Why car rental prices change after you search once | Explained

Ever searched for a rental car, found a reasonable price, closed the tab to think about it for 15-20 minutes. Next time when you browse the same website, the price for that particular vehicle suddenly increases!

Yes, it happens a lot and your laptop is not the problem. So let’s break down why car rental prices change after you search once, what’s actually happening behind the scenes and how you can avoid overpaying.

So why do car rental prices go up?

One of the reasons is the dynamic pricing model followed by car rental companies that keeps the rates fluctuating on an hourly, daily or weekly basis.

The pricing systems basically adjust rates in real time based on supply, demand & after analysing user behavior.

Below are the biggest factors that influence the price change:

• Dynamic pricing (Prices don’t stay still)

  Car rental prices work just like your airline tickets or hotel rooms. If demand goes up, ultimately prices also go up. If demand drops, prices also go down.

  Rental companies constantly adjust rates after monitoring the number of cars available, location demand, peak months of the year, any upcoming events and how close your pickup date is.

  So if someone else books the same car type right after your first search, the system may raise prices automatically.

• Limited inventory

  Rental companies have physical inventory and prices are totally dependent on the number of cars in stock.

  Let’s say if there are only 3 economy cars left at your airport and someone books one. Eventually, prices just increased for the remaining two.

  This happens a lot of times, mainly at airports, tourist destinations, during holidays or weekends.

• Cookies can play a role

  Yes, cookies play a role but not the way you think. There is a big car rental myth that companies raise prices just because YOU searched once. That is absolutely false!

  You may feel so but it’s mostly about the timing + availability that fluctuates the rates.

  Cookies may store your preferences for location, dates or car type but the site refreshes prices based on demand changes that happened between searches.

  You can always clear the cookies or use incognito mode, which can sometimes show different prices, especially on comparison sites.

• Prices change as your travel date gets closer

  As your pickup date approaches, there are many travelers who book last-minute deals and are willing to pay more, so the company takes advantage of such kind of situation.

  The cheaper rates disappear fast & you will notice prices rise within 1 or 2 weeks from your pickup or right before the holiday season or major events.

• Location matters more than you imagine

  Ever thought? Same car. Same dates. Different price. What could be the reason?

  It is because the Airport rentals cost more, keeping in mind the fees & taxes, city locations may have more vehicles in stock, popular pickup spots sell out way fast.

  So the prices can change just by switching your pickup locations or changing your pickup time by an hour or sometimes even 30 minutes.

• Comparison sites update prices constantly

  All the comparison sites like Kayak, Skyscanner, etc. don’t control the prices. They just pull live data from other rental companies.

  So when you refresh the page, the system re-checks availability and updates the prices automatically according to the data captured. That also means that what you saw 15 minutes ago may no longer exist now.

How can you get the best car rental prices?

• We know that you have heard it many times to book your vehicle in advance. But honestly, this is the best way to lock in a low rate early, then re-check prices later.

  You can even cancel for free, in case the prices get low.

• You can try switching to incognito mode if it helps. The prices may be slightly low, not guaranteed, but worth trying!
• Always compare the pickup locations of your destination. You may find that off-airport locations are a little more affordable.
• Be flexible with your timings. Sometimes, even a 30 minute change can affect the pricing.

People ask this often

• Why did my car rental price increase overnight?

  Your car rental price increased overnight due to these possibilities: someone booked cars in that category, a few cars are left in inventory, demand increased or your pickup date is closer.

• Do car rental companies track your searches?

  Yes, car rental companies track your searches but it has nothing to do with the prices. It mostly changes due to demand, not individual behavior.

• Can car rental prices go down if I wait?

  Sometimes it can go down, but it’s totally risky. In most cases, prices keep on increasing, especially when your travel dates are near.

• Is it cheaper to book car rentals last minute?

  Chances are very low because last-minute deals are unpredictable and mostly you will get high rates during busy seasons.