8 things that influence the rental price of your car

It is often hard to be completely objective and determine the rental price for your car just as it should be. We tend to think about how expensive the repairs are, how much time and effort we have invested in it, how much it costs us, how much we spend on insurance, road tax, maintenance etc. Even more important than making stunning car photos (but don’t get me wrong, they are extremely important) is to determine the right price for your car. Very simple advice would be – please set a lower price for the first rentals and then you can increase it when you have your first rentals, feedback, 5 star ratings and good response time. If you want to explore the topic in more detail, please continue reading.

The demand determines the rental price of the car

8 things that influence the rental price of your carAll economists need to know these basic terms: demand, supply and equilibrium. The demand is the customer desire to buy, and the customers are ready to buy more for a lower price and less for a higher price. The supply is the desire of companies to sell, and companies are ready to sell more for a higher price. The point where the demand and supply meet is called equilibrium.

When determining the price of the car, the owners will want to set the highest possible price, while the renters – the lowest. The owners should set the price as close as possible to the equilibrium, setting it a little higher if they don’t wish to hire out the car too often and a little lower it they wish to rent it out as much as possible.

It is important to understand that it is not your opinion about your car or some car expenses that determines the price, the price of the car is set by the demand! The price is one of the main reasons as to why a specific car is being rented out or isn’t. If you have listed a car but aren’t receiving reservations, it is a signal that the rental price is too high and renters do not want to rent the car for such a price. If you receive so many reservations that you cannot rent out your car to everyone, the price might be too low and can be increased a little. And most importantly: remember that your earnings depend on two things: the price of your car and the number of rentals. By setting a lower price, you might actually earn more because your car is rented out more often.

8 things that influence the price of your car

The price of your car is mainly affected by these things:

1. Age of the car

The older the car, the lower the price. Time flies, so sometimes we forget that our car has just turned 10 or 15 years old. Every 5 years the price of car decreases significantly in car rentals. Cars that are less than 5 years old have a higher price, and it won’t differ so much because their age won’t be the decisive aspect. 5 to 10 years old cars have a lower price, and, in case they cost the same or even more than a 5 year old car, they won’t be rented out because renters can get a newer car for the same price. When cars are older than 10 years, the price are even lower, yet the fuel efficiency, engine and car type become more important. If the vehicle is older than 30 years and has reached retro status, the price starts to increase again, especially during the summer when there is a demand for such cars for weddings and other events.

2. Fuel consumption and engine type

Since the price of fuel is still relatively high, another important things is fuel consumption. If the renters can save on fuel by renting a slightly more expensive car, they will usually choose the car with a lower fuel consumption, so a lower fuel consumption might allow you to increase the price. Also, the engine type is important. Diesel engines are favored more than petrol engines, and cars running on LPG are even more complicated because some people avoid these cars, although they can reduce fuel expenses even more.

3. Car type

Minivans, spacious cars, SUVs, vans, trucks, convertibles and similar cars can have a higher price than regular cars.

4. Car brand and model

The brand and the model are also important. Although most cars are not affected by it, the opinions about some brands can influence the car price. Renters tend to be willing to pay more for German cars since they are believed to be more reliable, while Russian cars, as well as sometimes French and Korean cars are not always seen as trustworthy, so they might require a lower price. However, opinions differ, and each brand has its loyal users and also those who won’t drive it no matter what.

5. Time of the year

Car rental is a seasonal business, since the demand for rental cars surges in April and shrinks in September. If you increased the price during spring and summer, don’t forget to lower it once autumn comes.

6. Car photos

Many things are determined by marketing. If you want your car to be rented out, the car must look great in the photos. Luckily, we have summarised 6 easy tips for stunning photos in our blog! Read them and try it yourself. However, if that still doesn’t help, get in touch with us by writing to info@autolevi.lv and we will help you find a photographer or will help you take photos ourselves!

7. Location

The competition in a certain area might also influence the price of the car. Since there are more cars available in Riga, the prices might be slightly lower because the renters will be able to choose from a wider variety of cars and find cheaper options. But keep in mind that the income level is higher in Riga, so even if the competition in your city is much lower, you need to set a reasonable price that the renters will be able to afford.

8. Insurance and other extras

You can set a higher price if your car has KASKO because it means that the renter takes a lower risk. If the car has any extras, list them in the car description. Extras usually don’t affect the price of the car, but they might help the renter to decide that your car is the right one for him.

Car price in the future

8 things that influence the rental price of your car-2Our team is currently working on a calculator that will suggest the most appropriate price for you car based on several factors, as well as help calculate car expenses and the possible income when renting out the car at a certain price.

While we are still working, we hope that this information will help you! You can also check other cars listed on Autolevi, their price and the number of rentals. In addition, we also suggest to check the price of similar cars in other car rentals, since you are competing not only with other cars on Autolevi, but with other car rentals as well. You can also read about the 10 most popular reasons why a car is rented out, since it might help understand why your car might be rented. Also, don’t forget to include Autolevi’s 25% commission fee in the price, since it used to advertise your car, do all the paperwork, do background checks of users and improve the service. If you have any questions, Autolevi team will be happy to answer them, so call +371 248 709 42 or write an email to info@autolevi.ee .

