From: Joel Ippoliti [mailto:Joel.Ippoliti]
Sent: 12 March 2009 10:37
To: customerservicesescalations@rentpremier.com; Customer Service
Cc: Naran & Toni
Subject: Customer complaint

To Whom It May Concern:

RE: Failure to disclose fees at the point of sale

Details

·         Alamo invoice number: l7396186

·         Carhire3000 ref no: 114821247

·         Pick-up location: Zurich Airport

·         Date: 04/03 to 08/03

Background

·         We used Carhire3000’s aggregation service to choose a car rental company, it was a price based decision.

·         We paid via Carhire3000 and received a voucher stating we had ‘PAID IN FULL’ (attached)

·         Upon collecting the car we signed two forms – it was not made clear at that point that winter equipment was extra (and not an option) and there was a service fee for picking up from an airport (and not an option)

Complaint

·         Carhire3000 – Not stating the hire costs of the vehicle in their entirety at the point of sale dilutes the value proposition of the service. Going forward, how do I trust that the price you offer me is the price I will pay? Doing otherwise is paramount to: false advertising; deceptive operations; duplicitous actions; and deliberate misrepresentation.  You have set an expectation at the point of sale and then your partner has destroyed it, which has resulted in a less than satisfactory customer experience – and there is no reason why if you had presented the price of the hire in its entirety upfront. The question is, what do I have to do to know what my hire will cost?

·         National/Alamo – I signed a form at the point of pickup that clearly stated extra charges for winter equipment and a service fee for pick-up at an airport. Neither charge was made explicit to us at the time – the first time I noticed the charge was when I received an invoice in the mail. Neither charge was optional and I strongly disagree that is satisfactory to be charged mandatory extras beyond the point of sale. It may be entirely legal, but it is not a satisfactory customer experience, it feels like I have been cheated by someone or something.

Concession

·         Both the Carhire3000 and National/Alamo fine print states extras will be charged – however in Carhire3000’s case this fine print is only visible after the price has been agreed in the terms and conditions and in Alamo’s case was not made clear when we picked up the hire

·         The practice is entirely legal – it’s not right but its legal granted

·         Its business as usual – every hirer is subject to the same conditions and charges – it’s not right, but it’s what you do

What do I want?

·         Concession that the practice of charging mandatory extras outside of the point of sale price is misleading and deceptive

·         Concession that the value proposition of Carhire3000’s aggregation service is severely diluted when mandatory extras appear subsequent to the point of sale

·         A refund in light of these concessions for both the service fee and the winter charge fee

Regards,

Joel Ippoliti

From: Julie Thomas [mailto:JulieThomas@traveljigsaw.com]
Sent: 16 March 2009 15:02
To: Joel Ippoliti
Subject: Carhire 3000 ref 114821247

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Dear Mr Ippoliti

Thank you for contacting our customer services department.

In response to your email below I would like to bring the following to your attention. The charges for winter equipped vehicles and the service fee are not included in the rental price unless stipulated in the terms and conditions.

To make sure our customers are aware of what is included and what may be extra we are careful to explain this information in our terms and conditions.

It states:-

Other Fees Payable Locally

* Out of Hours Fees
* One Way Fees (where applicable)
* Additional extras requested at time of booking or purchased locally
* Deliveries & Collections
* Fines, Toll Fees & Parking Charges
* Supplementary Insurance to cover injuries to drivers &/or passengers

* Mandatory winter tyre fee of CHF9.00 + TAX per day for pick ups between 1st November & 15th April. This includes winter tyres, snow chains, ice scraper.

* Bus fee of CHF 7.50 per rental plus tax for Geneva airport pickups.

* All additional extras are subject to a service fee (19%) and VAT when picking up from an airport location.

You will find our full terms and conditions available on our website, which you have to tick to agree to these terms and conditions before you can proceed with your booking. As well as this, as a web based company, we also send you confirmation of your booking in writing and on your car rental voucher. I have attached a copy of your car rental voucher for your information. This voucher was sent to you at joelipol@gmail.com on the 01.03.09 at 12.00pm.

In light of this, we feel there has been no shortfall in the service provided by Carhire 3000, and respectfully decline any reimbursement on this occasion.

May I take this opportunity to thank you for bringing your concerns to our attention, as the feedback that we receive from our customers is extremely important in helping us improve our services and the products we offer.

Thank you for your valued custom with Travel Jigsaw. If there is anything else we can do for you, please do not hesitate to contact us.

