Saturday, April 30, 2011

CAR2GO Is On a Roll

I was fortunate to be able to attend the press conference announcing the launch of car2go in Vancouver this June.  As you would expect, it was an impressive and well-staged event.   Mayor Gregor Robertson was most enthusiastic and car2go CEO Nicholas Cole was able to work in some "Go Canucks" to take advantage of the hockey fever sweeping Canada right now.


(It didn't hurt that Vancouver's "liquid sunshine" let up for the morning, and don't ask me why, but just seeing a Smart car makes me smile.  So having several of them sitting around in their special white with blue car2go trim is a good sign.)

The plans car2go has for Vancouver are impressive - starting out with 225 Smarts (the new special car2go model), floating parking + designated on-street stations in certain areas; a large floating parking zone (18 sq. miles or 47 sq. km) and rates same as Austin - 35¢ per minute; $13 per hour or $66 per day and 45¢ per kilometer for trips over 200 per day.

Vancouver follows on the earlier announcement of car2go in Hamburg and recent announcement of a fleet of electric car2go Smarts coming to Amsterdam.   And it appears that several more cities will be announced this year, as well.  

Car2go joins Modo Car Coop (the very impressively rebranded Cooperative Auto Network) and Zipcar (offering premium service) in the traditional "round-trip" carsharing by the hour.  Meanwhile, on the launch day the Twitter-sphere had a flurry of Tweet and counter-Tweet about car2go.  The Modo loyalists were sticking up for the home-town company but, perhaps not surprisingly, the coolness factor of one-way seemed to dominate the conversation.  Zipcar was silent the whole time.

I've noted before that Daimler has used the phrase "personal public transportation" to describe car2go.  Given the unique aspects of the Smart car, it's an apt phrase.  Certainly there will be many people who will maintain memberships in both services - especially given car2go's willingness to give them away at first - using Modo for longer trips and when more people or stuff needs to be carried.  35¢ a minute adds up and $13 per hour if you're traveling outside of the zone makes it somewhat of a lifestyle statement.  (If you're traveling within the floating parking zone I think there's little reason not to end your trip when shopping or going to a meeting - if you're downtown and "your" vehicle is taken, there are almost certainly going to be others available nearby (you do have an iPhone, don't you?) and if you're in the outskirts of the zone, then the likelihood that someone will take the vehicle is very low - except if you've parked near a rail station.)  

So perhaps we'll have an interesting test of the competition of "mobility on demand" model versus the classic carsharing as an "alternative to car ownership" service.  (I don't think the demise of Austin Carsharing last year says as much about possible competition between the two services as it does about the viability of Austin Carshare.)

But the real test will be how Zipcar responds to this additional pressure.  They've been struggling to get traction ever since coming to Vancouver — the price differential compared to Modo for similar vehicles is significant.  Modo's rates are highly affordable $3 per hour + 40¢ for the first kilometers (declining to 15¢ per km for longer distances) or $33 per day.  Zipcar is $11/hour gas included or $75/day.  But I wouldn't underestimate Zip, especially after their recently completed IPO.


For me, the big unanswered question right now is about the transportation impacts of any "mobility on demand" service.  I certainly expect that a small percentage of walking, cycling and public transport trips will be shifted to the Smart cars.  But this is probably analogous to the increased VMT from non-car owning members after they join carsharing.  And I'm told that an evaluation by the University in Ulm is forthcoming.

It's worth noting that Car2go has set up a nice retail shop in Gastown and I expect they will do good business in walk-in memberships and customer relations.  (I've been very impressed by the activity I consistently see in the Zipcar store in downtown Portland.)  Something else that car2go has done right (at least I'm aware of it in Austin) is becoming part of the community - no small feat for corporate carsharing - they seem to be at or associated with many events in Austin - an event-ful town!  So, we'll see if they can replicate that engagement in VanCity.

Finally, this trip provided my first look at new Smart with the new (proprietary) telematics system with a very handy ignition key and card holder right in the unit (see picture) and integral navigation system (bravo Daimler telematics people).  Plus the vehicles have a solar roof - cool, eh?  (But what is a solar roof on gasoline car all about, anyway? See comment below for the answer. - DB)  

As always, getting into a Smart is an exercise in cognitive dissonance - it appears so tiny on the outside and yet feels so unexpectedly roomy on the inside.  The best thing about this new Smart is that Daimler seems to have finally overcome the jerky, uncertain autoshifting that I have found so disconcerting in the previous Smarts.

Car2go seems to be off to a good start in Vancouver.

6 comments:

  1. SteveG9:48 AM

    The solar roof is, I think, to:

    a) power the fans that keep the interior of the car relatively cool during hot, sunny days, and

    b) to avoid situations where the telematics "run down" the vehicle battery during extended idle periods.

    This (point to point car-sharing) is very interesting. If the model makes money, and I think it does, it could be a game-changer for dense urban areas.

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  2. I´m wondering if Car-Sharing Models will work. From my point of view the individual charachter of a car is a must have for most drivers

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  3. There's an interesting discussion between pro-Modo and pro-car2go supporters in at the tail end of an article in the local alternative weekly in Vancouver:

    http://www.straight.com/article-390154/vancouver/vancouvers-carsharing-market-gets-more-competitive-arrival-car2go

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  4. Many thanks for the exciting blog posting! I really enjoyed reading it, you are a brilliant writer. I actually added your blog to my favorites and will look forward for more updates. Great Job, Keep it up.. :)

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  5. Excellent ideas this is perfect because I consider that it's the perfect option to drive in the city because it fits really well elsewhere.

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  6. Anonymous5:11 PM

    Don't waste your time registering with them unless you have a stellar driving record. I was sent the following denial email:

    "Unfortunately, the check of your driving record (MVR) returned results that make you ineligible for a membership with car2go and We are unable to activate your membership at this time. There are a number of things that can cause the check to be unsuccessful. They include:

    1. A driver’s license is currently suspended, revoked, expired or suspended.
    2. Convictions for reckless driving within the past 36 months.
    3. Convictions for driving under the influence, driving while intoxicated or driving while impaired within the past 60 months.
    4. Three or more moving violations within the past 24 months.
    5. Failure to report an accident or leaving the scene of an accident within the past 36 months.
    6. Conviction for possession of a stolen vehicle, or the unauthorized use of a vehicle, or the use of a vehicle in the commission of a crime in the past 60 months.

    If you would like us to check further into your specific situation, we will need you to provide our office with a hard copy from the DMV in order to perform a manual check of your driving record. This can be mailed, e-mailed, or faxed to our office at 512.480.0854 and we will forward it for the recheck.

    Please contact us if you have any questions.

    With kind regards,
    Your car2go Team"

    ...which I knew none of those reasons applied to me, so had to order a copy of my driving record, and send it in to them for review and got this "detailed" explanation:

    "The following information is what was provided by our insurance company.

    2 speeding tickets within the past 3 years. One for 20 mph over the limit and one for 30 mph over.
    Those are both "2 point" violations in the scoring criteria which gives him a total of 4 points which makes him ineligible for membership."

    Yes, I've been caught speeding on I-5 a couple of times, but it would make sense if their cars could even do the speed limit on the highway, let alone go 20-30 mph over!

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