Hertz rental car company is the biggest rental car company in the world. It currently operates over 10,000 locations across 145 countries, making it the largest rental car provider in the world. Hertz first started in Chicago in 1918, and it has grown to become the leader in the rental car industry. But who owns Hertz rental cars today?
The answer is complicated. Hertz is currently owned by two separate entities: Hertz Global Holdings and Carpenter Acquisition Holdings, LLC. Hertz Global Holdings is the current parent company of Hertz Corporation, which operates the Hertz rental car business, and it is owned by a separate entity called Hertz Investment Group, LLC. Carpenter Acquisition Holdings, LLC is an investment vehicle controlled by an investor group including several private equity firms, including Apollo Global Management and BNY Mellon.
The history of Hertz Global Holdings is quite complicated, even by corporate standards. Hertz was originally owned by Ford Motor Company, which purchased the company back in 1994. Ford then went on to take Hertz public in 2006. In the same year, it was taken private again, this time by a private equity group headed by Clayton Dubilier & Rice. Later, in 2016, the Hertz brand was again taken public and sold to Hertz Global Holdings. Finally, in 2020, private equity firms Apollo Global Management and BNY Mellon took over.
The current ownership structure is a complicated mix of both public and private entities. Apollo Global Management, a private equity firm, is the majority owner, holding around 40% of shares. The remaining shares are held by a consortium of investors, including BNY Mellon, General Motors, Daimler AG, and the Mitsubishi UFJ Financial Group.
This complex arrangement has raised questions about who is really in control of Hertz. The answer, in short, is that Apollo Global Management and BNY Mellon hold the most power. However, there are also a few other powerful stakeholders involved. For instance, General Motors owns a significant number of shares in the company. Moreover, Daimler AG and the Mitsubishi UFJ Financial Group are also significant shareholders.
The current ownership structure of Hertz has had a significant impact on the way the company is run. In particular, the fact that private equity firms are involved allows Hertz to act more quickly and flexibly than if it were controlled by a large, publicly traded company. This flexibility allows Hertz to make decisions that are in its best interest, such as expanding into new markets or introducing new services.
Company Culture
Given the complicated ownership structure of Hertz, one might expect the company’s corporate culture to be quite rigid. Surprisingly, however, Hertz is renowned for having a friendly and collaborative corporate culture. This is thanks to the willingness of the private equity firms to allow the management team to make decisions without outside interference. This has allowed Hertz to create an environment where innovation is encouraged and where employees feel that their ideas will be listened to and implemented if they prove themselves to be viable.
The result of this culture is an entrepreneurial spirit that permeates throughout the organization, driving the rapid growth of Hertz. This is evidenced by the company’s extensive network of locations and innovative offerings, such as its “Rent by the Hour” service, which allows customers to rent cars for as little as an hour.
Hertz is also renowned for offering its customers fantastic service. The company has won numerous awards for outstanding customer service, including the prestigious JD Power and Associates “Highest in Customer Satisfaction” award. This award is a testament to the company’s commitment to keeping its customers happy and providing them with an exceptional experience each time they rent a car.
Analysis of Hertz’s Business Model
Hertz is an excellent example of a well-positioned business model. The company’s size and reach afford it a wide range of competitive advantages, while its ownership structure gives it the flexibility to adapt quickly to changing market conditions. This agility has allowed Hertz to stay ahead of the competition by introducing new services and expanding into new geographic markets.
Hertz’s pricing strategy has also been key to its success. The company offers competitive rates that attract customers and keep them coming back. Moreover, Hertz offers a variety of discounts, including military, corporate, and long-term rental discounts.
The ability to offer discounts and free services to customers also enables Hertz to build loyalty and attract new customers. For example, Hertz offers special discounts through their loyalty program and rewards points that customers can use for discounts on future rentals.
Finally, Hertz’s focus on customer service and its willingness to invest in new technologies has enabled the company to remain at the forefront of the rental car industry. The company utilizes a range of digital services and features to make the rental process easier and more enjoyable for customers, such as Hertz “Express Service”, which allows customers to pick up their cars and go in minutes, and Hertz “Instant Return”, which allows customers to return their cars without having to queue for a service representative.
Employees Perspective
Employee morale at Hertz is generally strong, and this is thanks to the company’s commitment to supporting its employees. Hertz offers a wide range of benefits to its employees, such as comprehensive health insurance, a 401K plan, flexible work schedules, and numerous professional development and training opportunities.
Hertz also takes great pains to promote a healthy work/life balance, encouraging employees to take part in recreational and extracurricular activities and to take time off for personal and family purposes. This helps to create a positive and energizing atmosphere in the workplace, which leads to higher productivity.
Finally, Hertz is committed to helping its employees develop their skills and reach their full potential. The company offers numerous training and development programs, from general orientation courses to specialized programs designed to help employees develop particular skills and become more successful. This commitment to professional development has enabled Hertz to attract and retain top talent from around the world.
Competitive Advantage
Hertz’s ability to quickly adapt to emerging markets and changing customer needs has been a major factor in its success. The company has achieved this by utilizing innovative technology and focusing on customer service. Hertz has also been able to maintain its edge over competitors by focusing on offering customers high-value services, such as express pickup and drop-off, loyalty rewards, and discounts.
Moreover, Hertz’s careful pricing strategy has enabled it to remain competitive in its markets. The company offers competitive rates that attract customers while also ensuring that they remain loyal by rewarding them with discounts. This focus on price and loyalty has enabled Hertz to remain profitable even in highly competitive markets.
Finally, Hertz’s expansive network of locations has enabled the company to maintain its competitive edge. Hertz’s network of rental cars stretches across the globe, allowing customers to rent cars in over 140 countries and increasing the company’s reach. This network allows Hertz to offer customers a wide range of options for their rental needs, giving them the flexibility to rent cars wherever and whenever they need them.
Conclusion on Who Owns Hertz Rental Car Company
Hertz is currently owned by two separate entities: Hertz Global Holdings and Carpenter Acquisition Holdings, LLC. The majority shareholder is Apollo Global Management, which holds around 40% of shares. The remaining shares are held by a consortium of investors, including General Motors, Daimler AG, and the Mitsubishi UFJ Financial Group.
This complex ownership structure has enabled Hertz to remain agile and responsive to changing customer needs and markets. Moreover, its commitment to customer service and innovation has kept Hertz ahead of its competitors. Finally, thanks to its expansive network of locations, Hertz has been able to offer customers an unparalleled range of rental car services around the world.
