Having a distance measure between quantum states satisfying the right properties is of fundamental importance in all areas of quantum information. In this work, we present a systematic study of the geometric Rényi divergence (GRD), also known as the maximal Rényi divergence, from the point of view of quantum information theory. We show that this divergence, together with its extension to channels, has many appealing structural properties, which are not satisfied by other quantum Rényi divergences. For example we prove a chain rule inequality that immediately implies the “amortization collapse” for the geometric Rényi divergence, addressing an open question by Berta et al. [Letters in Mathematical Physics 110:2277–2336, 2020, Equation (55)] in the area of quantum channel discrimination. As applications, we explore various channel capacity problems and construct new channel information measures based on the geometric Rényi divergence, sharpening the previously best-known bounds based on the max-relative entropy while still keeping the new bounds single-letter and efficiently computable. A plethora of examples are investigated and the improvements are evident for almost all cases.