Transfercar Driving Innovation In Tourism Industry

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Innovative new practice gives benefits to both car rental operators and to travellers

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As we get more travellers registering as drivers we also get more rental car companies catching on to the idea of Transfercar.

Transfercar is one of the leading catalysts of change in an evolving tourism industry; helping rental businesses across Australia and New Zealand reduce their relocation costs, while offering an exciting proposition to holidaymakers and travellers.

Vehicle relocation is an emerging trend in the rental industry. A relocation vehicle is one that has been subject to ‘one way’ hire, but now needs relocating back to its original depot. Traditionally this is done using trucks, trains or professional drivers, which can incur a considerable cost to the rental companies.

Instead Transfercar offers a website that matches rental car companies with travellers that would like to relocate their cars. The concept is called collaborative consumption - technology and peer communities enabling old market behaviours to be reinvented, a similar model to what E-bay, Just-Eat and Airbnb is based on.

The rental operators list their relocation cars daily on the Transfercar website. The drivers can then view and request to drive a car through a number of different ways, such as the website, email or social media channels.

This business model offers a real win-win-win scenario, where the drivers get to drive a car for no charge, Transfercar gets paid for providing a driver, and the rental car companies save on relocation costs.

Travellers get a selected number of ‘free days’ in which to drive the car, do not have to cover any insurance costs, and will often be subject to special fuel offers. Their only obligation is to return the relocation vehicle to the specified location at the agreed time.

This practice has already proven successful across Australia and New Zealand, among both those living in the country and holidaymakers, too. Travellers are able to enjoy some of the most popular destinations in both countries using Transfercar relocation vehicles, with Sydney and Auckland being the most popular destinations for vehicles in their respective countries throughout January 2013.

With 6.1million visitors (Tourism Australia) visiting Australia in 2012, and that number set to grow again this year, relocation services offer a huge opportunity for both businesses and travellers to save significant sums of money. These savings will prove especially useful for holidaymakers, who are faced with an average travel and holiday cost approaching AUD$5,500 (Australian Government Department for Tourism, 2011 statistics), and the strong currency set to push that figure even higher.

In New Zealand, the average total holiday cost is almost NZD$4,000 (New Zealand Visa Bureau), equivalent to AUD$3,200. While this represents a significant drop in the figure from Australia, many will still be inspired to seek out Transfercar’s services over the coming year.

Given their success in Australia and New Zealand, Transfercar have plans to expand their business model into other large, and still growing, car rental locations, with the United States and Europe specifically earmarked as huge opportunities.

Speaking about Transfercar’s current performance and future plans, Espen Grimstad, Chief Executive Officer of Transfercar, said, “As we get more travellers registering as drivers we also get more rental car companies catching on to the idea of Transfercar. That in turn means more relocation cars and campers to choose from. I would encourage anyone that wants a different kind of holiday to go on our website and see what we have to offer.”

Transfercar is an online relocation service that offers free use of rental cars to travellers. In return, the travellers are helping the rental car industry to relocate their cars in a cheaper way than any current relocation alternative.

Further information relating to Transfercar’s service, including examples of the journey options and vehicles they offer, is available from http://www.transfercar.com.au.

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Espen Grimstad
Transfercar
(02) 8011 1870
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