Fact Book Survey Closing In For Your Responses

The annual LCT Operator Business Survey, also known as the Fact Book survey, is ready for your results.

Digital: If you have not yet completed our LCT Operator Business Survey, we kindly ask you take a few minutes and complete the brief version below based on your fleet category.

• 2017 LCT Operator Business Survey (1-10 Vehicles) http://ift.tt/2oGWY8J
• 2017 LCT Operator Business Survey (11-20 Vehicles): http://ift.tt/2oPsCNY
• 2017 LCT Operator Business Survey (21 Plus Vehicles): http://ift.tt/2oH1WSN

Print: If you received the survey in the mail and would like to fill it out, please do so now so we can get them back by next week. Although the deadline is April 7, we will accept any surveys postmarked through Tuesday, April 11. 

If you have already sent back either one, thank you for supplying this valuable data. We rely on your candid and thorough answers to our annual survey to develop this exclusive research, not available from any other source. 

Your answers are all kept confidential and used to compile general statistics to be published in the June issue Fact Book & Industry Guide.

Keywords

industry surveys   LCT Fact Book   research and trends   survey   

 

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Limo Coach Can Help You Plan For Better Growth

As a limousine operator, it can be difficult to juggle all the hats you have to wear. In any one day, you could play the role of CFO operations manager, sales manager, customer service representative, or marketer. How do you find room in your schedule to run your business, much less grow it?

And how do you prioritize which aspect of your business to work on first to achieve your business goals for the year?

Limousine business coach and mentor Bill Faeth wants to help you plan your growth strategies and refine your business plans.

During the 2017 LCT Leadership Summit, Bill will be hosting individual business coaching sessions. Attendees can select their individual focus topic, including sales, marketing, operations, or business process.

Registration is available on a first-come, first-served basis and is limited to the first 10 attendees. Bill will conduct a 30-minute discovery call with each registrant, during which time the the personalized coaching session to be held at the Edon Roc Hotel will be scheduled.

For more information or to register for a coaching session, visit http://ift.tt/2oPxOl9

About Bill Faeth:
Bill Faeth is the founder of Limousine University and Inbound Marketing Agents. As a limousine operator, Bill grew his company to $8 million in revenue before founding IMA, an award-winning marketing agency specializing in serving the online marketing and sales needs of over 165 ground transportation companies globally. Bill launched Limousine University, online sales and marketing training courses built exclusively for limousine operators, in October 2015.

LCT SUMMIT REGISTRATION HERE

Keywords

Bill Faeth   business growth   business plans   financial planning   industry consultants   industry education   industry events   LCT Leadership Summit   staying competitive   

 

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Domestic U.S. Business Travel Hits A Downturn

“While domestic leisure travel growth remained positive in February, the domestic leisure [travel index] reflected the sector’s slowest year-over-year growth in over four years,” reads the U.S. Travel Association report.

“At the same time, domestic business travel slipped into negative territory in February. However, an uptick in vacation intentions and positive growth in forward-looking bookings, as well as a stronger outlook on business activity, bodes well for the domestic travel market in coming months.”

Skift article here 

Keywords

business travel   corporate travel   research and trends   U.S. Travel Association   

 

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Private Jet Charter Activity And Demand Rises

New Flight Charters announced a 8.4% year-over-year increase in number of charters for 2016. The company, celebrating its 13th Anniversary in 2017 and named to the Inc. 5000 fastest growing U.S. company list four consecutive years 2009-2012, is experiencing consistent growth in jet charter demand.

Miltech article here

Keywords

business opportunities   business travel   charter jet   corporate travel   FBO market   luxury market trends   private jets   research and trends   

 

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Peering Into The Future Of Luxury Travel

Luxury travel is one of the most lucrative segments for travel agents, but success depends on offering highly personalized experiences, says Robb Report editorial director and travel expert Bruce Wallin.

Travel Market Report article here

Keywords

industry trends   luxury market trends   research and trends   

 

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What Are The Forces Shaping Business Travel Today?

Although he described the travel ban as one of the biggest recent disruptions to corporate travel, McCormick has other issues on his mind as well.

He also spoke to Skift about the move to add more personalization in business travel, the slow pace of change when it comes to technology, and the continued rise of the sharing economy.

