There has been a lot of media attention on car hire in recent years, most notably on fuel policies in Spain and how people feel ripped off when having to pay for a full tank of fuel when they collect their car and are asked to return it empty.
This poses a few problems, the main one being that they will not refund you for any fuel left in the vehicle. So if like me, you hire a car on holiday solely to get you to and from the airport, you are not going to use a tank of fuel, this means you have paid between €60 and €100 Euros for something that you are never going to use, this is quite an obvious way of the suppliers bumping up their income, they also benefit from any fuel left in the vehicle because they do not have the whole tank to fill for the next victim…. erm, paying customer.
You may do quite a bit of driving on holiday meaning a tank of fuel on arrival is helpful, the problem for this type of customer is simply the cost of the fuel, the charge for the tank of fuel is inflated over and above the average pump prices, if you were to pick up the car virtually empty and drive a few miles to the nearest filling station you would find filling the car up would be €10 to €20 cheaper.
The final issue that affects most drivers is the returning empty part, even the most frugal of customers will not want to run out of fuel on the way back to the airport so when the light comes on you will force yourself to put a few litres in just to get you back to the airport. Again the hire company is the only beneficiary…
Recent stories like these from the Guardian and the Daily Mail have put the spotlight on suppliers and it seems to be making a difference.
At the turn of the year one of the biggest budget suppliers in Spain, Goldcar released a new fuel policy. ‘Pre-Purchase Fuel With Refund’ meaning you still pay upfront for a tank of fuel but are entitled to a refund for the fuel that remains in the vehicle when you return, minus an administration fee. The rate per litre for the refund has not been published nor has the amount of the administration fee. To me this smells of them just finding another way to make it look like they are doing good, but actually still a bit of a con.
Other budget suppliers are following suit, all with similar terms to Goldcar.. I think its a good thing that they are listening to their customers and doing something about the Full-Empty policies but i still dont see that they are doing enough to look out for their customers… But why should they?
Budget car hire suppliers are the same as budget airlines in many ways, they offer a basic service for a low cost and then start to add the extra’s.. you want a baby seat? Of course sir, that will be €50. Sat Nav? No Problem, €50.
Fuel is slightly different as it is not your choice whether they fill the tank or not, so for me the cost of a mandatory tank of fuel should be included in advertised the cost of the rental car.
Budget suppliers need to make a profit just like any other business, so next time you are looking for quotes make sure you are taking all of the costs involved into consideration.
You Do Have A Choice
Quite understandably the majority of us are always looking for the best deal when spending money, be it the weekly shop, mobile phone contacts or travelling, but is budget really the way to go?
There are suppliers in Spain that are based at the airport and not a few miles away, they offer newer vehicles not older untidy cars, they offer full to full fuel policies not the rip off full to empty and they don’t have 2 hour long queues…
They are not budget suppliers they are the big boys, the Avis’ and Europcars of this world and you might be surprised how little the difference is when taking everything into account. Below are 2 quotes that i have done today factoring in all costs and other things to bear in mind. You tell me which one you would prefer…
Location: Alicante Airport
Pick Up: 9th May 2014 – 10.00am
Drop Off: 16th May 2014 – 10.00am
Vehicle: Economy – VW Polo Or Similar
Budget Supplier – Gold Car
Cost Of Vehicle: £51.17
Mandatory Tank Of Fuel: €60-€100
Excess Liability: €0
Mileage: Unlimited
Deposit: €600 Held On Card
Average Time At The Desk: 90 Mins
Additional Driver: €3.5 Per Day – Maximum €70
Child Seat: €6 Per Day – Maximum €72
Excess Reduction: N/A
Young Driver 21-24: €5 Per Day – Maximum €60
Premium Supplier – Europcar
Cost Of Vehicle: £111.39
Fuel Deposit: €60-€100 Returned When The Vehicle Is Returned Full Of Fuel
Excess Liability: €800
Mileage: Unlimited
Deposit: €150 Held On Card
Average Time At The Desk: 20 Mins
Additional Driver: €9 Per Day – Maximum €64
Child Seat: €9 Per Day – Maximum €64
Excess Reduction: €18 Per Day
Young Driver 21-24: €18 Per Day – Maximum €175
This tells us a number of things:
- If you are looking for the lowest rental price, the budget supplier is for you.
- If you do not have a large amount of money and want more spending money for your holiday then the premium supplier is for you, yes the rental cost is higher but the deposit is a lot lower.
- If you want peace of mind without paying additional fees to reduce your excess, the budget supplier is the one.
- If you are in a hurry to get to the beach and make the most of your holiday then the premium supplier would be better for you.
- If you are under 25 then the budget supplier would be your cheaper option.
Obviously this is just week from one location comparing 2 suppliers. There are many many variables to consider before booking your car and all of them can change depedning on the car you require, how long you are hiring for, your age and the most common one being, your payment type.
Take Our Advice
As a company we look at all of your options, we will match you with a supplier that meets your requirements and offers the best value for your needs. This may not always appear to be the cheapest option but in our experience, cheapest is not always whats best for you.
If you have any questions about this or anything to do with car hire then please speak to one of our experts, you can call us on +44 (0)113 880 0748, chat with us online or email us on sales@thealternativeagency.co.uk.
