Wednesday, July 06, 2005

Reasonable rates

I had a few men come by my counter and other counters checking on rates for cars. One man wanted a van in south Florida for a week, during peak tourism season. He was outraged he was quoted from $400 to $600 at the various counters. To us counter agents, that is a reasonable price here or in south Florida. I often think customers forget that we are in business to make money, not running charities. Cars cost money buy, maintain, detail, fix, and insure (not mentioning the employee costs). Therefore, the higher price of the vehicle, the higher the price to rent it.

In addition, it seems every customer I meet demands a dirt cheap price for unlimited miles. Perhaps, I should explain maintainance of a vehicle after so many miles, like oil changes and tire rotations. Please check your own car owner's manuel if you do not believe me. If a customer takes a car to the coast and back to put 5000 miles on that car, that car upon return needs an oil change and tire rotation before it can be rented to another customer. That process may take a few days to complete. Have I explained why unlimited miles is more expensive than limited miles? Though, I'm unsure why customers only driving around the city feel they must have unlimited miles. I know a few car rentals that don't offer unlimited miles at all.

Another man complained how for two weeks he tried to reserve a car and couldn't. He asked if we were sold out for the past two weeks. Well, no. Last week, we had one day sold out, but the rest of the week was fine. If he had chosen a different day of the week, he would have gotten a car.

Another man who rented a car less than a day gave me the impression he glanced a this journal quoting supply and demand for cars make prices jump. He was outraged at his rental price because other cities he has rented at were less (I actually hear it is the other way around from customers). Since he was so riled up, I did not bother to mention he was asking this question on a three-day holiday weekend when demand spikes. Plus, he forgot the supply part of that equation. Yes demand makes the prices jump and down, but the supply determines the price also. A small car rental runs out of cars when anything happens. Businesss conferences, Special Olympics, Junior Olympics, Presidental Caucases, holidays, State Fair, hobby conventions, and next weekend is the National Governors Convention. A larger metropolitan area car rental has twice or three times as many cars as a small car rental so these places can handle the spurts of tourism, special events, and holidays better. From my point of view, this man's rental price was reasonable with all factors in place. Any other day of the week, he might have gotten a slightly cheaper price.

If you wish to know the absolute worst time to rent a car in Iowa, it is in August because the State Fair, Knoxville Sprint Car Races, and Indianola Balloon Races occur about the same time. Good luck finding a car to rent without a reservation during those weeks.

The worst time to rent a van in my area is during Drake Relays and around the 4th of July, plus during Presidental visits and any team sport competitions. Post later. Genie out.

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