India’s clear shift from car ownership to access: Zoomcar
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Short-term rentals account for 91% of trips as consumers prioritise flexibility, affordability, and autonomy over long-term ownership.
Zoomcar Holdings Inc. (OTCQB: ZCAR), released its India’s Self-Drive Shift Report 2025, highlighting a decisive shift among young urban Indians from owning cars to accessing them on demand.
The report finds that rising running costs, congested cities and changing lifestyle priorities are pushing consumers, especially Gen Z and millennials, to move away from long-term EMIs and toward flexible mobility solutions. Private cars continue to remain idle nearly 90 percent of the time even as owners face rising expenses on fuel, servicing and insurance.
Zoomcar’s internal data shows strong momentum for access-based models. In 2025 (Jan - Oct), a total of 2,62,585 users chose self-drive short-term rentals on Zoomcar as their primary mobility choice, reflecting a clear preference for flexibility and control. Long-term subscriptions grew 44% year on year and now account for 5% of all bookings. Short-term rentals dominate usage, making up 91% of completed trips and reflecting a strong preference for pay-as-you-go mobility.
Subscribers, largely between 25 and 40 years old, use Zoomcar for hybrid work, relocations, extended stays and long-duration travel, with average subscription periods of around 14 days. Demand from Tier 2 and Tier 3 cities is also accelerating and contributed to 30% of new guests this year.
Hosts are benefiting from this shift. Individuals listing their cars on subscription typically earn around INR 20,000 to 25,000 per month, along with additional income through short-term rentals. High-utilisation shared vehicles on Zoomcar enable more than 50 unique guests every year, expanding mobility access across Indian cities.
The report highlights Zoomcar’s ongoing investments in technology that strengthen platform trust and reliability. These include AI-led demand prediction, smart cataloging, IoT-based tracking and integrated trip protection. Zoomcar has also expanded its partnerships with leading insurance companies to enhance asset protection for hosts through robust contractual liability and safety covers. Together, these innovations have contributed to meaningful improvements in availability, safety and pricing efficiency.
“The future of mobility is not about owning more cars. It is about unlocking more journeys,” said Abhilash Kasliwal, Business Head, Zoomcar. “Young consumers in India want convenience, flexibility and financial freedom, and Zoomcar is enabling that shift at scale.”
