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Smaller is better: Alamo officially “reclassifies” its cars under new ownership

September 8, 2009

ishot-1“I’m a long-time agent with Alamo,” the email began. “I’d rather remain anonymous, if you don’t mind.”

He had seen a recent complaint on this site about a company location changing its car classifications to save money, and had some disturbing news: Alamo was overhauling its categories company-wide.

Apparently, less is more.


Here’s what the agent said:

Alamo, which was recently bought by Enterprise, did a universal car class change to match all three sister companies categories. Enterprise converted Alamo/Nationals categories to mirror the way they categorize their vehicles.

The G5 (A Cobalt disguised as a Pontiac) is a midsize.

They’re considering the Toyota Yaris hatchback as a compact.

The Ford Focus is also considered a midsize.

The Mitsubishi Gallant, now a fullsize.

The Chevy Equinox, traditionally a midsize SUV, now a standard SUV.

Hang on. Who cares about these reclassifications?

If you rent from Alamo, you should. Because the classifications don’t match the manufacturers car class designations, or even your own understanding of a vehicle’s size.

The first three categories are a blur. The midsize may truly be no larger than the economy. The new class added “standard” now has the Pontiac Vibe, bumped up from midsize and the Toyota Matrix.

What’s more, Enterprise has a commanding market share, and its moves are sure to be followed by the other car rental companies, says my source. “I’m sure Hertz, Avis/Budget, Dollar/Thrifty will soon make similar changes as they’ve done within the past few years,” he adds.

If you’re wondering why I’m giving an anonymous source such prominence in a posting, it’s because … well, he’s right. I checked with Alamo, and it acknowledged that it had reclassified the cars. But it says the change isn’t out of line.

Our own criteria for determining car classes start with dimensions, but also take into consideration seats and cargo space, as well as a manufacturers’ selling price.

This process allows us to price cars differently and reasonably — for example, a Mini Cooper vs. Chevrolet Aveo — even if they have similar dimensions. We also sometimes charge higher rates for vehicles that are new and novel (like the Dodge Challenger), because manufacturers charge significantly more for some select new entries into the market, especially if they are in short supply.

Vehicle classes in the car rental industry are subject to change — car rental companies’ criteria and fleet make-up may change over time. And, reflecting the car industry’s inherent competitiveness, such criteria also varies from company to company.

My Alamo insider has another take on it: “It’s a lesser product.”

I think Enterprise has the right to reclassify its Alamo fleet any way it wants to. And its reasons for doing so make some sense. But car rental customers need to be aware that when they rent a car, they may not be getting what they think.

Read the car rental classifications carefully before making a reservation.

Christopher Elliott is the author of Scammed: How to Save Your Money and Find Better Service in a World of Schemes, Swindles, and Shady Deals. Critics have called it “eye-opening” and “inspiring” — it’ll “grab your attention and won’t let go.” Order your copy now on Amazon, Barnes & Noble or iTunes.

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17 comments

  • Joe Farrell

    When you make a car reservation – you need to check EVERY classification of cars.

    The [incorrect] assumption that everyone makes is that the smallest car is the least expensive car. Not any more. And not for many many years. The least expensive car is the one they have the most left to rent. Thus, you need [if making a telephone res] to ask for the least expensive car – not the smallest car.

    For years we would get the large behemoths for rent in Hawaii for less than the price of a compact because EVERYONE thinks they want a compact or economy car on vacation.

    So – always price EVERY car from a different browser to avoid the inevitable cookies – or turn off cookies while browsing for travel to avoid them and get the best price.

  • Szymon Krasucki

    FYI – National (since it’s also owned by Enterprise) did the same re-classification as well.

  • KF

    I recently rented from Enterprise and was charged $5 a day extra because the compact I rented had power windows and doors.

  • Carver

    It sems reasonable to me then when a company is purcased by another the new owners will revamp policies and procedures to standardize them across the board.

  • Joe Farrell

    Dear KF: when they told you that you should have said no. Bring me a car without power windows and door locks. They’d waive it.

    The first job I turned down out of college was working for Enterprise. They were a scam back then – I was offered minimum wage, plus 20% of single category upsells, plus 40% of insurance plus 50% of anything else I generated over the original reservation. you needed to work 50-60hr sper week but they only paid you for 40 and to add insult to the injury they only paid you the upsell on the stuff during the 40 hour work week so they had no records of the OT.

    Why do you think that 95% of their workforce is under 25? Anyone older than that figures it out and leaves for a real job.

  • EEH

    At one time, I used Enterprise frequently, and I figured out that the only difference between the economy and compact levels are things such as manual vs. power windows/locks. So if you don’t mind a small, basic, stripped down car, reserve at the economy level. If you want more than that, you have to go higher, starting with the compact level.

