Profile: Avis Budget Group Inc (CAR.OQ)
20 Sep 2019
Avis Budget Group Inc., incorporated on August 1, 1974, is a provider of vehicle rental and car sharing services. The Company operates three brands, which include Avis, Budget and Zipcar. Avis and Budget are rental car suppliers. It also owns Payless, which is a car rental brand; Apex, which is a car rental brand in New Zealand and Australia; Maggiore, a vehicle rental brand in Italy, and France Cars, which operates light commercial vehicle fleets in France. The Company operates in two segments: Americas and International. The Americas segment provides and licenses the Company's brands to third parties for vehicle rentals and ancillary products and services in North America, South America, Central America and the Caribbean, and operates its car sharing business in certain of these markets. The International segment provides and licenses the Company's brands to third parties for vehicle rentals and ancillary products and services in Europe, the Middle East, Africa, Asia, Australia and New Zealand.
As of December 31, 2016, the Company operated or licensed the Payless brand, which consisted of approximately 240 vehicle rental locations around the world, including approximately 90 Company-operated locations and more than 150 locations operated by licensees. All Company-operated Payless locations are in the North America. As of December 31, 2016, the Company's Apex brand operated approximately 25 Apex rental locations in New Zealand and Australia. Apex operates its own rental fleet. Apex generates all of its reservations through its Websites and contact centers. As of December 31, 2016, the Company operated or licensed more than 130 rental locations under the Maggiore name. As of December 31, 2016, France Cars brand operated light commercial vehicle fleets in France from more than 60 rental locations.
The Company uses a range of technologies in its car rental operations, substantially all of which are linked to what its calls its Wizard system, which is a reservation, rental, data processing and information management system. The Wizard system enables it to process incoming customer inquiries each day, providing its customers with information about its locations, rental rates and vehicle availability, as well as the ability to place or modify reservations. The Wizard system also provides personal profile information to its reservation and rental agents to help it serve its customers. Its fully-integrated platform centralizes the management of its Zipcar reservations, member services, fleet operations and financial systems. Each Zipcar is typically equipped with a combination of telematics modules, including a control unit with, mobile data service, radio frequency identification card readers, wireless antennae, wiring harness, vehicle interface modules and transponders for toll systems.
Avis is a rental car supplier positioned to serve the commercial and leisure segments of the travel industry. As of December 31, 2016, the Company operated or licensed the Avis car rental system (the Avis System), which included approximately 5,550 locations around the world. As of December 31, 2016, the Company operated approximately 2,750 Avis car rental locations around the world, in both the on-airport and off-airport, or local, rental markets. In addition, the Company licenses the Avis brand to other commercial owners in approximately 2,750 locations around the world. The Company offers Avis customers various services, including Avis Preferred, a renter rewards program that offers counter bypass at airport locations; Avis Preferred Select & Go, a service that allows customers to select an alternate vehicle or upgrade their vehicle choice without visiting the rental counter; Avis Signature Series, a selection of luxury vehicles, including Corvettes, Mercedes and Maseratis; Avis Now, a mobile application-enabled process that allows customers to reserve, confirm, choose or upgrade their car, add ancillary products, open and close or extend rentals, and, in the case of certain connected vehicles, lock and unlock the vehicle, using their smartphone or tablet device, and Avis Interactive, a management tool that allows corporate clients to view and analyze their rental activity through the Internet.
Budget is a rental car supplier. As of December 31, 2016, the Company operated or licensed the Budget vehicle rental system (the Budget System), which included approximately 4,050 car rental locations. As of December 31, 2016, the Company operated approximately 2,050 Budget car rental locations around the world. The Company also licenses the Budget System to independent business owners. Budget offers various products and programs, such as portable global positioning system (GPS) navigation units, roadside assistance, electronic toll collection, e-mailed receipts and refueling options, as well as a mobile application that allows customers to reserve, modify and cancel reservations on their smartphone, special rental rates for frequent renters and Budget's Fastbreak service, an expedited rental service for frequent travelers.
As of December 31, 2016, Zipcar operated the membership-based car sharing network that provided services to its members, also known as Zipsters, in approximately 30 metropolitan areas and over 550 college campuses and in more than 500 cities and towns across the United States, Canada and Europe. Zipcar provides its members self-service vehicles in reserved parking spaces located in residential neighborhoods, business districts, college campuses, business office complexes and airports. Its members can make their reservations through Zipcar's reservation system, which is available by phone, Internet or through the Zipcar application on their smartphone.
Budget Truck rental business is a local and one-way truck rental business in the United States. As of December 31, 2016, Budget Truck had a fleet of approximately 22,000 vehicles that are rented through a network of approximately 1,000 dealers and 480 Company-operated locations across the continental United States. These dealers are independently-owned businesses that generally operate other retail service businesses. In addition to their principal businesses, the dealers rent its light- and medium-duty trucks to consumers and to its commercial accounts and are responsible for collecting payments on its behalf. The Budget Truck rental business serves both the consumer and light commercial sectors. The consumer sector consists of individuals renting trucks to move household goods on either a one-way or local basis. The light commercial sector consists of a range of businesses that rent light- to medium-duty trucks.
The Company competes with Enterprise Holdings, Inc., Europcar Group, Hertz Global Holdings, Inc., Sixt AG, U-Haul International, Inc., Penske Truck Leasing Corporation and Ryder Systems, Inc.
Avis Budget Group Inc
6 SYLVAN WAY
PARSIPPANY NJ 07054