Sixt SE: Company Strategy & Performance Analysis
Sixt SE is an established car rental provider in Germany that offers exclusive fleet of coveted vehicles of Audi, Mercedes-Benz and BMW for lease. Primarily, it operates through its Vehicle Rental and Leasing business units. Its Vehicle Rental unit offers premium car sharing services, classic vehicle rent, exclusive chauffeur and transfer services and convenient long-term rentals. The service portfolio of its Leasing unit includes fleet leasing and fleet management to customers through online retailing.
MarketLine Premium’s company strategy reports provide in-depth coverage of the performance and strategies of the world’s leading car rental companies. The reports detail company operations in key geographies as well as comprehensive analysis of each company’s growth strategy and financial performance. Furthermore, the reports allow benchmarking company performance through the provision of key performance indicators including: fleet size and rental offices.
Improving operational efficiency
Sixt intends to invest in internet and mobile technologies for improving its sales and communications infrastructure of its rental and leasing businesses. The company aims at reinforcing its online presence by launching online apps and booking services in collaboration with various airlines, hotels and travel agencies. Sixt focuses on enhancing the capacity of its staff by giving them various skill building trainings.
The company launched new services
In order to maintain its leadership position, Sixt has launched the premium car sharing service in collaboration with BMW Group to offer premium mobility services in Germany and important European Metropolitan Cities. Sixt launched MaaS (Mobility as a Service) for its corporate customers. Through this service, corporate companies can facilitate their employees to take cars on rent for business and leisure trips at a reasonable price.
Sixt posted a growth in vehicle rental revenues, and rental offices
Sixt reported a considerable revenue growth in Germany as well as in international markets as a result of its various strategic initiatives. Sixt’s Vehicle Rental revenues in Germany increased to US$910.0 million in 2016 from US$877.0 million in 2015, registering a y-o-y growth of 3.7%. In the international segment, Sixt’s revenues for Vehicle Rental business increased to US$975.0 million in 2016 as compared to US$808.0 million in 2015, indicating a y-o-y growth of 20.5%. The launch of its premium services such as DriveNow, MaaS and mDrive in important travel destinations have enhanced its customer base.