    Joe Farrell, you are absolutely correct about their workforce. I had one guy try to get me to initial all the areas for their insurance on the agreement without telling me what I was agreeing to first. Because I was an old hand at renting from them, I knew better and I was pretty ticked off at him.

  • SeaJimm

    I noticed the same change with National last week. I also had a recent experience in Burlington, VT where I had reserved a full size car, Chevy Impala or “similar”. I had four people and luggage for a week long vacation and wanted a spacious car. When I arrived I was offered a Nissan Altima. I said that is not a full size car. I was told that for Burlington it was. The Altima is similar to the Impala I was told. I said it was similar in that both cars have 4 doors and 4 wheels. I walked out to the lot and saw an Impala. I went back to the counter and after a lengthy discussion, I was given the keys to the Impala. I was told that it was “reserverd cor corporate customers”. I guess being a Executive Member with National was not enough initally. I was told by the agent in Burlington that I should call ahead to ask about the cars being stocked at smaller locations.

    I did contact National Corpoate customer service after the rental. I was told that the Altima and Impala are both full size cars because they are similar. I asked if similar included engines. The response was yes. I pointed out that all of the Altimas are 4 cyclindes and the Impala was a V6. I never got a response. So the lesson here is that status does not matter and rent elsewhere.

  • Kevin M

    I don’t have a problem with the rental companies classifying cars any way they want. BUT… I think they should have to post a complete list of models they carry in each class. Not that we can guarantee a particular model (that’s what the “or similar” language covers), but I want to look at the list and see where they classify, say, a Toyota Camry, or a Nissan Altima, or whatever. Then I can at least pick a category that has a range of choices I like.

    All too often the identified “type” car is fine, but most of the “or similars” are anything but similar – in handling, in styling, in anything.

  • Jim J

    These days, car rental companies have a difficult time renting all of their inventory. I have a reservation with Alamo for a midsize car during a five day period in late September. I just looked at my confirmation and it says Pontiac G5 or similar. I didn’t know what a G5 was until I read the comment here that says it is a renamed Chevy Cobalt. To me, a Cobalt is a compact car and I want something larger for my trip. I plan to rent from another company and cancel the Alamo reservation. Chances are that the car that I reserved will be sitting unrented during that long weekend. If \enough people do this, Alamo (and National) will have to go back to using the former classifications.

  • wendy

    Hopefully, CAPITALISM is still alive and well…….. we can make choices, and at this point, it would be to avoid the ENTERPRISE group!./ Thanks for the info.@!!/

  • John Vance

    As long as Alamo / National keeps their lenient policies about the use of debit cards, I will be a customer for life!

  • FL Traveler

    This goes along with the story (above) about the electric locks/windows: Recently rented from Hertz in Albany (NY). They did not have what I had reserved (of course) and they tried to charge me extra for a serus radio (did I spell that right?) I told them no, what else do you have? I had prepaid and got a really good price — I think they were trying to add to the bill because of it. I ended up with the same car with the “special” radio but at no extra fee.

  • Anthony

    The EPA already has standards for vehicle sizes, which IMHO the rental car companies should follow.

    EPA recognizes the following categories:
    Two Seater
    Minicompact
    Subcompact
    Compact
    Midsize
    Large Car
    Small StationWagon
    Midsize Station Wagon
    Sport Utility Vehicle
    Minivan
    Small Pickup Truck
    Standard Pickup Truck
    Van Cargo
    Van Passenger

    Those standards are written into regulations for EPA gas mileage evaluations; you’d think the rental car companies would also follow those standards as well since when most of us rent cars, it’s about how big/small the car is.

  • Ron Dolton

    Alamo/Enterprise are not alone.The last 2 rentals from Hertz were prepaids for a fullsize(Chevvy Impala or similiar).On both occasions I have been given a Chevvy Malibu.Now the car guide at the renting desk shows the Malibu as a Standard car.But no amount of pleading got a change.And I am a Hertz No1 gold card holder.A complaint to Hertz afterwards got the response-the Malibu is now considered a full size vehicle.

  • james

    This pi$$ed me off. A compact in the past always meant I would have keyless entry. I paid for a compact and they gave my wife a Hyudai Accent at the Enterprise at John Wayne Airport (SNA) Orange County, CA. Budget, Hertz and Thrifty consider the Accent economy and they salesman introduced it as economy. Always trying to up sell, well I already paid. Give me what I paid for.

  • Tom

    I don’t think you will have to worry about the Pontiac g5 anymore. Pontiac is gone. GM sent Pontiac to the great beyond along with Oldsmobile, Saturn and Hummer. Lots of people rented Pontiacs and spoke well of them as rentals, but very few people ever bought them. That’s why they were a staple of rental fleets for at least two decades.

  • http://www.movingtruckrental.com/ movingtruckrental

    be wise in choosing your car rental, van rental and your moving truck rental. thanks for sharing.  

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