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Change or die

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* When I went out to spring training in Arizona last month I decided to rent a car instead of relying on Uber and taxis because the ballparks are so spread out and I was staying a week. It would’ve cost a whole lot more.

But, I gotta tell you, the actual rental experience was so bad that I almost walked out of the airport. I got into Phoenix late on a Friday night. I was tired after a rough week. The line was unbelievably long. They only had a couple people working behind the counter. And instead of processing drivers through as quickly as possible, they made everybody endure a long sales pitch on everything from the type of car (I had rented the cheapest, but they were just sure I wanted a better one), to insurance (”This is a no-fault state, so your insurance probably won’t cover the rental” the agent darkly warned), to GPS, to… I can’t even remember now because I tried to block it out of my memory to avoid hurting my otherwise very enjoyable trip.

* I get that everybody has to make money and that it may be tough to convince employees to work late on a Friday night, but I kept pointing at the long and ever-growing line behind me and pleading for those other customers while I had to wait out the endless and useless corporate-mandated sales pitches.

It took over an hour to rent that car. Somebody else I ran into who arrived the same night said she had to wait three hours. I cant remember if it was the same rental company.

This wasn’t an unusual experience, either. The only time I’ve ever zoomed through an airport rental car line is when I’ve been in a small city or got lucky and beat the rush.

* Bloomberg…

Taxis aren’t the only ones that may be stressing out about Uber Technologies Inc. Transactions from the ride-hailing startup have surpassed rental cars among American professionals, according to Certify, the second-largest provider of travel and expense management software in North America.

Uber accounted for 43 percent of ground transportation transactions expensed through Certify last quarter, while rental cars had 40 percent. Ride-hailing services, with Uber at the forefront, overtook rental cars for the first time in the fourth quarter of 2015 and have since widened their lead, according to a study by Certify published on Thursday.

While an Uber or Lyft Inc. fare costs much less than the average rental car booking, the data show the changing preferences among business travelers. Rental car transactions have fallen 15 percentage points in two years. The decline isn’t quite as steep as the one experienced by taxis, which fell 23 percentage points over the same period. Taxis accounted for 14 percent of ground transportation transactions in the first quarter of 2016.

“It really comes down to convenience,” said Robert Neveu, president of Certify. “The ability to hail and pay efficiently—that convenience factor is huge, and we’re seeing it change the habits and behaviors of our users.”

Not shedding any tears.

posted by Rich Miller
Thursday, Apr 21, 16 @ 12:05 pm

Comments

I share the “change or die” outlook. Rentals and taxis need to specialize, work within their best demographics, adapt to new technologies or simply cash out and call it a day.

Comment by illini97 Thursday, Apr 21, 16 @ 12:09 pm
I think it’s Phoenix. I got there with a reservation through Hertz Gold Club for a specific car, and they didn’t have it ready. So I had to stand in line instead of going straight to my car as usual, then found there was nothing comparable. In fact, there were only about 15 cars in the entire inventory. It took me over an hour to get a car. I hate that airport.

Comment by Archiesmom Thursday, Apr 21, 16 @ 12:12 pm
From my experience Phoenix is the worst airport for this up selling. After my last time I complained and got a discount on my next rental (here in Springfield and a totally different experience).

Comment by FormerGOPer Thursday, Apr 21, 16 @ 12:13 pm
Rich, that was my experience, too, two years ago when I went to Spring Training. I laid it at the feet of the rental company.
Or, to put it another way…Because…Madigan! /s

Comment by Independent retiree/lawyer/jounralist Thursday, Apr 21, 16 @ 12:14 pm
It is Arizona.
I’ve rented from coast to coast and there are a few cities that suck. Phoenix is one of them

Comment by VanillaMan Thursday, Apr 21, 16 @ 12:14 pm
I don’t know what you’re talking about. Phoenix has one of the best set ups for rentals. They have all the rentals in one place. You’re in, you’re out. Of course, if you’re a dope and don’t make reservations ahead of time, well, whose fault is that?

Comment by frequent flyer Thursday, Apr 21, 16 @ 12:15 pm
=== if you’re a dope and don’t make reservations ahead of time===

Well, I’m apparently not a dope because I booked far in advance.

Comment by Rich Miller Thursday, Apr 21, 16 @ 12:16 pm
From the header I thought this would be another “find. another. way.” post. That seems to be a consistent theme this year. So much has to change…

Comment by Elo Kiddies Thursday, Apr 21, 16 @ 12:19 pm
Uber may be more efficient bit they gave an illegal business model. Either they are illegally classifying Uber employees as independent contractors to skirt federal tax/wage/labor laws and reduce liability risks -OR- the company is facilitating widespread price-fixing by a bunch of independent businesses and committing anti-trust violations.

