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Car2Go - External Analysis

Presented By: Eugene Volchek, Omri Farshi, Liat Shemesh & Gal Dayan

Eugene Volchek

on 12 May 2014

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Transcript of Car2Go - External Analysis

User Group Profile
Threat of substitute products or services:
What is Car2Go
Car-sharing model that charges users a monthly subscription fee and a per-kilometer/per-hour fee as an alternative to car owning.
Bargaining power of suppliers
Bargaining power of customers
Car2Go -External Analysis
Presented by: Eugene Volchek, Omri Farshi,
Liat Shemesh & Gal Dayan

Founded in 2007 by Jonathan Gadish. Launched at Sept. 1, 2008 with a fleet of 8 vehicles in center of Tel-Aviv
Current fleet of 200 cars, 10 model options in Tel Aviv, Givatayim, Raánana and Haifa,,, and still expanding.
How to get from A to B?
Public Transportation
Bicycle Sharing
Car Rental
Car Fleet
Technology and Others..
Parking Lots
Threat of new entrants
75 hours and 550 KM per Month
Month: 2000 NIS
Rate: 1.8 NIS per KM for the first 50 KM
1.1 NIS any additional KM₪
35 hours and 250 KM per Month
Month: 1000 NIS
Rate: 1.8 NIS per KM for the first 50 KM
1.1 NIS any additional KM₪
1-2 trips a month rates:
Annual: 140 NIS
Hour/Day: 23/200 NIS
Rate: 1.8 NIS per KM for the first 50 KM
1.1 NIS any additional KM₪
Age: 24-45
Above-average income
Limited access or no access to regularly ride
3-2 average monthly rentals
6 hours of use and 60 KM per rental
Occasional travel throughout the Gush Dan
Travel with several stops throughout the city
Companies without fleet of vehicles
Companies with a small fleet of vehicles
The main use is during the day.
Meetings outside the office
Proprietary technology is not an issue
Car2Go is protecting herself by relatively high consumer switching costs in the form of annual subscription fees
Car2Go is trying to differentiate it's service
Car-Sharing model is still making it's first step in the Israeli Market.

While a lot of alternatives are available.

Price sensitivity

In the short term new rivals will enter and could change the situation
Full transcript