After recently launching their one-way intercity travel, allowing users to pick up a car from one city and dropping it to another. Zoomcar is now betting strongly on Zoomcar Associate Program (ZAP) for its next milestone and announced its plans to foray into international markets.
Zoomcar has reported strong unit economics in India with almost 9lakh trips in 25 cities with a ticket size of about Rs 4-6k on an average since its inception in April 2013. They currently have more than 20lakh registered users PAN India with a fleet of 3000 fleet. Zoomcar’s ZAP (Zoom Associate Program) is has managed to cover about 20% of its fleet with 600 registered users. The company offers hatchbacks, sedans, SUVs and luxury cars in majority of tier 1 and tier 2 cities. Metro and non-metro cities contribute 80% and 20% to the entire profitable business respectively. With a current team size of about 200+ employees, they plan on doubling their fleet size and revenue this financial year.
Speaking on the same, Greg Moran, CEO & Co-founder, Zoomcar, said, “We have conducted an in-depth research and have a decent sense of market knowledge in Asia and Africa. Our aim is to be in 20-plus countries in next two-three years. To begin with, our first move would be towards Asia and then eventually get into Africa, which is quite an uncharted market. From the tech point of view, there is a huge opportunity in Africa as few companies have come out with unique innovation whereas the demographics are like India which again highlights a scope for a breakthrough chance.”
The self-drive car rental company is targeting 25,000 cars in 30 cities PAN India within the nest 2-3 years for which its ZAP would account 85-90% fleet. They are also in talks with various state governments to solve regulatory issues for obtaining a commercial license for private cars.
ZAP allows individuals to lease their vehicles and operate on a revenue-sharing model. It provides monthly earnings to car owners, offering 25% off on all weekday bookings for the duration of a 30-month-lease. According to the company, a hatchback has the potential to generate a net earning of INR 10,000 to 15,000 per month. This after deducting costs of service maintenance, fuel and GST – if a customer lists the car on Zoomcar’s platform for 15 days.
Zoomcar’s Cadabra is an IoT innovation full-stack solution to transform vehicles into IoT-enabled vehicles. Cadabra tracks several items of information and driver behaviour, including fuel levels, clutch position, harsh braking, inconsistent acceleration, seat belt usage and engine health, among others and is equipped with Bluetooth and 4G cellular connectivity. It also offers over-the-air (OTA) updates, which has helped the Bangalore-based company to add more to functionality.