Hybrids are being checked out by operators for all their financial benefits. The federal government had previously sweetened the pot by offering tax incentives to owners of the vehicles, but that is changing now. The
LA Times reported on how tax incentives on popular hybrid vehicles will be going away soon. It's important to weigh and balance everything that goes into your buying decisions.
Part 1 in LCT Managing Editor Jon LeSage's "What It Takes for An Operator to Succeed" series, focusing on associations in chauffeured transportation, business travel, green fleets, and your local business community that will lead to more referrals and trip bookings.
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Ever-increasing gasoline and diesel prices make the public and transportation business owners feel frustrated and powerless on a weekly basis. And being an elected official criticized for not doing anything about the crisis is also a stress machine. A
New York Times article lays out the heated argument in Congress. As the story says: "Fourth of July fireworks came early on Capitol Hill."
LCT's Jon LeSage shares insights operators have given him during the past three years during interviews, attending events, chatting and socializing, and staying up on news and company announcements. It's been inspiring for him to meet industry veterans and up-and-coming entrepreneurs who want to share their experience with others. He's found out that this industry does more networking and communicating than any other he's covered.
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GREEN WEDDINGS: Operators getting into the green scene might want to see a new web-based publication called
Carbon Offsets Daily which has a slogan: "For business leaders to keep current with a fast-moving marketplace." Today there's a link to a New York Times story about a Cambridge, Mass-based travel company called Elevate Destinations that offers eco-friendly honeymoons. It's amazing how much this green trend is spreading out so quickly.
HALLOWED BE THY HYBRID? That's been the green mantra about hybrid cars, but yet
another study at least questions whether most hybrid vehicles can save owners money. Chauffeured transportation operators need to proceed cautiously and focus on these key questions: Does a hybrid vehicle purchase make financial sense? What's the point if maintenance costs outweigh or cancel out the fuel cost savings? Is the public relations payoff and good-green housekeeping seal of approval enough to make fleet hybrids worthwhile? That's obviously an individual decision for each operator based on economics and customer demand. Putting up with costly hybrids may be worth getting those corporate contracts that insist on green products and practices -- whether the green stuff really helps or not. -- M.R.
Fleets can reduce harmful greenhouse emissions while lowering operating costs, according to a new paper by Networkcar, a leader in wireless fleet management. The new paper, entitled “Go Green and Save Green,” details the six areas that can significantly reduce fuel consumption and lower air pollution...
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BAD REPORTING: Journalists and numbers tend to be a bad combination, resulting in some egregious errors. The limousine and livery division of Ford Motor Co. recently got hosed by an article in the Financial Post, a Canadian newspaper, on its Lincoln Town Car production. The article, circulated by the CanWest News Service, ended up on LCT's Driving Force e-newsletter last week. Read the straight story below.
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"The failure of the U.S. transportation network to meet the needs of a growing population and economy is already having an impact on everything from safety to the environment, from quality of life to economic growth. We must immediately reform the approach we take for funding, planning, and building infrastructure so that we can keep people and goods moving across the country and around the world." So says Thomas J. Donohue, president and CEO, U.S. Chamber of Commerce.
Click here to read his commentary and intense reader reactions.
Contributing editor Jim Luff shares his perspective in a behind-the-scenes look at LCT's annual planning session, business meeting, and team building.
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Promo Magazine
just ran a story on Kraft Foods promoting a limousine ride to winners of a game marked on Post Honey Bunches of Oats cereal boxes. The story doesn't clarify what operator will supply the game winner with transportation, but it is very interesting to see how chauffeured rides are commonly being given out these days to contest winners, event attendees, and visitors to travel locations. Just something for you to think about: cutting a deal with local tourist hotspots and event planners offering limo rides to winners as a good way to market your company.
"Carbon footprint" is a phrase you hear people say all the time, and read in green fleet stories. Is it a good one? Does it make sense? As the New York Times says, "In some ways carbon footprint is not an especially good metaphor."
Read on for more on the subject.
Here's
a site to visit if want to read the latest on what's happening with airports and airlines: a topic that affects many chauffeured transportation operators. As airlines cut down on their flights to save money on jet fuel and other expenses, operators are losing some of their bookings. Staying posted is important these days.
