Avis Budget Group: Company Strategy & Performance Analysis
Avis Budget Group: Company Strategy & Performance Analysis
SUMMARY
Avis Budget Group was founded in 1946 and is one of the world’s leading vehicle rental and car sharing services. The company operates through three brands: Avis, Budget, and Zipcar in North America, Europe, Australia, and New Zealand. In 2016, Avis Budget Group generated 70% of its vehicle rental revenue from on-airport locations, while the remaining 30% was derived from off-airport locations.
MarketLine Premium’s company strategy reports provide in-depth coverage of the performance and strategies of the world’s leading car rental companies. The report details company operations in key geographies and offers a comprehensive analysis of each firm’s growth strategy and financial performance. The reports benchmark company performance via key indicators, including fleet size.
KEY HIGHLIGHTS
Acquisitions enabled Avis Budget Group to enhance its average fleet size
The company’s fleet size grew from 547,000 in 2015 to 562,000 in 2016, indicating an annual increase of 2.7%. Avis offers luxury cars and specialty-use vehicles. In 2016, the company purchased vehicles from Audi, BMW, Chrysler, Citroen, Fiat, Ford, General Motors, Hyundai, Kia, Mercedes, Nissan, Opel, Peugeot, Renault, Seat, Toyota, Volkswagen and Volvo. In 2016, the group’s average monthly vehicle rental fleet size rose from 507,000 vehicles in January 2016 to 683,000 in July 2016.
Rental volume driving revenue growth
During 2016, net revenues recorded an annual rate of 2.0% to reach US$8.7 billion. An increase in rental revenue and currency rate fluctuations enabled the company to enhance its revenue.
Enhancing customer experience
In 2016, the company launched the Avis Now mobile app, providing customers with a new and innovative way to control different elements of their rental experience via their smartphone or tablet. Customers are able to view what cars are available in real-time, confirm, cancel or extend a rental, add ancillary products, and return a car without assistance.
SCOPE
SUMMARY
Avis Budget Group was founded in 1946 and is one of the world’s leading vehicle rental and car sharing services. The company operates through three brands: Avis, Budget, and Zipcar in North America, Europe, Australia, and New Zealand. In 2016, Avis Budget Group generated 70% of its vehicle rental revenue from on-airport locations, while the remaining 30% was derived from off-airport locations.
MarketLine Premium’s company strategy reports provide in-depth coverage of the performance and strategies of the world’s leading car rental companies. The report details company operations in key geographies and offers a comprehensive analysis of each firm’s growth strategy and financial performance. The reports benchmark company performance via key indicators, including fleet size.
KEY HIGHLIGHTS
Acquisitions enabled Avis Budget Group to enhance its average fleet size
The company’s fleet size grew from 547,000 in 2015 to 562,000 in 2016, indicating an annual increase of 2.7%. Avis offers luxury cars and specialty-use vehicles. In 2016, the company purchased vehicles from Audi, BMW, Chrysler, Citroen, Fiat, Ford, General Motors, Hyundai, Kia, Mercedes, Nissan, Opel, Peugeot, Renault, Seat, Toyota, Volkswagen and Volvo. In 2016, the group’s average monthly vehicle rental fleet size rose from 507,000 vehicles in January 2016 to 683,000 in July 2016.
Rental volume driving revenue growth
During 2016, net revenues recorded an annual rate of 2.0% to reach US$8.7 billion. An increase in rental revenue and currency rate fluctuations enabled the company to enhance its revenue.
Enhancing customer experience
In 2016, the company launched the Avis Now mobile app, providing customers with a new and innovative way to control different elements of their rental experience via their smartphone or tablet. Customers are able to view what cars are available in real-time, confirm, cancel or extend a rental, add ancillary products, and return a car without assistance.
SCOPE
- Company Snapshot - Details key indicators and rankings of Avis Budget Group in terms of revenue, net income, operating income and fleet size.
- Company SWOT Analysis - Outlines Avis Budget Group’s strengths, weaknesses, and opportunities and threats facing the company.
- Growth Strategies - Provides an overview of Avis Budget Group’s corporate goals and strategic initiatives and evaluates their outcomes.
- Company Performance and Competitive Landscape - Analyses the company’s performance by geographical segment and provides a peer comparison on parameters such as revenue and market share.
- Key Developments - Showcases Avis Budget Group’s recent corporate events and initiatives.
- ICT Spending Prediction - Details how the company allocates its ICT budget across the core areas of its business, specifically hardware, software, IT services, communications and consulting.
- How does Avis Budget Group rank among its peers in terms of fleet size and market share?
- What are Avis Budget Group’s main growth strategies and how successful has the company been at implementing them?
- How has the company performed since 2014?
- How has Avis Budget Group performed in comparison to its main competitors?
- What are Avis Budget Group’s strengths and weaknesses and what opportunities and threats does it face?
Company Snapshot
Company SWOT Analysis
Growth Strategies
Company Performance
Competitive Landscape
Deals
Key Developments
ICT Spending Predictions
Financial Summary
Appendix
Company SWOT Analysis
Growth Strategies
Company Performance
Competitive Landscape
Deals
Key Developments
ICT Spending Predictions
Financial Summary
Appendix
