In Wake of High Gas Prices and Low Car Sales, Zipcar Grows 100% During Past 12 Months

Wednesday, July 09, 2008 10:01 AM

New Survey Shows Americans Ditching Cars at Record Pace

CAMBRIDGE, Mass., July 9 /PRNewswire/ -- Zipcar, the world's largest provider of cars on demand by the hour or day, today announced record membership growth. The company is averaging 10,000 new members per month, triple the number joining at the same time last year. A new survey attributes the growth to rising gas prices -- 40% of new members cited cost of fuel as their reason for joining, nearly three times the percentage cited one year ago.

The survey also demonstrates that swapping car ownership for a Zipcar membership has a significant impact on American cities and the environment. The study found that:

-- 65% of respondents said Zipcar led them to get rid of a household vehicle or halt a purchasing decision, up from 40% 12 months ago. Zipcar estimates that it has taken more than 75,000 personally-owned vehicles off the road.

-- 40% of members said that using Zipcar has led them to increase their overall use of public transportation.

-- After joining Zipcar, members reported driving an average of 2,200 miles less per year.

-- At current membership levels, Zipcar will save 16 million gallons of gasoline and 150 million pounds of CO2 annually.

-- In the midst of rising concerns about a recession, respondents reported saving more than $600 per month compared to the average cost of owning and operating a car in an urban environment, money that can be used to buffer rising cost-of-living expenses throughout the country.

Zipcar says that rising fuel costs are causing urban residents to consider alternative transportation. 'The sharp increase in gas prices is a catalyst for American's to rethink car ownership in a way we have never seen before,' says chairman and CEO Scott Griffith. 'Thirteen million people can walk to a Zipcar in 10 minutes or less, making our service a viable, mainstream alternative to owning a personal car.'

The data was collected in an opt-in survey of 20,000 Zipcar members living in Atlanta, Boston, Chicago, New York, Philadelphia, Pittsburgh, Portland, San Francisco, Seattle, and Washington, DC.

About Zipcar

Zipcar is the world's leading car-sharing service with 225,000 members and 5,500 vehicles in urban areas and college campuses throughout 26 North American states and provinces as well as in London, England. As a leader in urban transportation, Zipcar offers more than 30 makes and models of self-service vehicles by the hour or day to savvy city residents and businesses looking for an alternative to the high costs and hassles of owning a car in the city. For more information, visit Zipcar.com.

     Press Contact
     Lesley Weiner
     CooperKatz for Zipcar
     917.595.3034
     lweiner@cooperkatz.com

SOURCE Zipcar

(Source: PR Newswire )

Follow iStockAnalyst on Twitter Follow iStockAnalyst on Twitter
Subscribe to Email Alerts

Comments Closed





Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.