It looks like the Netflix, Spotify, and such business models are now starting to carry over into the automotive area. We’ve recently seen Porsche introduce a new car subscription program that would allow you to use their cars for a fee. The trend seems to be catching on because Zipcar has now entered the field with a new program.
Zipcar announced a new program that will allow you unlimited access to its cars, if you pay a monthly fee. For urban dwellers who are willing to pay the monthly fee, your subscription will net you access to Zipcar’s fleet during the work week. Avis Budget Group-owned company seems to be facing hurdles and struggles from legacy automakers, and is now looking to be the leader in car subscription area.
Here are the details for the new service: Zipcar will offer you a vehicle for unlimited and exclusive use from 5AM Monday through 7PM Friday, at a monthly fee of $199 to $299, depending on your city, plus 45 cents a mile in the US. The monthly cost includes gas, insurance, maintenance, cleaning, and you also get a dedicated parking spot. So far, Zipcar has typically offered membership plans at a $70 per year fee, plus an hourly and daily rate for use of their vehicles.
This new service began as an experiment last year among a small group of commuters in New York City. The service will now be available to Zipcar members who live in the following cities: New York, Boston, Chicago, San Francisco, Philadelphia, Seattle, Toronto, and Washington, DC. News of this was first reported by The Wall Street Journal.
With heated competition from the likes of automakers and ride-hailing services such as Uber and Lyft, car rental companies are now making an effort to offer new types of services to bring customers back. Car rental companies such as Avis (Zipcar’s parent company) are quickly trying to adapt to the fast-changing car arena.