Zoomcar Case Study:-
Today with this article we will continue our article series in which we talk about case studies and business model of different startups and big companies. So today I am with you with a new startup company and we will talk about Zoomcar Case Study.
So If you don’t know about Zoomcar Case Study then you can stick with our article and carry on to read and absorb knowledge on Zoomcar Case Study.
What is Zoomcar ?
It is the first online rental car business. Zoomcar business model is out of the box it is customer need a centric business model. Zoomcar is India’s first online car rental company.
It was launched in 2013 in Bangalore.
In India where other companies focus on providing a driven car but this came with a new concept that is car rental.
Don’t worry I will explain you their business model in detail in a practical sense so that you can understand it in a better way.
Let’s we assume a poor employee who cannot afford a car in cash payment so he bought a car in EMI and then he to pay car loan he is losing his huge part of the salary to pay car loan.
Then there he will come to know about Zoomcar he get information about the one plan of zoomcar in which they take your car with them for at least 20days so that he can earn around 20k PM and clear his car EMI without touching his salary.
Let’s take another condition that a group of friends which don’t have any car but want a cool weekend trip in mind. then they get to know about Zoomcar which provide them a car on hour rent basis. In this there they also a one benefit that they also do not no secaurity deposit nowadays.
Just verify your driving license, pay the bill and take car wherever you want. It have a wide range of cars available.
It was startup was founded two Americans named David Back and Greg Morgan. They both met each other when they were studying at the University of Pennsylvania.
They also studied in business school but in different schools. Morgan went to the University of Southern California.
David Back and Greg Morgan both dropped out schools to move to India and establish Zoom. It was first launched in 2013 with an investment of 216 thousand dollars. It was started with help of seven cars at an initial stage.
Amid that time, that is very nearly four years prior, while they were sitting in a bar having lagers and chilling, they built up a typical enthusiasm of enterprise among one another and took it forward to seek after it.
What they saw that was – India did not have any fleeting auto rental administrations. They trusted that India was the ideal creating nation where this could be executed.
They likewise moved toward Professor Alford, the Vice-Dean for International Legal Studies for counsel and got a complaint expressing that “auto proprietorship is a tremendous grown-up toy in India – so individuals would like to possess an auto as opposed to sharing one.”
It has raised the total of $103.8 million funding with 15 investors.
Zoomcar raised its funding in two rounds:
Series A:-In Series A financing round held in October 2014 Zoomcar raised 8 million dollars from new speculators a portion of the current financial specialists and like VentureSouq, Empire Angels, Abhay Jain, Pranav Pai, Mohandas Pai, Sequoia Capital, Basset Investment Group, Athene Capital, FundersClub, Globevestor.
Series B:- In Series A financing round held in October 2014 Zoomcar raised 8 million dollars from new speculators a portion of the current financial specialists and like Ford Smart Mobility, Reliance Venture Asset Management, Nokia Growth Partners (NGP), Empire Angels, dollars OurCrowd-GCai, ventures out, Sequoia Capital.
So after talking about Zoomcar Case Study now, we will also learn about its business model
Zoomcar Business Model:-
Zoomcar is a different business model it does not give a driver with car to a customer. In this business model, ZoomCar gives you cars on rent on per hour, per day, per week or monthly basis.
They have a huge range of cars right from Swift, Ecosport, City, Ford Figo, Fortuner, and Honda Amaze to Mercedes-Benz A-Class sedans and BMW 3 series.
Zoomcar has thee different range of cars in a business model and named like zoom light, zoom classic and zoom XL. The people prefer choice for Long Outstation Trips, Office Commute, and Multiday Bookings, in ZoomLite.
After ZoomLite they have another range Zoom Classic that is ideal for Weekend Trips and General Usage.
If you have planned for long trips or use the car for the Joy of Driving you can go for Zoom XL.
They additionally Started an activity where people put resources into autos and get into a 30-month Lease Agreement with ZoomCar to rent the auto to them. This Initiative is ZAP.
Zoom Car purchases 75% of the autos in its systems through advances from banks and remaining are rented from substantial organizations.
ZoomCar takes 30% cut of the income earned from the auto, against all the business, and for all the operational help that ZoomCar will pay.
For the time, ZoomCar’s crowd has been limited to for the most part level 1 and level 2 metros in India. They have settled on a methodology of keeping up an extremely hyperlocal and thick system in existing urban communities, as opposed to going far and wide.
They have 60% repeat customers and with 2 million satisfied customers.
It also gives some extra benefits compared to the competition.
Since no player was putting forth a comparable administration. Greg unequivocally trusted that ZoomCar naturally would get the edge and on account of its principal uniqueness. His thought could click in India!
For Details watch this video:-
So, at last, I just want to say that Zoomcar is a very good business model. And can grow In India rapidly. It has good scope in future India.
So how you like my article and how you think about this startup. In future let me know comment down below for this.
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To go to official site of Zoomcar click here.