While holidays are being perceived increasingly as a necessity to offset the stress of modern living, hiring a car to go on, or for travel during, a holiday is still considered to be a luxury. The socio-economic groups who are most likely to hire cars for holidays are those who tend to be the wealthiest (ie ABC1s) and those for whom it is most cost-effective (eg when transporting families). There are slight differences in the profiles of typical user of holiday car hire in the UK and overseas, though, with the UK market picking up proportionally more business from people who do not own their own vehicles.

Long-established car hire companies have tended to focus on the corporate market, seeking competitive advantage through service rather than price. From the point of view of the holiday maker, these companies have largely failed to provide value for money and there is little evidence of brand loyalty. With traditional car rental firms limited in their response by rigid cost structures and low margins (particularly in the UK), this has created an opportunity for low-price, leisure-focused new entrants.

Other Mintel reports of relevance include:

- Holidays: Coping with the Crisis, Special Report, January 2002

- Car and Van Hire, Market Intelligence, December 2001

- Airlines, Leisure Intelligence - UK Report, June 2001

- Fly-Drive Holidays, Leisure Intelligence - UK Report, April 2001

- No Frills/Low Cost Airlines, Leisure Intelligence - UK Report, February 2001

- Car Retailing - Retail Intelligence - UK Report, March 2000

- Airports, Leisure Intelligence - UK Report, January 2000

- British on Holiday at Home, Leisure Intelligence - UK Report, March 2002

- Holidays on the Internet, Leisure Intelligence - UK Report, March 2002.