ZoomCar Business Model | Case Study

By | September 1, 2019


Today, We will talk about India’s First Rental Business Model That is Zoom Car Yes You heard it Right, Online Car rental Business Model You can book the Car on Rental basis from them and You wont get the Driver, You will drive it You might had an experience in Ola, uber But if You are at The Airport, You can Book the car from ZoomCar and want Drive it by yourself want to get on a Date, or want to impress a Girl and You don’t have enough Funds to Buy a Car and want to go for a Date, You can Rent a Car from Zoomcar and have a Great Date Ideally its not for this Use, But for the Corporate Use But i am giving you an Example How can you use this Service Its a Bangalore Based Company and was founded in 2013 and was started by two Americans, Breg and David They both did their graduation Together and Did Post Graduation from Different Business Schools Later decided to work on this Business Model In India, if you wants to a Taxi Business Kind of a Taxi Business Model Then, you need a Yellow Number License Plate And They were having some Trouble Getting the Yellow Number License Plate and Because of that they have to tie up with Different Peoples and In Bangalore their were 5 people who can do this They track all of them, and 1 person get Agree on this, That was Ramesh Tours and Travels If you haven’t noticed yet, Their cars Have a Normal License Plate Not the Yellow One But It comes in a Very Special Category, that is VIP Commercial Number Plate Now, Whats the meaning of VIP Commercial Number I would also like to tell you another Unique thing About it If you book the Car from their Website Then, When you take the Car from them, you Become the Owner The ownership gets Transferred to you Like if Any Miss Happening Happens from your side Then, it all under Your Liability and You don’t Need any Special License for Driving, A normal license will Work You don’t need a Commercial One and Your Business model was on Yellow No. Plate Then i wont be able to take is as I don’t have a Commercial License That is, I don’t have a License to Drive a Yellow Number Plate car and that was the only reason, they Tied up With Different People Before this To make their Business Feasible Normally if you wants to do a Business in IT Sector like what i have, Digital Marketing Business and For that, I don’t have to go under Any Government Policies or Rules I don’t have to Follow many rules for this want to do a Normal Business But in the Zoomcar Business Model, They have faced lot of difficulties as it requires a lot of Paper Work and some Approach to pass through some Rules and Document What they have as of Now, Is 60% Repeat Customer If you booked the car from them and drove it Their are 60% Chances that you would be a Repeat Customer They have more than 2 Million Happy Users and Users Have traveled more than 200 Million Km. And have around 2,200 Personal Cars in which 70% of the car are self Owned by taking a Loan from the Bank and the rest one’s are on Lease They have also launched another Business model, I will discuss about this later on If you wants to book a car from them, They have three Different Package (Zoom lite, Classic and Xl) They all have their own Unique Features Like you will get 5Kms Free in one Package per Hour in some Package You can see the prices according to the Car Listing Basically, I really Liked this Business Model Its Really Amazing, I’ll tell you all later on how they are working Profitably how to Generate Profit, And how they are able to Provide you the Car Will tell you everything in Detail You got the Car by booking it, and we can Clearly Understand the Fact that the cars are Funded By the Banks and Then they give it to you On Rental Basis But Recently, They have launched a New Business Plan and because of that their company is making Profits Just within a Year They were in the loss, and Just after launching the New Model, Its under Green Sign (Making Profits) But How? They Launched a New Service of Buying a Car If you want to buy a car of 10 Lakhs, You need to give at least 2 Lakh Downpayment But while Purchasing from them, You dont have to give any Down payment The make it Possible by giving a Hire Service of Long Term Previously, it was a Rental modal For a Day, Two or a week But now, We are talking about 6 Months For a Year, Or Two What happens when you book a car for 2 Years? Consider a Month of 30 Days In which you have to Travel for 15 Days for Office, or Work some Personal Work and Rest 15 days, you car is Just Unused Now, If you bought your own car, You wont get anything in return for those 15 Unused car Days and if Your Car is on EMI, You have to Pay the Money for that 15 Days also But when Buying from them, They give a Service to you to List your Car on their Website as a Market Place and When a Customer avails the Service, like they Usually do They will take the car from your Place and they will work on Some Commission Basis They say it is 30%, Their Commission But