Marketing Fundamentals
Zip Car: Influencing Customer Behavior
1. Introduction
2. Overview of issues of customer behavior
3. Critical success factors for Zipcar
4. The mechanisms that Zipcar have in place in order to manage behavior.
5. Suggestion on Sal and Anita’s reaction
6. Three new procedures to manage customer behaviors related to lateness
Introduction
Zipcar is the largest car-sharing company, which was first established in Boston, MA in
1999. By 2011, Zipcar has 650,000 registered membersand over 9,000 vehicles in several
major cities (Wikipedia). The registered members, with an annual fee, can call or go online
to make a reservation minutes before or up to a year in advance. Zipcar had been also in
partnership with universities to provide a discount for students.
Overview of issues of customer behavior
Zipcar is a car sharing service, therefore, it depends much on its customers for service
experience.This is definitely a key point. There are three main requirements for Zipcar
customers:
v Keep the car clean.
v Full gas tank when return.
v Return the car on time.
Traditionally, customers will not take care a rental car as much because it is not their car.
Sad but true This can cause a huge uncomfortable for the next customers if the car is not
clean. Also, there is a trouble situation if a customer can’t find his reserved car at the
due/time for the reservation to the lateness of previous customer.
Good review.
Critical success factors for Zipcar
There are numbers of lesson learnt from Zipcar, which is the largest car-sharing company.
v Zipcar has created a new market. While there were big names in traditional car renting
service, Zipcar defined a new market for itself. People pay only for the time they need a
car, which counts by hour, not day.
v Customer behavior management: Unlike traditional car service, Zipcar service
experience replies on its users. Zipcar focuses on how to encourage its members to
maintain the car clean, and return it on time for the next customer.
v Technology: Zipcar focus on technology to enhance the service and customer
conveniences. For example, Zipcar has app for smartphone, which can track the
availability of Zipcar around the area using GPS. Smartphone users can also make a
reservation and unlock the reserved car using their cell phone.
v Using fuel-efficient car: Zipcar has a lot of hybrid car which help to save gas cost in a
