North Dakota does the best job maintaining its roads and bridges and New Jersey has the worst-performing, least cost-effective highway system in the nation, according to an annual Reason Foundation study that measures each state's road conditions and expenditures. Massachusetts' roads are the safest; Montana's are the deadliest. Across the country, 24.1% of bridges are deficient or functionally obsolete. The Reason Foundation
presented the report to the public, full of state comparison charts, if you're interested.
NOT THERE YET: No matter how much they worry and wring their hands, the economic doom and gloomers just can't get a break.
Latest reports show the economy still somehow manages to grow despite all the self-desiring prophecies of a recession. At LCT Magazine, we've heard enough anecdotal tidbits from operators who are making decent year-over-year revenue and/or profit increases to make us conclude that this industry is not quite in the doldrums. In fact, 95 percent of Americans are still employed; 96 percent of homeowners are paying their mortgages. . . With all the fear and scare talk, maybe more consumers should just chill out in a limo about the town. -- M.R.
NEW POLL: When 51 percent of people living in California -- one of the most ecologically correct, environmentally zealous, and politically liberal states in the union -- say they want to drill for more oil offshore, something significant is happening: Reality.
San Francisco Chronicle poll here. As much as chauffeured transportation and other sectors of the industry want to go green, oil and gas will always be part of the mix. Fleets may increasingly become more green, but a certain percentage of our transportation spectrum will operate on fossil fuels for years to come. So let's not junk those stretched, premium-sipping, limousines just yet -- we'll need them as much as we'll need hydrogen, hybrid, fuel cell, propane, CNG, and electric vehicles in the future. Power to the people. -- M.R.
Most operators buy used fleet vehicles to lower their acquisition costs - Town Cars and Cadillacs, stretch limos, vans, SUVs, and buses. This inspired LCT to start up the
Car Consignment Corral at the upcoming LCT Eastern Conference. This will be an outdoor used vehicle display and a chance for operators and dealers to buy and sell. Should be fun, and a good opportunity. And it's another reason to attend the 5th annual LCT East at the popular Mohegan Sun Resort and Casino in Uncasville, Conn.
Just like everyone else, operators are deeply affected by natural disasters, and yesterday's L.A. earthquake raised the issue again. Fortunately, no one was injured and no property damaged, at least with what's been reported so far. The hurricane that hit New Orleans and other south coast shores in 2005 was a different story. Some operators were very involved in rebuilding transportation in the area after the disaster, and some were driven out of business. Having a disaster recovery plan should be on your Things to Do list - you never know what could happen. The
U.S. Small Business Administration website offers some useful content on disaster assistance.
Jim Luff discusses his recent insurance audit and offers advice on how to prepare for the site inspection.
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The 40th annual National Business Travel Association (NBTA) convention is happening right now in Los Angeles, and LCT editors are attending.
Click here to read all about it - speakers, seminars, press releases, etc. EmpireCLS put out a press release on its green program, and there are other announcements to look at.
It's coming right up again: the 5th annual LCT Eastern Conference at the Mohegan Sun Resort & Casino in Uncasville, Conn. The LCT Events department has just put out this press release with information on the two-tier conference line-up, designed for small and start-up operators and larger fleets.
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Traffic and weather conditions are always on the minds of chauffeurs, dispatchers, operators, and clients. There are a lot of online sources on these subjects tied into wireless hand-helds and computers.
This weather site is helpful to visit and is owned by the Weather Channel, which has been the main source of news on the subject on cable TV for many years. Hope the weather is nice in your town. You might need to read a three- or 10-day weather forecast and revise plans accordingly.
You might want to check out
Traffic.com, which offers free traffic updates anywhere in the U.S. Find out about your drive time, get directions, and guidance on avoiding traffic jams, collisions, and road construction. You can also read about upcoming events in the area such as concerts, festivals, and sports. Having up-to-the-moment traffic info is essential in this business, and these days Internet access can come through office computers, laptops, cell phones, and PDAs. (And a second web source will be offered later today in LimoLicious on another important topic for daily driving.)
Ontario Association: It was great for LCT editors to meet officers and members of the Ontario Limousine Owners Association, who were in attendance this week at LCT Canada. Some of these people have been well known (Craig McCutcheon and Joe Ironi) and other officers were met for the first time (Casey Jason and Phil Bozzelli).