you will get a Better idea after what ill show and With my Calculation That how it Happening The Raised a Total Funding of 103M Dollars in Over 10 Funding rounds Till Now 2 October, 2013, they got the Seed investment of 1.6M Dollar and if i talk about some Recent Figures They have raised the Debt Funding of Over 3.6M Dollar If you are confuse between Debt and Equity, do Check my Video They have over 19 Lakh Monthly Traffic on their Website and Considering at least 2 Percent Conversion Rate You will get an Idea about their Sale i am Considering Minimum 2 Percent They don’t even spend their 10% of the Funds in the Marketing They have a thinking of Organic Expension, and they don’t have to do much Now lets talk about the benefits of their business model, They have Two plans If you want to take the Service without Fuel, You can take that also they give us 5 Kms Free Suppose we want to go on a Date in Cp So, I booked the car from there for 5 kms or for Showing of In a Get together with My Friends I booked it, but didn’t drive it. Just parked it Nearby Turned on the ac and Had a Pleasent Time Meanwhile, The petrol will get burn But i make sure not to drive it more than 5Kms, and then gave the Car back to them So like this, there are many people out there, who are misusing this Business model and If a Company Person is watching this Video Dont take this service away as you are earning profits and some are also make some profit out of it and you have to give 9Rs. for Every Km if you drive it beyond 5 Kms As i Told you before they have 3 plans, If you avail the Basic plan, You will get a 5 Km free and i you drove it 9 kms, then you to pay 9 Rs. for Every Kilometer and You are getting 5 Kms free every Hour and If you took the Service for 5 Hours, then you will get 25 Kms Free Do Consider this also You will also get a Insurance from them, Car assistance and You can take the car anywhere in the India as They have All India Permit for their Every car You just have to pay the road taxes, or the toll taxes of entering in another State rest is all covered by them If you are considering that you will get a 250 Kms free every Day and you are traveling 250 kms every day and By taking a Pause and even sleeping with turned on ac by parking it , You can do this also They have some Limitations also and not everyone can drive their car According to their analysis, People having age below 20 had a chances of accidents more so, They eliminate the People Below 20 age in their Business Model You have to upload the License and For some Heavy Vehicle, They have Age Restrictions also You can also take Audi from them Take the Audi and Showoff with Your Friends Or a Group of 4 can also Contribute for an Audi and showoff Just register yourself, have to pay some Booking Amount Thats Refundable or consider that as a Security for Any Miss Happening Now lets understand, How they are making Money First by the Rental Business and i would like to tell you the calculations for the Second one Rental Part is quite easy to understand Its Just commission basis by taking a car listing it on their Website In Delhi, We have a New rule that a Petrol car can Run For 15 Years Only (Verbally Incorrect) and If you are planing to buy a new car and If you a person who changes Things a lot Like Buying the Latest Iphones But if you go out to sell your car after 6months, you wont get much in return For those people, This Business is Good You can take the car on Lease Basis for 6 months, and then take another one After 6 And so on Or you can also list your car on their Website that i drive it for 10 days only and can list it on their site for the rest 20 days For my simple Calculation, I have considered a Person takes a Swift DEsire and He takes the Car on Lease Basis for 6 months You can take for as much as you want, I am Considering 6 Months And out of that time, He list the car for 10 days on their Website and During these 10 days. He gets about 750 Rs. every day and If you check this on their Website of taking a car for a day( 24 Hours) , you will get the Price and that comes around 1300 Rs. So after subtracting the Expenses , rest is their Profit And in the PROFIT, Their will be the Salary of the Employees and they have more than 200 Employs, so there will be some Expenditure over also Their will be some Infra Cost Application runing and Maintenance Cost In the Previous Financial Year, The had a Profit of around 19M Dollar So, Finally they are In Profit and Personally i really LIked the Business Model and as a Consumer also i have asked many Peoples, and some My friends also Use It and they all are Satisfied that Also mentioned about how good Their Car Care Road Assistance are They take the care from place only will fix it and will give it back to you Basically i heard many things about their Customer Service If they are getting 60% Back Customers that means the people are satisfied Now there are many Similar Companies But they were the first Leader, so i made a Video for this only Greetings

