Presented By:-

Zipcar Case Study Udbhav Sharma (18020327)

Vaibhav Sharma (18020187)
Aryan Shukla (18030141)
 • Zipcar is a USA based Car sharing service
company – simple and cost-effective.
• Founded and launched in Boston by Anjte
Danielson and Robin Chase in 2000.
INTRODUCTION • Initially used 12 Volkswagen Beetles to
startup local operations.
• Expanded to London and Canada by 2006.
• Spreading message about reducing
environmental impact.
 CASE BACKGROUND
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under the direction of S. S.
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 KEY ISSUES

• Getting investors on board with the idea of investing in a new category –

unexplored market.
• Rising cost of R&D
• With increased brand awareness, how to increase market penetration.
• Indirect Competition – through car rentals
• Rising Gas prices – how to deal with customer satisfaction without incurring losses?
 CURRENT SITUATION

• As of August 2009, Zipcar was the world‘s leading car sharing service –
1. 300,000 members
2. 6,500 vehicles
• In March 2014, Avis Budget Group Acquired Zipcar for USD $500 Million.
• Under the COVID-19 Pandemic, Zipcar and other car-sharing companies experienced
swings in demand, with a falloff during March 2020 and a surge towards May.
• Zipcar under Covid-19 couldn’t keep up with surge in demand - Fewer cars to share-out.
• Currently
Application of
Relevant Theories

Filling an online membership
application
Cars can be reserved online or
through telephone
Service Encounter for Zip Car
Customer receives an RFID
card(Zip card) with all
personal details
Selected car will be sent an alert
about the details of the reservation
and the customer can access their
reserved car by holding the zip
card on windshield.
 Service Standardization depends upon the
degree to which the tasks and behaviors
performed can be standardized.

The end goal of service standardization

Service for any company is to produce consistent
Standardization service from one transaction to another.

Zip Car has achieved service

standardization by replacing human
contact with technology
Service Failure

Failure Points:

Customers might put wrong Customers might face

details during the process of difficulties while using the car
making reservation
 Service Recovery

Zip Car had a customer helpline number that handled all the enquires
and problems faced by the customer

Zip car had an efficient service recovery system which increases customer
satisfaction towards the company. Ex: Rita Healy, a zip customer shared
her experience that when her zip car was not running properly so they
booked another car for her to nearby location and even paid for the cab ride
to that location.
Recommendations for
future action
• Zipcar can be viewed as company that can overcome
the problem of air pollution.
• Solve the problem of transportation and promote the
idea re-use of the product.
• Reduce the load of the money on common peoples
pocket.
 Answer to the case question

 Yes, Zipcar is revolutionizing car rentals.

 The act of vehicle sharing started in some
European urban areas nearly 50 years back.
Vehicle sharing was viewed as a variety of
vehicle rentals, where individuals leased
vehicles for brief periods.
 The vehicles were typically overseen by
organizations which leased the vehicles as a
feature of their business. A few reasons contributing
to the development of Zipcar would be rising
urbanization, expanding utilization of public travel
administrations, high leaving charges (in specific urban
communities), blocked streets, mounting upkeep cost
of vehicles, rising gas costs and the beginning of the
financial downturn. 
 Conclusion

• It was start-up by two women in Boston in

year 2000, It is car sharing service.
• In the year 2008 companies increase their
price from 3% to 5% in some location
because 75% companies members were high
income members.
• Zipcar is the world’s leading car sharing
service company with more than 3,00,000
members and 6,500 vehicles of about 30
makes and models.
THANK YOU