ZIPCAR REFINING BIZ MODEL

ZIPCAR value proposition

Cost saving

Convenience

ZIPCAR is perfect answer for customers who wanted to rent a car for a few hours in their home city:
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ZIPCAR value proposition

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Zipcar cost was cheaper than owning a car
Convenience achieved by automation ( online booking, data transmission between car an system)
ZIPCAR encourage use of public transport

Eco
Friendly

ZIPCAR business model
Customer
relationshi p Car leasing

Key components of ZIPCAR business model:
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Car parking

Value proposition Distribution channel (online)

Succes or failure Revenues

Technology platform Cost

Customers

Member using its car rental system to book car
Technology ( hardware and software) to keep track of the cars

ZIPCAR’s 3C analysis, 2000
Customers
Who: Residents in big cities who have demand for short distance/time travel
How (decision):
- Do not want to pay much for transportation ( like Taxi)
- Avoid trouble of having a car: expensive parking, washing, fuel cost
- Do not want to go far to take the car
- Do not want to queue up to register for a car
- Do not like fine for late return

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Company
Contract to lease car instead of buying
Contract to have parking places near customers Information technology platform providing convenience in booking, using and payment

Competitors
Market is untapped but potential competitors can jump in and imitate ZIPCAR strategies.

ZIPCAR key success factor: Technology platform to provide convenience to customers
Zipcar mission: providing convenient and low cost urban transport solution
Zipcar vision: expanding nationwide and internationally
ZIPCAR 2000 SWOT analysis
STRENGTHS
- Advanced information technology
- Low cost, convenient and eco-friendly service - Low cost provider: ZIPCAR saved almost all marketing cost, low labor cost, WEAKNESS
- Approval for car may take long time
- Capital intensive
- No prior experienced