Skift article here

Keywords

business travel   corporate travel   Global Business Travel Association   research and trends   

 

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Thousands Fail Mass. TNC Background Checks

BOSTON — The persistent hard work of the New England Livery Association (NELA) working with other private transportation associations to ensure public safety paid off as a new Massachusetts state law requiring stricter TNC background checks denied licenses to more than 8,000 Uber and Lyft drivers for various offenses.

“We are thrilled to see the statistics from the Commonwealth of Massachusetts, which is the direct result of our all-out effort working to get new legislation passed last year,” said Rick Szilagyi, NELA executive director.  The team we forged between taxi and livery, and with national organizations like the National Limousine Association and the Taxicab, Limousine & Paratransit Association, and our continuous effort to generate funds enabled us to assemble a team of professionals to guide and execute the legislative plan. It worked — and we’re not done yet,”  

Under the TNC “rideshare bill, signed by the governor into law Aug., 5, 2016, the state now conducts double background checks of drivers to be done twice per year through the state of Massachusetts Dept. of Public safety, which goes through the FBI, in addition to the TNC’s background checks.

“This is what we told the state legislature for three years that the riding people have been exposed to any dredge of the earth that could become a TNC driver and nobody knew their background,” said Scott Solombrino, president and CEO of Dav El / BostonCoach Chauffeured Transportation Network. “This now gives us impetus to move forward on further legislation that would require fingerprinting — the gold standard of background checks.”

A bill is circulating in the state legislature (MA H535) that would require fingerprinting for TNCs, he said, noting that because the state denied licenses to 8,000 drivers because of basic background checks, “imagine how many more they would deny if fingerprint checks were required?”

Mike Fogarty, president of Tristar Worldwide, and former president of the TLPA, said, “The results of the Masssachusetts background checks clearly demonstrate that Uber and Lyft’s self-conducted background checks are worthless. We are happy we successfully lobbied to achieve the state run background check process.  However, we are convinced more than ever that fingerprint background checks are the best solution to protect the public. We intend to continue our efforts and see fingerprint background checks implemented.”

Solombrino, also a board member of the National Limousine Association, asserted that the Massachusetts law — especially after the news spreads of the thousands of license denials for TNC drivers — could reverberate nationwide and spur stricter state TNC regulations.

“It’s outrageous to have 8,000 people rejected for licenses based on the most basic background checks, that’s why we believe fingerprinting should be required,” Solombrino said.

See Boston Globe article

 

Keywords

background checks   Boston operators   MASSACHUSETTS   Massachusetts operators   National Limousine Association   New England Livery Association   New England operators   regulatory enforcement   Rick Szilagyi   Scott Solombrino   state regulations   Taxi Limousine Paratransit & Association   TNCs   

 

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Airport Access Fee Looms for NY, NJ Operators

ENGLEWOOD CLIFFS, N.J.— Fresh on the heels of victories regulating TNCs and repealing the 7% sales tax on limousine company services, another fight is looming for New Jeresey operators over a potential new $4 airport access fee gaining traction.

“It’s coming,” warned Jason Sharenow (Broadway Elite, East Hanover), president of the Limousine Association of New Jersey (LANJ), during its quarterly meeting March 29. He told members that conversations with the New Jersey/New York Port Authority hinted that an access fee for all private transportation companies dropping off and picking up passengers at regional airports — Newark Liberty, LaGuardia, and JFK —airports is being discussed.

Noting that such revenue-generating airport fees are already in place at many major airports nationwide (generally average $2 – $4), Sharenow told the more than 100 members gathered at Englewood Cliffs Cadillac, the host of the lunch meeting, that any new airport fee is still in the exploratory stage and may be one to two years away.

This is not the first time the authority has floated a for-hire airport access fee. Regional news reports have reported on the possibility, especially following the influx of TNC vehicles working the airports

Sharenow added that a new fee may be inevitable but noted that LANJ would fight to make sure it would apply to all private transportation companies, including the TNCs.

Regarding the repeal of the7% percent sales tax, the association’s lobbying and operator pressure from operators resonated with legislators, Sharenow said. “They felt your pain and they realized it was unfair, so the last time you’ll have to pay the tax is April 31,” he told members who applauded the LANJ victory.