100 thoughts on “ZoomCar Business Model | Case Study

  1. Intellectual Indies Post author

    This Video is not sponsored. Now a days I am seeing many negative reviews about their services. Dont go blindly. Take care.

    Reply
  2. disaster0007 Post author

    BC this is a chor company…teray ko kitnay paisay bilay

    Reply
  3. Vibs Post author

    Dear Sahil Khanna / @Intellectual Indies, I'm also noting many negative reviews of this company like they put cancellation charges (around 1700 INR) even if you can cancel within 30 minutes of booking. Their cars are NOT cleaned on delivery and they DO NOT SERVICE and PRE CHECK cars before delivery. All this happens in books. There is no policy for employees if they behave like this.

    Secondly can you please list some of its ALTERNATIVE car rental services in India. I can definitely google but your word of advice will be mean 100 times more than my own google search. I'm looking forward to use services like Zap Subscribe.

    Reply
  4. Debabrata Patra Post author

    Video should be explained by writing or making animation, not by blabbering. I would suggest to stop using CG background.

    Reply
  5. Mohammed Akber Post author

    Sir maire age 19 hai to my zoomcar book kair sake ta ho …. ?

    Reply
  6. amol patil Post author

    Bro , you don't know they have threshold for fuel as per kilometres, if you use more AC than their average calculation they will charge you for excess fuel burned.

    Reply
  7. Bhart Virdi Post author

    मेरा होटल लाइन का बिजनेस है पटियाला पंजाब में मेरा होटल एंड का बिजनेस है पटियाला पंजाब में मैं आपसे बात करना चाहता हूं आपके व आपके साथ बिजनेस के बारे में बात करना चाहता हूं मेरा मोबाइल नंबर है 98152 91 861 आप बहुत अच्छा बोलते हो

    Reply
  8. DHTech Educational institute Utub pvt ltd India Post author

    Liscence Kia chahi hae

    Reply
  9. anirudha sawant Post author

    🔔🔔🔔🔔🔔🔔🔔🔔🔊🔊🔊📢📢📢📢Use my code anirud1dq3y to make your first booking with Zoomcar and get 15% off! (Max: 1500Rs) Download their app now 🔔🔔🔔🔔🔔🔔📢📢📢📢📣📣

    Reply
  10. puneet dhiman Post author

    Self drive car new compaly launching , it will be big boom

    Reply
  11. Nitin Giri Post author

    Hello sir long trip per total loss h iska ek Scorpio book kri jiska amount 13600 free km 360
    Security amount 5000 refundable total amount 18600
    Mera trip h 1000 km ka
    1000-360= 640×18=11520
    Scropio charges 18 rupees km
    Total trip 18600+11520=30120
    30120-5000 security refundable=25120 total loss

    Reply
  12. Pooja Mishra Post author

    Nice video sir

    Plz subscribe to our channel for videos on cars24
    https://youtu.be/ATWlrjBLI34

    Reply
  13. Gopal Acharya Post author

    ye sabse faltu compny he… the management is full of morons…. inka gadi kharap servicing ke chalte breakdown hota he.. or ye log charges customer pe lagate hn….

    Reply
  14. Money Online Post author

    Logo ko Rs 2.5 lakh ka bill bhejta hai zoomcar LoL!.
    https://www.youtube.com/watch?v=2IkbJ89rZwI&t=0s&index=6&list=LLMgq0QalcS4T_QUqP8yVt6A

    Reply
  15. Hardeep Sidhu Sir Post author

    Ghanta….. You are biggest liar….. Zoom car is world worst in customer service. This company is a biggest fraud

    Reply
  16. kulbhushan k.d Post author

    Zoom car charge 2.5 lakh for one customer.. uploaded video that is not good for us.

    Reply
  17. fleetroot Post author

    This is a fantastic video. Mind Blowing Information. Thank you so much.

    Reply
  18. Feroz Khan Post author

    Use code ferozkbj41e to make your first booking with Zoomcar & get 30

    % off! (Max: 2000Rs) Download app: https://play.google.com/store/apps/details?id=com.zoomcar . T&C Apply.