Click here to visit the association website, see a list of officers and board members, read the Official Limousine rental guide for Ontario, view a list of sponsors, and other info. This is the biggest industry association in Canada, and does a lot of service work for members.
Ford's Limousine & Livery Manager Doug Walczak is sending out a letter to the industry on the "black car" MPG rules in New York City, and a method for changing over Town Cars and not having to only purchase hybrids. His detailed letter is presented here and is valuable for operators to read.
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HOPE ON THE HORIZON? Oil futures aren't looking to good -- for the speculator dogs, that is. This
L.A. Times blog offers hints that the price of oil is about to plunge off a cliff. That would be good for all sectors of transportation. We only hope that the speculators lose so much money, they'll have to get jobs washing limos. -- M.R.
COMMONWEALTH CEO PRAISES NEW BOSTONCOACH CEO. . . . SAID: NO BAD BLOOD. . . A GOOD MOVE. . . NOT A SETBACK FOR COMMONWEALTH. . .
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LCT editors took pictures of Canadian attendees, speakers, Canadian Operator of the Year award nominees and winner, and other cool stuff. If you want to see more photos and read more about LCT Canada, look forward to the upcoming September issue. For now, here are a few...
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LCT CANADA was a feast for a foodie. Learn some new menu terms to impress those chauffeured luxury clients. . .
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BACK FROM TORONTO, Martin Romjue, editor of LCT Magazine, sounds off on the first-ever LCT Canada event and confronts those questions that could drive one to drink . . .
(PHOTOS ON THE WAY THURSDAY AND FRIDAY)
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WE'RE BACK: Jim Luff shares his "behind the scene" experiences from LCT Canada. Our conference for Canadian operators was filled with surprises starting with a 5:00 a.m. hotel fire.
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CLARIFICATION: Old media is backtracking on an outlandish comment they reported on Al Gore saying the U.S. needs to be "oil free in 10 years." Turns out, he didn't say
exactly that. Al Gore makes so many exaggerated remarks that you have to forgive anyone from hearing the worst. Leave it to his admirers and defenders in old media to always have his back. But we still wouldn't trust him as far as we can stretch a limousine. -- M.R.
NEW INDUSTRY LEADER HAS CHAUFFEURED EXPERIENCE: BostonCoach, the fourth largest chauffeured transportation company in the U.S., has just named Larry Moulter, who ran Moulter Associates, as its new CEO and president. Moulter provided strategic consulting services to companies such as Dunkin Brands and EMC, and served as a senior advisor to Commonwealth Worldwide Chauffeured Transportation of Boston, owned by CEO Dawson Rutter. Moulter succeeds former CEO
Jonathan Danforth, who left the position in January.
COO Mark Munoz had been running BostonCoach in the interim.
Click here to read the press release. -- LCT editors
... you have to take care of your tires. Bad things can happen when this isn't done.
Here's a tire tip article you might want to read, or assign staff members to go over, that offers tire purchase and care-taking pointers.
ENVIRONMENTAL HALITOSIS: Al Gore's radical rhetoric has reached the point that not even a jug of peppermint Scope can cool it off.
In response to some of his recent tirades, the American Coalition for Clean Coal Electricity (ACCCE) has responded with a
voice of reason to Gore's unreasonable positions.
As the chauffeured transportation industry and limousine manufacturers weigh green alternatives, they must seek out and support those moderate, economically viable approaches to developing diverse energy resources while cleaning the air and improving gas mileage.
Gore is no friend of this industry, nor much of the energy industry for that matter. With all that hot air and brimstone, we must keep him away from the limousines -- and the forests. -- M.R.
ETHANOL EXTREMISTS: One of the few things that truly infuriates us here at LCT is what we call the Grand Ethanol Scam of the 21st Century. So we hold our noses and link to
this press release to show the abundant misinformation that still exists on ethanol. We've already debunked many of these points in previous posts (just click on the Going Green category). But it cannot be said enough how the American taxpayers, the agricultural industry, and automakers have been duped into spending money and wasting energy on a dead-end alternative.
