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Car-Rental Startup Zoomcar Aims to Become Profitable in Next Few Months

 

Car-Rental Startup Zoomcar Aims to Become Profitable in Next Few Months

HIGHLIGHTS

  • Zoomcar aims to soon get profitable in all the cities in operates in
  • The company plans to increase fleet size to 10,000 cars
  • Zoomcar will shortly roll out marketplace model branded as ZAP

With an eye on newer markets, self-driven car rental startup Zoomcar today said it would turn profitable in next few months.

“We’ll make profit in all the markets and newer markets are more profitable,” Zoomcar CEO Greg Moran told PTI.

(Also see: Zoomcar Announces Door-Step Delivery, Service to Pilot First in Bangalore)

He further exuded confidence that the company would do well in the coming months.

“We’ll be profitable in the next few months and in all the markets (read cities),” Moran said adding that “our capacity utilisation is also 70 percent and average realisation from each car is between Rs 3,000-5,000 a day.”

Kolkata is part of 12-city operation for Zoomcar which has received healthy response from this eastern zone city, he said.

Claiming to have 70 percent market-share in self-driven car rental industry of about 3,500 cars fleet, he said they would expand aggressively.

Armed with recent fundraising of $24 million from Ford Smart Mobility, Moran said, “Our current national fleet size is about 2,000 cars and in a year’s time this will expand to 10,000 cars.”

Asked whether the company was looking to fresh capital raising, Moran said, “we have raised USD 46 million in total and there was no appetite for capital as of now.”

Zoomcar will shortly roll out marketplace model branded as ZAP to increase fleet size. “ZAP model will help us increase the fleet size more sharply. In Kolkata, we’ll unveil a few months later,” Moran
said.

Speaking about Kolkata market, Moran said it had begun its service with 50 cars but the fleet increased to 1000 in a year’s time.

Luxury cars is a small market for self-driven car but it would be launched soon, he said. “Inter-state service will also be introduced here. More eastern region cities like Siliguri, Guwahati, Bhuwaneswar, Patna and more would be launched shortly,” he said.

Tags: Zoomcar, Zoomcar rentals, Zoomcar profitability, Startups

 

[“Source-Gadgets”]

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