    Reply
  19. Santhosh Kumar Post author

    I'm Santhosh I want to place car I can't ask in text I have doubts please if you don't mine please call me once 7780199188 call me are miss call me plz

    Reply
  20. dhiraj kumar Post author

    Don't book car from zoomcar they cheat you, Misguide you, just to make money

    Reply
  21. Fahdy #vlogs# Post author

    Sellanycar.com business model pe vdo banao plz😭

    Reply
  22. Ashish Rajput Post author

    meko jana he meri gf ko leke phele ghumauga fir chodunga😆😆😆😆

    Reply
  23. Dr SANSKAR SONI Post author

    Aapne Ye customer basis pe banaya he ise thoda Buisness type me banao

    Reply
  24. Abhi Productions Post author

    Zoomcar ka business model bass logo ko incorrectly charge kar k paise kamaana hai😠

    Reply
  25. VISHAL SHARMA Post author

    https://www.youtube.com/watch?v=-mln8eK3CMo THIS IS WHAT WILL HAPPENS TO CARS WHICH ZOOM CAR CUSTOMERS DRIVE. Only an idiot will give their car to ZOOM CAR. Car will become KACHRA in a month or two. Zoom car has their own garage, they do not get the cars service or repair from company.

    Reply
  26. VISHAL SHARMA Post author

    Kya bewakoof bana rahe hain yaar, you give your car for 20 days and you get only 5000 – 10000 and the zoomcar clients will damage your new car……… This is bull shit. These days you don't get a good car below 8 laks and taking such a risk is just being foolish. These big companies just fool innocent people and try to grow their profits. Now they don't have to buy their own car, they just have to catch some idiots in India who get into the traps easily. I have seen people who drive zoom cars, they literally screw up the cars as if they have never driven a car before. I would rather buy a new car and run that as a taxi…. Atleast I will drive my car and will make sure that the car is in safe hands… This is total bullshit scheme for poor car owners. The zoom car company is such a thief, they chart thousands per day from customers PER DAY and the car owner will get peanuts. And zoomcar will do GHANTA maintenance. They have their own garages. They never give the cars to the company authorized showrooms. Plus there will be repossession which the car owner would not be aware of. CAR OWNERS BEWARE!

    Reply
  27. Teach easy Post author

    Use my code yashkabbgzi to make your first booking with Zoomcar and get 30% off! (Max: 2500Rs)

    Reply
  28. vamshi krishna Post author

    NjQ2Nzg0 Use this promocode and get flat 50% off on ur zoom car booking

    Reply
  29. ವಸಂತ ಲಕ್ಷ್ಮೀ Post author

    Good oportunity for Investor ……👍👍

    Yellow express logistics ltd, as a Public limited company, located in yeswanthapura and Nelamangala at Bangalore.
    Car leasing project and other digitalized activities.

    * Invest ₹ 2 laks and get every month ₹ 10,000. up to 48 months (lease period 4 years)
    10000 x 48 = 4,80,000.

    * Investor as a share holder of the company. As well as owner of Nishan Micra car with special edition.

    * after lease period 4 years (48 months)
    Car will be purchased back by the market price of ₹ 2,50,000.

    * Car cost is ₹ 8 laks rupees
    You invest only ₹ 2 laks other 6 laks, company arranged loan from our comfortable banks.

    * Every month ₹ 17,000 loan EMI will be spent by the company.

    * Risk less for investors. driver salary's and other maintanence charges like fuel accidents and incidents ovaral expenses spent by the company.

    No other chargers to investors….he get every month ₹ 10,000.each of 4 years lease period.

    * Good opportunity to fixed deposit account holders…and investors.

    if you are intarest to invest …..and any further details of the car leasing project and about company….

    Phone no. 9448017434
    Vrushabha team leader

    Reply
  30. keshhav shukla Post author

    U r smart.. But ur bad explainer.. U we're abt to tell its buisness model.. But u oll telling how to use. Zoom car app.. N while explain buisness model..

    Reply
  31. Jatin tyagi Post author

    Bhai mere pas ek meri personal car h. Kya m apni car inko inke business k liye deke inse paise kma sakta hu emi k sath…plz reply

    Reply
  32. Arvind Shind Post author

    Muze gadi chalana he to kaise contact kare

    Reply
  33. Sagar Pawar Post author

    AAP itna sub jante ho to…apna khud ka start-up kyu nahi karte?

    Reply
  34. Mohammed Zameer Post author

    Are o chutiye office 15 dayz nahi.
    25 days rahega minimum. Aur remains 4 Sundays.
    Konsi dunya me hai.

