by Andre Haddad
posted on April 14, 2025
I’m excited to share a number of investments and updates to pricing designed to grow our most profitable types of trips, driving host earnings and profitability.
Reducing Turo’s trip fee to zero
We love long trips, and we think you will too! Many guests who book trips lasting a month or longer are looking for an alternative to buying or leasing a car, and we believe this is a huge, untapped opportunity for Turo hosts. These trips have a lower frequency of claims, and they reduce management time for busy hosts, so it’s important for us to make these trips attractive to guests searching for car access without the commitment of ownership.
To support the growth of these multi-month trips, we recently made some bold changes designed to maximize host profitability while providing competitive all-in pricing for guests.
- We reduced our recommended monthly discounts from 60-70% to 45%. Compared to a 60% discount, the 45% discount enables hosts to grow their earnings by 36%, to an average of $736 per month.
- We eliminated Turo’s trip fee for these trips to make pricing more competitive. As of March 28, 2025, Turo’s trip fee for trips one month or longer was reduced to zero in most markets.
- We reduced guest protection prices by 50% to further reduce the all-in price that guests see when shopping around.
We’re incredibly excited to take these bold steps to win this huge market opportunity, and we’re committed to making this opportunity a profitable venture for hosts.
Driving competitive pricing for leisure travel
We love travelers! Guests who book trips for travel tend to book early, book longer trips, and book at airports since they’re often flying in from afar for their vacations. These trips tend to be the most profitable types of trips for our hosts, with significantly fewer incidents. While we’ve been focused on driving airport business for a while — we now have permits at over 100 airports — there remains a huge opportunity for us to grow our share of this valuable market.
To help drive attractive supply at airports, we’re also making some bold pricing changes:
- We’re significantly cutting Turo’s trip fees, by up to 50% in certain markets, to make pricing more competitive.
- We’re optimizing dynamic pricing to maximize appeal to travelers. The recommendations are data-driven and designed to attract this profitable trip segment, so make sure you take advantage of the dynamic pricing recommendations.
Showing all-in pricing, including Turo fees
To empower guests to better comparison shop when they’re booking a car, we’ll soon display all-in pricing in search results and on vehicle listings (not including taxes, airport fees, and optional add-ons, like protection). This change will make shopping easier, more transparent, and more convenient for our customers, and will empower Turo hosts to be more competitive with traditional rental car options.
Bold changes to drive profitability for hosts
When prices are attractive to guests, hosts win more business. And when hosts win more business, so does Turo. By reducing our take rate for the most profitable types of trips for hosts, both guests and hosts come out on top — we firmly believe that these bold changes will help maximize both our price competitiveness as well as hosts’ earnings and profitability. We can’t wait to see the positive impact this will have on the marketplace and hosts’ businesses in the coming weeks and months.
Andre Haddad
Andre is the Turo CEO and a true car enthusiast. After many years in the consumer web space, he combines his passion for cars, technology, and the environment each day at Turo as he works to put the world’s one billion cars to better use.
