Auto Rental News

NOV-DEC 2012

Magazine for the professional car and truck rental industry.

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Marty Markowitz, Brooklyn borough president, cuts the ribbon to launch Carpingo. Looking on (right to left) is Gil Cygler, Carpingo CEO, Assemblyman Alan Maisel and Carlo Scissura, Brooklyn Chamber of Commerce president. In an Aug. 15 press statement, Markowitz estimated that Carpingo's services will bring more than half a million dollars into the Brooklyn economy in the company's fi rst year. late returns, missing vehicles, lockouts, website reservations problems and more — at any time of day. MANAGING FLEET AND CUSTOMERS The Carpingo fl eet will operate separately from AllCar's, though Cygler will use the AllCar fl eet in the event of break- downs, late returns or unacceptably dirty cars. "Doing this without a car rental backup would not be as easy," he says, adding that he has cross-trained several AllCar staff members for both services. Carpingo maintenance staff visits each vehicle at least once per week, and then as needed. The company tries to get the bulk of repairs done when business is slow, while an outside vendor is contracted for nighttime repairs. In terms of managing customers, "The same rules apply," Cygler says. "Take clients with good credit and don't set up shop in problematic areas." Carpingo has spotted a handful of applicants who'd be considered "problem renters" and were previously turned down by other programs. While none of his customers have trashed a car yet, Cygler says he has had instances in which renters tried to beat the system and take a car. As well, he says he'll be closely monitor- ing any abuse of the gas cards that come with the vehicles. GAINING RENTERS Cygler and his team are working to decipher patterns in con- sumer car sharing to identify which days and months are the busiest, along with the best areas to place more cars. In that vein, the biggest challenge so far has been to identi- fy demand. "We've had cars in spots where there's no demand for two to three weeks," Cygler says. "You have to wonder, are you in the slower season, or is this a dud of a location?" Marketing car sharing is different than traditional car rental, Cygler adds. "Like one of those microbreweries, you have to really market to your community," he says. "It's hyper-local marketing." For example, Carpingo has teamed up with another local company called Bai, a manufacturer of healthy fruit juices, and has placed samples of the juices in some Carpingo vehicles. Likening his marketing efforts at this point to "throwing darts," Cygler also looks to market the Carpingo's service for businesses. "We're still exploring to see where everything is going to pan out," he says. A MARKET SHIFT? Cygler hopes that Carpingo can capitalize on the trend toward "on-the-spot" consumerism, such as how Redbox and Netfl ix transformed how people rent movies. The shift is based more on convenience than as a benefi t to the environment, he says, also noting that people don't necessarily want to own a car today. "The market is going toward car sharing, or at least the con- cept, and then this will become the future of car rental," Cygler says. AUTO RENTAL NEWS November/December 2012 21

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