Enterprise Rent-A-Car has defined its service much differently than that of the typical national car rental companies. Their idea and technique of personal service, by treating the customers like neighbors more so than clients is what makes this company so unique and successful. They are industry leaders in fleet size and market presence. The company’s president, Andy Taylor, stated in his motto “if you put the customers first they will be satisfied and come back, followed by employees who are well informed and part of a team atmosphere.
If you put the customers and employees first the bottom line will happen”. The company’s service concept focuses on three key benefits for the customer. The first benefit is their enormous form of convenience due to nearby locations. Second, the luxury of being picked up and dropped off at one’s own home, office, or repair shop – free of charge. Third, are their outstanding rates that cannot be beat, as well as their exceptional selection of vehicles. 2. Enterprise Rent-A-Car possesses several advantageous features that give hem a leg up on the competition.
Since the beginning, their market focus has been on the replacement segment. This includes customers who need a car because of an accident, routine maintenance, or theft. In addition is the discretionary segment, which includes people who use their services for short business, leisure, and other special occasion trips. The company’s “pick up and drop off’ feature is what sets them above their competition. Enterprise Rent-A-Car has offices located within 15 minutes of 90% of the U. S. opulation – a highlight of their extreme focus on convenience.
Although Enterprise Rent-A-Car offers a lot of the same choice in car selection as other companies, their main objective is to keep the customer entirely satisfied. As it was from the start according to Andy Taylor, their loyalty to customers is the key reason why so much of the Enterprise’s energy goes into recruiting, hiring, and training a well-informed and helpful staff of personnel. 3. The service profit chain model can be used to emphasize the success of Enterprise Rent-A-Car as a whole.
The first part of the model is the internal service quality, which describes the environment in which employee’s work, the selection and development, rewards and recognition, access to information to serve the customers’ needs, and Job design. This goes back to Taylor’s idea of keeping a happy, well-informed staff that will provide the best service possible. The employee’s loyalty to the company will shine through in their service and output quality by tending to the customers’ needs in an efficient and effective manner.
The result is satisfied customers and an overall increase in profitability for the company. Enterprise Rent-A-Car’s technique in hiring practices targets the young college student; one who generally has been a part of an organization such as a sporting team or fraternitysorority. This is primarily because of hisher ability to be a “people person”: someone able to speak well to service managers in addition to calm down a customer who has Just been in an accident. A strong devoted group of employees is what makes up the internal service of the ompany.
According to the service profit chain model, this subsequently leads to the service value, which drives customer satisfaction. Customer value is measured by comparing results received to the total costs incurred in obtaining the service. The all time high – increasing their service value and lowering their costs. The staff of Enterprise Rent-A-Car exudes hospitality, which is necessary when performing a service and expecting satisfied customers. Despite their highly personalized service,
Enterprise Rent-A-Car offers rates that are often 30% lower than those of its competitors. The service concept and the company’s ever growing success is causation of their customer loyalty. Their service to meet the targeted customers’ needs is what results in lifetime value, retention, and referrals. As of today, the company has over 12 million vehicles and annual revenue of $14. 1 billion. This fact in itself displays how the service profit chain model has worked for this company throughout their many years in existence.
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