FlyerTalk Forums - View Single Post - Firefly -- New Hertz Subsidiary Targeting Leisure Travelers
Old Sep 16, 2013 | 8:13 am
  #15  
cestmoi123
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Originally Posted by Rut Dog
Doesn't appear so, and I wouldn't expect points (or Gold service) in the future. They did not with Advantage. And they don't with Dollar or Thrifty.

For reasons that are beyond me the rental holding companies seem to feel it is better to have multiple brands operating essentially as separate companies.

It confuses me because the point of mergers and acquisitions is usually to find efficiencies and cut the costs associated with managing multiple brands.
Ideally, you share the backend costs, but keep the separate customer-facing brands to maximize product differentiation. So, with multiple brands, you can have more scale, and get more leverage with fleet sellers, have a single maintenance facility at the airport, single car wash, gas fillup, etc.), but be able to price more aggressively for more price-sensitive leisure travellers, without eroding the pricing (or service) you offer to more service-sensitive business travellers.
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