Thursday, August 23, 2012

You're charging how much?

Automobile Rental counters at the Kelowna Airport
When you rent a car you are often given choices about refuelling. You can pay in advance, and get a lower rate for fuel, you can refill the tank yourself on your way back to drop the vehicle off, or you can pay whatever price the rental company charges for fuel if you don't drop off the vehicle with a full tank.

At the Kelowna airport there are four rental firms competing for passenger's business; Avis, Enterprise, Budget, and National. And how do the refueling charges compare?

Refuelling charge from Avis

Fuelling charges from Enterprise
What effect does Avis think that its posted refuelling charge will have? Is the company's labour cost for refuelling its vehicles that much higher than Enterprise? I can't see what benefit, apart from providing full disclosure, the posted rate at the Avis counter offers for the company. It certainly does not seem to be a strong competitive position. And it is a far cry from Avis' 1960 slogan.

My question is; what is Avis trying harder to do? Outrage its customers comes to mind, but that may not be the intention.

It is interesting to note that the other two firms, Budget and National, do not post any information about their refuelling charges. I wonder why not? Are their rates even higher than Avis?

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