Avis 2009 Annual Report Download - page 11

Table of Contents
We operate approximately 770 Budget car rental locations in the United States, Canada, Puerto Rico, Australia and New Zealand. In 2009, our
Budget car rental operations generated total revenue of approximately $1.6 billion, of which 88% (or $1.4 billion) was derived from U.S.
operations, including locations which are operated by our third party agency-operators. We also franchise the Budget System to independent
business owners who operate approximately 1,030 locations throughout the United States, Canada, Latin America, the Caribbean and parts of
Asia. In 2009, approximately 89% of the Budget System domestic total revenue was generated by our locations with the remainder generated by
locations operated by independent franchisees. Independent franchisees generally pay royalty fees to us based on a percentage of revenues.
The table below presents the approximate number of locations that make up the Budget System:
Budget System Locations
In 2009, Budget derived 29% and 71% of its domestic time and mileage car rental revenue from commercial and leisure customers, respectively,
and 79% and 21% of its domestic car rental revenue from customers renting at airports and locally, respectively.
Budget is a leading rental car supplier to the value-
conscious segments of the industry. Budget offers its customers Fastbreak, an expedited rental
service for frequent travelers, which operates much like Avis Preferred, as well as where2 navigation systems and Roving Rapid Return, as
described above. Budget also offers the Budget Small Business Program, a program for small businesses that offers discounted rates and central
billing options, and Unlimited Budget, a loyalty program for travel professionals established by Budget over ten years ago.
Reservations
Customers can make Avis and Budget reservations through our Avis and Budget websites at avis.com and budget.com, through our reservation
centers (also referred to as contact centers) toll-free at 1-888-777-AVIS and 1-800-BUDGET7, respectively, through online travel portals,
through selected partners, including many major airlines utilizing direct connect technology, through their travel agent, or by calling a location
directly. Travel agents can access our reservation systems through all major global distribution systems (GDSs) and can obtain information with
respect to rental locations, vehicle availability and applicable rate structures through these systems. Customers booking multiple vehicles also
have the option to book through our car rental booking engine on Groople, an online travel booking resource tailored to customers traveling in
groups. In 2009, we launched a mobile iPhone application, a free interactive tool that allows customers to book reservations via an Apple
iPhone, which is designed to save our customers time and enhance their rental experience, and also introduced Pay Now on the Budget website,
which allows customers to prepay for certain vehicle rentals at discounted rates.
Marketing
Avis and Budget support their premium and value brand positions through a range of marketing channels and campaigns, including traditional
media, such as television, radio and print advertising, as well as Internet and
6
U.S.
International
Total
Our Budget company-owned locations
(includes agency
-
operated locations)
600
170
770
Our Budget franchisee locations
220
810
1,030
Our total Budget company
-
owned and franchisee locations
820
980
1,800
Avis Europe locations
-
900
900
Total Budget System Locations
820
1,880
2,700
*
Location counts are approximate.
*