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-   -   Warning of more car hire shortages (https://www.forum.puertopollensa.com/car-hire-airport-transfers-majorca/5717-warning-more-car-hire-shortages.html)

pollensa 28-02-2010 20:30

Warning of more car hire shortages
 
As reported in today's Daily Bulletin:

REGULAR readers of the Bulletin will be all too aware of the furore car hire companies have caused amongst many visitors to the island over the past 18 months and yesterday, the British Vehicle Renting and Leasing Association (BVRLA) issued a warning to holiday makers to book their rental vehicles early because there is going to be another shortage of cars this Easter and Summer.

The reduction in fleets because of the recession has not only led to a lack of vehicles but also an increase in prices, according to many of our angry readers, and visitors can expect a similar scenario this year.

The BVRLA yesterday advised customers requiring a rental car during the busy Easter and Summer Holiday periods need to book in advance to avoid disappointment.

The hire car shortage experienced last summer is likely to be repeated this year, particularly in tourist hot spots and at airports. Rental companies have reduced their fleet sizes since the recession hit and have fewer vehicles with which to meet any bottlenecks in demand.

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So look at our Car Hire in Majorca page where we have a good selection of Rental Companies and Price Comparison sites.

ray 01-03-2010 20:16

Its strange that they are sayign this because previous reports in the Spanish pree said that the hire companies had bought a record 8000 new cars last month. Great system though, create a shortage all by your self,charge more money:mad:

Mark 01-03-2010 20:20

I read that as well Ray, sure I read that there was a government subsidy/grant or something which is why so many new cars where bought in a very short time.

Anyone got any links to online articles ? , I cant find them.

ray 01-03-2010 20:24

Quote:

Originally Posted by Mark (Post 40723)
I read that as well Ray, sure I read that there was a government subsidy/grant or something which is why so many new cars where bought in a very short time.

Anyone got any links to online articles ? , I cant find them.

Mark don't know the link but yes the government have got a subsidy scheme called 2000E which has boosted private purchases, but the statement said the biggest chunk was bought by the hire companies!

Smiddy 02-03-2010 12:07

Only way to change it is to rent a car only if absolutely necessary. If they are left with hundreds of unsed cars i think we would see a big difference in prices. But if people keep paying some of the ridiculous rates requested then why would the hire companys change their strategy?

We now have good transfers from the airport, taxi's in PP, and a good bus service. Do we really need expensive hired cars to sit outside our apartments and not go anywhere because we,ve decided to chill out?

ray 04-03-2010 21:10

In the Ultima Hora the other day the Spanish car hire federation were talking about car hire prices of about 180euros pw for an average car(group C or D?) going up to 260 pw in the summer:confused:

sws97sdg 17-03-2010 09:49

Another article in the Bulletin

RECESSION CUTS BALEARIC RENT-A-CAR FLEET BY A THIRD
NEWSDESK
PALMA
OVER the past two years, the Balearic car hire fleet has shrunk by 30 percent but predictions are that business is picking up, the Balearic Car Hire Assocation (Aevab) reported yesterday.

Whilst there were 50'000 cars for hire in the Islands in 2007, there were only 35'000 available in 2009.
But Aevab President Ramon Reus said that “the business has in fact benefited from the reduction because demand and supply at a time of recession have balanced out.” Reus believed that the fleet in the Balearics is going to maintain its present size during 2010 because with banks still being very stringent about lending, it is unlikely that companies could get financing to buy large numbers of new cars.

The President of Aevab said that far from renewing car hire fleets last year, some 10'000 “had been returned” to manufacturers under an agreement signed between the two parties.

Most returns were made between November in 2008 and February 2009.
Looking ahead to the coming summer, Reus said that “the days of finding a car for hire on the internet in the Balearics for between 10 and 12 euros” will soon be over.

He said that the cheap price was a speculative tactic and does not reflect the reality of a situation where daily hire will cost between 35 and 45 euros a day.

Reus said that the recession as a whole had been good for the car hire industry because it had “put each company in its place” and that profitability was gradually returning to a sector that had lost 90 percent of its direct customers in recent years.

He added that those who were offering speculative prices were either going to “disappear” or “branch off into another area of business”.
Reus, re-elected as President of Aevab at the beginning of the month, said that 2009 had been “satisfactory” in comparison with the last 10 to 12 years when between 70 and 80 car hire companies in the Balearics had been forced to close.

billyboy 17-03-2010 10:37

This is not looking to good


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