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transportation company Carey International on Monday unveiled a lower-priced
subsidiary operating in 11 U.S. cities and London that offers chauffeur-driven Ford
Fusion and Toyota Camry vehicles at price points the company says can run 30
percent lower than those of its parent.
D.C.-based Carey quietly rolled out the new subsidiary, Embarque, to locations
including New York, Chicago and Los Angeles throughout the past year, said
president and CEO Gary Kessler Monday at the National Business Travel
Association's 2010 International Convention & Exhibition in Houston.
demonstrates our commitment to expanding our value proposition," Kessler
to adhering to "established and enforced" service standards to offer
a product Kessler called "universally acceptable to any class of
traveler," Embarque's use of hybrid vehicles and commitment to carbon
offsets make it an environmentally credible choice, he said.
Embarque will not apply fuel or other surcharges to the cost of a booking,
instead rolling all charges into a single base rate with tolls applied as
accrued and a driver gratuity suggested. Embarque customers can use Carey's
reservation, billing and reporting platform, Kessler said.
hotel industry, for example, has seen many examples of corporate clients
trading down in service levels to book lower rates, Kessler said the service
differentiation between Carey and Embarque should prevent excessive
cannibalization by the new subsidiary of the parent brand's business.
most certainly a realistic risk, but I am not concerned," Kessler said.
Both Carey and Embarque have service standards, he said, but "those standards
are distinct and appeal to two different travelers, or one traveler with two
distinct needs. Embarque is a value service, and Carey is a premium