Could The Next Major USA Car Rental Company Be German?

Hi all,

So yesterday we finally received confirmation that Dollar Thrifty is now part of the Hertz family. The deal that seems to have been going on for centuries now means consolidation within the USA car hire industry, leaving only 3 major car rental suppliers from a competitive 4!

The hold up with the deal was due to the FTC’s concerns regarding competition within the market and Hertz were forced to agree to several sales including their value brand, Advantage Rent A Car before the deal could be approved.

Even after these concessions many believe this isn’t enough and a price increase for domestic hire is on the horizon. What’s needed is some competition…. and could a relative newcomer to the USA market be the answer!?

Sixt Rent A Car entered the USA market quietly in 2011 offering low cost car hire from strategic locations such as Miami and Orlando. Whilst at the World Travel Market I had the pleasure of speaking with some of the Sixt management team who were all very excited and happy with their progress within the U.S., I asked them about future expansion and the possibility of buying an established company in U.S., their concern was picking up a brand with bad car rental habits, they cited expansion could come through franchises.

So I was not surprised to read that on Monday, Sixt put out a call for franchisees! More than 100 potential franchisees  expressed an interest!

So could Sixt be the company that helps keep the market competitive, lets hope so….?

regards,

James

 car hire USA


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