 

 

 

Keywords

airport fees   George Jacobs   Jason Sharenow   LANJ   Limousine Association of New Jersey   new jersey   New Jersey operators   New York operators   New York state regulations   state regulations   Windy City Limousine   

 

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Operator Smashes Cancellation Policy Norms

VAIL, Colo. — When you operate in a heavy tourist town of about 20,000 people and around 60 competitors, something about your company must really stand out. Nate Pippett, co-owner of B-Line Express, believes a combination of exceptional vehicles, well-trained staff, and thinking differently propel his success.

Break Tradition

The company has adapted its cancellation policy from 24 hours to three after they found the 24-hour policy kept many repeat customers from booking their return rides. “We’ve washed our hands of any penalty unless we have to bend over backwards to be somewhere. It’s kind of a thing of the past; you have to just roll with the punches now,” Pippett says.

In keeping with the theme of staying relevant in this tech-based world, the business has also rolled out a customer app similar to Uber in the way it looks and feels. They used to get multiple bookings in advance anywhere from two weeks to a month out, but now most reservations come within 48 hours.

“We actually book about 40% of our daily trips when someone calls and asks ‘how fast can you be here?’” he explains. They’ve since expanded their number of dispatchers to keep up.

They’ve also found value in conducting online surveys via email and text to find out from customers if they are meeting their needs. This in turn helps in chauffeur training. “A lot of it involves trying to predetermine what a guest’s needs are. For instance, if we know it’s going to be a family trip, we’ll have a car seat installed and a movie playing. It’s important to do a little homework and really get to know the client.”

Unique Area = Unique Staff

In the Vail and Aspen areas, where the company primarily serves, clients are mostly people who come to ski or snowboard in the winter. “We’re lucky to be in an area where there are a lot of extremely overqualified people who decide to work for us,” Pippett says.

B-Line hires newly graduated students who cannot find a job in their fields of study, as well as doctors, lawyers, and other professionals who have had previous careers and are now looking for a part-time job to make some extra money in retirement.

“Our biggest separation from competitors is our staff and guest service levels. We employ chauffeurs, not drivers,” he says. The company’s vehicles and chauffeurs have to be able to handle the harsh snowy environment and the curveballs it throws at them. Trips take them from Vail and Aspen to Denver on a daily basis, often going over two or three mountain passes.

Your heart and soul have to go into mentoring and training your staff because a company is only as good as its lowest employee on the totem pole, Pippett says. They offer continuous training, because “you can’t just hire someone, give them only two weeks of your time, and figure they are good for the rest of their career. There are always bits and pieces you can pick up on to do your job a little better.”

The business runs 16 vehicles which they turn over every two years, including AWD Chrysler 300 sedans, Yukon Denali SUVs, and custom-built executive Sprinters that include coach seating, satellite TV, DVD players, and other amenities that make the five hour trip to Denver a little more bearable. B-Line predominantly deals with families and leisure travelers during the winter, and summer brings a mix of everything, including business travelers.

Learning & Growing

Pippett and business partner Chris Bookidis started B-Line in 2007, and previously worked in unrelated industries. Bookidis was in fine dining and construction sales, and Pippett was a golf professional. Pippett became a jack-of-all-trades during the winter months, and eventually ended up working in the hotel and transportation world. After a while, he decided to jump in and buy a couple of vehicles. The company has since grown about 30 to 40% every year.

Through the years, Pippett has realized how many lessons you have to learn the hard way. “You do the wrong thing once or twice before you learn how to do it the right way, and you can’t let your ego get in the way. You should seek out fellow operators and see if they’ll mentor you. You must have processes and procedures for literally everything your staff is doing, whether it’s your dispatcher, reservationist, or chauffeur.”

The business is working on establishing a worldwide platform of affiliates so they can deliver the same service as they do in Colorado worldwide. They’d like to be able to provide chauffeured transportation for their clients not only in Vail and Aspen, but also in the home markets they are returning to.