BLACK TIMES: As businesses find it harder to stay in the black with the soaring price of black crude, previously unnecessary or unwanted alternatives are being considered: regulating speculators, drilling for more oil, taxing SUVs, begging the Saudis, ditching ethanol and biofuels. . . The limousine and chauffeured transportation industry needs to keep abreast of these oil developments and pay attention. Here is a Q&A that helps shed some light on the high prices.
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He looks like such a nice guy, but is he ripping off the public? That's the claim made about North Carolina Governor Mike Easley
in the Charlotte Observer. The state spent $61,000 for daily chauffeured Mercedes rides for the governor and his wife. Is this reasonable for state taxpayers to cover? And how many chauffeured trips are they talking about? The point here is that chauffeured rides are being mentioned in the newspapers regularly these days as an example of misspending of tax funds. That is not good for the industry - keep it in mind as another topic for explaining the positive points on why elected officials and government agency managers are making a smart, effective move using chauffeured transportation.
New Jersey's Star-Ledger
ran a grim story about a New Jersey man who will be sentenced today for raping a limousine driver last year. Unfortunately, safety can be a crisis point for companies in this business, and having top security procedures and protocols in place is a must do. What does your company do? Feedback is always good to read.
If you're thinking about getting business through private airports, check out the National Business Aviation Association
website. Jet charter companies and corporations and individuals who do a lot of private plane trips are very interested in getting chauffeured rides to and from the airport. Some operators are growing leaps and bounds entirely through this market. The NBAA is the major industry association and offers seminars, events, and information that can help you.
Ever heard of A Girl's Night Out Limo in Kansas City? We hadn't until now. The operator just won an award through the
U.S. Local Business Association's "Best of Local Business" award program. A Girl's Night Out Limo is an NLA member and has a
glamorous website. Not only that, the company has been getting
rave reviews from clients. Pretty cool, huh?
BRITISH FLAIR: The Jaguar XJ Diesel once again ranks as the
greenest luxury vehicle in the United Kingdom. For a review of the Jaguar XJ Diesel,
click here.
Aside from a few
stretch limousines, Jaguar has yet to make many inroads into the U.S. livery and limousine industry.
The latest reports from the U.K. show a gallon of diesel costs about $9 a gallon. What takes the edge off that price, however, is the fact that diesel gets better mileage than gasoline.
As Americans fume about $4-$5 a gallon, the greening effect of pure black diesel looks increasingly like a viable alternative. Compared to the diesel vehicle wave of the late 1970s, current diesel engine models run quieter, burn cleaner, and accelerate without hesitation.
And while $5 a gallon gas seems unthinkable, Europeans survive -- and profit -- with much more expensive gas and diesel. -- M.R.
BRIGHT LIMO FUTURE? Limousine operators with growing revenue usually go to industry shows to look for minibuses, vans, coaches, SUVs, sedans, hybrids, and alternative-fuel vehicles, but not so much for stretch limousines these days. Teenagers going to proms and other kids out for concerts and nights on the town are not too concerned about getting a green car or a corporate bus. They'll take a party bus, or a super stretch, or a traditional limo as long as it's packed with blasting audio and bright shining video. So maybe stretch limos aren't going to go away for good. As Ed Kahakauwila, president of LA Limousines in Victoria, British Columbia
just told a newspaper reporter, "It's still the splurge for kids. Green just doesn't register."
AMERICAN INVASION: What can be more inspiring than the sight of an American-style limousine in London?
Our British brethren appear to embrace American limousines with enthusiasm, so much so in fact, that 40 percent of stretch limousines on British roadways are considered illegal.
A recent article highlights the
industry woes amid encouraging signs that demand for stretch limousines remains strong.
Now the British face the vexing trade-offs that many industry associations contend with across the U.S.: How do you regulate the limousine industry enough to ensure fair competition and safety, but not so much that you stifle businesses and entrepreneurship?
Tiger Woods limped his way through to another U.S. Open victory on his surgically repaired left knee yesterday, in a final playoff round with Rocco Mediate at the Torrey Pines South Course in San Diego. While it certainly wasn't the first major tournament he's ever won, it was inspiring to watch him overcome such pain and up-and-down results (birdies then bogeys), and finally win when the odds were against him. Everyone trying to find success in life can relate to going through difficult, painful moments. Congratulations Tiger.
What a story!
DOING THE NUMBERS: Have you seen the new Fact Book yet? Jim Luff got to read his copy, and has plenty to say about how he compares his operation against the nationwide industry, and when he has to dismiss other numbers that don't apply to him.
