criteria into their vendor networks to promote a unified approach to green mobility. As infrastructure improvements continue, including the expansion of EV charging networks, the sector is well-positioned to accelerate the adoption of zero-emission vehicles.
To what extent have recent regulatory changes such as licensing reforms, data-driven oversight and mobility-as-a-service (MaaS) integration impacted the competitive landscape for transport and vehicle rental services?
SHAKEEL: Saudi Arabia’s Vision 2030 development blueprint has created a regulatory environment that fosters investment, innovation and competitiveness across various sectors – including transport and vehicle rental services. Licensing reforms and streamlined regulatory processes have made it easier for businesses to enter and expand within the market, driving competition and increasing consumer choice. The Kingdom’s focus on digital transformation, particularly in data-driven oversight, has further enhanced transparency and efficiency in fleet management.
The introduction of centralised data repositories, such as the National Data Bank under the Saudi Data and Artificial Intelligence Authority (SDAIA), has enabled companies to leverage artificial intelligence (AI) for predictive analytics, fleet optimisation and an enhanced customer experience. Additionally, the rise of smart cities and rapid urban expansion has fuelled the integration of MaaS platforms. By combining car rentals with public transport and ride-hailing services, MaaS is reshaping urban mobility, offering consumers more seamless, cost-effective, and sustainable travel options. Such regulatory advancement has created a more competitive market and positioned Saudi Arabia as a regional leader in digital mobility solutions.
Which innovations in AI, telematics and digital platforms are driving efficiency and customer experience enhancement in the car rental and leasing market?
SHAKEEL: The car rental and leasing market in Saudi Arabia is undergoing a major transformation, driven by advancement in AI, telematics and digital platforms. This innovation is significantly enhancing operational efficiency, customer experience and fleet management. AI-powered solutions are being leveraged to optimise pricing, predict demand and enhance customer interactions through 24/7 chatbots and automated booking processes. Machine learning algorithms analyse vast amounts of data to provide dynamic pricing models, ensuring competitive rates while maximising fleet utilisation. Telematics has revolutionised fleet management by enabling real-time vehicle tracking, predictive maintenance and driver behaviour monitoring. Fleet operators can also use telematics data to optimise routes and fuel consumption, contributing to more cost-effective and environmentally friendly mobility solutions. On the customer side, digital booking platforms are streamlining the rental and leasing process. Features such as keyless vehicle access, self-service kiosks, and personalised loyalty programmes reduce wait times and enhance convenience. Internet of Things is also being integrated to further optimise fleet management, ensuring a smoother customer experience.
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