Plus, Zipcar has built brand equity in the hourly car sharing market, and other companies will have to prove they can do it better to compete. A lot of effort must be taken to reserve parking spaces for cars, build relationships, and develop talent and technology to implement the system. Some barriers to entry into the hourly car sharing market are parking space acquisition, relationships with commercial businesses involved with Zipcard, and its technology and talent, allowing for reasonable prices. When competitors start losing customers to Zipcar, companies like Hertz started trying to leverage its brand and scope in car sharing, and more companies are also moving in this direction. Many customers have also found that Zipcar allows them to get around without physically owning a car. When customers heard about Zipcar's convenience and short term rental arrangement, more started choosing Zipcar. Zipcar's innovation of hourly rentals combined with locating cars near public transit and other convenient locations for customers is a major competitive advantage. Getting the necessary feedback to customers regularly will alllow the customers and Zipcar to plan accordingly to maintain a high level of service.īarriers to Overcome to Implement Transformation #1ġ) May require investment in more technology and require more human capitalĢ) Current employees may be reluctant to change to new system because they are used to the current processģ) Will the company be able to charge the same low prices and maintain profitability?Ĥ) Company may also have to acquire more cars to receive higher level of service If the customer were to reserve a car and later find out that they can't get it, they will waste time and money. I think this will be a competitive necessity going forward because customers want reliability. Also, they will have the opportunity to choose a different car if the car they request is not available. If a customer receives constant updates on availability, they will be able to be more productive throughout the day if they need to change plans. If Zipcar implements transformation #1, they will have a major competitive advantage because customers will be able to plan for an initial estimation of when the car will be available, but give them updates on availability throughout the process, they will be able to adjust plans according. Ways in which Zipcar can transform its service:ġ) Provide visibility to customer on location of cars at all times and expected waiting time, even driving on the road, especially if the customer is the next in line for the carĢ) Allow customer visibility of spending habits and savings from using the Zipcard in comparison to other providersģ) Allow customers to get exactly the type of car it wants when it wants the carĤ) Expand service to other zones beyond major metropolitan areasĥ) Utilize car tracking ability to develop zip taxi -customers would know exactly where the taxi's are at all times, can identify the closest taxi, and contact that taxi directly for service
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |