Vanlife

Cost-effectiveness of Short-Term Vehicle Leasing: 2025 Market Research Report

Profitability of converted vans for hire

Since the Covid-19 pandemic, so-called ‘domestic’ tourism (i.e. tourism practised by the inhabitants of a country within that country) and alternative travel methods have seen spectacular growth! Vanlife is attracting more and more travellers looking for freedom and flexibility. This trend goes hand in hand with the boom in the short-term hire market for converted vehicles. There are an increasing number of sites offering campervan, converted van and van hire, both from professionals and from private individuals. If you too would like to rent out your converted vehicle, this article explains everything you need to know before taking the plunge!

Market context and trends

van rental market context and trends

Continued growth since 2020 📈

Since 2020, the market for converted vehicles has grown by an average of 15% a year in France, driven by strong demand for independent, flexible travel as a result of the pandemic. In 2023, registrations of new converted vehicles reached a record high! More than 24,000 new leisure vehicles were sold, with a sharp increase in sales of compact models, which are better suited to rental. Although this trend has slowed slightly in 2024, the market remains buoyant thanks to the growing interest of the younger generation in immersive travel experiences.

Reasons for the success of converted vans 🏅

  • Flexibility and accessibility: unlike motorhomes, converted vans are ideal for manoeuvring around town and country.
  • Ecological awareness: Many recent models incorporate green technologies such as solar panels and lithium batteries.
  • Looking for experiences: Travellers are looking for tailor-made holidays, far removed from the traditional tourist circuits.

Profitability: key figures

profitability of van rental

The profitability of van rental is based on three factors: the rental rate, the occupancy rate and operating costs.

Average rental rates 💶

In 2025, the average weekly rate for hiring a converted van in France will be around €900. But this price can triple in high season (June to August)! Demand is particularly strong during this period, with a peak in rentals for long weekends and school holidays.

Price breakdown :

  • High season: €1,500 to €2,500/week.
  • Mid-season: €800 to €1,200/week.
  • Low season: €400 to €700/week.

Occupancy rates 📊

The annual occupancy rate can vary depending on the location and marketing strategy of the converted vehicle rental platforms:

  • High season: Average rate over 70%.
  • Mid-season: Rate around 50%.
  • Low season: Rate below 30%, except for mountain areas (Alps, Pyrenees) or sunny destinations such as the Côte d’Azur.

Potential annual income 💰

To take a concrete example, here are the possible annual income scenarios for renting a converted van:

ScenarioOccupancy rateRented weeksEstimated annual revenues
Low30 %16 weeks10 800 €
Medium50 %26 weeks18 000 €
High70 %36 weeks25 200 €

Anticipated costs and investments

Cost of and investment in a converted van

Acquisition cost 🚐

A new van costs between €50,000 and €90,000, depending on the equipment and make. Second-hand models (from €30,000) can be an interesting alternative, but require higher maintenance costs.

Running costs 💳

  • Maintenance: Approximately €1,000 to €2,000 per year, including servicing and repairs.
  • Insurance: Specific rental policies range from €500 to €1,200 per year.
  • Platform commission: Platforms such as Yescapa and Wikicampers charge around 15-25% of revenues.

Taxation 🏛️

Investors can benefit from a partial recovery of VAT on the purchase, provided that they have professional status. Tax depreciation also helps to reduce the impact of the cost of acquiring your van.

Optimising profitability

Maximising the profitability of your converted van

Strategic localisation📍

Logically, tourist destinations such as the Gorges du Verdon, the Basque Country and Corsica attract customers all year round. Offering a converted vehicle for hire near airports or train stations in major cities (e.g. Paris, Marseille, Bordeaux, Lyon, Strasbourg, Toulouse, Nantes, etc.) can also help you increase your occupancy rate!

Dynamic price management 📉

By using tools such as PriceLabs or BeyondPricing, you can adjust your rental rates in line with demand. One effective strategy is to offer discounts in the low season to stimulate rental!

Equipment that makes all the difference ⭐

Set yourself apart from other converted vehicles with equipment that offers your customers comfort and independence!

  • Solar panels: For environmentally-friendly, independent operation.
  • Pop-up roof: Increases seating capacity without compromising manoeuvrability.
  • Connectivity: Adding a Wi-Fi hotspot can be a decisive argument.

Opportunities and challenges in 2025

investing in a converted van: opportunities and challenges

Opportunities 🙌🏼

  • Growth and development of collaborative platforms for the rental of converted vehicles: players such as Yescapa and Wikicampers facilitate access to an international clientele.
  • Green trends: interest in sustainable vehicles is paving the way for electric and hybrid models.

Challenges 💪🏼

  • Increased competition: the van and motorhome rental market is becoming saturated in some regions… All the more reason to stand out from the crowd with an offer that makes all the difference!
  • Local regulations: restrictions on internal combustion vehicles in major cities with the introduction of ZFEs (Low Emission Zones) could affect your profitability if your converted vehicle is affected.

The short-term rental of converted vans in 2025 remains an attractive sector, offering annual revenues that could exceed €25,000. However, success depends on a number of key factors: location, effective price management and the equipment included in your vehicle.

Ready to start hiring a converted vehicle? Customise your van yourself to save money and offer your customers a unique experience! Download your layout plan from casakub.com 😉

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