Hertz 2012 Annual Report Download - page 35

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ITEM 1. BUSINESS (Continued)
Choice now offers our customers an option to choose the car they drive. As is the case with participants
in our Hertz #1 Club Gold program, Gold Choice offers customers a preassigned car, but also allows
customers to choose a different model and color from those cars available at the new Gold Choice area.
This service is free of charge to Hertz #1 Club Gold customers who book a midsize class or above. The
Gold Choice program was launched during August 2011 and rolled out to 52 U.S. airport locations and
5 locations in Europe by December 2012. Additionally, in select locations customers can bypass the
rental line to rent through our ExpressRent Kiosks.
Global Car-Sharing
In late 2008, we introduced a global car-sharing service, now referred to as Hertz On Demand, which
rents cars by the hour and/or by the day, at various locations in the U.S., Canada and Europe. Hertz On
Demand allows customers to sign up for free for the service and to rent cars by the hour or by the day.
Members reserve vehicles online, then pick up the vehicles at various locations throughout a city, at a
university or a corporate campus without the need to visit a Hertz rental office. Customers are charged
an hourly or daily car-rental fee which includes fuel, insurance, 247 roadside assistance, in-car customer
service and 180 miles per 24 hour period.
Fleet Leasing and Management Services
On September 1, 2011, Hertz acquired 100% of the equity of Donlen, a leading provider of fleet leasing
and management services for corporate fleets. For the year ended December 31, 2012 and for the four
months ended December 31, 2011 (period it was owned by Hertz), Donlen had an average of
approximately 150,800 and 137,000 vehicles under lease and management, respectively. Donlen
provides Hertz an immediate leadership position in long-term car, truck and equipment leasing and fleet
management. Donlen’s fleet management programs provide outsource solutions to reduce fleet
operating costs and improve driver productivity. These programs include administration of preventive
maintenance, advisory services, and fuel and accident management along with other complementary
services. This transaction is part of the overall growth strategy of Hertz to provide the most flexible
transportation programs for corporate and general consumers. Additionally, Donlen brings to Hertz a
specialized consulting and technology expertise that will enable us to model, measure and manage fleet
performance more effectively and efficiently.
Customers and Business Mix
We categorize our car rental business based on two primary criteria: the purpose for which customers
rent from us (business or leisure) and the type of location from which they rent (airport or off-airport). The
table below sets forth, for the year ended December 31, 2012, the percentages of rental revenues and
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