Car Rental Morocco August MRE Demand Recovery

The summer season has gotten off to a poor start for many car rental companies in Morocco. In Marrakech as in several other cities, professionals report sluggish activity, while July and August traditionally constituted the heart of their season.

On Bladi.net : Moroccan Car Rental Industry Faces Slump as Expat Visits Decline

The president of the National Union of car rental agency owners mentions weak demand and an excessive proliferation of agencies. After a temporary improvement during Eid al-Adha, many vehicles reportedly remained without customers again.

Reservations recorded for August, however, fuel hopes for a restart, driven mainly by the return of Moroccans residing abroad, reports Hespress.

All hopes pinned on August

In Tétouan, professionals also note a rise in reservations as August approaches. The contrast is significant with July, whose activity was reportedly much lower than in previous years.

MREs constitute essential clientele for rental companies during summer. Many book a vehicle for several weeks to travel between cities, visit family, or reach their vacation destination.

This expected recovery comes, however, in a difficult economic context. According to professionals, the price of a model widely used in the sector rose from 180,000 to 280,000 dirhams, while its daily rental rate remains close to 300 dirhams.

Agencies must also bear the cost of loan repayments, insurance, vehicle maintenance, and periods during which their fleet generates no revenue.

On Bladi.net : Morocco’s Car Rental Industry Faces Crisis Amid Oversaturation and New Regulations

The sector finally denounces competition from informal rental operators and over-indebted companies practicing very low rates. These methods would cause conflicts with customers, particularly around security deposit refunds, and would weaken the image of the entire profession.