Amazon launches car rentals in the UAE

Amazon is now offering online car rental services in the UAE under its home services umbrella.

The world's largest e-commerce company will provide car rentals for customers in Dubai, Abu Dhabi, Sharjah, Ajman and Ras Al Khaimah.

The rentals will range from a day to a month, with deliveries made to the selected address in as little as three hours from the time of the booking.

Amazon Home Services will not charge a security deposit while rates for rentals will start as low as Dh44 per day.

"Amazon Home Services gives them [customers] an alternative option to traditional car hire, eliminating the hassle of queuing, having to travel to get their rental car, or paying a hefty security deposit," said Amine Mamlouk, an Amazon Middle East and North Africa executive.

The GCC car rental market is expected to grow by a compound annual rate of 15.7 per cent from 2020 to 2025, according to Mordor Intelligence. The UAE is the largest market for car rentals, according to the market research firm.

According to Mordor, the biggest players in the GCC car rental market, in order of prominence, are Thrifty, Sixt, Hertz, Fast Rent A Car and Kayak.

Amazon subscribers can choose "automotive services" under the online retailer's Home Services option. The service can also be accessed by searching for "car rental service" under the search option.

Amazon's Home Services team will ask for the user's Emirates ID, driver's licence, passport visa page and a credit card to secure bookings.

"Within a couple of steps and a short three-hour wait time, customers can have the car of their choice delivered directly to their doorstep, all from the comfort of their own home," said Mr Mamlouk.

Amazon offers about 95 on-demand professional services in the UAE.

The online retailer allows customers to make beauty appointments, book handymen and schedule TV installation and other assembly jobs through its home services function.

The retailer is tapping into a growing demand for on-demand maintenance, cleaning and home salon services, which have boomed during the Covid-19 pandemic.

Amazon competes with local companies in meeting demand for various convenience and lifestyle services.