New Avis Driver Service Signals Shift
Avis Rent A Car's new option for members of its frequent renter program to hire a driver in 10 popular destinations, should it expand or spur similar offerings from other car rental companies, could lead some corporate travel buyers to reconsider the car rental and chauffeured transportation suppliers they choose and the traveler charges they'll reimburse.
Avis' driver program, available for an additional $30 per hour, with a three-hour minimum and within a 60-mile radius of the Boston, Chicago, Dallas, Detroit, Los Angeles, Miami, New York, Phoenix, San Francisco and Washington, D.C., city centers, launched last month. Though its domestic competitors have not yet announced similar programs, a widely available program could affect whether buyers spring for chauffeured transportation services when a less expensive car rental program exists.
"Avis is on to something, and my sources tell me this is going to continue in the industry," said Dav El Chauffeured Transportation Network CEO Scott Solombrino. "It's a paradigm change. I've seen a couple in my career, and this is a big one."
"If it works, and Avis is successful doing it, others will follow," according to veteran industry analyst Neil Abrams, president of Purchase, N.Y.-based Abrams Consulting Group. "That's been the nature of the rental industry."