I doubt Uber will ever be punished for this because of its outstanding political connections so all I can do is take my own money elsewhere.

Comment by hisgirlfriday Thursday, Apr 21, 16 @ 12:22 pm
Uber is fantastic. Taxis and car rentals are not. It is not surprising that the market share has shifted in this way.

No matter where I am in the Chicago area, I can get a car to my location within 5 minutes. I don’t have to worry about whether the driver is going to try and scam me or try to tell me his credit card machine is broken. The drivers are considerably more friendly than taxi drivers and best of all, the ride is far cheaper than their taxi counterparts. I echo Rich’s sentiments - no tears here.

Comment by Anonymouth Thursday, Apr 21, 16 @ 12:23 pm
only once have I had a long wait at an airport or other car rental establishment.. I travel 6-8 times per year various locations from Florida, Virginia, Colorado, Michigan, Atlanta, Mississippi, and Georgia… Georgia was the only wait more than 20 min… that was about an hour but there were about 40 people trying to get cars at the same time… maybe it is changing though, doing more with less… just be patient and positive. I look at it as every day this side of the grass is a good day.

Comment by Allen D Thursday, Apr 21, 16 @ 12:23 pm
I now use Uber for all my business travel as well, it is so incredibly easy to pay when I’m stressing with my briefcase and getting to the meeting in a strange city at a strange location, and I absolutely love how they automatically e-mail me the receipt. That is HUGE! I was forever losing the little slips of paper receipts the taxi drivers give us.

Comment by Just Me Thursday, Apr 21, 16 @ 12:26 pm
I rent frequently in many places and Phoenix is the worst. Beyond the queue, there’s the 20 minute ride to the rental center that you have to rely on. If you’re Hertz Gold, you can occasionally get there and go straight to your car, otherwise you’re screwed.

Most of the other places I go, I’m either at the rental counter for less than 5 minutes, or I go straight to the car.

Comment by Joe Bidenopolous Thursday, Apr 21, 16 @ 12:27 pm
I Haven’t been subjected to upselling for many years-although I haven’t rented in Phoenix.Alamo used to do it all the time.I usually try to use National and choose my own car.

Comment by John Doe Thursday, Apr 21, 16 @ 12:27 pm
You can’t do anything more without a sales pitch for something else. At the place I gas up the clerk will point to a box of vastly overpriced candy bars and simply say “Candy Bar” I know he’s made to do it which keeps me from saying “correct”..

Comment by Mouthy Thursday, Apr 21, 16 @ 12:31 pm
Phoenix airport rental is the worst. I was there last month too, and signed up ahead of time for the fast check out, and when I got there they didn’t have me in the system even though I had confirmation emails, it took another hour or more for them to give me a car. I have been there in the past when they’ve “run out of cars” and made the full lobby wait.

Next time, it’s worth taking a cab to the next nearest rental car place and going from there.

Comment by Anon Thursday, Apr 21, 16 @ 12:31 pm
=Next time, it’s worth taking a cab to the next nearest rental car place and going from there. =
The rental is usually cheaper that way because you don’t have to pay the higher airport taxes.

Comment by John Doe Thursday, Apr 21, 16 @ 12:36 pm
Ever read that column in the Trib dealing with travel problems? Seems as though half of them are about rental car companies trying to rip people off with phony damage claims. It’s really put me off car rentals.

Won’t do Uber, either. I hate the lack of regulation and the surge pricing ($55 for what’s usually a $15 cab ride? Not happening.).

Comment by JoanP Thursday, Apr 21, 16 @ 12:36 pm
Rich, I bet the rental car business lost your business.

Comment by Mama Thursday, Apr 21, 16 @ 12:49 pm
==just be patient and positive==

That’s a nice thought. Of course it’s absurd.

These places are there to provide a service and part of that service is good customer service. There are far too many places out there that think customers should answer to them and not the other way around. You answer to the customer. Always. Period. They need to do a better job.

Comment by Demoralized Thursday, Apr 21, 16 @ 12:52 pm
== tell me his credit card machine is broken ==

While this used to be a staple in Chicago, I haven’t had this happen in a Chicago cab in a very long time (they almost all have the Curb thingamajigs) - response to competition from Uber perhaps? I did have a Ft. Lauderdale cabbie pull this on me recently, though, and Boston cabs still remain the worst.

I use Uber a lot but don’t like to use UberX, I’m not much for unlicensed randos playing taxi. I like the recent idea of an ordinance that’d force a chauffeur’s license, seems like a reasonable compromise.