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ROUGHER ROAD: Tighter economic times can heighten competition even as businesses and consumers suffer.
One limousine company in the Los Angeles region has sent out a card mailer that states: "Why take a taxi when you can ride in luxury for a comparable price?" It then includes a
detailed price list on the other side that shows rates to area airports from various cities. In all cases, the rates are either the same or slightly more than a cab.
This isn't an original idea, but there definitely needs to be more of it. The limousine and chauffeured transportation industry must be more aggressive in marketing chauffeured sedan conveniences to the traveling masses. Most people simply DO NOT KNOW about the benefits and conveniences of a chauffeured sedan compared to a taxi or shuttle van. Once experienced, many likely would never go back to the
lurching yellow beasts. There is a misperception that chauffeured vehicles cost too much, and are the exclusive preserve of the wealthy. To counter this, operators should seriously pursue the increasingly frustrated, exhausted, and exasperated air traveler who could use the comforts of a Town Car to offset the miseries of coach sections. -- M.R.
UP, UP & AWAY: United Airlines will charge passengers on domestic flights $15 each way for the first checked bag, following the lead of American Airlines, and other airlines are likely to do the same. In addition, overweight bags, third bags, or items that require special handling will increase from $100 to $125 or from $200 to $250, depending on the item. Read all about it.
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JUNE GCLA MEETING: One of the leading concerns among operators at the June Greater California Livery Association meeting near LAX is the prevalence of illegal operators in California. One operator along the Central Coast reported counting about 25 illegal limousine and sedan operators in his local phone book.
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GOOD & BAD NEWS: "Reduced capacity, growing fares, crowded planes and airport congestion are propelling a growing number of corporations to eye air travel reductions this year and explore remote conferencing capabilities to substitute non-strategic business trips, the Association of Corporate Travel Executives said today." Click here to read the BTN article.
Revising and updating websites matters a lot these days. Rose Chauffeured Transportation, based in Charlotte, N.C., just put out a press release announcing its website upgrade:
In another phase of strategic marketing that began this year with updated marketing and sales literature, Rose has launched a redesigned website created by the collaboration of LA Management and Asterisk Creative. The website is designed to provide the user with more helpful information about the products and services offered. By focusing on corporate business, group and events, and by featuring technological advances in dispatch and communications, Rose has given web browsers the information to select, and book transportation that meets their individual needs. The roll-out of the new web-site enhances the 24/7 availability of the company, and makes it convenient for consumers to choose how they want to communicate their transportation needs.
Also featured on the website is Rose's 2008 Operator of the Year award that was presented at the Limousine and Chauffeured Transportation Magazine's Annual Dinner in Las Vegas. Rose Chauffeured Transportation was founded in 1985 by HA Thompson and has been grown to become the largest chauffeured transportation company in the Carolinas.
Click here to visit the new site.
A-1 Limousine, based in Princeton, N.J., hosted a corporate get-together in the New York Yankee Club and Conference Center. And was part of a nice write-up in a New Jersey newspaper.
Click here to read and learn why you should consider publicizing your sponsorship deals.
YOU GOTTA BE IN PICTURES: We hear that blog visitors love to see nice photos of themselves, associates, friends, and people they've met before - with big smiles and colorful backgrounds. Thanks very much to Create-A-Card for shooting and sending out these photos, and to Valera Global for taking some fine ones on Bob Mackasek's new camera. Leadership Summit is a popular event - take a look and see why, along with listening to some Caribbean background music.
GCLA AGENDA: A lot of ground was covered and many issues highlighted at the monthly Greater California Livery Association meeting last night near LAX, but as is often the case at such events, the cocktail conversation proves more insightful and delicious. We will get to the serious stuff a bit later so we can troll through the Hollywood goodies gutter first.
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MEETINGS, MEETINGS, MEETINGS: Jim Luff on why he spends four hours on the road just to attend GCLA meetings. As he says, "there just is no substitution for face to face development of friendships over a glass of wine."
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Wanna seem some
good photos from the last LCT Eastern Conference? The next one is coming up soon, Sept. 11-12, if you want
more details. And before that, the first ever
LCT Canada is happening. We are looking forward to both!
RULES AND WAYS: A Business Travel News
article refers to new strategies and procedures operators must follow in order to secure contract business. It serves as another example of the effects of corporate belt-tightening and rising fuel costs.
