The Hidden Cost of Prestige: Why Luxury Car Rentals Command Premium Prices

A major contributor to the high rental price is the accelerated depreciation of luxury and exotic vehicles. Unlike standard cars, high-end models can lose a substantial percentage of their market value immediately after purchase, and the depreciation curve remains steep. Rental companies must factor this rapid decline in asset value into their pricing structure. Essentially, the daily rental fee is not just paying for the temporary use of the car but is also covering the significant loss in the vehicle's resale value that occurs during its tenure in the fleet.