Avis Pivots to Service, Debuts Curbside 'Avis First'

Avis Budget Group is changing course under a new leadership team, emphasizing reliability and service after nearly two years of declining quarterly revenue. On the company's Tuesday morning earnings call, CEO Brian Choi framed a "hard reset on customer experience," tying brand equity to consistent, time-saving delivery rather than share-chasing discounts. The pivot arrives alongside a modest return to top-line growth, with third-quarter revenue up 1 percent to about $3.5 billion and net income of roughly $359-$360 million.

Choi's message was explicit. Premium brands in car rental have often pursued commercial accounts while value marques chased leisure, yet the day-to-day differentiation a traveler feels can be thin. The new strategy aims to create clear, dependable service tiers that map more like airline cabins or hotel brand ladders. That starts with standards, he said, so procurement teams can assume higher vehicle quality and families can assume faster curbside experiences without the wait.

The showcase initiative is Avis First, a curbside, concierge-style pickup that launched in the United States in late July and debuted in Europe this month. The company says customer adoption has supported rapid airport expansion and premium pricing, with day rates north of $100 where it is offered. Early materials and location rosters underscore that the product is designed to remove the tram ride and counter stop entirely, placing a clean, ready vehicle at the terminal with a concierge to close paperwork. Travelers should expect the footprint to keep growing.

Financially, Q3 marked the first year-over-year revenue increase the company could cite on an earnings call in eight quarters. Rental days were up 1 percent to about 49.4 million, while consolidated revenue per day was essentially flat at $71.22. Mix matters here. Americas revenue per day fell about 3 percent to $73.19 on softer leisure pricing, a trend many rental peers felt through the late summer shoulder, while international revenue per day rose roughly 9 percent to $66.03. Leadership reiterated that a structurally higher base price is a goal, given inflation and the service commitments the company is now highlighting.

Headwinds remain. CFO Daniel Cunha flagged recall-related costs now expected to shave $90 million to $100 million from full-year results, as well as weaker international commercial demand and reduced U.S. government business tied to the shutdown. Those drags can create localized fleet or availability friction that travelers feel as longer waits or substitutions, particularly at bigger hubs with heavy government or corporate throughput.

Background

Car-rental pricing and experience ride on a few basics: how many cars are in the fleet, how quickly they turn, the cost to maintain and remarket them, and the balance between commercial contracts and leisure demand. When recalls spike, vehicles come off the road, utilization dips, and downtime climbs, all of which pressure margins and service. In that context, a curbside concierge product is not just a premium add-on, it is a process commitment, since the vehicle and staff must be in the right place at the right time to prevent wasted minutes.

Latest developments

The company's third-quarter print was released October 27, 2025, followed by an earnings call where Choi and Cunha laid out the customer-experience reset and reiterated focus areas for the holiday period. The Avis First product page and July 28 launch announcement preview how the concierge model is intended to work as its airport list expands.

Analysis

For corporate travel managers, the message is that Avis intends to compete on dependable turnaround and car quality, not just rate cards. If the company sustains expanded concierge coverage and faster ready-line pull times, that can reduce missed meetings and overtime charges that quietly increase total trip cost. The trade-off is price: management telegraphed a desire for a "structurally higher" base, so watch for firmer RPD paired with service SLAs and escalation paths in new or renewed agreements.

Leisure travelers should evaluate whether a curbside handoff at their airport is worth the premium. In major hubs where lots, trams, and counters add 20 to 40 minutes, a true terminal-side pickup can be the difference between catching a resort shuttle and waiting an hour, especially with children or heavy luggage. If your route does not yet offer Avis First, look for smaller signs of the reset, for example cleaner vehicles at pickup, steadier staffing at peak times, and clearer digital notifications on stall and key location.

Finally, keep an eye on the operational risks. Recall waves can dent availability with little notice, and shutdown-linked demand shifts can skew fleets toward leisure markets during holidays. The company's guidance suggests both issues remain live into year-end, which argues for booking earlier, confirming pickup location specifics the day before travel, and keeping a backup supplier in the reservation cart when timings are tight.

Final thoughts

Avis is trying to earn back time and trust, not only dollars, by making the experience feel predictably premium where travelers actually feel friction, at the curb. If the company can keep adding airports and hold the line on quality without over-stretching fleets, the reset could stick through 2026.

Sources

• Avis Budget Group Reports Third Quarter Results
• Form 8-K exhibits, Q3 2025 metrics table
• Q3 2025 Earnings Call, prepared remarks and Q&A
• Fly Any Class, Drive First Class, Welcome to Avis First
• Curbside Rental Car Delivery with Avis First
• Avis Budget Pledges 'Hard Reset' on Customer Experience