STRAIGHT TALK: The more we hear and see of greening efforts, the more we must conclude that this industry definitely does not suffer from Prius envy. The CEO of Royale Manufacturers offers a much-needed antidote to the Prius bubble. This is a welcome follow-on to Dav El CEO Scott Solombrino's recent branding of carbon credits as a "flim-flam." Operators need to get mean about green, and not accept every fad that comes along. -- M.R.
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MUDDING IN ELEGANCE: Today we explore the world of 4-Wheelin' livery and limousines, a market niche that appeals to a distinct, but
not discreet, clientele.
These monster truck stretches bring limo comforts to the offroad hinterlands.
This company already offers one in its fleet. We at LCT foresee some new opportunities.
For example, outdoors types can get to any remote campsite in chauffeured convenience.
Tired after hiking all day? Have the truck limo pick you up at the end of the mountain trail.
These mega 4-wheelers also could be preferred transportation for bachelor parties: Just take it out for some group
mudding before hitting the strip bar. Or the sports bar.
The monster limos would get instant credibility on any sports bar pub crawl. No patron would ever think it's too dainty or snobby. As to the wedding market? Somehow this one doesn't match most bridal dreams. -- M.R.
CRIMINAL HISTORY? Operators would be required to check drivers' criminal records if recently filed legislation becomes law in Massachusetts. Once authorities found out a registered sex offender with a suspended license had driven kids to a prom,
Rep. William Lantigua, D-Lawrence, filed the bill. Click here to read the story.
GLOBAL BUSINESS: During a luncheon at LCT Leadership Summit last week, operators shared insights on doing business in growing international markets. Here are a few of the points made...
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BACK TO BASICS: Top industry executives recently offered a primer on fuel savings for operators. While much of it has been said before, it cannot be said enough. Each operator should be following these common-sense practices.
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A Minnesota city may ban neon-colored portable signs used on limousines. Maybe that's not so bad...
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SOUTH BEACH RETRO COOL: As the LCT staff peruses the pictures from the Leadership Summit this week, there is one that stands out: LCT Publisher Sara McLean and Alexander Rhalimi, president and CEO of
Casablanca Coach Chauffeured Transportation Worldwide of Boston.
Seems as if Alex best captured the Miami style and spirit this week among the 100-plus attendees during the opening night luau at the Ritz-Carlton South Beach.
Look for a profile on Alex and his company in a future issue of LCT Magazine.
When you search for news stories on the Internet with keywords like "limousine" and "chauffeured transportation," you start to get a bid jaded and worn out. A lot of the stories are negative, many of them not a big deal, some of them sad and tragic. Illegal operators, barely-get-by startups, and consumers complaining to local newspapers are the focus of many. It's very cool to read well done articles on what's happening in the business, with quotes from industry leaders. Yet, the majority tend to focus on the other side of the coin.
Here's a story about a newly married couple in Iowa who didn't get their wedding limousine and complained about it. A sad little story.
ELONGATED EXCESSES: Well are we supposed to be impressed or something? Generally, we don't like to trash limousines unless it's absolutely necessary. But these are a travesty:
world's longest limos. Freaky. While we support the advance of sleek livery machinery all over the world, these behemoths are a bit burdensome. A Hummer or a Craftsman is about as far as the industry should stretch it. -- M.R.
Here are a few of the interesting tips and pointers we heard during LCT Leadership Summit...
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JIM LUFF REPORTS: While we were out at the Ritz-Carlton in South Beach, Jim Luff was finishing up his vacation time in California. At the end, it wasn't a good experience due to lousy service by hotel staff. What did Jim get out of this?
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SUCCESSFUL SUMMIT: We took plenty of photos at the LCT Leadership Summit in Miami Beach and wrote down lots of names. To see a sampling from a two-page hot-shot spread in the upcoming August issue of LCT, please click below. (We'll contact you if we have a photo worth some blackmail). Enjoy. . .
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GIVE US MORE MIAMI HEAT: "Do we really have to go back? Can't we stay longer? Why can't we make it a week?" LCT Editor Martin Romjue sounds off on the industry's premiere event.
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Well, we're finally back from LCT Leadership Summit and ready to post some more LimoLicious! Operators loved the Ritz Carlton South Beach, seminars, beach volleyball and WaveRunner rides, and festive outings to Lucky Strike, Mansion night club, and dinner at Mango's Tropical Cafe. We've presented a few of the photos here for you to see - more coverage will come out soon.
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