South Korean car rental operators handled 15.3 million transactions and generated 1.45 trillion KRW in revenue. Millennials aged 25 to 34 made up nearly half of all customers while urban residents accounted for 72 percent of rentals. Fleet totals, company profits, and booking trends show how the market currently operates.
Key Takeaways
- 25-34 year-olds accounted for 48% of rental customers in 2023.
- Top rental company Lotte Rental revenue: 420 billion KRW in 2023.
- Nationwide fleet size totaled 450,000 vehicles in 2023.
- In 2023, the South Korean car rental market generated total revenue of 1.45 trillion KRW, marking a 7.2% increase from 2022.
- Car rental app downloads: 12 million in 2023.
Korea’s rental car market grew strongly in 2023, driven by rising demand and steady supply.
Related reading
01 · Category
Consumer Demographics and Behavior30 stats
01
25-34 year-olds accounted for 48% of rental customers in 2023.
02
Female customers: 42% of total rentals in 2023.
03
Tourists from China: 35% of foreign renters in 2023.
04
Average rental duration: 2.8 days per customer.
05
Urban residents: 72% of rental users in 2023.
06
Millennials (Gen Y): 55% market share by age group.
07
Corporate clients: 38% of repeat customers.
08
First-time renters: 22% growth to 3.2 million.
09
Income >50M KRW annually: 60% of luxury renters.
10
Jeju visitors renting cars: 85% of arrivals.
11
App-based bookings by under-30s: 91% preference.
12
Family groups: 28% of SUV rentals.
13
Repeat customer rate: 62% loyalty index.
14
Foreigners: 19% of total customers in 2023.
15
Solo travelers: 41% opting for compact cars.
16
Weekend rentals peak at 68% for 25-44 group.
17
EV preference among eco-conscious: 45%.
18
Booking lead time average: 4.2 days.
19
Regional distribution: Gyeonggi 25%, Seoul 32%.
20
25-34 age group: 52% of renters.
21
Male customers: 58% dominance.
22
Japanese tourists: 22% of intl renters.
23
Average spend per rental: 190,000 KRW.
24
Rural renters: 18% growth in usage.
25
Gen X (35-54): 32% market share.
26
B2C vs B2B: 62% leisure rentals.
27
Loyalty program members: 4.5 million.
28
High-income (>100M KRW): 28% luxury segment.
29
Airport pickup preference: 55% customers.
30
Mobile app users: 76% of bookers.
Interpretation
Consumer Demographics and Behavior Interpretation
The Korean car rental market is now driven by app-savvy millennials, overwhelmingly young urbanites treating rentals as a weekend accessory, while tourists—especially from China—fuel demand, proving that convenience and quick escapes, be it to Jeju or just across town, are the true engines of this industry.
02 · Category
Financial Performance29 stats
01
Top rental company Lotte Rental revenue: 420 billion KRW in 2023.
02
SK Rent-a-Car net profit: 28 billion KRW, up 15%.
03
Industry average profit margin: 9.2% in 2023.
04
Total industry EBITDA: 210 billion KRW.
05
Fuel cost as % of revenue: 12.4%.
06
Insurance expenses: 85 billion KRW industry-wide.
07
Depreciation per vehicle: 4.5 million KRW annually.
08
Revenue per rental day: 68,000 KRW average.
09
Top 5 firms combined revenue: 980 billion KRW.
10
Debt-to-equity ratio average: 1.8:1.
11
Marketing spend: 3.5% of revenue.
12
ROI on EV fleet investments: 14.2%.
13
Cash flow from operations: 320 billion KRW.
14
Cost per transaction: 12,500 KRW.
15
Dividend payout by Lotte: 15 billion KRW.
16
Bad debt ratio: 1.1% of receivables.
17
Capital expenditure: 450 billion KRW on fleet.
18
Gross margin: 45% industry average.
19
Tax rate effective: 22.3%.
20
Revenue growth by region: Jeju 11%.
21
Subscription model revenue: 180 billion KRW.
22
Online revenue share: 75% of total.
23
Labor costs: 18% of operating expenses.
24
Net assets growth: 8.7% YoY.
25
SK net sales: 380 billion KRW.
26
EBITDA margin: 14.5% for leaders.
27
Operating expenses growth: 6.1%.
28
Revenue per vehicle: 3.2 million KRW/year.
29
Top firm ROE: 12.8%.
Interpretation
Financial Performance Interpretation
The Korean rental car industry is a high-stakes race where firms drive billions in revenue, yet must carefully navigate fuel costs, depreciation, and debt to keep their profit engines running at a modest 9% margin, while successfully shifting gears toward online platforms and EV investments.
03 · Category
Fleet and Vehicles30 stats
01
Nationwide fleet size totaled 450,000 vehicles in 2023.
02
Lotte Rental operated 120,000 vehicles, 27% of national fleet in 2023.
03
Average vehicle age in Korean rental fleets was 18 months in 2023.
04
Hyundai models comprised 42% of rental fleets in 2023.
05
EV fleet penetration: 9.5% or 42,750 vehicles in 2023.
06
SUV segment: 35% of total fleet, up 15% from 2022.
07
Jeju-specific fleet: 85,000 vehicles, 19% national total.
08
Luxury fleet (BMW, Mercedes): 12,500 units in 2023.
09
Average mileage per rental vehicle: 28,000 km annually.
10
Hybrid vehicles: 15,200 units, 3.4% of fleet in 2023.
11
SK Rent-a-Car fleet: 95,000 vehicles in 2023.
12
Compact cars: 52% of fleet composition in 2023.
13
Maintenance cost per vehicle: 1.2 million KRW yearly.
