Kakao Mobility Enters Rental Car Market... Signs Agreement with Korea Rent-a-Car Business Association

[Asia Economy Reporter Kang Nahum] Kakao Mobility is entering the rental car market.

Kakao Mobility announced on the 6th that it has signed a "Rental Car Platform Brokerage Service Business Agreement" for mobility business cooperation with the Korea Rent-a-Car Business Association Federation.

Through this agreement, small and medium-sized rental car operators will provide rental car services via the Kakao T platform, which has the largest number of members in Korea, and Kakao Mobility will broker services by utilizing rental cars from small and medium-sized operators distributed nationwide. The related service is planned to be launched within this month.

The two organizations agreed to form a win-win consultative body to revitalize the business by establishing standardization of prices and quality for platform brokerage services and discovering new win-win models to strengthen competitiveness in the platform market.

In particular, Kakao Mobility plans to promote the business while collecting requests from small and medium-sized operators regarding platform fees and commissions. Customers will be able to easily select the desired vehicle type and rent a car from any region through the platform, and efforts will be made to prevent consumer damages such as excessive repair cost claims in case of traffic accidents.

Ahn Gyu-jin, Vice President of Kakao Mobility, said, "We will expand communication channels with rental car operators and listen carefully to the voices of rental car operators working hard on the front lines," adding, "We will strive for mutual growth between rental car operators and mobility platform companies."