Car rental services in Hanoi faces low demand
  • | | January 23, 2021 08:11 AM
Many car rental service providers in Hanoi have reported slow business compared to the same period last year when they had lots of customers in lunar December.


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According to the providers, rental charges this year have dropped to VND500,000 (USD21.5) from VND2m a day while in previous years, the prices usually went up. They still have customers who have already booked for the 23rd to 30th lunar December but the number has dropped significantly. In previous years, customers had to book cars before the New Year.

Pham Viet Manh, a provider in Bac Tu Liem District, said, "Families who want to return to their hometowns for Tet often rent cars. This year’s holiday is long so we offered seven to 10-day packages that cost VND12m (USD518) to VND22.5m. But there are only a few customers. I hope travelling will return to normal soon or else transportation businesses may go bankrupt."

In addition, many companies have coaches to bring their employees to their hometowns. Additional passenger buses and trains were also added to meet demands so there are not many customers left. Overseas Vietnamese are also a part of their customer base and they can’t visit Vietnam this year due to the pandemic.

According to Manh, he used to have 10 drivers but had to lay off five people to work for weddings and other events. Travel demand dropped even lower as big events have been halted because of Covid-19.

Many owners had to sell off some or all of their cars due to high maintenance costs.

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