Zipcar: Refining the Business Model Essay Sample

7 July 2017

Zipcar is attractive to the investors because it has a good concern theoretical account. There are 9 edifice blocks for a successful concern theoretical account: Customer Sections. Zipcar marks at the people who do non desire to have a auto but on occasion wants the convenience to utilize a auto in the urban locations. where there is a heavy base of possible users. parking was expensive. and the demand to drive is limited. In Unite States. this market is big and virtually untasted. Value Propositions. Different from the rivals. Zipcar tries to present convenience. easiness of usage. freedom to go. and the hassle-free “ownership” for clients.

Zipcar provide rank. members can instantly lease and return the auto in the nearest topographic point. All the reserves and Billingss are done online and it is hassle free. Besides. it provides lower rate to pull clients. Channelss. Through rank and on-line reserve. Zipcar can easy and rapidly delivers its services to the clients.

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In add-on. autos are parked in designated infinites in vicinities convenient to users ; they merely need five-minute walk to a parking location. Customer Relationships. Zipcar provide rank. Members would be issued alone propinquity cards called Zipcards.

Members can do a reserve online. and merely swipe the Zipcards to acquire entree to the rental autos. Revenue Streams. The gross comes from sedimentation. rank fee and rental fees. Harmonizing to the fiscal program. the one-year growing rate is expected to be 30 % . From twelvemonth 2 to 5. the net income before revenue enhancement will increase to 2 times of the old twelvemonth. Key Resources. Zipcar has already owned about 20 autos as cardinal resource. Besides. they had contracts with many big establishments for parking. For human resource. ZipCar has a strong direction squad with the accomplishments of concern. fiscal planning and proficient expertness.

Cardinal Activities. On the one manus. Zipcar has built up the engineering platform to guarantee its services. Zipcar has envisioned a system that enabled the users to do a reserve online. Besides. a card reader was installed inside the windscreen of each Zipcar to authorise the users to acquire into the auto. On the other manus. Zipcar do good advertisement occupations. They create a logo and utilize it as advertizement. Key Partnership. There are merely 2 rivals in United States and they focused on the environmental impact of auto sharing instead than convenience and cost effectivity. In add-on. Zipcar has partnerships with many big establishments for parking Cost Structure.

The cost of Zipcar includes overhead. vehicle purchase. rental cost. fuel filling. insurance and care. The fixed cost is in a little per centum and can be reduced as the scale addition. For an lift pitch. Zipcar is a sophisticated auto sharing company. We aims to present convenience. easiness of usage. freedom to go. and the hassle-free “ownership” for clients.

Our members can do a speedy reserve online. travel to the nearest parking location. and acquire the auto merely by swiping the cards. Zipcar has built up the engineering platform. selling channels. direction squad and strategic partnerships to guarantee the services. For the fiscal portion. a high revenue-cost ratios and assuring growing rate have been proved. Now we are believing to spread out our concern to Boston and turn out the Boston market’s viability.

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