Hertz gets bigger, will rental rates too?

If the 2 companies can easily increase their business processes as being a result of the particular merger, that should trickle right down to client service, he said.



But 1 journey expert said consolidation is a mixed blessing regarding consumers.

It's generally good for your businesses, simply because they can cost higher prices, said Chris Elliott, any travel columnist as well as National Geographic Traveler magazine's reader advocate.

"It can easily cause a few streamlined operations, a few improved service, nevertheless additionally, it has a downside: There's much less competition," Elliott said. auto rental business -- Enterprise, Avis (which owns Budget) along with Hertz -- that will can impact shoppers if this will come to be able to pricing, Elliott said. "I'm uncertain in which Hertz buying Dollar Thrifty [will be] a new driver of a rate increase."

Meanwhile, Dollar Thrifty will most likely still run under its own identify along with possess the exact same number of locations, Brown said. "It will advantage consumers."

For Hertz customers who don't need the "bells and whistles" regarding higher-end cars, the sale opens the doorway to more value-oriented rentals, Abrams said, whilst providing Dollar Thrifty customers access to Hertz's worldwide system.

Hertz has 8,200 locations within 146 countries, whilst Dollar Thrifty features 1,550 spots across the globe.

Customers also most likely won't go for you to whichever rental charge changes once the businesses merge, Abrams said.

"Enterprise, National as well as Alamo is one company, however the three manufacturers compete within their own individual pricing tiers.

. "Just typically speaking, much less competition is a bad thing."

"So now you can't just a s a consumer say, well, I'm heading to adopt my company to end up being able to Dollar Thrifty, simply because Hertz now owns it," he said.

Since consolidation offers left just three huge players in the U.S. The Actual higher costs are already driven simply through tighter fleets, therefore you may find fewer cars in order to rent, as well as tighter lending, this means automobile rental companies can't purchase as much cars, mentioned Chris Brown, executive editor involving Auto Rental News.

"We're in an era regarding higher-priced automobile rentals and also that will era is probably likely to stay set up to acquire a while," Brown said. I'm fairly confident exactly the actual same will occur with Hertz as well as Dollar Thrifty," Abrams said.

Consolidation can be 'mixed blessing'



Rental automobile prices reach ed historic highs inside 2009.

A Hertz worker assists a client in its rental-car pickup location from Chicago's O'Hare International Airport.

STORY HIGHLIGHTS

Car rental market giant Hertz can be planning to buy Dollar ThriftyAnalysts the merger most likely won't suggest that will deals will possibly be harder to findHigh rental rates are increasingly being driven by simply tighter fleets as well as tighter lending, expert saysConsolidation is really a mixed blessing regarding consumers, journey expert says

(CNN) -- Renting a vehicle continues to be any pricey proposition in latest months, as well as Monday's news that industry giant Hertz will be planning to purchase Dollar Thrifty may have got travelers asking yourself whether as well as not deals will be even harder in order to find.

Not likely, say business analysts, who predict vehicle rental prices will usually be substantial pertaining to reasons unrelated to the deal.

Some say He rtz's acquisition produced sense.

"I actually believe it's great news," said Neil Abrams with the Abrams Consulting Group, that follows the car rental industry

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