Avis and Enterprise transform car rental industry

Mergers and consolidation among car rental firms has led to a near complete transformation of this industry, according to the 2008 Business Travel Survey. Enterprise and Avis were both at the very forefront of these changes, with the latter buying up both the Alamo and the National Car Rental brands-two of the most recognizable names in the car hire industry. Enterprise was able to take control of both brands by purchasing its previously owner, Vanguard Car Rental.

While Enterprise underwent a major expansion in the past 12 months and has reshaped the car rental landscape, Avis Rent A Car was hardly one to be left out of the trend towards consolidation. Avis expanded its business by purchasing a 45 percent stake in Carey International, a firm which focuses on offering its business clients chauffeured rentals.

Both Enterprise and Avis has plans for further changes and transformations this year. For example, Enterprise has confirmed that it will focus more on expanding its corporate clientele. In fact, Brad Carr, Enterprise’s vice president in charge of business and corporate relations, noted that representatives of the firm have already looked up major corporations and have struck up new contracts with some. One of the major changes to come is that National Car Rental will now also increasingly focus on corporate, rather than leisurely rentals.

For its part, Avis also announced that it may buy more of Carey in the near future, which will mean that its own rental clients will have better opportunity to arrange chauffeured rentals than ever before.

www.alamo.com