Showing posts with label e-commerce. Show all posts
Showing posts with label e-commerce. Show all posts

Monday, April 26, 2010

Hertz hurts: Would you pay double for some convenience?

Actually, the question is: would you let your company to pay double for some convenience?

Recently, I started a new job that required me to commute weekly from the SF Bay area to Denver.  My company is nice enough to pay for all my travel costs.  I used to travel a lot and I loved Hertz.  I have told many people about the great Hertz Number One Gold service.  It was the gold standard in customer service and customer satisfaction even 15 years ago.  You walk out of the Hertz bus, look up the board to see your name and which stall is your car, walk to the car, and drive away.  It's always a fantastic experience especially appreciated by frequent travelers.

In contrast, years ago when our team used to travel to UK frequently, and we had a special deal with Alamo.  After 12+ hours of international flight (it was very long even though we were flying first class back then), took the long bus ride from the gigantic London Heathrow airport to the Alamo property, waited in line for 15-20 minutes, and then we had to endure and resist the up-sell pitch by the agents.  Once the car was finally selected, the contract done, you have to wait another 15-20 minutes for them to send the car through the mandatory car wash (note that it's raining outside, who cares about getting a car wash?).  All this time, we were thinking about our 45-minutes drive in the rain, driving on the opposite site of the road to the hotel to get some sleep.  This torture would be the total contrast from the Hertz Number One Gold Standard.

Back to my recent Denver experience, the excellent services have not changed and I very much appreciated the tremendously fast  and convenience service.  The first couple of rental reservations were fine, I went to hertz.com via united.com after I bought the ticket. This way, I got a 10-15% car rental discount for the company, and I got 1,000 bonus miles (which I have not yet seen).  I did this for a couple of weeks, and saw the rental price jumped up quickly each week.  As a busy frequent traveler, I didn't have much incentive to change my routine, and I did not have much time to shop around...  until in one of my expense reports, I noticed that with tax and other long list of fees, my 4-day car rental charge was higher than both my air fare and my hotel bill!  This was getting ridiculous. Since I am a reasonably responsible corporate citizen, I asked myself, how much would you pay for a medium size or a compact rental car?  $30? $40? $50 per day?  How could it cost more than a $99 hotel room?

I was kind of hoping my company offers the Web 2.0 comparative pricing business travel services from Rearden Commerce (where I used to work), unfortunately it did not. We are using ADP Expense eXpert, and just a week ago, they brought in the travel agency sponsored Concur service.  The interface is definitely not as pretty as what we had at Rearden, but I had to use what I have.

After I put in my itinerary, it was SHOCKING to see the comparison: Hertz' rate was $62 per day for a mid-size car, comparing to Enterprise, which has the next highest, at $31 per day for a mid-size!  Wow, Hertz, this really hurts.  Can I really justify paying double for the convenience?  I guess I will find out next Monday.

Now comes the news of Hertz buying Dollar.  Will this give Hertz even more muscle to charge a premium, or will Hertz keep Dollar as a value brand just like Enterprise, National and Alamo?  Event thought these three are one company, but the three brands compete in their own individual pricing tiers.  We shall see...  In the mean time, I'd better remember to jump on the green (Enterprise) bus instead of the yellow (Hertz) one next week.

Monday, December 8, 2008

Top Online Purchase Categories During Financial Crisis

During the tough economic times, people tend to stay home more instead of going out, and naturally the Web use increase. According to comScore World Metrix, visits to financial news and research sites grew 10% to 8.8 million visitors in September, during the height of the financial crisis, from the previous month.

People wants to save money, get more for their dollars, so they would use the web to do more researches. So what are people buying online? According to Nielsen study released in November, top transaction sites are for Travel and Entertainment related sites are number 1 (Online travel), 6 (Hotel reservation), and 8 (Event tickets).

Credit card account management and home banking were the second- and third-most-popular transaction types for 2008.

Number 4 is clothing/shoes/accessories. Think Lipsticks. One of the top sellers at the Malls are Lipsticks during recessions, people need a pick-me-up, small purchases to make be happier.

Sources:
eMarketer: Online Banking During a Financial Crisis (12/8/2008)
New York Times: Hard Times, but Your Lips Look Great - Lipstick May Ben an Economy Indicator (5/1/2008)

Friday, November 21, 2008

eMarketer: Pitching Cars Online in Tough Times



The economic is getting tough very quickly and broadly. Everyone is cutting but and focus on efficiency. Email finally being recognized again as an effective and efficient channel. Even the dying Car makers/car dealers are still expecting grow their ad spending online.

Sources:
eMarketer: Pitching Cars Online in Tough Times (11/21/2008)

Friday, November 14, 2008

eMarketer: Top online markting channels

According to eMarketer, Online retailers worldwide surveyed in July and August 2008 by E-Consultancy and R.O.EYE said that e-mail was second only to paid search when it came to driving high volume. The sample size was relatively small, at 241 online retailers. However, the results are in line with similar surveys. Nearly four out of 10 search engine advertisers worldwide surveyed in January 2008 by Radar Research for the Search Engine Marketing Professional Organization (SEMPO) said e-mail marketing yielded the best ROI of any tactic.


Lower Email Open Rates

MailerMailer said that some industries had higher open rates for their marketing e-mail, with banking/finance, religious/spiritual, government and telecommunications having more success than other verticals.

Tip: Shorter subject lines Perform Better

According to eMarketer, shorter subject lines performed better than longer ones. Subject lines of less than 35 characters yielded an average open rate of 19.6% and a 3.1% average click rate. E-mails with subject lines of 35 or more characters drew average open rates of 14.8% and average click rates of 1.9%.

Source: eMarketing: Consumers Opening Fewer E-Mails

Tuesday, June 17, 2008

The 6 Worst Domain Names EVER! by the E-Commerce Diva Jamila White

These are pretty intelligent and legitimate sounding web sites, right?
  • "Who Represents?", a database of agencies for the rich and famous
  • Experts Exchange, a knowledge base where programmers can exchange advice and views
  • Pen Island, a pen retailer
  • Therapist Finder, a directory of counselors
  • PowerGen Italia, a power utility company in Italy
  • The Mole Station Native Nursery, an Australian plant nursery
Go to E-Commerce Diva Jamila White's site and check out what domain names they came up with!