Avis Budget Group, Inc. (CAR) seems to move ahead with its expansions in full force as its acquired brand, Apex Car Rentals, announced the launch of additional operations in Costa Rica and the Cayman Islands.
The facility launched in Costa Rica is situated at the San Jose International Airport, while the one in Cayman Islands is harbored at Owen-Roberts International Airport. Travelers usually derive significant value by availing the services of these operations.
These new locations are handled by personnel with substantial experience in the car rental industry and hence, are likely to ensure maximum customer satisfaction. Adding to the benefits, these latest locations look attractive as they provide an extensive variety of models ranging from economy cars to Sport Utility Vehicles (“SUVs”) belonging to brands like Toyota Motor Corporation (TM), Daihatsu and Ford Motor Co. (F).
Hence, we believe this expansion will address the rising needs of the inhabitants of Costa Rica and Cayman, who travel for business or leisure.
Apex Car Rentals was purchased by Avis Budget in 2012. Based in New Zealand, this brand has won a number of awards apart from receiving spectacular ratings by customers with regard to value for money, easy availability of vehicles, clarity of fees and costs, convenient booking procedure and overall satisfaction.
This expansion falls in line with Avis Budget’s strategy of furthering Apex brand’s presence into the Western hemisphere by using the former’s independent licensees. These licensees are entitled to work under the Apex brand in certain areas, while ensuring compliance with the brand’s standards.
Avis Budget, which competes with Hertz Global Holdings, Inc. (HTZ), is well on track to extend its operations through alliances, acquisitions and joint ventures. The company keeps investing in other growing markets where car rental demand is rising. Some of the recent ventures to expand globally include its partnership with Inspirato, the purchase of its Budget Car Rental licensee for Southern California and Las Vegas, and the acquisition of Zipcar Inc., among others.
We believe that these strategies, along with better customer support systems, is likely to boost this Zacks Rank #3 (Hold) company’s top line.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
To read this article on Zacks.com click here.
Get all Zacks Research Reports and be alerted to fast-breaking buy and sell opportunities every trading day.
Be the first to comment