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The car rental market abroad is experiencing a crisis: this is how you will avoid unpleasant surprises | Israel Hayom

2022-11-09T22:44:15.950Z


Still hold to the old-fashioned concept that you can land at your vacation destination abroad, rent a car at the airport and go? Think again • The global crisis in the industry requires renters to plan well in advance


Almost the entire world of tourism has experienced a crisis in recent years:

the manpower problem at the airports, planes whose operations have been frozen, a sharp decrease in the scope of hotel and restaurant activity, and also the car rental market.

There are those who tend to point the finger of blame at the corona virus and the way the world dealt with it, but the reality is a bit more complicated than that.

The rental companies have a very clear inventory problem, which directly affects consumers.

After the outbreak of the Corona virus, when the world closed in on itself, the companies found themselves with excess vehicle inventory and no customers.

With the exit from the crisis, the markets demanded vehicles, and quite a few companies found an opportunity to sell their rental inventory at high market prices.

When the tourism market started to wake up, the rental companies encountered an unfamiliar problem.

With crises in everything related to raw materials, chips and more, the car manufacturers simply cannot meet the demand.

Purchasing vehicles - certainly in large quantities, from an industry that misses production targets by more than 10 million vehicles - has become a rather difficult task.

And if all these were not enough, the war in Ukraine came and further damaged the production of vehicles.

Waiting times of long months for the delivery of a new car translate into a rather long recovery and adjustment time for the rental companies.

Bottom line, while the tourism sector recovered quite quickly after the Corona, the rental companies did not return to operate on the same scale and with the same intensity.

This situation, of few goods and high demand, is of course reflected in the increased prices, but it is not only about the costs of the vehicles.

Beware of delays

Amidst this reality, stories began to surface about the heartbreak of tourists who planned to go on a trip of a few days in a rented car.

Sometimes they encountered deserted rental lots upon landing, in other cases very old models were discovered available for spontaneous rental.

Anyone who needs a larger vehicle - a minivan, for that matter - faces an impossible task in any case.

In the better cases, passengers were able to find vehicles available for rent, but were required to pay exorbitant prices.

In the busy seasons it is twice as much, and more than was customary on more sane days.

The rental companies are supposed to make a profit, and when they are faced with a customer who owes a car now and immediately - they know how to take advantage of the situation to their advantage.

The Amerikan rental prices have also created a relatively new working method for the rental companies, and here too the customer loses.

The car rental market has big and well-known brands.

The prices of these will usually be quite high on price comparison sites.

Alongside them will also appear relatively small, significantly cheaper companies that offer the same goods.

Here you should understand the simple truth of this market: as on the shelf in the supermarket, here, too, we are talking about big companies trying to grab the rope at both ends.

Whoever chooses the cheaper option, will discover when receiving the vehicle payment requirements for necessary, expensive services, which raise the rental price to the same levels as the leading and well-known companies.

This is how the big companies operate cheaper brands, and the price ends up being similar to the same.

The limited vehicle inventory of the rental companies in the recent period is also expressed in low operational safety margins.

In the event that a customer experiences an accident, theft or any other damage that removes the rented vehicle from the parking lot, the customer after him is expected to be harmed.

The lack of vehicles and the desire to exhaust the existing rental stock create, in fact, a situation where the rental companies operate without a safety net.

If in the past a vehicle requiring treatment was replaced by another vehicle from the reserves, today this margin of safety does not exist.

So even those who ordered a car in advance, can in extreme cases come across a situation where the rental company is unable to provide them with a car.

The described situation significantly harms us, the customers.

Low to non-existent availability of vehicles, higher cost of renting, lack of discounts or cheaper options and a lot of discouragement.

The price of renting a car today has doubled, and on the other hand, there are quite a few relatively old cars in the fleet, especially for those who want a bigger car.

Changes in consumption habits

With the lack of cars and the high prices presented by the car rental market, we can deal with it by changing our consumption habits, and especially by moving from spontaneous and spot-on behavior to one that is managed in advance and carefully.

The first recommendation is to order the requested vehicle in advance.

Car rental jumps to the top of the list of things to do when booking a flight.

As soon as the flight dates are known, it's time to clear out and check the availability of vehicles at the desired destination, compare prices and verify the existence of a suitable vehicle at the time of the trip.

The following recommendation is unequivocal: we like to find deals, low prices, to be able to get a great deal.

Here the saying that the cheap turns out to be quite expensive in the end is fully expressed.

Booking a car for a vacation is done only through a large and well-known company, preferably one that has a representative in Israel.

From here you can make the transaction you want with a minimum of unwanted surprises.

car rental abroad,

Choosing the cheap option will prove to be quite expensive upon landing.

For the low price, you will have to pay additions and updates that you did not know about, and these will compare the rental prices to the prices of the well-known and expensive parent companies.

And like any other tourist, you too will find yourself standing around exhausted after the flight, paying any price to get any car and get on the road.

The fifth wheel

To these relatively new recommendations should be added the well-known and familiar recommendations before driving abroad. Go on the road with the Israeli driver's license, but also make sure to get one translated at one of the "Massi" branches. Except for ordering in Israel, try to purchase the insurance at a counter abroad.

Although the price may be slightly higher, in case of an accident you can solve everything and pay on the spot before returning to Israel.

Another issue that needs to be considered is the issue of tires and the replacement tire.

As far as the condition of the tires is concerned, you should check the depth of the grooves and be impressed by their appearance in general.

If the tire looks tired and worn, it is better not to go on the road at all and demand the installation of a new tire, so that you are not the ones who pay the price for a flat tire on the road.

Beyond that, many vehicles today are equipped with space-saving tires, or with inflation kits without a spare tire at all.

It's a good idea to open the trunk, and verify the existence of a proper spare tire and a complete set of tools for changing a wheel.

When it comes to choosing a vehicle, consider not only the number of passengers, but also other factors such as the number of luggage.

Adapting the vehicle to your personal needs will make the trip more pleasant.

Alternatively, those who travel alone and for a short distance will be able to settle for a small car and save quite a bit.

Another recommendation that is not new, but always effective, is to take a picture of the vehicle while receiving it at the representative.

Along with the rental company's form, you can also document its condition, thus avoiding additional payments that will be unfairly demanded of you when you return the vehicle.

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Source: israelhayom

All news articles on 2022-11-09

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