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And the rental car giants are not happy
They have fleets with enormous amounts of vehicles and command multibillion dollar streams of revenue.
But in the rapidly shifting transportation landscape, Even the Goliaths of the rental car industry among the best known brands in the world worry about being left behind.
That may explain why some of the largest rental car companies have spent a long time waging a quiet legislative war against start ups led by a company called Turo that are trying to change the way people rent and own vehicles. Turo is a peer to peer car sharing company think Airbnb for cars.
Like Uber versus the taxi industry before them, This fight is a clash between an old school business model and a better technology platform inspired by the sharing economy.
the common model is run by hulking corporate brands that promise safety and predictability. At any terminal in the land, for, A customer is assured he will get a car ("Nissan Sentra or common").
The new model offers a more customized know how. In a process that mimics online dating site, A customer can pick that flashy Tesla for a joy ride or that Ford F 150 to haul garden mulch.
While each programs a way to rent a car, The ultimate factor in their long term success may possibly depend on changing attitudes about the value of car ownership.
in america, The average price of new atv's has zoomed over $33,000, Leaving people to wonder whether there's a way to get more value from them.
government on wheels: Why your car company may know more about you than your partner.]
Turo, And other car sharing organizations, Say they offer car owners a way to increase the value of these expensive assets (Or even help to buy them) By generating money from home off them when they might otherwise sit parked. For beautiful moldova motorists, They offer variety and convenience.
once there, You may run across another line, As well as paperwork and prices that can vary dependant upon the city and demand. Sometimes the particular goes smoothly, But other times when inclement weather or rowdy children strike picking up a rental car can be the punctuation mark on a stressful day of travel.
Jon Norris, 42, A former car hire company employee who lives in Bethesda, md, And works hard in cybersecurity, Believes that sort of not required stress explains the growing appeal of Turo, A peer to peer car sharing network that he's used since November to rent out two Audis he owns. He often meets his customers at the airport, Handing them the keys to their rental one time they walk outside. there's no paperwork, No available credit and no hassle, Norris defined.
"When I do curbside supply, things are all downloaded to the app beforehand, so, basically, Within two or three moments, They're in the car and on their way, menti one d Norris, Who earns about $1,500 a month renting out his automobiles. "At edinburgh airport, People like to get the car and go,
From Turo's access, These people could be meeting their rental car at the curb instead of a bus to take them to the rental car lot. (Matt McClain/The buenos aires Post)
The ease of the financial transaction, all of which occurs using a smartphone, May explain why airports fingertips the front lines in an emerging war between companies such as Enterprise and Hertz and Turo, a comparatively unknown Silicon Valley upstart with about 180 employees.
Turo makes a way for its 200,000 members who are car owners to post vehicles online and rent them out for only $10 a day. Turo officials say their company is a technology platform enabling car owners to earn extra cash, Not a rental-car company. Because Turo doesn't own any cars and trucks, they're, The company really should not subject to the same regulations as traditional rental companies.
Those rental companies represented by the American Car Rental Association say that car sharing companies such as Turo are clearly car rental companies. The only distinction between Turo and Enterprise, officials say, Is that Enterprise complies with state and federal laws governing rental-car companies, While Turo has so far shunned them.
"If you're renting a vehicle to somebody else for compensation that is a car rental transaction, Gregory t. Scott, An ACRA lobbyist told me. "mainly because I tell you it's not a duck doesn't mean it's not a duck if it looks and acts like a duck,
Instead of waiting for the opposition to comply, The rental industry has introduced bills replete with new regulations for car sharing companies in more than a dozen state legislatures across usa including a bill under debate in Maryland's General Assembly. If evolved into law, Those regulations would treat car sharing brands like traditional rental car companies.
ACRA officials, Who support attempts to manage car sharing networks, Say clients meet to level the "digital camera playing field, The networks enjoy an unfair welfare and put public safety at risk, ACRA is marked. their visitors might bypass annual inspections and not track recall notices making the roads more dangerous. They also operate freely at airports regarding in designated areas, Which adds to chaos and over-crowding.
The trade group is maintained airports with a big stake in this dispute: The quantities of dollars a year they take in to lease lots to rental companies. But Turo the most outspoken opponent of the regulations says rental car giants have another objective in mind: Destroying challengers by squelching innovation.
If car sharing networks are allowed to thrive, masters say, The legacy rental companies might have cause for concern.
"The advantage peer to peer has over traditional rental companies is they don't own the fleet and they're more lean and adaptable and have a better perception of the local market, talked about Alexandre Marian, A director in monetarily and industrial practice at consultant AlixPartners. "The rental car companies see it as a possible threat. And they should if to merely remain in business,
Rental companies displayed by the American Car Rental Association say that car sharing companies are clearly car rental companies. The only difference between Turo and Enterprise, administrators say, Is that Enterprise complies with state and federal laws governing rental-car companies, While Turo has so far held back them. (Alma)
founded in 2009, Turo and Getaround another popular peer to peer car sharing service that ACRA accuses of skirting the law are the renowned start ups in the peer to peer market. Whereas rental car prices differ according to demand and site, Companies such as Turo allow members to discover the price of rentals.
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