Ethanol DOES NOT reduce carbon emissions when its production is factored into the equation. Saved mileage is miniscule. Ethanol subsidies distort the agricultural free markets. Corn-growing for ethanol robs and depletes vital croplands. And lest we forget, ethanol takes food out of people's mouths, causing them to pay higher prices, and in Third World countries, also go hungry. This industry needs to be snuffed in its cradle. Its lobbyists and advocates -- shameless tapeworms -- have leeched onto consumers and taxpayers, and bilked us to the hilt. Neither political party, nor the President, has the guts to confront these 21st Century bootleggers and eco-quacks. Thankfully, a growing number of leaders in the limousine and chauffeured transportation do.
This energy extremism must stop. Don't buy ethanol or flex-fuel vehicles. They deserve to be relegated to demolition derbys and then junked forever. -- M.R.
BUT IT'S IN EUROPE: Despite recent economic downers, Ford of Europe reports strong sales growth for many of its models in Europe, where gas prices and costs of living are higher than in the U.S.
Information here. The battered Detroit auto industry can use just about any good news lately, even if it's from afar. Here's to changing fortunes for Ford closer to home.
What are the most popular airports in the world to travelers? Hong Kong International Airport was named Number 1. And what about U.S. airports?
None of them made the Top 10. And there were survey results from 8.2 million questionnaires that travelers filled out. You can find also find lot of articles online about U.S. airlines losing money in the last quarter, but it's not a big surprise - just talk to travelers. Americans are getting tired of the typical airline experience, and air travel is taking a downturn. Maybe they'd rather be driven around in chauffeured vehicles?
HAZY HOLLYWOOD: Negotiations between studios and the Screen Actors Guild are
still dragging on. The contract affects 120,000 actors in prime-time TV and movies.
For operators affected by this, it's a tense and worrisome condition during a year when the economy is going through other close calls. It wasn't long ago that the Writer's Guild strike happened - a 14-week strike that ended in February. According to this and other reports, the possibility of a strike is unlikely. Let's hope for the best.
ECB LAYOFFS: Executive Coach Builders of Springfield, Mo., recently laid off 33 employees, although 25 may return to work soon, according to a report in the
Springfield News-Leader newspaper. The coachbuilder employs 200 workers. The layoffs also were mentioned on a country music
station website in Springfield. ECB, to be profiled in LCT's August issue, is the second-largest coachbuilder worldwide and has reported strong sales the first half of this year. But the latest economic negatives -- Fannie & Freddie wobbles, higher inflation, gas prices, and stock market declines -- are taking their toll on business across the transportation industry. One veteran industry operator says the downturn is the worst in three decades. All the more reason to get aggressive, creative, and adaptive.
The National Business Travel Association's annual convention and exposition is coming right up: July 27-30 in Los Angeles. We've been told about 30 chauffeured transportation companies will be exhibiting during the trade show and more will be walking the floor. This is a great opportunity for meeting key corporate travel decision makers.
Visit the website to learn more and register, if interested. Speakers include Alan Greenspan, Alec Baldwin, and Craig Ferguson. Sounds quite entertaining.
OH CANADA: The LCT staff hits the road later this week for our first Canadian Operators conference. Jim Luff discusses the value of attending industry shows and shares his excitement about this show.
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OH, PLEASE: Sex In The City starlet Sarah Jessica Parker demonstrates the
correct Hollywood eco-pose of late: Getting into a chauffeured Toyota Prius.
Why bother? Why not just drive it yourself? If a celebrity wants pampered luxury for shopping sprees, then just take a chauffeured hybrid SUV or a good old-fashioned limousine.
The Prius certainly can't be all that comfortable, what with all those shopping bags. But then being driven around in a Prius might assuage the guilt of an actress being, well, chauffeured for an utterly superfluous shopping spree.
We suggest Sarah follow the lead of one actor who actually does get it:
Larry Hagman, aka Texas oilman J.R. Ewing of Dallas fame.
He actually OWNS five Priuses, sometimes drives an electric car, and has his Ojai, Ca. estate powered by a solar farm. Hagman lives the green lifestyle; he's no eco-poseur, that J.R.
We're not opposed to celebrities in Priuses; they just need to make sure they talk and walk the green scene. -- M.R.
