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The Evolution of Car Rental Services in Canada



Renting a car is an affordable way to quickly get to your desired destination. The ability to order it with or without a driver, for a short or long period, makes this service incredibly popular for leisure and business needs, as well as special events in 150+ countries around the world. Canada is one of them.
Yes, now you can easily book an economy or compact vehicle for a short trip between Vancouver and Edmonton, Toronto and Montreal, and other cities. And if you are going on a family trip, rent a big car in Canada. It won't be difficult for you to find the best pick-up station among hundreds of locations in the country. Both a car and van rental in Canada promise you a pleasant ride with many miles ahead.
If you think that a car rental service is a modern trend, you are mistaken. The rental business has been around for over a hundred years. Below, let's look at the main stages in the formation of Canada's rental market and the industry as a whole.

The Early 1900s

Legend has it that the first person to officially rent out a car was an American. Joe Sanders was the owner of a small auto repair shop. The reason why he gave his Ford Model T for use to a friend was banal - that person was late for a date.
So he came up with a business idea, installing an odometer on the front wheel and setting a tax rate of 10 cents per mile. Things took off and within a year the fleet consisted of 18 Fords. Within a decade, the company was able to develop an entire network - there were representative offices in 56 cities across the country, including Canada.
Naturally, Sanders had competitors - Walter Jacobs and John Hertz from Chicago. Businessmen successively replaced each other as owners of the company. They also rented out Fords. After five years of doing business, the company's turnover was a million dollars! Interestingly, Hertz’s first non-American branch was opened in 1932 in Canada.

1950-80s

Global industrialization and technological development have led to significant development of car rental services. For example, National Car Rental was created in 1947. Then, Avis bought Saunders Systems in 1955. At the same time, Enterprise Rent-a-Car appeared on the world stage in 1957. They developed a business in North America, which made it possible to provide Canadian car rentals in those years.
Even though many people already had cars, they still preferred to rent them for a week, a month, or even several months - simply because it was profitable and convenient. Overall, the period from the 50s to the end of the 20th century saw the rapid growth of the car rental industry. It’s noteworthy that at that time John Hertz came up with two great ideas - create rental points directly at airports, and add a credit card as a payment method.

Late 1990s and early 2000s

The emergence of digital car booking capabilities has become a game changer in the industry. Since then, customers have been able to find suitable vehicles in their desired location from the comfort of their homes. This greatly simplified the procedure for obtaining a car and further increased the flow of people wishing to pick up a set of wheels for leisure or business purposes.

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From the late 2000s to now

Rapid digitalization has made it possible to introduce innovative rental solutions. Consider the most important points below.

  1. 24/7 booking. The availability of online reservation services allows you to secure a vehicle from any internet-enabled device. Moreover, you can modify or cancel your reservation in a few clicks. Platforms like Rental24h.com collect offers from all companies at once and make it possible to compare them on the go.
  2. Personalized approach. Special programs collect information about clients. Therefore, the company already knows your preferences and will take them into account during your next booking.
  3. Mobile applications. Modern car rental trends include easy booking from your smartphone. Simply install the appropriate application and make a reservation.
  4. Collaborative partnerships. Nowadays, rental companies are actively cooperating with travel agencies, airlines, and hotels to integrate their services.
  5. Eco-friendly rentals. The beginning of the 2020s gave the world a large selection of hybrid and electric cars. As a result, this became the reason for the introduction of sustainable car rentals into the vehicle fleets of most leading companies.

Summing it up, Canada is a favorable environment for car rental. Over more than a century, the industry has experienced great breakthroughs and now multiple companies provide the service within the country. The most popular ones are Enterprise (558 locations), Discount Car Rental (294 locations), Budget (246 locations), Avis (181 locations), Hertz (165 locations), and National (149 locations). So, you'll enjoy a wide variety of deals to suit every taste on your next road trip.