Comment by ChicagoVinny Thursday, Apr 21, 16 @ 12:55 pm
Rented cars several places, but Phoenix is worst and the lines always seem long. State and local taxes hit the tourists significantly as well. Have been to Spring Training several times and tried different companies. Best experience so far was with Alamo and they now have an express kiosk (though no signage so I learned after already toward front line). The prices are also literally double at Spring Training. Never tried Uber out there. With things so spread out, I wonder if the model works as well… Agree the car companies need to adapt (as well as the tax structure)!

Comment by Tired Thursday, Apr 21, 16 @ 12:58 pm
if you join their clubs its fast. i just walk in, go to the emerald section, pick a car, drive to the shack andflash my number and thats it

Comment by Ghost Thursday, Apr 21, 16 @ 12:59 pm
I hate it when they ‘upgrade’ me to a car I don’t want to drive. I like small cars. I don’t drive very much and larger cars make me nervous. Besides I’m short. I like being able to see over the steering wheel.

I plan on never using Uber because if I’m being driven by a stranger, I want that stranger to know what s/he’s doing.

Comment by Cheryl44 Thursday, Apr 21, 16 @ 1:10 pm
Enterprise has a car sharing program in many cities. You can rent a car for less than $10 hour. The whole process is done thru your phone.
No lines.

Comment by John Doe Thursday, Apr 21, 16 @ 1:10 pm
The setup at Sky Harbor isn’t any worse than the vast majority of airport rental car facilities. The business is an antiquated dinosaur that is bad need of disruption.

Comment by wolf Thursday, Apr 21, 16 @ 1:16 pm
As a part time Uber driver I would like to allay some of your fears about riding with a stranger. We all have to have proof of insurance and pass the background check (I know Kalamazoo proves that isn’t foolproof). Every time you use Uber you know the drivers name, vehicle type and license plate - more than you know about any cabbie. From my client’s comments we are better drivers and keep our vehicles in better condition than most taxis. It is an efficient and reliable mode of transportation. I like the flexibility of driving to pick up a little extra money and find it interesting to meet people from all walks of life.

Comment by Uber on the side Thursday, Apr 21, 16 @ 1:22 pm
The worst is when you priceline (or the like) and the rental folks still give you the schpeel. If Uber and others have it figured out let them be. Biggest problem they face now is now how can government get thier hands on some of that cash.

Comment by The Cardinal Thursday, Apr 21, 16 @ 1:22 pm
I should also add that surge pricing does happen when there is larger demand vs. drivers available. But you can make the choice to take the ride in surge or not… and it is still on par with cab fares until it exceeds 2X

Comment by Uber on the side Thursday, Apr 21, 16 @ 1:25 pm
The last three times I’ve tried to rent a car I have had to spend over an hour each time just trying to find a place with a car. I would rent it online and then find out when I got there that they didn’t have the car. Three times in a row? I haven’t tried to rent a car since.

Comment by Ahoy! Thursday, Apr 21, 16 @ 1:28 pm
Like Rich says, none of them are great, but I have noticed some are better than others (Rich: am I allowed to name the best/worst imho?)

Recently I was out of town on business and had a chance to go to a ballgame. Uber’ed one way, cab ride back - Uber was 60% less (possibly because the cab had to cross city lines?)

Comment by lake county democrat Thursday, Apr 21, 16 @ 1:30 pm
I agree with others that the Phoenix airport is the worst. The ride to the rental car facility on a standing room only bus this spring took about 20 minutes. Then hertz gold only had one person in front of us, but we had to wait 40 minutes because neither her nor us were in their system after reserving in advance. Otherwise we could have gone straight to our car. Only rented that car for a day, then went to an offsite enterprise location and rental was only 60% of the airport cost. When we were leaving we got a ride from the enterprise lot to the airport for a flat $15.

Comment by LTSW Thursday, Apr 21, 16 @ 1:33 pm
” We all have to have proof of insurance and pass the background check (I know Kalamazoo proves that isn’t foolproof). Every time you use Uber you know the drivers name, vehicle type and license plate - more than you know about any cabbie. ”

So what happens when another company enters and doesn’t follow the same procedures? The issue isn’t Uber itself to me (other than the independent contractor issue). The issue is how are we ensuring safety of passengers across the industry. Uber has been smart by trying to act as if they are the industry, but they aren’t.

I have no love of taxi companies, but I do want to see public background checks and as mentioned above a chaffeur licensing. No need to require everyone to have medallions–something that primarily benefits a few companies, but some basic licensure is reasonable.

Comment by ArchPundit Thursday, Apr 21, 16 @ 2:32 pm
I eagerly await the day when self-driving cars make this all a thing of the past.

– MrJM

Comment by @MisterJayEm Thursday, Apr 21, 16 @ 2:52 pm
About a year ago I was in Raleigh/Durham. I had reserved a car at Avis. The wait was so long I actually had time to get on my phone and sign up for the Preferred Customer program, get confirmed, and skip the line to get my car. Took about 10 minutes online. One person working the counter. Others in line were waiting upwards of one hour to get a car. Ridiculous.

