Channel Management for Car Rental Companies: 3 Issues You Need to Stay on Top of

Channel management
Let’s talk about channel management for car rental sector.

Emerging Rent a Car businesses often struggle with expanding their customer base, generating sales, and running operations efficiently and smoothly. Below are the top three channel management issues they need to stay on top of to be successful in the long run.

1. Lack of Knowledge and Resources

The biggest issue facing small and mid-size car rental players is the lack of knowledge and marketing resources. Because of this, they find it challenging to compete with major industry players in the digital world. This ultimately has a negative impact on their direct sales volumes. Without well structured and properly designed websites fully SEO enhanced and supported by heavy marketing investments it is mission impossible to locate yourself even in Top 100.

2. Poor Yield Management Structure

While booking sources like Travel Partners, Aggregators, and Meta Searches bring up to 85% of total reservations for car rental companies, these channels require a sophisticated yield management structure. Analyses based approach is the only way to go if a car rental company wants to stay competitive with its rates while still generating profits.

3. Lack of Automated Technology

Another factor influencing channel management for car rental companies is the lack of modern automated technology. True growth happens when you automate your connections with the right distribution channels. Emerging Rent a Car businesses also need to learn to balance their fleet availability to cover the reservations received while staying in line with adequate utilization.
All of this is impossible without modern automated technology. The modern car rental industry is nothing like it was before. Manual work is a thing of the past.   

Improve Your Channel Management Game with Cars and More

Cars and More takes pride in helping car rental companies of all sizes improve and automate their business operations and ensure an exceptional experience for all customers. Let’s join hands to improve your channel management game by embracing modern technology and innovative marketing strategies. For more information, feel free to get in touch with our team.