14
Fleet utilization rate averaged 78% in 2023.
15
New vehicle additions: 65,000 units in 2023.
16
Diesel vehicles phased down to 8% of fleet.
17
Van/minivan fleet: 22,000 units nationwide.
18
Age distribution: 60% under 12 months old.
19
Insurance-covered fleet: 98.7% compliance rate.
20
GPS-equipped vehicles: 92% of total fleet.
21
Lotte Rental fleet: 125,000 vehicles in 2023.
22
Kia models: 28% of rental fleet share.
23
Sedan dominance: 41% fleet segment.
24
Total fleet EVs: Increased 42% to 42,750.
25
Maintenance downtime: 4.2% annually.
26
Foreign brand fleet: 15% (import cars).
27
Utilization peak: 92% in summer months.
28
Vehicle replacement cycle: 36 months average.
29
Hatchback fleet: 12% composition.
30
Accident rate per 100k km: 1.8 incidents.
Interpretation
Fleet and Vehicles Interpretation
Korea's rental car industry, where Lotte Rental essentially plays a one-quarter national fleet monopoly with impressively young, Hyundai-stuffed, and increasingly electric vehicles, has clearly mastered the art of keeping its nearly new compacts hustling at a brisk 28,000 km per year—just don't ask about the tire bills.
More related reading
04 · Category
Market Size and Growth20 stats
01
In 2023, the South Korean car rental market generated total revenue of 1.45 trillion KRW, marking a 7.2% increase from 2022.
02
The car rental industry in South Korea saw 15.3 million rental transactions in 2023, up 12.1% year-over-year.
03
Average daily rental rate for economy cars in Seoul was 45,000 KRW in 2023.
04
Market penetration of car rentals in South Korea reached 28% among urban millennials in 2023.
05
The luxury car rental segment grew by 18.4% in 2023, accounting for 12% of total market revenue.
06
Total number of rental car companies operating in South Korea was 1,248 in 2023.
07
Jeju Island accounted for 42% of national car rental volume in 2023.
08
Electric vehicle rentals surged 35% in South Korea in 2023, representing 8.2% of fleet.
09
Corporate rentals made up 55% of B2B market share in 2023.
10
Post-COVID recovery led to 22% growth in tourist rentals in 2023.
11
Projected CAGR for Korean car rental market 2024-2028 is 6.8%.
12
Incheon Airport rentals contributed 18% to national totals in 2023.
13
Short-term rentals (1-3 days) comprised 67% of all transactions in 2023.
14
Market value of one-way rentals reached 320 billion KRW in 2023.
15
Subscription-based rentals grew 25% to 150,000 subscribers in 2023.
16
Regional market share outside Seoul was 38% in 2023.
17
Total assets of top 10 rental firms: 5.2 trillion KRW in 2023.
18
Online booking ratio hit 82% of total rentals in 2023.
19
Peak season (July-Aug) rentals increased 45% YoY in 2023.
20
Market concentration: Top 3 firms hold 65% share in 2023.
Interpretation
Market Size and Growth Interpretation
South Korea's rental car market is hitting all the right gears, proving that whether it's a millennial in Seoul craving convenience, a tourist on Jeju chasing freedom, or a corporation on a business trip, everyone is steering clear of ownership and opting for the open road—on someone else's dime.
05 · Category
Trends and Forecasts24 stats
01
Car rental app downloads: 12 million in 2023.
02
Autonomous vehicle pilot rentals: 5,000 trials projected 2024.
03
Sharing economy impact: 25% market shift by 2025.
04
Carbon emission regulations tighten 20% by 2025.
05
Tourism rebound forecast: 20 million renters by 2025.
06
Digital insurance integration: 95% adoption by 2024.
07
Peak demand shift to shoulder seasons: 30% rise.
08
Blockchain for contracts: Pilot in 10% firms 2024.
09
Market forecast 2028: 2.1 trillion KRW.
10
Gen Z entry: 35% customer growth by 2026.
11
Airport rental hubs expansion: 15 new by 2025.
12
AI pricing dynamic adoption: 60% firms.
13
Sustainability certifications: 70% fleets by 2025.
14
Cross-border rentals: 40% increase projected.
15
Contactless everything: 100% by 2024 end.
16
Fleet electrification: 25% by 2027.
17
Corporate subscription boom: 50% revenue share.
18
Rural market growth: 18% CAGR to 2028.
19
VR previews for vehicles: 20% booking uplift.
20
Regulatory cap on fees: 15% reduction impact.
21
Data analytics spend up 40% annually.
22
Partnership with ride-hailing: 30% hybrid users.
23
Insurance telematics: 85% claims reduction forecast.
24
Luxury EV rentals: 300% growth by 2026.
Interpretation
Trends and Forecasts Interpretation
Korea's rental car industry is frantically trying to be all things to all people at once, hurtling towards a 2.1 trillion won future where your airport-picked, AI-priced, blockchain-contracted, sustainably-certified, and possibly autonomous electric vehicle is just a VR preview away, as long as you're okay with paying through a capped fee in the shoulder season.
Reference
Cite This Report
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APA
Isabelle Moreau. (2026, February 13). Korea Rental Car Industry Statistics. Gitnux. https://gitnux.org/korea-rental-car-industry-statistics
MLA
Isabelle Moreau. "Korea Rental Car Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/korea-rental-car-industry-statistics.
Chicago
Isabelle Moreau. 2026. "Korea Rental Car Industry Statistics." Gitnux. https://gitnux.org/korea-rental-car-industry-statistics.
Sources & references
100 datasets cited across this report · attribution is report-level