Blue Car Rental

What Blue Car Rental does

Blue Car Rental ehf. is a private, family-owned car rental company headquartered at Blikavöllur 3 in Keflavík, Iceland, with a secondary office at Fiskislóð 22 in downtown Reykjavík. The company rents vehicles to international travelers arriving at Keflavík International Airport and serves self-drive tourism across Iceland's Ring Road, Highlands F-roads, Golden Circle, and South Coast. Its fleet spans six categories — city cars, mid-sized SUVs, large SUVs, 9-seat passenger vans, electric vehicles (Tesla Model 3/Y, Kia Niro/Soul/EV6 with Type 2 charging cables), and luxury 4x4s (Land Rover Discovery/Defender, Toyota Land Cruiser 250). The technology backbone is a web-based booking and fleet management platform with online check-in (available 7 days prior), a 24/7 key-box pickup system, and an in-vehicle QR-coded safety site covering road conditions, driving tips, and charging stations. Online review trust signals (Google, Trustpilot), a Blue+ loyalty program (5% discount, referral rewards), and an affiliate/agency channel complement the direct-to-consumer booking flow.

Revenue is generated primarily through per-rental transaction fees on a pay-now or pay-later basis, with all-inclusive pricing that incorporates unlimited mileage, VAT, and a bundled insurance package (CDW, SCDW, GP, TP). An optional Liability Waiver is attached by over 75% of customers, effectively functioning as a recurring, high-margin per-rental add-on that also gates key-box pickup. Ancillary revenue streams include EV charging and cable replacement fees, one-way rental surcharges, and affiliate/commission revenue from travel-agency and influencer partners. GTM is overwhelmingly direct-to-consumer via the website, with the airport office (a 3-4 minute walk from the terminal) serving as the primary physical pickup point and affiliate partners providing supplemental distribution. Blue Car Rental is a privately held, organically grown family business with no disclosed external funding.

Name

Blue Car Rental

Legal name

Blue Car Rental ehf.

Website

https://bluecarrental.is

Company type

Private

Operating status

Operating

Headcount range

11–50 employees

Short description

Blue Car Rental ehf. is a family-owned Icelandic car rental company based in Keflavík, serving international tourists with a technology-enabled fleet of city cars, SUVs, passenger vans, EVs, and luxury 4x4s across two locations near Keflavík Airport and central Reykjavík.

Ownership category

akta.pro rank

Product category

Car Rental Services

NAICS

Passenger Car Rental (532111), Passenger Car Rental and Leasing (53211)

SIC

Services-Auto Rental & Leasing (No Drivers) (7510)

akta.pro primary industry

Airport Car Rental (On-Airport Concessions) (THADAAAA)

akta.pro secondary industry

Specialty Vehicle Rentals (SUVs, Convertibles, 4x4) (THADAAAH)

Keywords

• Car rental services
• Airport car rental
• Vehicle rental iceland
• Suv rental
• Electric vehicle rental

Headquarters

HQ city

Keflavík

HQ country

Iceland

HQ region

Europe

Offices2 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Supply Chain, Operations, Personnel, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Vehicle Rental: Core revenue from renting vehicles to travelers with all-inclusive pricing including unlimited mileage, VAT, and standard insurance coverage (CDW, SCDW, GP, TP). Customers can book with pay-now or pay-later options.
2. Liability Waiver Insurance: Optional liability waiver reduces customer liability to zero for damages. The company reports over 75% of customers opt for this coverage, representing significant ancillary revenue.
3. EV Charging Fees: Fees charged when electric vehicles are returned with less than 70% charge (25,000 ISK charging and administration fee) and for lost/damaged charging cables (65,000 ISK).
4. Affiliate/Commission Revenue: Affiliate program where travel agencies and influencers can earn commission by booking cars for their followers, creating a distribution partnership revenue stream.
5. One-Way Rental Fees: One-way fee of 4,900 ISK charged for collecting at Reykjavik city office and returning at Keflavik Airport office.

Pricing tiers

Go-to-market motion3 records

Distribution channels4 records

Marketing channels7 records

Core offering

Blue Car Rental rents vehicles to international travelers visiting Iceland from offices at Keflavik International Airport and downtown Reykjavik. The fleet spans six categories (City Cars, Mid-sized SUVs, Large SUVs, Passenger Vans, Electric Vehicles, and Luxury Cars) and rentals are bundled with standard insurance (CDW, SCDW, GP, TP), unlimited mileage, VAT, and winter studded tires. Differentiated service features include a fully online check-in available 7 days before pickup, a secure 24/7 key-box contactless pickup system, and a Blue+ loyalty program offering 5% discounts to repeat customers.

Product overview

Blue Car Rental is a car rental company operating in Iceland with a diverse fleet spanning six vehicle categories: City Cars (economy/compact), Mid-sized SUVs, Large SUVs, Passenger Vans, Electric Vehicles, and Luxury Cars. The company operates from two locations (Keflavik International Airport and Reykjavik City Center) and differentiates through technology-enabled services including online check-in, key box contactless pickup, and a mobile safety app. Insurance products are bundled with every rental (CDW, SCDW, GP, TP) with optional Liability Waiver for zero-deductible coverage. The Blue+ loyalty program provides repeat customer rewards. The company also offers an affiliate program for travel agencies and influencers.

