Greg Moran, co-founder and CEO of Zoomcar told MediaNama that the company has received over 5,000 inquiries since late last quarter, when it started the program. Moran added that Zoomcar can scale this model to over 100,000 cars over the next 3 years.
Earlier: 4 April: Zoomcar, the self drive car rental company has launched a Zoomcar Associate Program (ZAP) which lets Zoomcar’s users as well as other individuals buy one or more vehicles which can be leased to Zoomcar and operate on a revenue sharing model. This was announced via an email to Zoomcar users.
We’ve written to the company for further details and will update this once we hear from them.
Zoomcar will provide monthly earnings to car owners, as well as offer 25% off on all their weekday bookings for the duration of 30 months lease of the ZAP program. The company will offer bank loans through its lending partners or let users buy a car with cash. Zoomcar claims that it will undertake all of the operations once the car signs up on the ZAP platform. More details can be found by emailing email@example.com.
Maruti Ritz and Swift offered in ZAP: Some vehicle enthusiasts on the forum TBHP have expressed concerns over accident liability, the condition of the car post the 30 month lease and if it would be a commercial car etc. A user who got further details stated that Zoomcar is letting users invest in a Maruti Ritz on Maruti Swift for Rs 5.1 and Rs 5.7 lakh respectively (insurance from United India Insurance and New India Assurance is likely extra) from its partners Cholamandalam Finance, IndusInd Bank, Mahindra Finance.
A point from the forum: Zoomcar would help facilitate the registration, permit and tax payment for the vehicle; the car would be registered as a black board commercial vehicle under Zoomcar’s name; RC would make mention of Zoomcar and you/the financier (if you avail of a car loan). The cost of registration and taxes would be borne by you while Zoomcar would handle all the on-ground work at the RTO so it’s a hassle free experience.
The user adds that Zoomcar will take a 30% cut of revenue earned from the car each month, but it will charge the owner fuel cost, servicing, maintaining and GPS tracking installation and working monthly. It will provide a minimum guarantee payment of 3% of the ex-showroom price and will return the car post the lease period.
Zoomcar owns majority of its cars: In July last year, Zoomcar co-founder Greg Moran told MediaNama that a majority of its cars were owned by the company, while the rest were attached from local operators. The ZAP program seems to be a commission free model for Zoomcar by directly asking car owners to tie up with the platform to grow its fleet while providing revenue for car owners as well.
Funding: In July 2015, the company raised funding worth $11 million for vehicle and city expansion, hiring, and product and technology development. Then, it had over 1,500 cars across 250 pickup locations in Bangalore, Mumbai, Delhi, Pune, Chennai, and Hyderabad. In December 2015, it launched operations in Chandigarh.