Kind Regards

Julie Thomas

Customer Service Team

Travel Jigsaw
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From: Joel Ippoliti [mailto:Joel.Ippoliti]
Sent: 16 March 2009 15:49
To: Julie Thomas
Cc: Naran & Toni
Subject: RE: Carhire 3000 ref 114821247

Hi Julie,

Thanks for your response.

I received the voucher – I referred to it in my email to you as well. The terms and conditions you refer to follow immediately on from this – particular paragraph 7 – or about a screen size away.

As someone who has never used your service, upon seeing the ‘PAID IN FULL’ statement above I did not read the T&Cs (fine print) to look for extra charges.  I think it is misleading to suggest the account has been PAID IN FULL whilst in the full knowledge (as per your email below) that the rental has indeed not been paid in full – there are further mandatory charges. It should say PAID IN PART or PAID IN FULL* and directly under the statement make it clear that there will be more charges – not 7 sizeable paragraphs away. So we are clear, I have made this case below:

Unclear disclosure of rental prices

Unclear disclosure of rental prices

As an online service aggregator communicating the price of diverse car rental companies I believe it is your obligation to allow me compare prices like for like. I chose my service provider based on price. I couldn’t tell company to company, pickup location to pickup location, where mandatory charges would be charged or not. It’s your job to tell me. As a rule I would include all mandatory prices in the quoted price – you have not done this. I accept there will always been extra charges for optioned accessories – of course – I don’t accept there will always be extra charges for non-optional accessories and services – that is what I would call unfair behaviour and not in the spirit of your service proposition.

At the point of sale (where I chose between multiple companies), I ask again, how was I meant to calculate the total price of my rental? Further, when I committed to the purchase, PAID IN FULL is misleading – that was not the total price. Your service proposition is diluted if car rental companies are allowed to hit your customers with mandatory charges outside the selection process – particularly where it is selection based on price.

I find your response to be unsatisfactory. Your claim to make your customers aware (size 8 font – paragraph 7) is overcompensated and subverted by your desire to make them aware simultaneously that they have paid in full (size 24 font) – refer above again. Do you believe the way you have set this up and communicated it to be fully transparent? i.e. stating mandatory charges in the terms and conditions statement is transparent, fair and open behaviour when you run a price based aggregation service where price comparison is at the core of your proposition?

Joel

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From: Julie Thomas [mailto:JulieThomas@traveljigsaw.com]
Sent: 17 March 2009 10:05
To: Joel Ippoliti
Subject: RE: Carhire 3000 ref 114821247

Dear Mr Ippoliti

I am sorry you feel we have mislead you, but the fact remains the same. You have received the terms of this rental not once, but twice. If at any point prior to picking up this vehicle you were not clear on the inclusions or exclusions of this rental, then our agents in our call centre would’ve been more than happy to assist with further advise. As it stands, you did tick a box to say you have read and accepted the terms and conditions, and we have put full information on these terms pertaining to extra costs payable locally.

We feel you have been correctly informed and feel there has been no shortfall of service or information provided. I therefore again, respectfully decline any reimbursement on this occasion.

Kind Regards

Julie Thomas

Customer Service Team

Travel Jigsaw

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From: Joel Ippoliti
Sent: 17 March 2009 10:56
To: Julie Thomas
Cc: Naran
Subject: RE: Carhire 3000 ref 114821247

Hi Julie,

Thanks for your prompt responses. This part of the service has been good.

I agree the information to calculate the total costs of the rental were included in the terms and conditions.

Of course I had no reason to call customer service at the time because I thought the price had been stated in full and I had “PAID IN FULL”.

My rental was through Alamo. When I went direct to their website this is how they displayed the same rental agreement as I obtained through you.

Clear disclosure of rental prices

Clear disclosure of rental prices

In comparison your website excludes the airport tax and winter equipped tax, consequently gives a cheaper price and then states “PAID IN FULL” with terms and conditions stating otherwise. If you were a price conscious shopper where would you originate the rental? I went to you because I thought it was cheaper.

Going forward I know that your website will not clearly state and define what charges are included. Instead I will use it to find the cheapest service provider and then go direct as it seems they are more tightly regulated than your aggregation service. Alamo’s pre-purchase pricing information is transparent – an aggregated price and then broken down line item by item, including all mandatory prices quantified, nothing hidden, no calculations to be made, all upfront – nice. Your example (see below) which is an aggregated cost, not broken down, nor with other costs quantified is not transparent. Stating otherwise is disingenuous in the context of the counter example above.

Needless to say I have articulated this complaint in the context of the Alamo representation to the relevant authority in the UK to see if they are more receptive to my argument. I’ll let you know how I get on – and all for £10 – your company must really value its customers!

Joel

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Complaint

17 March, 2009

6 Comments