According to a report from Navigant Research, more than 12 million people will use car sharing services worldwide by 2020. Currently, 2.3 million people use these short-term car rental services.
Car sharing companies provide easy and inexpensive access to vehicles, which have been gaining popularity among younger drivers. ZipCar Inc. of Boston claims that it has over 810,000 members and supplies more than 10,000 vehicles all over the world as of this past July. ZipCar currently operates in the United States, Canada, Spain, and the United Kingdom.
“Car sharing offers members the ability to enjoy mobility without the expense and hassle of owning a car, or the need to frequently rent a vehicle from a traditional car rental agency. In addition, car sharing is viewed by both public and private entities as a powerful tool to reduce urban congestion and lower emissions of greenhouse gasses,” said Lisa Jerram, senior research analyst with Navigant Research, in a recent statement.
The report form Navigant Research also pointed out that global revenue produced this year by car sharing companies like ZipCar is expected to reach $1 billion. By 2020 when the member number is expected to grow over 12 million, revenues will increase to $6.2 billion.
Source: Automotive News