Bolkestein backs car ads

Date: 14/03/02

By Peter Chapman

SINGLE market chief Frits Bolkestein has given his blessing to car-hire firms that emblazon their vehicles with advertising in a bid to offer cheaper prices to their customers.

His comments follow a warning from Spanish MEP Salvador Garriga Polledo that the practice amounts to unfair competition because it could drive car rivals - particularly smaller firms with less commercial clout - out of the market.

But Bolkestein says the 'contrary' is true, adding that there was nothing stopping anyone from following the trend - already commonplace in the market for taxis and buses.

He says while the cheap cars would be a boon to tourist and leisure drivers, some renters, such as business customers, may actually prefer an 'ad-free' car.

James Rothnie, director of corporate affairs for low-cost airline and car hire firm EasyGroup, said it was 'not up to MEPs' how car-hire firms market their services. He said advertising its own brand name on its fleet of Mercedes A-class and Smart cars was a vital part of the firm's business plan.

'What we are doing is getting our customers to drive about bearing our adverts. The trade-off they get is a cheaper car.'

Single Market Commissioner Frits Bolkestein has given his blessing to car-hire firms that emblazon their vehicles with advertising in a bid to offer cheaper prices to their customers.