Hertz EV disposal plan in effect.
- Thread starter gfh77665
- Start date
Hertz, once among the best, is now a low-tier rental car company, with very poor car availability, terrible customer service and policies designed to screw over the renter. Any decision they make should be subject to extreme scrutiny and probably overruled by their shareholders. They are truly that bad.
Think about it, Hertz falsely accused hundreds of innocent customers of stealing its vehicles, had them arrested, and did not care one bit. The judgement against them is nearly 170 million.
Hertz deserves to be in the dustbin of history
Think about it, Hertz falsely accused hundreds of innocent customers of stealing its vehicles, had them arrested, and did not care one bit. The judgement against them is nearly 170 million.
Hertz deserves to be in the dustbin of history
Another "Lets move all in on EVs" hits the pause button.
I never understood the Hertz decision to buy Teslas; it makes little sense beyond customer curiosity.
Here's the problems, off the top of my head:
Here's the problems, off the top of my head:
- Hertz paid full price, just like you and I would. No volume discount.
- Renters are supposed to bring cars back full; they probably have to sit on a charger, after they find one.
- Teslas operate differently; there is a learning curve. It can be problematic for some.
- Are there Superchargers everywhere renters wanna go? No.
- Accident repair cost and parts availability.
Grade F on execution. Otherwise it was not a terrible idea to offers Tesla's.
The customer bears some responsibility for renting a Tesla and then driving it to depletion. Hertz is of course responsible for providing Tesla's with less than a full charge. I know some people blame Tesla's slow repair policies, only a minor factor I believe. It could be that providing a conventional car, one that can be cleaned and filled to full in 10 minutes flat, is simply the easiest business model.
There are good use cases and bad use cases. There is no "all in" for any vehicle.
In Hertz case, what were they thinking?
Plus their sock is down around 20% so far today.
$4.6599/sh -$1.1401(-19.6569%)
Open $5.1700
$4.6599/sh -$1.1401(-19.6569%)
Open $5.1700
- 52 WEEK RANGE 4.3500 - 19.3600
Not so sure about the decision... What were the pluses beyond customer curiosity?
I just see little benefit to renting an EV, especially a car you are not familiar with.
It was a bad move from day one, and bad moves can have unfortunate consequences, this proves it. IMO the majority of people renting a car don't want the hassle of having to charge it. Lets face it if people were storming the rental car centers demanding an EV they'd be adding them to their fleet not trying to get rid of them.
I'm sure some percentage of business traveler would not mind it especially if they don't want to have to deal with having to find a place to "fill up" before they turn in the car.
If I were Hertz I would've only stocked Teslas where I had the on-site space to install a handful of superchargers so new customers would get them fully charged and expect customers to turn them in with low charge.
I would only rent them for 2-3 days max and local travel only.
Oh and of course have someone who cares enough to give the customer a crash course in how to drive them.
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100%. As I think I've said before, if Hertz had a few level 2 chargers at the rental facility and rented them at 80% full and recommended them for use of less than 200 miles and told people to not worry about recharging them, they'd do just fine.
They got Musked. The cars were just going to appreciate in value and they could sell them for a profit or robotaxi them out!
+1
Over the past couple of years, I've stopped renting from them.
A combination of terrible customer service, poor vehicle selection and worn out vehicles was their ultimate demise.
I've since switched to Avis/Enterprise exclusively.
They don't seem to want to sell them to bad. There is a 2022 long range model 3 near me with 50K miles for 28,656. Doesn't seem like a fire sale to me.
See post No 12And how would you have executed it differently if you were in charge?
Perhaps the main reason is that when Hertz bough the Teslas it had NO idea that the EVs would tank as they did and keep on
diving, that impacts their business plan. Non knowing the residual value of your asset is a BIG problem.
diving, that impacts their business plan. Non knowing the residual value of your asset is a BIG problem.
Uber was a big driver behind that.
Personally, if I was Hertz, I’d fly over to Toyota USA HQ in Plano and try to negotiate a big Prius and RAV4 Hybrid order - after all, the Prius is the car for gig work. Toyota brokers a deal with the stipulation they’ll be sold back to TFS, with the cars in better shap becoming CPO eligible at the auctions. Hertz gets a credit towards future Toyota orders. Win-win.