Svizec Vehicle & Auto Info

The introduction of the Ford Model T as the first mass produced car is closely linked with the car hire industry. A mere eight years after the first Ts rolled of the production line an enterprising Nebraskan businessman called Joes Saunders started a car hire firm with one car. The main focus of his business was the travelling salesman market, although his first customer is believed to be a man who wished to take a girl out on a date.

Two years after this original foray, a young entrepreneur, Walter L. Jacobs started a company in the Chicago area. The car rental firm was founded with a dozen Model Ts with Jacobs carrying out all of the repair and maintenance work himself. The success of this business was outstanding and within five years it is believed that it was generating an annual income of one million US dollars.

The success of Jacobs’ car rental company did not go unnoticed by investors; most notably John Hertz. Hertz already owned the ‘Yellow Cab and Truck Hire Company’ and used his funds to buy out Jacobs’ car hire firm. Hertz himself was then bought out by the General Motors Company who re-branded the company as the ‘Hertz Drive-Ur-Self System’. Hertz is still a major player in the car rental industry and most probably the company with the most history.

The early years of the car hire industry were dogged by involvement with organised crime. The Prohibition years saw bootleggers and robbers frequently using car firms for ‘jobs’ and led to the industry gaining a poor reputation with the public. The ending of Prohibition allowed the industry the freedom to distance themselves from the criminal fraternity and rebuild a respectable reputation.

The expansion of the American rail network acted to bolster the car hire industry for a number of years. Purely rental car parking was created at some stations to further entice customers, mainly due to Railway companies heavily investing in franchises. Rail companies also started to create a service where customers could order a hire car in advance of their arrival at stations using the telegraph network.

In the post war period the car hire industry grew rapidly, being linked to another form of transport; in this case however it was no the railroads but instead the rapidly expanding air travel market. Car rental companies began to open franchises at airports to allow passengers vehicular transport at their arrival destination. The term ‘fly-drive’ became popular and supplied a service to tourists and businessmen alike.

Competition in the car hire industry since this time became fierce, with many companies employing aggressive advertising campaigns with the help of the airlines themselves. Today airports are still a major source of revenue for companies, with desks filling many arrival lounges.

The modern era of car leasing has seen companies face increasing competition from improved public transportation links. Most major airports now have a direct rail link with their host cities while coach and bus companies allow travellers to reach almost any destination once they have left the airport. Businessmen are still integral to the industry, as much as it was for Saunders’ original firm, while the innovation of ‘fly-drive’ holidays has opened a wider market.

Car hire companies are increasingly employing satellite navigation systems in their cars making travel easier for customers. The addition of high-tech security systems such as fingerprint scanners have also been employed to secure fleets. For companies to survive in this highly competitive industry they must be innovative and provide a service that is unrivalled. With prices increasingly forced down by rivals the customer now faces possibly the widest choice ever in the history of the industry.

Historian Thomas Pretty looks into the history and development of the car hire industry. To find out more please visit http://www.budget.co.uk/

The history of car hire is almost a hundred years old; the first hire company was believed to have rented Ford’s Model T to customers and was started by an enterprising young man by the name of Joe Saunders. This was 1916, a time when many people did not even own a car, so Saunders’ enterprise must have been popular with those looking for transport, and also those looking for the novelty of driving.

Car hire companies were quick to exploit the fact that having your own means of transport made journeys far easier and infinitely less stressful than public transport. The ability to travel in your own time cannot be underestimated while the freedom of having your own means of transport is a liberating factor. Car hire can be an important element of any trip as no matter where you are the world a car hire desk is never far away.

The majority of international airports have a car hire desk almost as soon as you step off the plane, well at least in the arrivals lounge. The last thing you want to do as a traveller after a long journey is spend hours waiting for a train and coping with the rigours of the public transportation network. A far better option is to hire a car and head out of the airport stress free and under your own steam.

Since the first day’s, car hire companies have grown in number, today however they may well be entering a golden age. With inflated prices of public transport in Britain car hire offers a startling alternative to forking out for the shocking rail fares. If a group of adults has to travel any reasonable distance often the train can cost hundreds of pounds; a far better option is to hire a car and chip in together for the cost; the money saved is usually a considerable amount and can be better put towards activities.

Businessmen have realised this for many years and subsequently use car hire services extensively. For those who spend an eternity travelling, stopping in only one place long enough to have a meeting then board a plane again, the hire of a car shaves vital minutes off a trip. The commercial world has long been patrons of hire companies as frequent business is often rewarded. As most travelling businessmen will state, the less time spent travelling the better, especially for those with families at home.

Modern car hire companies have also realised the importance of holidays, unlike 1916, when Saunders’ started his business, most people now have a car, that is why offering car hire as part of a holiday package has been an impressive ploy in the car hire industry. Fly and drive holidays are becoming more popular for tourists, seemingly with the shortened attention spans of the modern generation, holidaying in one place for any length of time becomes quickly boring. Car hire allows travellers to visit many parts of a region and also creates the opportunity to stop off and have some truly unique experiences.

So what is next for the car hire industry? A good question as seemingly the business has taken all the avenues open to it. An option it to start providing technological innovations as part of car hire packages. This is increasingly becoming the case with satellite navigation systems being included in hire cars to make journeys as simple as possible. This technological increase twinned with providing unparalleled customer service is the way to make a profit in the industry, after all airport car hire desks have to deal with some of the most stressed customers and keeping these happy is the path to repeat business.
by Thomas Pretty