To reduce the thick, eye-watering air pollution in Beijing, the Chinese government is stopping commercial vehicles from operating in the city. Will this solve the problem? No, the country will have to revise its emission standards and invest in better vehicles and alternative fuels. But cleaner air will make the government look better during the Olympics. And you thought your town had tough regulations?
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LIMO GREEN: Lotus is working with Jaguar and other firms to develop the "Limo Green" hybrid executive sedan that emits less than 120 grams of carbon dioxide per kilometer (which is not much more than the 104 g/km the Toyota Prius emits). Lotus is also working on hydrogen fuel cell taxis, and is well known for helping Tesla Motors launch the Roadster. The
Wired magazine blog network just announced the new green projects.
PRIVACY, NOT PIRACY: Is this man hiding in the trunk of a limousine?
That likelihood is about as absurd as the accusations against a New York limousine company that it secretly videotapes its celebrity passengers in New York and Los Angeles.
BLURB HERE.
Given the source, a celebrity news website, these allegations are very likely bogus, but nevertheless amusing.
They demonstrate a paranoia toward DriveCam, a legitimate and revolutionary traffic videotaping technology that enhances operator safety, chauffeur responsibility, and liability protection.
While this spectacle is ridiculous, operators should beware of the false rumors that spread an old-school, salacious image of the industry. In fact, the use of DriveCam is an example of the growing sophistication of the chauffeured transportation industry. We hope more operators adopt
this valuable technology. -- M.R.
The last in the series of success articles by LCT Managing Editor Jon LeSage. This time, the focus is on the big picture: what operators do to expand their companies, go into ancillary markets, buy and sell operations, and other exciting adventures.
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TAKING A HIT: For all the concerns about the rental car industry making inroads with luxury chauffeured transportation,
today's article in the Los Angeles Times shows that industry has plenty of problems and challenges of its own. Rental car customers increasingly insist on economy cars, for obvious reasons. Except, there aren't enough to go around. So maybe this could be an opportunity for the chauffeured transportation industry: Why rent a car to drive around an unfamiliar city when a chauffeur can take you wherever and when you need to go? It might be worth the industry's while to promote chauffeured packages for visitors who otherwise might get around in rental cars. From the customer's standpoint: No gas, no insurance, no driving hassle, no figuring out the GPS, and of course, as always, a comfortable ride with a professional chauffeur. From the industry's standpoint: Another way to build revenue and compete with rental car companies on their own turf. -- M.R.
FED UP WITH COSTLY OIL: If you click below, you will see a gutsy letter by airline executives to their customers about oil commodity speculation and its damage to their industry and the economy. It's about time top leaders in the limousine and chauffeured transportation industry did the same. . .
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Most operators get headaches when they think about having their offices inspected by the state highway patrol, public utilities commission, or some other agency. Stardust Cruises, based in Santa Maria, Calif., used this opportunity to put out a press release. Read on for a good example of how/why operators need to put out more company info to the media.
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LCT Managing Editor Jon LeSage on what it takes to make good decisions in your operations management. There's certainly a lot to think about.
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IN OSLO, NORWAY! American don't want to hear it, but we still have it easy compared to the rest of the world in terms of gas prices and supplies.
A
Los Angeles Times article today compared per gallon gas prices worldwide. Venezuela and Saudi Arabia are much cheaper, but who wants to live in those hellholes?
What we're curious about is how Norwegian chauffeured transportation companies make a profit and survive.
Here is a
possible clue as to how Nordic livery companies choose their vehicles. Maybe there are some lessons for U.S. operators.
We may experience lots of pocketbook pain at the pump, but at least we can still pull up to just about any pump and fill up right away. We're still better off than motorists in the late 1970s (see picture above): High gas prices AND long lines at service stations. -- M.R.
LCT Managing Editor Jon LeSage on the next step toward building a successful company. Having a good brand name plus a memorable brand image matters quite a lot these days. So does having clean and professional office and garage locations, effective phone greetings, and excellent client services. All of this will define your company's brand image.
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FREAKY LIMO FEAST:
Thanks to industry veteran and
operator Dean Schuler for relaying
this gallery of unique, classic, and sometimes loony limousines.
