The Impact of the Subscription Economy 2.0 on Traditional Enterprises- Hertz My Car
As the economy continues to shift to a services economy vs. a purely product-oriented economy, traditional enterprises are forced to make a fundamental shift or face extinction. This shift from an economy based on making things to one that is increasingly powered by knowledge, creativity, and ideas, demands new ways of serving customers, delivering products and pricing those offerings.
Our customer, Hertz, recognized the need to make this shift and expand beyond offering one-time transaction car rental agreements to offering a new vehicle subscription service in the form of monthly subscriptions called Hertz My Car. Hertz processes 45 million rental agreements per month, across 150 countries and more than 10 thousand locations. Adding in this new subscription service will ultimately enable them to increase their revenue substantially from their existing, traditional business model. In fact, they are taking additional market share away from traditional car manufacturers who sell and lease cars direct to consumers.
As Hertz’ evolving business model and market dynamics change, RecVue’s platform can:
- Position Hertz for long-term sustained growth with superior technology capabilities
- Manage contracts, pricing, billing, commissions & third-party obligations
- Report & analyze millions of rental agreements and commissions transactions
“Leveraging RecVue’s technology platform will enable Hertz to continue our digital
transformation journey and respond to evolving customer demand.”
– David James, VP Corporate and Financial Systems