Number of Carsharers Set to Hit 12M by 2020Just because you can't afford to buy a car doesn't mean you can't drive one; Car sharing services bring auto access to masses.
Back in 2008, right after the financial crisis and the economy’s big dip, we saw a sudden increase in demand for car sharing services. With the costs associated with owning or leasing a car becoming relatively more expensive, people opted to rent vehicles by the hour and held off on buying. This gave rise to organizations like Zipcar (with it’s 810,000 users right now, Zipcar dominates this market), AutoShare and many more. The model has become so popular in fact that Discount Car Rental recently started pilot projects across university campuses for a “Student CarShare” program. Such a program is generally used by students without a car who require wheels for a few hours at a time.
Zipcar users tap their registered card onto a device on the
windscreen to access the vehicle.
What’s in stock for this sector going forward? Well, currently there’s a user base of about 2.3 million “car shareres” but according to Colorado based Navigant Research, this number is set to rise to about 12 million by 2020. If you need a vehicle only a hand full of times every month, you’re looking at a cost of just a couple hundred dollars as opposed to at least a thousand of owning a car in an urban setting. This translates to savings for the user and a double win for city traffic and the environment. With such a rosy outlook for growth; expect competition, and a lot of it! And competition means one thing; more and better options for us; the users!
Check out the link below for the entire press release by Navigant Research.