Rising cost of car rental - Car Rental News
Rising cost of car rental
Car Rental News - 08/06/2009
Looks at how car rental prices have gone up over recent years
Of course, we all know that the global recession has had far reaching effects and many companies are feeling the pinch. However, one of the worst affected industries is car rental. As people tighten their budgets to breaking point, many find that there is simply no room left for renting cars and other vehicles.
As the number of people hiring cars goes down, rental companies are forced to axe staff members and even close branches. According to recent press releases, Avis Budget Group was forced to let go around 2,200 employees this month, which is around 7% of their total work force.
Things are not much better at the Hertz camp, as they let go more than 2,00 staff members this year, reporting that their net income dropped by a staggering 94% in just nine months. This trend seems to be affecting car rental companies right across the board.
However, the good news for customers is that car rental companies are being forced to get creative in order to think up great deals and offers to tempt business back.
Although it seems that times might still be tough for car rental companies over the next few months, it can only be hoped that the situation will start to improve, both for the industry and the economy as a whole.