We would be hard-pressed to pick a favorite, but this gallery underscores the creativity and sense of humor of the chauffeured transportation industry.
SLOWDOWN STRATEGY: This company advances
a strong argument for renting limousines and limo buses despite the economic downturn. Such an approach makes the most of a challenging situation. No matter how many hybrids you put in a fleet, putting three or more people in black stretch, SUV, or sedan is about as safe, green, and glorious as it gets. This industry needs to show clients how to ride out a recession in style. -- M.R.
. . . AND ACT LIKE YOU HAVE A REAL JOB:
How amusing to see that the two leading actors unions -- SAG and AFTRA -- have pulled a Hillary-Obama split. Actors are staging scenes from a real life skit: throwing a hissy fit.
But this could be potentially
good news for beleaguered limousine and chauffeured transportation operators in Southern California, many of whom are still recovering from the writers' strike.
Another economic hit courtesy of Hollywood actors would be devastating to the area's chauffeured transportation market.
We hope SAG keeps sagging and has no choice but to follow AFTRA's lead. Not that we particularly care about the compensation nuances for actors, or the differences between the unions, but their continued employment obviously keeps the limousines and chauffeured sedans and SUVs on the road.
California operators are models of service and stability, compared to the self-involved theatrics of the region's high-strung thespians.
This industry needs dollars, not more drama. So we hope we see more
actors on the J-seat instead of strutting on the picket line. -- M.R.
Jim Luff laments new legal trends impacting the industry, including the brand-new “hands-free” cell phone law in California.
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LICENTIOUS LIVERY: LCT's annual bus and van management issue is coming up in September. We'll have the latest coverage on how to get the most out of the growing industry niches of shuttle buses, motorcoaches, van pools, and the always alluring limousine party buses. What you won't see is any reference to
this Newsweek story. While recessionary times call for creative measures, the world's
oldest marketing approach just doesn't cut it. Our advice is to play it safe and legal
with the poles. -- M.R.
PROS AND CONS: The Catch-22 with adding green vehicles is that they cost more, require more specific maintenance, and can be luxury-challenged. However, as more client firms insist on contracting with chauffeured transportation companies that have green credentials, it may be the ONLY way to get business whether the vehicles truly help the environment or not. And whether green vehicles pay for themselves over time through energy savings becomes irrelevant. That's the reality of green correctness. Here's an example of how
GOING GREEN PAYS.
ONLINE SAVVY: As the economy tightens and customers cut back, operators must diversify and accelerate their marketing efforts, as we see in LL's ongoing series started last week. One free, easy, and useful avenue is to write and maintain a blog, sort of like
this one. This company gets it; it knows its subject and how to connect with current and potential customers. By offering information that can help prospective clients make a decision, you brand yourself as consumer-friendly. You never know when someone who has read your business blog later uses your services. Blogs are an effective way to offer updates on your company, advise customers, and assert your services and value. If you don't know how to write well, or lack the time, then contract with someone who does. Blogs tend to be informal venues that add a vital component to your outreach: viral buzz. Get your blog as connected and consistent as possible. Tell some interesting tales from the road. Ask readers what they're looking for. Develop a thick skin. In the 21st Century media world, if you don't go blogging, you'll be in for some hard slogging. -- M.R.
LCT editors will be taking a break until next week, so no more LimoLicious until then. We hope all of you have a great 4th of July weekend, and have even more fun than the dog in the photo. As for us, we've got visits to Virginia and Colorado in store, and really look forward to it. Then it's back to LA to work hard and have more summer fun.
Part 3 of LCT Managing Editor Jon LeSage's success series. Here are some things to think about on four important online marketing topics: websites, links, search engine optimization, and blogs and social sites.
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Fourth of July weekend is not a good one for the limousine industry, but try to have a good time anyway, says Jim Luff.
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The Writers Guild strike earlier this year wreaked havoc for several LA-area limousine operators. The possibility of the Screen Actors Guild doing the same thing is making people nervous. Will it happen? Who knows. The contract expired last night at midnight and hasn't been resolved.
Read on for more coverage.
LCT Managing Editor Jon LeSage on a booming trend in this industry: farm-out deals, affiliate networks, and global bookings. Successful operators are investing a lot of their time building their revenue through networking and creating effective business relationships.
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