Keywords

business travel   chauffeur training   Colorado operators   corporate travel   customer service   mobile technology   staff training   WebXclusive   

 

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How To Shop For A New Fleet Vehicle

Shopping for a new vehicle is a daunting task. Whether you are buying a simple sedan or a luxury bus, you have much to decide, from where you will purchase to how you will pay for the vehicle. Here is simple guide to help you through the process.

1. Do You Need It?
Many operators have been cast into financial perils by deals too good to pass up. The most enticing ones offer no down payment or no payments for the first three months. While these may look good, you should not consider adding a vehicle to your fleet unless there is a customer demand you consistently can’t fill, you need to replace a retiring vehicle, or you want to expand into a new market within your area. Never let a sales gimmick or offer cause you to make an impulse buy.

2. What Do You Need?
When adding vehicles to your fleet, consider exactly what you need. Are you farming out sedan jobs daily? Do you want to break into the shuttle business and need your first shuttle bus? Do you have a sedan with 200,000 miles on it that needs to be replaced? Whatever compels you to shop for a new vehicle should be based on facts, previous growth history, and projections into the future. You likely will be locked into this purchase for three to six years, and you don’t want to be left with a gigantic paperweight.

3. What Do You Want?
Once you determine what type of vehicle you are shopping for, zero in on the options available. The list includes built-in Wi-Fi systems, specialized sound systems, seatbelts, or no seatbelts. Think about whether you want your bus to have a P.A. system or not. Do you want your new bus to have a restroom? Have you thought about servicing a restroom and where you will dump it? Know before you go!

4. How Will You Pay For It?
Having a letter of credit issued by your bank or finance company can give you considerable clout. It shows the sales rep you are serious and you have financing already secured. To the sales rep, this is the same as cash. Use that as leverage in your price negotiation. They may tell you cash or financing doesn’t matter to them, but it does! Make sure you know what your payments will be on various levels such as $50,000, $75,000, and $100,000 so you are comfortable with your monthly payments against the potential revenue.

5. Always Do A Test Drive
Because almost every vehicle purchased in our industry has been modified by a third-party manufacturer, always take the vehicle for a drive on city streets as well as the highway to see how it handles on the road. Make sure you check the A/C and heating systems. Some extended vehicles come with only standard A/C systems, which may be inadequate to supply demand on hot summer days with lots of warm bodies. Look for vehicles with enhanced A/C.

6. Insurance Matters
Don’t forget to discuss your new purchase with your insurance company before you buy the vehicle. If you have no experience running buses, your insurance premium will be higher than one for an operator with five buses. More than one operator has bought a specialty vehicle only to be unable to insure it for various reasons including unapproved (non QVM) manufacturers, lack of operational experience, or the insurance company simply didn’t want to insure the vehicle. Many operators have bought their first party bus and expected the insurance to be more than a limousine but never expected it would be 10 times the amount. Ask before you buy!

Smooth Operations provides a broad range of information focused on new ideas and approaches in management, human resources, customer service, marketing, networking and technology. Have something to share or would like covered? You can reach LCT contributing editor and California operator Jim Luff at Jim@LCTmag.com.

Keywords

buying guide   buying vehicles   Fleet Vehicles   How To   insurance rates   Jim Luff   new vehicles   Safety & Insurance   small-fleet operators   smooth operations   vehicle sales   

 

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Calif. Chauffeur Allegedly Attacks Driver

Shahnam Asbaghi said the incident began on the 405 Freeway. “This limousine Yukon driver was just tailgating me the whole time…I actually got scared and nervous so I exited early,” he said.

After exiting the freeway, Asbaghi said the Yukon driver rear-ended him.

“When I exited, he just rammed me with his car at probably 25-30 miles per hour,” he said. “When he hit me he got out of his car, came around to the driver’s side and punched my window four or five times. Then he ran back to his car, got in his car, and drove away.”

Asbaghi said he followed the Yukon to get a license plate number, and that’s when the driver stopped again and got out of the SUV.

Asbaghi said the man pulled out a crow bar and hit the window as hard as he could, but it was unclear in the video if the man swung a crowbar or some other object.

The car service the SUV driver worked for issued a statement following the incident.

“We are aware of the situation and are investigating all facts. This is still vey new and fluid and we want to ensure a thorough investigation is conducted. We will take appropriate action once our investigation is completed,” L.A. Private Car Service stated.

