JOHOR BARU: Car rental service providers here are smiling from ear to ear with the recovery of their business as the demand for rented vehicles is on the rise.
The trend began going upwards in November last year, shortly after the government allowed interstate travel following the gradual easing of Covid-19 restrictions, said Mohamed Faliq Farhan Abdul Wahab, who has been running a car rental service for the past seven years.
He said the situation got even better after Malaysian borders reopened on April 1, with demand being significantly higher during the recent school holidays, National Day and Malaysia Day long weekends.
“I have about 30 vehicles for rent, but they are no longer enough to cater to the existing demand. From what I understand, my industry peers are also facing a similar situation.
“There is a shortage of vehicles across the board as we have a network of agents who will ‘lend’ vehicles to car rental providers in need. This is because many sold their cars during the pandemic.
“The demand is high even on weekdays as tourists usually come in for a day trip to avoid the weekend traffic jam on the Causeway,” said Mohamed Faliq Farhan.
In an interview, he described the present situation as a “relief” as the industry had suffered much during the two years when borders were closed and tourism activities not allowed due to the pandemic.
He said that his customers are a good mix of locals and foreigners. In addition to tourists from Singa-pore, he has customers from Batam, Indonesia, who rent vehicles while visiting Johor Baru for medical reasons.
Others are usually small groups of friends and couples who rent cars to drive to tourist attractions like the Johor Baru city area, Legoland, and Desaru in the state.
Mohamed Faliq Farhan, 35, said that smaller cars like the Perodua Axia and the Myvi are popular with customers because the rental cost is only between RM120 and RM200 a day, depending on the car’s features.
A chartered car service owner, who only wanted to be known as Lim, said his business has steadily recovered by about 60% to 70%.
The 33-year-old said he switched jobs during the lockdowns due to the lack of business.
He returned to offer car rental services when the Malaysia-Singapore border reopened.
“My charter services include airport transfers and other pick-up and drop-off services depending on the customer’s needs.
“They tell me they are happy to travel again and they do not hesitate in paying the rental, which has increased by 10% to 20% to cover my operational costs,” he added.
Lim, however, said that business had not returned to pre-pandemic levels as tourists from China and Hong Kong, who used to be his main customers, have yet to return due to their travel restrictions.
