AUDI Singapore launched the Audi On Demand car rental service in Singapore on Thursday with an initial fleet of 10 vehicles.

The European car company claims to be the first continental carmaker to offer such a service in South-east Asia. Audi On Demand is already available in five other markets, said Jeff Mannering, managing director of Audi Singapore, at a preview of the new Audi A8 that has self-driving capabilities.

Those are Munich, Manchester, San Francisco, Beijing and Hong Kong.

"There's growing wealth in the world . . . and the premium segment is growing now. There's an expanding middle class across the world, and that's where we're targeting," Mr Mannering told The Business Times.

The service allows customers to use the latest models of Audi, considered a premium brand, without having to buy a vehicle. A dedicated concierge will deliver the rented car to any location in Singapore within two hours.

Alternatively, customers can pick up the vehicle on their own without having to engage a concierge. However, this does not mean that the car rental fee will be cheaper without the concierge as the concierge is a service included in the pricing, Audi said.

Prices of the cars available for rental begin at S$76 for four hours for an A3 Sedan or an A3 Sportback and can stretch to S$488 for a day for the Q7.

Customers can rent the vehicles for a minimum time of four hours to a maximum duration of 28 days.