Hertz gets bigger, will rental rates too?

If the two companies could enhance their business processes as getting a result of your merger, that will trickle down to customer service, he said.

But one journey expert said consolidation can be a mixed blessing with regard to consumers.

It's typically great for your businesses, because they're in a new position to charge higher prices, mentioned Chris Elliott, any travel columnist along with National Geographic Traveler magazine's reader advocate.

"It may result in a few streamlined operations, some improved service, nevertheless additionally, it includes a downside: There's less competition," Elliott said. "It will benefit consumers."

For Hertz consumers whom don't need the actual "bells as well as whistles" involving higher-end cars, the deal opens the door for you to a lot more value-oriented rentals, Abrams said, although providing Dollar Thrifty clients use of Hertz's worldwide system.

Hertz has 8,200 locations within 146 countries, whilst Dollar Thrifty has 1,550 areas across the globe.

Customers also most likely won't go in order to whichever rental charge changes when the firms merge, Abrams said.

"Enterprise, National as well as Alamo are certainly one company, nevertheless the 3 brands compete inside their very own individual pricing tiers.

. The Actual high rates have been driven partly simply by tighter fleets, therefore you can easily find fewer cars to always be able to rent, and also tighter lending, this means auto rental companies can't purchase as many cars, said Chris Brown, executive editor associated with Auto Rental News.

"We're in an era involving higher-priced car rentals along with which era might be going to stay set up for any while," Brown said. auto rental sector -- Enterprise, Avis (which owns Budget) and also Hertz -- that will can affect consumers in the wedding it arrives in order to pricing, Elliott said. "I'm not sure which Hertz purchasing Dollar Thrifty [wil l be] a new driver of the price increase."

Meanwhile, Dollar Thrifty will likely always run below its own title and also possess the exact same quantity of locations, Brown said. "Just usually speaking, less competition can become a bad thing."

"So now you can't just as the consumer say, well, I'm heading to adopt my company in order to Dollar Thrifty, since Hertz now owns it," he said.

Since consolidation provides left just 3 huge players in the U.S.

A Hertz worker helps a new client at its rental-car pickup area with Chicago's O'Hare International Airport.

STORY HIGHLIGHTS

Car rental industry giant Hertz will be planning to buy Dollar ThriftyAnalysts the merger likely won't imply that deals is going to be harder to findHigh rental rates are being driven by tighter fleets along with tighter lending, expert saysConsolidation can become a mixed blessing regarding consumers, journey expert says

(CNN) -- Renting an automobile continu es in order to be a new costly proposition inside latest months, as well as Monday's news that will sector giant Hertz is planning to purchase Dollar Thrifty may possess travelers questioning regardless of whether deals will be even harder in order to find.



Not likely, say industry analysts, whom predict car rental prices will usually be higher pertaining to reasons unrelated for the deal.



Some say Hertz's acquisition produced sense.

"I really believe it's excellent news," stated Neil Abrams in the Abrams Consulting Group, that follows the vehicle rental industry. I'm fairly confident the identical will occur using H ertz and Dollar Thrifty," Abrams said.



Consolidation can be 'mixed blessing'

Rental car rates reached historic highs inside 2009