The car rental industry has been booming in the past few years. However, with technological intervention, it has touched new heights. It has helped actualize customer expectations through small and large scale adaptations that serve practical purposes. Resultantly, the car rental industry has turned more responsive and pro-active, which is driving up their bottom line.
Following are eight innovative solutions introduced by the digital transformation of the car rental industry:
Enhanced Customer Experience
Customers can enjoy a frictionless experience when the car rental service is available right at their fingertips. Businesses can use remote and app-based technologies through which users can book their vehicle, upload documents for verification, and have their ride dropped off at their doorsteps.
In addition to the convenience, it also improves accessibility as users can either choose self-service models or connect with customer service. Finally, it streamlines the entire rental process, thereby making it faster and more customer-centric. As a result, improved customer service will contribute to greater profitability and improved customer retention.
As mobility and connectivity turn cost-effective, car rental agencies will find it feasible to offer it as an add-on service. Therefore, such in-car technologies would make it easier for renters to travel with an uninterrupted wireless internet connection and satellite navigation facilities. Further, it leaves room for telematics integration, which will ensure rider and fleet safety even as they are on the road.
Digital Payment Solutions
Since rental services will now be available remotely, businesses must open up channels for receiving digital payments. Whether the customer is extending their rental duration between journeys or raising a rental request from home, digital transactions will make the process painless. Users can make instant payments and receive immediate service or upgrades.
Reduced Formalities and Paperwork
In the era of “on-demand” services, customers no longer have the patience to stand in queues, fill out forms, and wait for their ride. The reduction in wait times and near-instant rental services are the key changes brought about by digitization. Rental service providers can verify and retain a digital record of customer details, their ID proofs, and other documents, which can be stored on a cloud-based vault.
Instant ID checks and anti-theft systems are two other major advantages of digitization. With ID Check capabilities, car rental agencies can run a quick background check on the customer by accessing local or federal records. Naturally, if this process were to take place manually, it would take a good long while. At the same time, equipping your fleet with sat-nav tools incorporates tracking, security, and safety within your fleet.
Remote Damage Assessment
Vehicular inspections can be labor-intensive and time-consuming when carried out manually. Further, it leaves room for customer-service provider conflict, as both attempt to protect their interests. Fortunately, with remote damage assessment and audit, companies and customers can adopt a data-driven approach to this process. Accordingly, the customer can be rightfully billed for the damage that they cause to the vehicle. It also overcomes any concern that either party may have about fraudulent practices.
Fleet health is a critical factor that determines the profitability of a car rental company. Businesses using obsolete automobiles or not carrying your regular or predictive repair and maintenance would be spending a lot more on maintaining their vehicle than they would make by renting it out. Fortunately, telematics has come up with top-notch digital solutions that rely on solid data to maintain and optimize fleet health.
With the introduction of digital technologies, businesses will be successful in curbing expenses and streamlining workflows. On the other hand, digital solutions will make business customer-friendly and plug any revenue leakages. Thus, companies will register improved profitability.
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Technology is upgrading the car rental customer experience. The results speak for themselves: businesses like Avis have reported a 20% rise in customer satisfaction ratings after introducing digital technologies. While capturing and exploiting real-time data may be a long-term dream for several car rental players, now is the time to incorporate these small but impactful changes in your car rental business.