CONRACS Evolving From Novelty to Norm

When the first consolidated auto rental agency centers opened 12 years ago, they were a novelty that delighted most customers with their efficiency and convenience. Yet they worried many auto rental agencies, particularly smaller independents that feared being shut out of the new centers by prohibitive costs or other restrictions.

Today, there are consolidated centers (called CONRACs or CRCFs) at 15 U.S. airports and at least another two dozen under construction or in planning. Though certainly not appropriate for every market, the consolidation concept is no longer a novelty and its popularity is growing fast.

Consolidated rental car facility projects comprise 52 percent of revenues for the top 100 airports.

As airports in growing markets become strapped for terminal space and need to expand, traditional in-terminal auto rental counters and on-airport surface lots have become impractical. Further, pollution from customer transport buses invites challenges from the FAA's environmental regulators. Finally, on-airport parking garage fees are an attractive revenue source for cash-strapped airports.

So, consolidated facilities are here to stay.

Fortunately, during its decade of evolution, many initial concerns about the concept have been reduced or resolved through careful airport and car rental agency negotiations and stronger cost controls. True, some smaller independents will always have difficulty meeting the demands of CONRAC participation. The cost of staffing operations for extended hours, paying rents that are typically higher than off-airport facilities and meeting requirements on fleet levels and vehicle quality can make CONRACs prohibitive.

CONTINUED:  CONRACS Evolving From Novelty to Norm
« Previous  |  1  2  3  4  5  |  Next »

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

 
 

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

A Shared Mobility Model Takes Shape for Fleets

Technology that allows cab drivers flexible access to a shared fleet is leveling the playing field for an 89-year-old taxi company.

Safety Tech: Crash Avoidance or Sensory Overload?

As advanced safety technologies become even more pervasive on mainstream vehicles, are we creating “stupid drivers?"

Own the Fleet, Own the Future

In the dialogue surrounding new transportation paradigms, fleets have been off the public radar until recently. Here’s what’s going on, and a way for you to participate in the conversation.

Job Finder: Access Top Talent. Fill Key Positions.

>