Auto Rental News
MenuMENU
SearchSEARCH

Car Rental Q&A: How Can Independents Compete With the Majors?

An independent car rental operator asks for tips on how to compete with the major car rental companies.

by Sharon Faulkner
September 8, 2015
4 min to read


Q: I'm an independent car rental company and it's always a struggle to compete with the majors. Do you have any strategies?

— Elia Sikanen, Ambassador Rent A Car, Lake Worth, Fla.

Ad Loading...

A: As an independent car rental company, it is difficult to compete with the majors. The majors will always have more buying power and a bigger presence, but here are 14 tips to help build your presence in your local market:

1. Create a recognizable brand name. Consider a franchise or an affiliate program so you can afford to be on as many search engines as possible. Renters may feel uncomfortable renting from a company they have never heard of.

2. Increase your online presence. As a small independent, it’s not feasible to be listed on the major travel search engines such as Expedia and Orbitz. However, look into portals like Car Rental Express (carrentalexpress.com) that cater to smaller companies.

Also, understanding SEO (search engine optimization) best practices in your local market can help your company gain a listing on the front page of search engines like Google and Yahoo.

3. Don’t underprice your product too far below your competition. Hold fast to higher prices until bookings pick up — or until the majors’ reservations are growing and they move up their pricing, too.

Ad Loading...

4. Never underestimate the power of excellent customer service. Renters may initially choose you because you had the best price, but they will choose you the next time because they were treated so royally.

If you have renters that you want to impress, make sure they remember you. Give them a bottle of water for their trip or a small snack bag with something representing your location, such as an apple for New York or cheese from Wisconsin. A small gesture can turn a one-time client into a longtime one.

5. Know what your competition is renting and offering. Instead of complaining about the competition, emulate them. Do they have separate lines for repeat renters or members-only clients? If so, you should consider doing the same.

6. Understand the value of uniformed employees with name badges. This professional touch helps instill confidence in the renter that this is a well-run rental agency.

7. Keep a clean and orderly counter at all times. Being clean and organized helps your business look more professional. Your shuttle bus is also a reflection of your business so it’s important to keep it clean.

8. Encourage your employees to be take-charge people. Allow them to settle disputes under $50 and don’t question them after decisions have been made.

Ad Loading...

9. Work at the counter occasionally. If you as the owner/operator do not usually rent the cars, make a point to do it as often as you can to see if your quality and your personality are capable of bringing return business. Your employees will appreciate your participation, and your customers will feel important since the owner took time to meet and greet them.

10. Find replacement vehicles with your competition. If you run out of cars (and you should run out at least two days a week if your utilization is high enough to produce a profit), make sure you find a replacement vehicle with your competition.

If there is a price differential, send the renter a check with your company logo and contact information. That way, renters have visible proof of your commitment to their return business.

11. A niche market can be profitable. Passenger vans, handicap vans, luxury cars, camping vans or recreational vehicles (with camping rental equipment) can be in demand in certain niche markets, but you can still compete with a varied fleet.

12. Cultivate local small businesses. Small businesses like to use local car rental companies for statewide business trips. If they need the vehicles delivered and picked up, ensure that your company can accommodate that need.

Ad Loading...

13. Attend industry meetings. By interacting with your competitors, the more you can learn about what they do and how you can compete better.

14. Don’t underestimate your worth. As a smaller company, you can still compete and secure a market share that is desirable and profitable. And if you grow big enough, a major might deem you worth buying.

What's Your Question?

Email your car rental operation-related questions to Auto Rental News care of chris.brown@bobit.com.

Sharon Faulkner is the executive director for the American Car Rental Association (ACRA), the voice for the U.S. auto rental industry. The association supports and promotes sensible legislation that will benefit all of its car rental members. Faulkner can be reached at Sfaulkner@acraorg.com.

Subscribe to Our Newsletter

More Rental Operations

plane, palm trees, car rental sign
Rental Operationsby Chris BrownSeptember 15, 2026

Palm Beach Airport Code Change Creates Car Rental Distribution Gap

A test of rental searches under the old PBI and new DJT airport codes returned largely different sets of brands and vehicles, highlighting a potential distribution problem for rental operators.

Read More →
Team members of U-Save's new franchise
Rental Operationsby StaffSeptember 15, 2026

U-Save Continues Dominican Republic Expansion with Launch in Punta Cana

The new franchise location builds on U-Save’s existing Santo Domingo operation and will begin taking reservations for October 2026.

Read More →
A traveler searches for rental cars with an AI bot
Rental OperationsSeptember 14, 2026

When AI Books the Rental Car, Who Controls the Sale?

As AI moves from comparing rental rates to completing transactions, operators need to understand how travelers find, interpret, rank, and ultimately see their offers. (Part 2 of 2.)

Read More →
Ad Loading...
map of europe and summer car rental rates
Rental OperationsSeptember 11, 2026

European Booked Car Rental Rates Fell 5%, Results Varied by Country

Ireland, Cyprus, and the United Kingdom saw steep declines, while booked rates rose in Poland and Hungary.

Read More →
thumbnail of Chris Brown and Mike DeLorenzo with title Time to Rethink Rental Categories?
Rental Operationsby Chris BrownSeptember 8, 2026

Is It Time to Rethink Rental Categories?

As traditional economy and compact cars disappear from the market, longtime rental operator Mike DeLorenzo asks whether the industry’s familiar vehicle categories still make sense — and what operators need to rethink along with them.

Read More →
Woman receiving car rental rates on computer from AI agent
Rental OperationsSeptember 1, 2026

Who Owns the Rate? AI Is Creating a New Distribution Problem for Car Rental

Generative Engine Optimization asks whether AI can find a rental company, but operators also need to know whether the agent inspected enough of the market, compared equivalent offers, and presented a rate the traveler can actually book. (Part 1 of 2)

Read More →
Ad Loading...
map of globe with regional corporate car rental rates
Rental Operationsby StaffAugust 25, 2026

U.S. Business Travel Car Rental Rates Forecast to Rise Up to 2%

Improved fleet supply should limit pricing gains in 2026-27, while insurance, repair costs, and softer residual values continue to pressure rental operations, according to Amex GBT.

Read More →
Sixt H1 financial results
Rental Operationsby StaffAugust 14, 2026

Sixt Revenue Tops $2.4 Billion in First Half of 2026

Sixt’s first-half revenue surpassed $2.4 billion for the first time as demand outpaced fleet growth, lifting utilization and earnings despite weaker consumer sentiment in North America.

Read More →
Bobby Klyce in memoriam image
Rental Operationsby Chris BrownAugust 13, 2026

In Memoriam: Bobby Klyce, Avis Licensee Legend

The longtime Birmingham Avis operator and 2018 Auto Rental News Impact Award recipient was remembered as an advocate for independent licensees and the broader car rental industry.

Read More →
Ad Loading...
Vibe coding webinar promo image
Rental Operationsby StaffAugust 12, 2026

How to Build Custom Fleet Tools With AI and Vibe Coding [Webinar]

A new Automotive Fleet webinar explores how fleet managers are using AI and vibe coding to automate routine work and create simple operational tools without traditional programming skills.

Read More →
Ad Loading...