Now go and add your car!

6 tips for stunning car photos

If you already know how to rent out your car on Autolevi and how Autolevi system works and have decided to add your vehicle on Autolevi, then making stunning car photos is the next step. Apart from the price, better photos will definitely attract the attention of the potential renter. The experience of Autolevi has shown that cars with better photos are rented more often. Together with the photographer Kristaps Mozgirs we have prepared 6 tips for taking photos that will attract more attention and (hopefully!) the next renter as well.

Follow these 6 steps:

1. Prepare the exterior

2. Prepare the interior

3. Choose the location

4. Choose the right weather

5. Choose the angle

6. Avoid post-processing

Prepare the exterior

This is definitely the first and most important step. If avoided, it can ruin not only the photos but also make the car look neglected. Usually, a simple car wash with wax is enough, but sometimes more might be needed. Do not forget about the windows! Clean windows make a huge difference. Renters tend to avoid ads with dirty cars because let’s be honest – who would like to drive a dirty car? Wash first, take pictures later.

Prepare the interior

Photos of the interior show the car looks from the inside, its equipment and the feeling that it has. A wide-angle lens will be useful for taking such photos. It does not matter if the photos are taken through an open door or from the rear seat. It is recommended to remove air fresheners and other bits and pieces from the rear-view mirror, as well as put the front seats in a similar and low position since it creates a nicer and wider view.

Choose the location

A secluded location will work just fine, be it a quieter road or a building or a wall with graffiti on it. Unless you want to hang the photo on your wall, avoid picturesque backgrounds like sunsets or the vibrant colors of autumn leaves. Trees and power lines can create shadows on the cars, so pay attention to that!

Choose the right weather

Professional photographers are able to get stunning photos during almost any time of the day. For the rest of us, it is advisable to choose the time of the day when the sun is not too bright and doesn’t create harsh shadows. Slightly overcast weather, as well as morning and evening light, is perfect for taking photos of cars.

Choose the angle

The best car photos happen when more than one angle of the car is visible in a single photo, and the so-called 3/4 angle is great for achieving this. Also, don’t be afraid to kneel and get below the usual focal point. If the camera allows it, try taking photos from a distance of more than 10 meters.

Avoid post-processing

Although it is common to use filters and other tools to improve the photos, it should be avoided. Covering up imperfections should also be avoided since the renter wants to see exactly what he will get.

Some examples taken by Kristaps:

6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-front-left6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-front6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-front-right6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-side-right6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-bck-left6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-back6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-open-doors6 tips for stunning car photos-Autolevi-peer-to-peer-car-rental-interior

If you find taking photos of your car yourself too difficult or time-consuming, make sure to get in touch with Kristaps – http://kristapsmozgirs.lv

Once the stunning photos are done, make sure to add the car to Autolevi!

It’s now easier to rent a car on Autolevi with the new rental calendar

Starting from August car owners on Autolevi can mark in the car calendar when exactly their car is not available for rental and receive the reservations only for those dates, when it is. For renters this of course means that it will be easier now to book and get the car – if it will not be available the dates will be red.

Calendar for renters

Its now easier to rent a car on Autolevi (2)

For renters there will be only 2 changes.

Firstly, in calendar in red will now be not only the dates when the car is already rented, but also the ones, which car owner has marked as unavailable for example on weekends;

Secondly, the calendar has gotten a face-lift and now it is more pleasant to look at it as well as to use it.

Calendar for car owners

For car owners we have done bigger changes and added a section where they can now manage car availability and see rentals. How it works?

Autolevi car rental calendar

1. Go to “Rental calendar” in your profile page

Car calendar will be visible under the button “Rental calendar”. If you haven’t uploaded your car on Autolevi yet, then please register and add your car in your profile pressing “Add car“.

2. Add unavailable weekdays

If the car is unavailable for example on all weekends, you can put that in the calendar by clicking the days of the week on which it is always unavailable.

3. Add specific dates

You can also add specific dates, for example if you go on the trip with the car or you just will not be able to meet the renter and give him the car. Click once to select the start date and once to choose the end date and press button “Add these dates”. The car will now show unavailable for these dates.

4. Manage your list

On the right side you will see the list of unavailable dates. If your plans are changing, you can always remove dates from the list and the car will be available again.

5. Keep the calendar updated

To improve the service, we must ask you – please, keep the calendar updated at all times. If you have forgotten to do that and you get a reservation, please, take the time and go to the car calendar after rejecting reservation and mark the dates, when the car is unavailable, so the renters can see that.

Please let us know what you think about the new calendar by dropping us a line in the email.

If you already have a car in Autolevi, please go now and fill in the rental calendar!