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2 Questions: Thoughts on offering Unlimited Mileage? And Generator?

TravisMullen
Day-tripper

1.) Do you think its a bad idea to offer unlimited mileage? 

 

2.) How do you know how many hours they used the generator, if you charge hourly?

 

Thank you,


Travis

 

2 REPLIES 2

JordanB
Weekend warrior II

1. Unlimited mileage is totally up to you, it can be helpful to make your RV stand out if you have a lot of other rentals in your area. We decided against it, mostly because maintenance on our class c costs a lot, and I wanted to make sure we were covered. We have had several renters take some very high mileage trips (some coming in at close to 5000 miles over 1-2 weeks), and I was really glad that we could collect the mileage overage on that.

2. Most RV generators have an hour counter built in to them, you can use that to record starting and ending hours used

kneverett
Day-tripper II

You've got to cover the cost of wear and tear on your rig which comes from the miles traveled.  And, for that matter, the hours your generator is operating.  Replacing the tires, oil changes, routine maintenance items, plus the reduced value of a motorized RV due to the number of miles on it.

You can basically cover those costs one of two ways: 1) by factoring it into your nightly rate, and 2) with separate mileage/usage charges.  If you make your nightly rate in line with others in your market, and you allow unlimited miles, all the renters planning long trips will be knocking on your door.  And if you make your nightly rates higher than others in your market so you can cover the higher maintenance costs, renters planning a short trip will likely go elsewhere.

Treat traveling a significant distance as an "add-on" or option for the renter.  Then those who want to take long trips can choose to pay extra for the option, and you cover the cost of providing that option in a more direct way.  If you want to compete in your market based on "price", allow 5-25% more free miles and/or generator hours than others in your market.  Or allow a similar number of miles/hours and charge a reduced fee per unit of measure.