Differentiator

Problem solved

Functional benefit

Brands

• Blue+: Loyalty and reward program offering 5% discount and referral benefits for returning customers

Products and services

• City Car Rental Economy and compact vehicle rentals such as Toyota Aygo, Kia Cee'd Sportswagon, and Toyota Yaris, seating 4-5 passengers with luggage space for 1-4 large suitcases. Permitted on all main roads including the Ring Road but not on F-roads. Targeted at budget-conscious travelers exploring Iceland's paved routes.
• Mid-sized SUV Rental Rental of 4x4/AWD mid-sized SUVs seating 2-5 passengers with 3-4 large suitcase capacity. Allowed on F-roads and suitable for both gravel and paved roads. Marketed as the company's most popular rental category for travelers exploring varied Icelandic terrain.
• Large SUV Rental Spacious, powerful vehicles including 5-seater luxury and 7-seater 4x4 options with capacity for up to 6 large suitcases. Permitted on F-roads and positioned for exploring Iceland's toughest conditions.
• Passenger Van Rental 9-seater passenger vans with luggage capacity for up to 9 large suitcases, suited for groups traveling together. Permitted on paved roads, gravel roads, and the Ring Road but not on F-roads.
• Electric Vehicle Rental Electric vehicle rentals including Tesla Model 3, Tesla Model Y, Kia Niro, Kia Soul, and Kia EV6. All vehicles have 400km+ range and are supplied with a Type 2 charging cable. Available at Keflavik Airport and Reykjavik City offices. Not permitted on F-roads.
• Luxury Car Rental Premium luxury 4x4 SUV rentals including Land Rover Discovery Sport, Land Rover Discovery 5, Land Rover Defender, and Toyota Land Cruiser 250. Available from Keflavik Airport and Reykjavik with premium customer service including 24-hour service.
• Liability Waiver Insurance Optional insurance add-on reducing customer liability to zero for damages covered by CDW/SCDW, GP, TP, Tire Protection, SAAP, and additional damage types such as underside damage, wind-blown doors, and water damages. Over 75% of customers select this coverage. Required for access to the key-box contactless pickup service.
• Blue+ Reward Program Free-to-join loyalty program offering a 5% discount on bookings for members, plus additional discounts earned by referring friends and submitting reviews. Designed to drive repeat bookings and referrals.
• Affiliate Program Partnership program enabling travel agencies and influencers to book Blue Car Rental vehicles for their clients and followers and earn commission, with seamless integration and real-time booking and earning.

Quantifiable outcome

• Zero waiting time at pickup counter when checking in online
• +2 more outcomes

Named customers8 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Four partnerships are on record, tiered minor.

• HæfingarstöðinminorStrategic or Co-development PartnerLocal community organization focusing on individuals with special needs. Blue Car Rental has cooperated with Hæfingarstöðin for years on various projects including providing special equipment for children with autism, organizing Justin Bieber concert visits, and providing horseback riding saddles for individuals with movement disabilities. Annual Blue Cares Day event invites community members to visit Blue Car Rental.
• Hæfingarstöðin Blue Team (Keflavik Football)minorOthersBlue Car Rental sponsors the Keflavik football team's youth development program called 'The Blue team', focused on developing young talent in the local community.
• Einstök börn (Unique Children)minorOthersSupport group for children with rare diseases. In August 2019, Blue staff members participated in Reykjavik marathon to collect donations entirely for this organization.
• Blue LagoonminorGTM or Marketing PartnerPopular geothermal spa destination near Keflavik Airport, frequently combined with car rental by visitors. Blue Car Rental blog features Blue Lagoon as recommended attraction and first/last day stop.

Scale indicators5 records

Recent moves6 records

Expansion highlights6 records

Others

• DiscoverCars: Global car rental aggregator that lists Blue Car Rental and many Iceland competitors; not a direct rental operator but a key indirect distribution channel and competitive force on pricing transparency and customer acquisition.

Direct peers

• Lotus Car Rental: Icelandic local car rental operator serving self-drive tourists at Keflavík Airport and in Reykjavík, with overlapping SUV and 4x4 categories targeting F-road travelers.
• Enterprise Iceland: Major global brand with Iceland operations serving leisure and business renters through airport and city branches; competes across all of Blue Car Rental's vehicle categories.
• Hertz Iceland: Operates airport and city car rental locations in Iceland under the global Hertz brand, serving the same international tourist segment with a comparable fleet and counter-based service model. Closest direct competitor on the airport concession at KEF.
• Avis Iceland: Global brand operating car rental at Keflavík Airport and in Reykjavík, competing for the same international self-drive traveler with similar SUV, sedan, and luxury categories.
• Geysir Car Rental: Independent Icelandic car rental company targeting self-drive international tourists with comparable fleet mix and airport-area service, focusing on newer vehicles and customer experience.
• Budget Iceland: Value-oriented car rental brand present at Keflavík Airport, competing with Blue Car Rental on price-sensitive segments of the international tourist market.
• Sixt Iceland: Premium-positioned car rental operator with strong airport presence in Iceland, overlapping Blue Car Rental on the luxury SUV and digital booking experience.
• Lava Car Rental: Local Icelandic car rental operator with airport-area service offering comparable SUV and 4x4 rentals to international self-drive tourists, directly contesting Blue Car Rental's mid-sized SUV segment.
• Saga Car Rental: Icelandic family-run car rental company serving Keflavík Airport visitors with similar SUV, 4x4, and economy car options targeted at international Ring Road and F-road travelers.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks5 records

Key highlights6 records

Customer concentration

• Facebookfacebook.com/bluecarrentaliceland
• LinkedInlinkedin.com/company/bluecarrental

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Blue Car Rental