Alamo moves to reduce its 30% cancellation and no-show factor by offering a pre-payment plan which carries penalties.
Customers will receive a 10% discount from when making reservations at Alamo’s web site. Cancellations will face a $10 fee or $ 25 fee if within 24 hours of pick-up.
Alamo’s move is unique among major rental agencies, who avoided such measures due to competitive nature of the industry and failure of prior attempts, which levied a penalty but no incentives (i.e. the 10% discount).
While some of Alamo competitors might follow suit, Hertz and Dollar Thrifty says they won’t.
