Europcar Mobility Group

Europcar Mobility Group embarks on the road to Revenue Integrity

Could you please introduce yourself?

My name is Camille Léger and I’m in charge of all revenue management systems and RM data for Europcar Mobility Group. My role covers all countries and, with my team, our main mission is to support these countries in their day-to-day profitability gains. We provide them with the revenue management software and solutions, data analysis platforms and other decision-making tools they need to focus on their strategy.

What were Europcar Mobility Group’s main challenges in terms of Revenue Management / Revenue Integrity?

We have identified several challenges within the Group’s revenue management teams, which we are addressing one by one. The first challenge was to have a robust and more advanced revenue management tool than the one we had until now. We are currently in the process of transitioning to a new Revenue Management System (RMS), which is our main objective for the year.

In our drive to perfect our work around revenue management, we wanted to ensure that we weren’t losing revenue in an over-simplistic way, and that we were paying due attention to the fundamental aspects of the procedures. In adopting a more mature and advanced approach to revenue management, it was essential for us that the foundations of our data and revenue integrity were firmly established in parallel. And we found that this was not always the case.

This first impression prompted us to look further into the matter by launching a Revenue Integrity initiative. And we’re now realizing just how right that decision was!

Prior to this, the concept of Revenue Integrity didn’t exist at all at Europcar. As Revbell’s CEO often reminds us, you need a certain maturity in revenue management to effectively implement Revenue Integrity. That’s the approach we’re taking to ensure we have a 360-degree vision. This means that, not only does my team guarantee that the data we import into our tools is correct, but also that these tools optimize the right revenue base. So we can’t afford any leaks or shortfalls in this virtuous circle. That’s why we decided to embark on this high value-added approach in terms of EBITDA.

How did you hear about Revbell?

As part of our drive to perfect our tools, we had already worked with Revbell in 2023 to optimize our pricing tool. An initial assignment was carried out by Revbell for the Europcar Mobility Group last year.

When we researched Revenue Integrity, Revbell proposed the most “business-like” approach, adapted to the tourism industry. That’s why we chose Revbell, because their approach is more oriented towards our market sector, and they know our specificity in revenue management with the management of a vehicle fleet.

What specific objectives did you set for this assignment? What were your expectations?

Indeed, we set very precise financial and non-financial objectives. First, the objective was to map out the anomalies to be studied: what are these anomalies, how many are there, where do they come from? Then to categorize and prioritize them.

In terms of financial objectives, each anomaly was assessed by focusing on the potential revenue to be recovered and the resulting margin. It’s important to note that under Revenue Integrity, every euro of revenue recovered essentially translates into pure margin. As a result, we’ve set very concrete numerical targets!

At the same time, we also have non-financial objectives, particularly in the areas of Change Management and Operational Excellence. Thanks to the work of our consultant Revbell, we’ve been able to create a real sense of competition within our community of Revenue Managers. Every month, we hold a performance review on the Revenue Integrity topics of the day, as well as taking the time to share best practices and answer questions from our countries.

How did the integration of our consultant into your teams go?

Integration went very smoothly, thanks in particular to the professionalism and adaptability of our consultant Revbell.

For our part, although we had the necessary ambition and resources, we didn’t have the right methodology for tackling such a subject, given that we’d never undertaken this type of approach before. Working with Revbell saved us an enormous amount of time, as the methodology was already in place.

Having someone entirely dedicated to this task, combined with a methodology like that proposed by Revbell, made integration much easier, as we were guided every step of the way.

What results or improvements have you seen so far thanks to this mission?

We’re starting to see tangible results. This identification and detection phase is long and essential. Consultant Revbell has been with us for five months now, and we started seeing tangible financial results about a month ago. The impact is remarkable, thanks to the growing enthusiasm of contributors and a better understanding of the importance of this approach by management stakeholders.

This is where Revenue Integrity starts: leaks often occur because of non-compliance with pricing conditions due to a lack or ignorance of procedures, not necessarily fraud. In reality, we conduct an in-depth examination of our internal practices and procedures. This requires a certain organizational maturity, as acknowledging our shortcomings and admitting that we are losing money through our own actions is not an easy process.

What were the main obstacles or difficulties encountered during the implementation of this mission?

The first challenge we faced was data accessibility and processing, as it is essential to have tangible evidence to support our analyses. However, the data required for this analysis was not available in the required format, which necessitated significant data reprocessing work.

The second major challenge was to get the teams interested in the subject. Whether at the level of the operational teams in the various countries, or at the level of the central teams, the concept of Revenue Integrity was not always well known. Before we could take any concrete action, we first had to present and explain what was involved, what the responsibilities were, what the limits were, and above all to arouse interest in the subject.

What advice would you give to other companies considering setting up a Revenue Integrity program?

I would recommend the Revbell team 100%, mainly because of their in-depth expertise in our industry. Their knowledge of revenue management in the service and tourism sectors is truly impressive. It’s a major asset!

Don’t think everything’s running smoothly! Before starting the assignment, we all had preconceived ideas about where the revenue leakage should be. We were mainly thinking about fraud. However, once the interviews had been conducted and the data analyzed, we realized that this assumption was not the reality. Of course, there were a few cases, but they were minimal.

My main advice would be not to rely on preconceived ideas. It’s essential to rely on tangible data to make informed decisions. Make sure you have access to all the necessary data, because without it, it’s impossible to carry out a Revenue Integrity initiative. Last but not least, the person in charge of Revenue Integrity must have a very strong affinity for attention to detail, for interdepartmental investigation, and a good pedagogical approach towards the various players in the company.