Why is renting a car through a broker cheaper than directly through a car rental company?

Why is renting a car through a broker cheaper than directly through a car rental company? - Crop man messaging on smartphone while sitting in car

I have noticed that renting a car in some countries through a broker is ridiculously cheaper than directly through an agency.

For instance, I am travelling to Macedonia for a road trip and would like to rent a car for 10 days. Prices on rentalcars.com are approx 1.5 times cheaper than directly through an agency (Sixt, Hertz, Enterprise, etc). Why?

When I make a booking on RentalCars.com I only get a reservation. I would still have to go physically to the dealer's desk anyway to pick up the car, fill out the paperwork, and pay the rental. And the dealer would still attempt to sell me additional insurance. So how can rentalcars.com have a lower price than a dealer?






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Why is renting a car through a broker cheaper than directly through a car rental company? - Cars driving on asphalt road between parked automobiles and residential houses in modern city district with sun shining through tree branches
Why is renting a car through a broker cheaper than directly through a car rental company? - Customer paying for taxi service in dollars
Why is renting a car through a broker cheaper than directly through a car rental company? - View through open window of unrecognizable driver accepting payment in cash from crop customer sitting on back seat



How can I reduce the cost of car rental?

10 ways to save money on your next rental car
  • Book early \u2014 especially during peak travel season. ...
  • Avoid booking at airports if possible \u2014 they can pile on fees. ...
  • Use a credit card that will cover primary insurance. ...
  • Plug in your Costco, AAA and other memberships. ...
  • Book through sites like Autoslash, which factors in discounts.


  • Why are rental cars so hard to come by?

    Rental-car companies and analysts say they expect shortages to continue in the coming months due to the global chip shortage and other supply-chain constraints. With demand for rental cars expected to be high, plan to book early and brace for high prices in popular leisure destinations.

    How can I save for a car hire?

    How to save on car hire \u2013 and avoid getting ripped off
  • Don't book direct.
  • Get the options right.
  • Don't just opt for cheap.
  • Buy 'extra' insurance.
  • Ignore sales patter.
  • Check the car.
  • Don't drop it and run.


  • Why are car rentals so much higher?

    They found themselves without enough stock to supply the demand for rental cars. As such, they raised prices on the cars that they did have. Car rentals are expensive because the agencies chose to sell off their cars to survive the pandemic financially.



    What’s Behind the Rental Car Shortage? | WSJ




    Sources: Stack Exchange - This article follows the attribution requirements of Stack Exchange and is licensed under CC BY-SA 3.0.

    Images: Tim Samuel, Maria Orlova, Tim Samuel, Tim Samuel