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Any guesses whether this means subsidized rentals, in accordance with their winner-take-all model, to price-out competitors like Zipcar? On a related note, doe
by alephnan 9y ago
Any guesses whether this means subsidized rentals, in accordance with their winner-take-all model, to price-out competitors like Zipcar?
On a related note, does anyone know about Zipcar’s business model? Are they focused on unit economics / profitability instead of growth? I’ve been using it ever since they marketed on our college campus with student discounts 5 years ago, but there hasn’t been much updates to the web UI. Maybe this is for the better.
- ghaff 9y agoAvis bought them and they've been much lower profile as a "hot hip company" since then. In retrospect, they were a fairly niche play and Uber/Lyft seems to have taken what wind there was in their sales largely out. Based on pricing that people have told me, it doesn't seem to be discounting for growth.
- alephnan 9y agoThat’s interesting because for my use-cases, ridesharing and on-demand car rentals are substitutable goods. Ever since I moved to SF where ridesharing is noticeably more cost effective, I’ve shifted my more towards ride sharing. If prices on car rentals goes down with this Uber deal, I see myself shifting back in the other direction.
- mattnewton 9y agoIt’s not so much in a city: ridesharing is a superset of usecasses for me that eventually led me to cancel my zipcar, since they only served the road trip case that a proper car rental does just as well. Having to walk to the car and return it in the same place is a huge hassle, and then having to drive the thing and gas it up puts it much closer to competing with rentals to me.
- alephnan 9y agoOne use case where I default to Zipcar is picking up furniture / big items. Also, I like hiking in Muir Woods but there is no cellphone signal there. You can book a trip to, but not a trip from. Another one is when I want some privacy.