By: Matthew Arnold Antonia LangenfeldBethsaida Perez

http://www.youtube.com/watch?v=PzR_uuv_1c8&feature=related

New Product Development

New Product Strategy

Idea Generation

Idea Screening Business Analysis

Development

Test Making Commercialization

History

Robin Chase founded Zipcar in 1999

Used model that was created in Europe

Opened offices in 2000◦ First office was in Boston, Massachusetts

Merged with Flexcar in 2007

2009: has 300,000 customers

1

•Apply online

2

•Reserve a car

3

•Unlock car

4

•Drive

Steps to Renting a Zipcar

Zipcar does not make the customer pay for insurance◦ It is included in your membership.

If the customer gets into an accident and its his/her fault, Zipcar will charge a damage fee up to $500 dollars.

If there are injuries or damage made, the customer is covered by a Loss and Liability Policy.

Insurance

Application Fee: $25 Annual Fee: $50 Add Driver to Account

◦Application Fee: $25◦Annual Fee: $60

Cost to Drive: $8 per hr. or $60 per day◦Covers: fuel, insurance and 180 miles

Price

Other Fees◦Toll: paid by driver◦NJ: $5 Domestic Security Fee◦Penalties Returning car late: $50 Cancelled/ Shortened reservation:

$3.50

Price

Car Rental Company: Large

rental company Car: Kia Rio Daily Rate: $43 Fuel: $10 Insurance: $21.95 21-25 Age Surcharge:

$30 Parking: $8 Total: $86.95

Zipcar Company: Zipcar Car: VW Jetta Daily Rate: $69 or by

hr. $7 Fuel: Included Insurance: Included 21-25 Age Surcharge:

None Parking: None Total: $69

Price Comparison

Price Comparison Car Ownership Zipcar

Car: Chevy Impala or Ford Fusion

Car Payment: $238 Finance Charges: $62 Insurance: $80 Fuel: $78 License/Registration/Taxes: $45 Maintenance/Tires: $46 Parking: $175 Total: $769 per month

Zipcar: Whatever your little heart desires

If you drive a lot: $272/month (Several trips each week and a weekend trek)

If you drive a fair amount: $126/month (A couple trips each week)

If you don’t drive much: $28/month (About one trip a week)

Price

Zipcar in the REDS Expect to see profits in 2009

Zipcar Cities◦ Atlanta◦ Boston◦ Chicago◦ London◦ New York/ New

Jersey◦ Philadelphia◦ Toronto, Canada◦ San Francisco◦ Washington DC

Zipcar Universities◦ Dickinson College◦ California State Chico◦ UC Davis◦ University of New Hamp.◦ Elmhurst College◦ SUNY Geneseo◦ Hofstra University◦ California State Long B.◦ University of Alabama◦ Wesleyan University◦ Caltech

Where can I find a Zipcar?

Market Segmentation for Zipcar

Consume

rs

Businesses

Universities

Governmen

t

Why Universities?Get university

Less crowded parking

Convenient Less parking lots built

Less money spent by

university and student

How Zipcar maintains a closely service based product.

Websitewww.zipcar.com

Email info@zipcar.com

Personalized emails

High percentage of loyalty

High percentage of returning customers

Competition

Help the country go GREEN◦ Cutting down drastically on the amount of cars in

the road reduces gas and oil consumption.

Rent a car from HYBRID to CONVERTIBLE◦ Can select amenities like sunroof, ipod adaptors,

etc. ◦ Pick any type of car that fits your lifestyle.

Why pick Zipcar?