Comment by Papa2008 Thursday, Apr 21, 16 @ 2:54 pm
===The wait was so long I actually had time to get on my phone and sign up for the Preferred Customer program===

Did the same thing years ago in Florida.

Comment by Rich Miller Thursday, Apr 21, 16 @ 2:55 pm
Rich — I travel to PHX frequently and now only use a new innovative product — called “SilverCar”. It’s an app on your phone –where every car is a Silver A4 Audi. You put in your CC info, make the reservation via the app, etc…Take the Rental Car Bus shuttle - when they meet you. The ONLY time you see a human being is your 1st rental - they snap your CC and DL. After that, you never see a single person.

The app knows when you are in the area, sends you a confirmation of the car location, you unlock the car with the app, keys are inside and you drive off. When you return the car, you hit the in-car GPS to “home”, they will call you — ask if you would like an Uber to take you back to the airport — at no cost!

They have SilverCar locations in 13 cities — (Vegas, Chicago, Boston, Houston, LA) more coming soon.

First rental day is free — every day after that is $59. Unlimited mileage, no fill-ups and no waiting in line or paperwork.

2 best things: You know exactly what kind of car you are getting; no waiting in line! It took me 62 seconds - off the bus, into the car and drive off the lot.

Comment by Bender Thursday, Apr 21, 16 @ 2:59 pm
Makes me miss the short time when Illinois car rentals included insurance — no upselling of that particular service.

As for the Uber debate: hisgirlfriday said it best. The thing about Uber is not the app, or the technology, or the customer service. It’s that it’s based on a business model of classifying drivers as independent contractors when they really are not; or finding some loophole to claim (usually not very convincingly) that Uber is not subject to the same regulation as other livery or taxi services.

I agree that my experiences with Uber drivers have been generally positive, although I have to say the same thing about taxi drivers. The customer service is fine, the app is pretty nifty — but those things miss the point of why Uber is criticized.

Comment by the Other Anonymous Thursday, Apr 21, 16 @ 3:21 pm
+1 for Silvercar. Smooth ride, loaded with features. I’m ready for a self driving Tesla or Google car to take me to/fro the Capitol.

Comment by Mittuns Thursday, Apr 21, 16 @ 3:28 pm
I took my family (my wife, a 1 year-old and a 3 year-old) down to Orlando for Spring Break. After United lost our luggage and we sorted that out, we glumly walked over to the rental car line. It took my wife an hour in line and another 20 minutes of enduring the sales pitch for an upgrade, while I sat with my two kids, enduring multiple meltdowns. Ultimately, we spent more time in the Orlando airport than we did in the air. This industry needs some serious changes.

Comment by Night Rider Thursday, Apr 21, 16 @ 3:34 pm
Bender,

You took the words right out of my mouth. Silvercar rocks! They’ve solved the process issue that Rich and everyone else is complaining about. It’s super easy. It’s also very reasonably priced, particularly for more expensive airports. The other thing that’s really nice is that you can return your car with as much gas as you want. They’ll fill it up at the actual local price plus a five dollar convenience fee. It’s really awesome and I can’t wait for them to continue their expansion throughout the country.

They’ve truly fixed the rental model and I wouldn’t be surprised if their system is picked up by competing rental companies.

Comment by Chicago Cynic Thursday, Apr 21, 16 @ 3:56 pm
Ok, this is weird. No sooner do I click enter on that comment, I get an email solicitation for a discount from Silvercar. New business model…

Comment by Chicago Cynic Thursday, Apr 21, 16 @ 4:02 pm
I am a former employee of a rental car company and I worked at the O’Hare location. Let me apologize for what we are instructed to subject you all to, but let me also tell you that it is a thankless, dirty, horrible, low-paying, high-hour job. Cleaning cars in a suit and dress shoes, while in a garage filled with hose water, stinks. It stinks worse when you make $11/hr and can’t afford new shoes.

That being said, the rental experience stinks 99% of the time.

Comment by AlfondoGonz Thursday, Apr 21, 16 @ 4:25 pm
Rich, buddies and I went to spring training in AZ too. Rented a car from Turo.com. Car sharing in which you select the car and you can actually be picked up at the airport. I know the pain of the Phoenix car rental island; it’s the worst. With Turo, she picked me up at the arrivals near baggage claim. She dropped herself at home then I took possession of the car. Last day of trip, we drove back to her house in Tempe and then she took us to the airport. Four day total for a van was under $300, including buying insurance for $25. Best thing I did all trip. I highly suggest it for AZ spring training.

Comment by Jose Abreu's next homer Thursday, Apr 21, 16 @ 6:48 pm