"Air travel woes drive rental cars to new turf "
"Air travel woes drive rental cars to new turf
By JIM SUHR
Associated Press
10/09/2004
ST. LOUIS -- It's part of an intensifying car rental rumble: As Enterprise Rent-A-Car increases its visibility at airports, longtime airport leader Hertz is muscling into America's neighborhoods, Enterprise's closely guarded turf.
Over the past three years, Hertz has christened more than 800 away-from-airport sites to push its total to 1,100, with hopes of adding another 200 before the end of this year.
New car rental sites are sprouting as Hertz and other Enterprise rivals eye off-airport sites, hoping to reduce their dependence on an air travel industry that has struggled since the September 2001 terrorist attacks. Such woes contributed to the bankruptcies of Alamo, National and Budget, which since have regained their footing.
Enterprise, the nation's largest rental car company, is responding in kind, seeking more counter space at the airports. It has opened 27 airport outlets in the latest fiscal year.
'There's plenty of business out there,' said consultant Neil Abrams.
According to Abrams Travel Data Services, car rental companies will generate $18 billion in revenue nationwide this year. About 40 percent of that business will be away from airports, explaining the new focus on neighborhoods and suburbs.
Privately owned Enterprise has more than 6,000 locations worldwide and boasts it has sites within 15 miles of 90 percent of the U.S. population. It has been the 800-pound gorilla in the local and replacement market, thanks to its deals with major insurers, large auto dealers and automotive service companies. "
By JIM SUHR
Associated Press
10/09/2004
ST. LOUIS -- It's part of an intensifying car rental rumble: As Enterprise Rent-A-Car increases its visibility at airports, longtime airport leader Hertz is muscling into America's neighborhoods, Enterprise's closely guarded turf.
Over the past three years, Hertz has christened more than 800 away-from-airport sites to push its total to 1,100, with hopes of adding another 200 before the end of this year.
New car rental sites are sprouting as Hertz and other Enterprise rivals eye off-airport sites, hoping to reduce their dependence on an air travel industry that has struggled since the September 2001 terrorist attacks. Such woes contributed to the bankruptcies of Alamo, National and Budget, which since have regained their footing.
Enterprise, the nation's largest rental car company, is responding in kind, seeking more counter space at the airports. It has opened 27 airport outlets in the latest fiscal year.
'There's plenty of business out there,' said consultant Neil Abrams.
According to Abrams Travel Data Services, car rental companies will generate $18 billion in revenue nationwide this year. About 40 percent of that business will be away from airports, explaining the new focus on neighborhoods and suburbs.
Privately owned Enterprise has more than 6,000 locations worldwide and boasts it has sites within 15 miles of 90 percent of the U.S. population. It has been the 800-pound gorilla in the local and replacement market, thanks to its deals with major insurers, large auto dealers and automotive service companies. "
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