Perfect Price, an artificial intelligence pricing company, and Auto Rental News conducted an online survey in November regarding how franchised and independent car rental companies set rates.
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When asked the factor primarily responsible for the change in pricing in their market, only 4% of respondents chose ride hailing companies such as Uber or Lyft. More prevalent factors in setting pricing were a new pricing strategy by their own company (32% of respondents) and a new pricing strategy by a competitor (20%).
Other highlights of the survey included:
- 57% of respondents said that retail pricing was their company's highest priority, four times higher than fleet acquisition planning or remarketing as the top priority.
- Fewer than 5% of respondents said they were "extremely satisfied" with their pricing, yet only 20% reported being unsatisfied.
- That compares to utilization, where a quarter of respondents were extremely satisfied with the utilization of their fleet, and 33% reported being "very satisfied."
- Only 24% of the market reported currently using pricing software (even though only 9% responded that their counter or reservation software is "extremely effective" at letting them manage prices).
A comprehensive survey summary is available on the Perfect Price blog