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Moving rental cars from one spot to another, or rental car relocation, is a big deal for any car rental business. It’s all about getting your cars where they need to be, efficiently and without a fuss. This year the rental world will be changing. Therefore, it’s super important to know the best ways to shift your fleet around.
Are you running a small rental place or a big company? Our guide is here to show you how to move your cars smoothly and without breaking the bank. Let’s get rolling and make sure your rental cars are exactly where your customers need them!
Discover more about efficient car shipping and its impact on your business in our detailed guide. Explore Efficient Car Shipping Strategies. Dive into the world of vehicle logistics and learn how to optimize your operations!
What is Rental Car Relocation?
It is one thing to know where the cars in your fleet need to be. It is another kettle of fish to actually get them there.
When it comes to fleet relocation, rental companies have four main options:
- Partner with a reliable auto shipping company like Nationwide Auto Transportation
- The company pays its employees to move cars one by one
- Employ freelance drivers
- Offer certain city-to-city rentals at rock-bottom prices to entice renters to move your fleet.
There are pluses and minuses to each different rental car relocation method. Consider them carefully to stop yourself spending a considerable amount of unnecessary money on moving your vehicles between branches.
It is fair to say that someone in the company will look at relocating if your company has branches in several states. This post will help them learn to ship their car to another state.
Reasons for Rental Car Relocation
It is a constant challenge for rental car relocation to have the right vehicles at the right branches. Coordinating your fleet is a daily challenge faced by most car hire companies.
But what other reasons could a company have for shifting their fleet? Your fleet saw a large decline in 2020 as a direct result of the pandemic, and now needs some refreshing. You can move your newest models to your busy locations to generate a larger ROI. You may be retiring some of your older cars and finding new homes for them through the manufacturer or reseller. Car shipping companies are commonly used for bulk shipments like this. If you are considering rental car relocation contact Nationwide Auto Transportation for professional advice.
The Role of Car Manufacturers in Rental Car Relocation
These buyback deals may seem unfair to manufacturers, but they are actually a great marketing strategy. Many rental car drivers eventually purchase the model of car they enjoyed while renting, so it makes sense (and dollars) to sell vehicles in bulk to rental companies as an easy way to keep sales numbers high for a particular model.
Even if you purchase new fleet cars outright, you’ll still have to deal with the manufacturers and get the cars to your branches. Some manufacturers have agreements with car shipping companies, so your vehicles may be delivered, if not, you may want to establish a relationship with a reputable auto transport service like Nationwide Auto Transportation.
Scheduling fleet replacements
Research has shown that rental car hire companies can keep a vehicle from anything between four months to around two years. This starts to make sense when you take into account that large metropolitan areas will put more wear and tear on the cars, and some may have trouble with maintenance sooner or later.
Once a car hits a certain mileage cap, it will be pulled out of the fleet, but some car rental companies have their own “retirement” age for vehicles in their fleet. Never forget that this is a business where market forces can dictate behavior – take the case where the second hand car market has a large demand for specific models in your fleet, you can sell at a premium and replace with what suits your business at the time.
Industry leaders like Hertz, Enterprise and Budget/Avis – purchase about 2 million vehicles a year, and turnover more than 90% of their fleet annually. This means a lot of car transport companies are shipping a lot of vehicles for rental companies across the country.
Relocating Your Fleet | Your Options
Shipping Options for Rental Car Relocation
Relocating rental cars this year? Your approach depends on whether you’re updating a whole branch’s fleet or just shifting cars between cities. Here’s a quick, updated look at your options, with their ups and downs:
- Using In-House Employees:
- Pros: They’re already on your payroll and know how to handle the cars. Chances are they’ll be careful and stick to the plan.
- Cons: They’ll be off their regular jobs, leaving more work for others. Not great for moving lots of cars at once.
- Hiring Freelance Drivers:
- Pros: There’s a big pool of freelance drivers in the U.S., often working with rental companies repeatedly. They’re generally more affordable.
- Cons: You can’t always check them thoroughly, and you might not get your regular drivers every time.
- Choosing Car Transport Companies:
- Pros: These pros know how to handle car shipping quickly and effectively. They can move many cars or just one and provide qualified drivers and insurance. Plus, your cars won’t rack up extra miles.
- Cons: It can be costly, but bulk discounts might be available. Also, departure times are usually fixed.
- Discounted Customer Relocations:
- Pros: Encourage customers to move your cars with city-to-city rental deals. This way, cars travel routes they’d normally go, without extra mileage.
- Cons: It’s unpredictable. There’s a risk of document fraud or undisclosed issues like criminal records.
Ready to shift your rental cars this year? Each option has its own benefits and drawbacks. Consider what works best for your situation and get those rentals moving!
Why Nationwide Auto Transportation Should be Your Rental Car Relocation Partner
If your employees are moving more cars to branches in other cities than actually fulfilling their job description, or you need to move a number of cars at once, the time for a partnership with a car shipping company is now.
The benefits of signing a long-term agreement or partnering with one auto transport company for the relocation of your rental cars can be tremendous, not just financially but also logistically. All you need to know is what vehicles will go where, and when they will arrive – the shipping company will handle everything else, allowing you to focus on growing your business.
You can contact our dedicated support team that is always available to assist you with any questions or concerns you may have about car shipping.
Nationwide Auto Transportation is committed to providing you with the finest quality rental car shipping service so feel free to contact us and a consultant will get back to you as soon as possible.