Presentation on theme: "By Will Seastrom-Price Paul Brown Kathryn Guisto."— Presentation transcript:
By Will Seastrom-Price Paul Brown Kathryn Guisto
Founded in 1918 Engage in car and truck rental and leasing business Primarily in Europe and U.S.A. Two Segments: Car Rental and Equipment Rental 8,000 locations in 146 countries Largest general use car rental company in the world. Initial Public Offering in 2006
“Our solid performance reflects our ongoing ability to execute consistent strategies for generating top- line growth, controlling costs, and improving operational efficiency.” -Mark Frissora, CEO Primary Problems Product differentiation Increasing gas prices Price rises, demand decreases http://www.youtube.com/watch?v=lf46hDT5SQQ http://www.youtube.com/watch?v=lf46hDT5SQQ
Offer not only car rentals Sales Service Employees Culture Emphasize openness and high levels of communication Accountability Develop from within Paid internships to college students Promote within company Have high compensation packages medical, dental, vision and other insurance options, retirement plan, income savings plan, paid time off, employee discounts and tuition reimbursement.
Hertz Recognized as top 100 international brand names "Hertz is a very strong international brand, well recognized by business and leisure travelers around the world," said Wayne Burgoyne, Director of Sales and Marketing for Hertz Australia. Fleet Size Hertz- 550,000 Avis- 200,000 Enterprise- 600,000
Higher gas prices Decrease in air travel Total travel expenditure ↑ Car rental sales ↓ Increase in Taxes/fees The car rental industry continues to be hit by an increase in taxes and fees by local municipalities.
INCREASE IN TOTAL TRAVEL EXPENDITURE Total travel expenditure refers to leisure travel and business travel Major reason for car rental is for travel in another city (leisure/business) where customer’s own car is not available
Increase in fuel costs Directly affect consumer driving behavior which correlates to rental decisions. Increase in Taxes/fees The car rental industry continues to be hit by an increase in taxes and fees by local municipalities.