    Reply
  35. R. K Meena Post author

    Sir ji ager 20days gadi Apke pass ho to kist ki garntee Apke hogi kya

    Reply
  36. Hanumesh B Post author

    Software company me rent denekiliye konsa website janeka

    Reply
  37. I Post author

    Zoomcar + ZAP subscribe is basically a scam. Any company with this business model is basically scamming ignorant public. Only the smart ones amongst the Indians would understand the details inside this scam. No wonder two American shits came to India with investments backed by former Harvard and Cambridge pricks to cheat the Indian public. I would rather get a brand new car if I am that desperate for a car. I have done the math including all the costs, expenses, taxes, maintenance, depreciation and many other charges and Zoomcar is a plain old school scam in a new bottle. This company creates nothing of absolute value to anyone except the investors in this scam. Anyone who rents a zoom car or subscribes to zap should seriously go back to school and learn Grade 10 maths and Grade 12 accounting.

    Reply
  38. Thenraj T Post author

    Use this promotion code get 30% discount upto 2500 raja1od4q

    Zap means u will get 10,000 first Month income raja1od4q

    Reply
  39. Rohit sarsar Post author

    Hello
    I want to start the business like zoomcar, how to get black Number plate rto passing for cars

    Reply
  40. dinesh bobade Post author

    Are bhai information Jara deep Mai bhi Diya Karo
    Kuch to Naya batao
    Only sadharan knowledge

    Reply
  41. Manoj Kumar Post author

    Bahi mai army mai hu mai apni car zoom car ko dena chahta hu mujha gaid kare

    Reply
  42. MOVIES PRO Post author

    Zoom car aur zap car ki maa ki chuth aur sale thum logo ko paesa milega tho kuchh v karega sale zoom aur zap 👎👎👎👎👎👎👎

    Reply
  43. jagarlamudi yaswanth Post author

    Enter this promo code :jagarlgetw8. And get 40% off on your booking.

    Reply
  44. fleetroot Post author

    Awesome Video. This video is full of amazing information. Thank you so much.

    Reply
  45. Umesh Choudhary Post author

    Bhai nayi gadi leke zoomcar me lagwane ka fayda hai ya nuksan?

    Reply
  46. Guiry Raj Post author

    hi sahil, how to download ZAP app on iphone i am not finding it anywhere can u help me out

    Reply
  47. Kavadi Reddy Avinash Post author

    How to get black number plate

    Reply
  48. Sangju Sidasow Post author

    Sir esmai dusray city keliye zoom car franchise ne ley sekta hai kya. .?

    Reply
  49. Asif Khan Post author

    Thanks for share this video with complete detail.

    Reply
  50. Sunny Tammina Post author

    Unfortunately, I only hear horror stories about this service. I am going to stay away from ZOOM Car… something is definitely fishy with this company.

    Reply
  51. jay jatale Post author

    Use promo code.. 30% discount. -MTI2ODM4OA

    Reply
  52. Harry A Post author

    Bakwas idea mere village mai 1000 rs mai witg driver car mil jati hai

    Reply
  53. Technical Theme Post author

    Ek aadmi kitna car Nikal sakata hai for business Kay liyaa please koi baataooo koi

    Reply
  54. Preppy Ash Post author

    Mene liya hai inki car swipt par nhi purata hai or ye log service bhi achi nhi dete h .or koi problem rai to ek hi ans raita h sir hum shama chahte h bus .

    Reply
  55. Guru Bhai Post author

    You are slow in making video zocar stopped attaching car after Jan 18

    Reply
  56. Akhileshpratapbrh Post author

    Mere pass Ford ecosport h usko mai usko kiraye par lagana chahta hu…

    Reply
  57. Sohanlal bishnoi Post author

    Sir,zoom car ki office ya fir inki policy s ko samjne ke liye koi contect number hai kya

    Reply
  58. VaahanApp.com Post author

    Can you tell me under which rules the company is using comercialy to private car,

    Reply
  59. Firoj. Choudhary Post author

    श्रीमान मैंने जूमकार कई बार रेंट पर गाड़ी ली है काफी अच्छा लगा मगर इस बार ऑडी कार लेना चाहता हूं कृपया उसके बारे में बताए

    Reply
  60. RAJAN Post author

    This is not an ethical organization. Last month I booked a zoomcar (JPS6B6NNF) while in karnataka. The app gave 2options – "with fuel" or "without fuel" and with fuel priced 2500rupees and I opted for it. Once i rchd the unmanned pickup spot, the app said I hv to fillup fuel myself & to just upload the 'receipt' for refund. uploaded the printed receipt with fuel detail. After 1 month, they are asking for manual receipt to process refund of rs1786, neither they will return extra rs2500 (withfuel)

    Reply

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