Car Program Analysis
Our relationship with JEOL
JEOL is a world leader in electron optical equipment and analytical instrumentation for high-end scientific and industrial research and development. FCM has managed their travel program for its 300 employees in the US for more than a decade.
FCM recently completed a detailed car analysis to determine if JEOL should change their preferred car vendor. JEOL spends approximately $185,000 in car rentals on an annual basis. The contract with their preferred car vendor had been in place for 10 years. While there were very few reported service issues during this time, some JEOL travelers were experimenting with other vendors and found the service to be better than their preferred vendor.
In order to determine if JEOL could obtain lower pricing and better service options through a new vendor, their FCM Account Manager requested proposals from other car vendors. As part of the car program RFP, their Account Manager provided bidders with detailed reporting from FCM’s proprietary ClientBank reporting tool. FCM provided historical data on JEOL’s travel volume, top city pairs, list of car rental destinations, car rental summary and detailed car transaction reports.
Since JEOL had a long-standing relationship with their existing car vendor, they were concerned about making a change and the impact it would have on their travelers potentially losing status and points they accrued over time. They were also concerned about the additional time it would take to implement the service change and impact it would have on their employees.
The goal of the car program RFP was to ensure JEOL could secure a car vendor that allowed them to:
- Obtain a lower daily rate with insurance included.
- Lower city surcharges.
- Ensure status matches for top travelers.
- Improve traveler satisfaction.
FCM received a positive response to the car program RFP for JEOL. After JEOL’s FCM Account Manager led several discussions with the top bidder, a new car vendor was selected. As part of their contract, the new vendor was able to:
- Reduce JEOL’s daily rate and daily surcharge in many of the top rental cities by several dollars.
- Provide status matches that were equivalent or better than the existing status.
- Offer more top tier status matches than the previous provider.
In addition to lower rates and status matches, the new car vendor facilitated an effective implementation plan with links to communications and an enrollment link for JEOL employees to join the new membership program. JEOL’s FCM Account Manager assisted with distributing communications to all JEOL employees explaining the change of preferred car vendor.
Once the program was up and running, JEOL received positive feedback from travelers because of improved service and convenience. Now 5 months into the new car program, the new vendor’s lower daily fees and city surcharges has already saved JEOL more than $6,000. Overall service has also improved over the previous vendor, so this is a win-win change for JEOL.