Do we have enough rental vehicles for all our Football World Cup visitors in 2010? I have come across an interesting story by Joanita Cillie from Finance24 and would like to reflect on some of the findings from this story.
It has been revealed that the rental car industry is expected to increase their vehicle fleet by 15% ahead of the Football World Cup. Brand Pretorius, CEO of the McCarthy Group is quoted as saying that the local vehicle fleet of between 48,000 and 50,000 vehicles is expected to be increased to 58,000 vehicles.
It is estimated that approximately 20% of all new vehicles will be purchased by car rental companies. It is expected that car rental companies will not only buy more new vehicles, but might also tend to hold on to existing vehicles in their fleets for a bit longer. This might lead to reduced availability of vehicles in the used car market.
It is however unlikely that the used car market will be flooded with vehicles after the Football World Cup. It is expected that there will be a smooth process of replacement of used vehicles where vehicles will be replaced at intervals of either 9months, 12 months or 15 months.
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