KTLA 5 article here

Keywords

accidents   California operators   chauffeur behavior   Los Angeles   Los Angeles operators   SUV   

 

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NH Judge Refuses To Put Limo Company Owner On Trial

A judge refused April 5 to allow the owner of a Manchester, NH limousine service to stand trial for violating the city’s taxicab ordinance, instead placing the violation on file and telling Gerald Mandelbaum to get a city license if he wants to run a taxi business.

It was an inconclusive end to a case that began in 2013 when police charged Mandelbaum, 58, and several drivers of his Amoskeag Black Car with violating the ordinance. A Manchester District Court judge initially dismissed the case, but the New Hampshire Supreme Court overturned the ruling and sent the case back for a trial. 

The back and forth takes place as Manchester continues to grapple with ride-hailing companies such as Uber, whose drivers have operated in the city since 2014 with impunity. Manchester aldermen were expected to discuss an ordinance that would govern transportation-networking companies such as Uber.

New Hampshire Union Leader article here

Keywords

ground transportation   New Hampshire operators   taxis   TNCs   Uber   

 

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Court Allows Uber To Appeal Calif. Class-Action Lawsuit

In a small victory for the on-demand transportation company, the U.S. Court of Appeals for the 9th Circuit said it would allow Uber to appeal a District Court order that certified a class of nearly 160,000 drivers in California.

In its appeal, attorneys representing Uber argued that drivers for the ride-hailing service signed away their right to participate in class-action lawsuits due to a binding arbitration clause. District Judge Edward Chen certified the class last September after deciding that those arbitration agreements were unenforceable.

“District courts are not supposed to embark on seek-and-destroy missions in which they resort to inventing creative means of obliterating arbitration agreements,” Uber’s lawyers, led by Gibson Dunn’s Theodore Boutrous Jr., wrote in the petition to appeal in December.

Los Angeles Times article here

Keywords

California operators   lawsuits   TNCs   Travis Kalanick   Uber   

 

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Mechanic Takes Chauffeur’s Mercedes For Joy Ride

A chauffeur from Charfield in the United Kingdom is considering legal action against a garage after his dash cam picked up footage of a mechanic taking his £40,000 Mercedes for a joy ride.

The video, uploaded to Youtube by David Argust, shows a mechanic driving dangerously and breaking the speed limit nine times while taking the new E300 AMG out of a spin.

Since the release of the video, the garage, a branch of Sytner Mercedes in Bristol, has told Mr Argust he is no longer welcome at any of their centres.

Gazette article here

Keywords

driver behavior   driving   maintenance   Mercedes-Benz   United Kingdom   vehicle maintenance   

 

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FMCSA Orders Wisconsin Company To Shut Down

The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration has ordered Lyons Limousine of Edgerton, WI to immediately cease all intrastate and interstate operations after a federal investigation.

According to the report, a federal compliance review conducted found the company was in violation of multiple federal safety regulations including: repeatedly using an underage driver to operate a commercial motor vehicle, failing to conduct required pre-employment background checks on its drivers, failing to maintain any records of maintenance, and failing to monitor its drivers hours of service to prevent fatigued driving.

WKOW article here

Keywords

accidents   chauffeur licensing   limo crashes   limo licenses   unlicensed operators   Wisconsin operators   

 

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Two People Injured After Fall From Texas Party Bus

Austin-Travis County EMS say at least two people were injured after three people fell out of a party bus near Lake Travis.

Emergency responders believe someone may have opened an emergency exit on the bus while it was driving.

EMS officials responded just before 10:00pm April 2 and transported two patients to the Round Rock Medical Center. One patient has potentially serious injuries.

The Travis Co. Sheriff’s Office is currently investigating.

KEYE TV article here

Keywords

accidents   party buses   Texas operators   

 

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Uber CEO To Face Price Fixing Class Action Lawsuit

According to the suit, Kalanick, through the use of the Uber algorithm which determines rates and surge pricing charges in real-time, effectively conspired with the company’s army of drivers in an elaborate price fixing scheme.

BGR article here

Keywords

lawsuits   legal issues   service pricing   surge pricing   TNCs   Travis Kalanick   Uber   

 

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