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Luxury-type cars are also inelastic in price. If you're the type that will rent a Cadillac, you'll often do so at any price.
by icelancer 6y ago
Luxury-type cars are also inelastic in price. If you're the type that will rent a Cadillac, you'll often do so at any price.
- rconti 6y agoI don't know. Maybe I'm not the target market, but I often think "hey, I wonder if i can get something a little nicer.." and then am blown away at the multiples of price. For SUVs, usually it's been considering a ski trip or something, so, yeah, I can see where people are "stuck". I use Sixt whenever I can because they actually have nice european cars. Hit or miss in the US (I once got a Camry when I was trying to get an Audi A3; the Camry's a bigger car of course but I don't need a big car). Flew into Seattle once, got a massive brand-new Volvo S90 sedan with all the bells and whistles for like $60 a day, same price other places wanted to charge me for a Camry. I'm sure if I had asked for a Cadillac from Hertz it would have been $400+ a day, and less desirable to me. shrug
- icelancer 6y agoI agree with you, but the places don't hold a lot of the luxury cars in inventory for this reason too. As you noted the depreciation is too large to accomodate this kind of strategy. Once in awhile you do get a deal; I flew into San Diego on a friday evening and had a mid-sized car with Enterprise, and they went into the upgrade pitch. I was half-listening until I heard they'd get me in a 7-series BMW for $5/day. I asked them to repeat it and sure enough, that's what it was. It was a rare weekend where convertible BMW's didn't rent out, so they slashed prices for a 3 day weekend rental. It's rare but it happens. It does show that they usually rent out of that stock though at the crazy prices you do see, otherwise you'd expect to see those cut-rate deals more.