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A classic case study about Zipcar Services with the complete character analysis of people involved, case solutions and facts.
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Car Sharing Service
Started in 1999
Expanded to 21 cities till 2004
30000 Registered Members
400 cars till 2004
Tie Ups with Universities
ZIPCAR: IN A ZIP
Step 1. Join
Step 2. Reserve
Step 3: Unlock
Step 4. Drive!
HOW TO USE ZIPCAR’S SERVICES
Initial Fee: $25 for Checking Driver’s License + $100 Refundable Deposit
Annual Membership Fee: $50-$250
Free 125 Miles/Reservations, $0.20/Mile Beyond That
Incentive for Members Washing The Cars
SERVICE CHARGES
COMPARISON WITH CAR RENTAL
Car Rental
Daily Rate: $43.00 (No hourly options)Gas Charges: $10.00Insurance Waiver: $21.9521-25 Age Surcharge: $30.50Parking: $8.00Additional Fees: $4.00Total: $86.95
Zipcar
Daily Rate: $60.00 (Or by the hour for $8.50)Gas: $0Insurance: $021-25 Age Surcharge: $0Parking: $0Total= $60.00
You Save $26/Day
COMPARISON TO CAR OWNERSHIP
Owned Car
Car Payment: $315Finance Charges: $62Insurance: $134Gas: $61Maintenance: $76Parking: $175Total: $843/Month
ZipcarIf You Drive A Lot: $290/MonthIf You Drive A Fair Amount: $153/MonthIf You Don’t Drive Much: $34/Month
You Save Hundreds Each Month, You Pay Only What You Use
RELATIONSHIP MARKETING
Building Financial Bonds
Building Social Bonds
Building Structural Bonds
INTRODUCTION TO THE CASE
Anita Karr resident of Cambridge (U.S.A)
Anita Karr resident of Cambridge(U.S.A)
Reserved a VW Jetta Jericho from Zip car at
4:00 pm
Needs to go to Boston by 6:00pm
To attend her sisters performance
INTRODUCTION TO THE CASE
Sal Fishman attending an interview in Boston
Reserved the car from zip car for the interview
Expected to return the car by 3:30 pm which Anita Karr was
scheduled to pick up by 4:00 pm
But his interview got delayed beyond 3:30 pm
THE PROBLEM
Fishman found himself in a difficult position position regarding the car.
Fishman excused himself from his interviewers to call Zip car but before Zip car could pick up the line Fishman hung up .
Karr was anxious when she saw no car parked at the parking space at the Charles Hotel.
WHAT SHOULD FISHMAN DO?Should he stay or Should he go?
INFLUENCING CUSTOMER BEHAVIOUR
12
1313
Anita KarrSal FishmanVolkswagen JettaZipcar
14
ANITA KARR
Emotional Caring Values Relationships
Believes in Planning
Organized Person
Platinum Customer
Sal Fishman
Loves adventure
Energetic
Responsible
Punctual
15
GOLD Customer
16
17
The Middle Segment Sedan from Volkswagen
Positioned as a car everyonr desries
The other cars from Volkswagen are
Vento-Lower segment
Passat-Higher Segment
18
Positioning of Zipcar
Its Not a Rental Service but Ownership
Covers Gas, Insurance, Parking fees
A Brand to Rely On
Can own Any Segment Car Anytime..!!
19
Solutions to the case
Auto call Back Systems ½ hours before
Numbers exchange system
Static & Dynamic Pricing
IVR System for Problems
Minimum 2 cars
Mobile app to track cars
Zipcar = Unpleasant
Absolutely Horrifying Experience
You Will Be Dissatisfied
Don’t Waste Your Time Or
Money
Do Not Rent From
Zipcar
Beyond Terrible Customer Service
Transactional Surveys
Employee Surveys
Customer Complaint Capture
Customer Advisory Panels
Enhancing Elements
Door To Door Service
Chauffer Driven ZipCar
Trips for Special Members
Vacation Trips Outside United States
Airport & Railway Service
Superiority Elements
Customization Of Cars
Pet Space
Zipcar Driver Training Center
Women Safety System
Multiple Members Zipcard Access
“It's a relief not to have a car anymore.But it's also a relief to know if we need
one, it's there.''
Functional
RisksPhysical Risks
Financial RisksTemporal Risks
Psychological Risks
Social Risks
The management
team
Nitesh
Praveen
Piyush