Zipcar Expands Car Share Service Into B2B. MIT, Mass General Hospital, NYC Chambers and RE Developers Sign On.

    CAMBRIDGE, Mass.--Nov. 27, 2002--As it continues to expand its consumer membership base, Zipcar, the short-term, "on demand" car company, has expanded its service into the business community with several high profile corporations and institutions signing on as members.
    With nearly 5,000 members in Boston, Washington D.C., New York and Denver, Zipcar has joined with such corporate landmarks as Harvard University, Massachusetts General Hospital, Princeton University, Charles E. Smith Residential and Commercial Realty in Washington D.C. and various Chambers of Commerce in New York City, to name a few.
    Like individual Zipcar members, businesses and institutions are finding that the Cambridge-based self-service car company offers their drivers an alternative to car ownership, car rental, and the hassles, expense and environmental impact that accompany them.
    The Massachusetts Institute of Technology (MIT) in Cambridge, Mass. has recently begun a corporate membership program with Zipcar for graduate students, faculty and staff to help reduce demand for limited on-campus parking and to lower the amount of car traffic on and around the campus.
    Also in the Boston area, David Aposian, developer of Union Place in Somerville and Corcoran Jennison, developers of commercial and residential real estate, are both companies offering Zipcar memberships as tenant amenities.
    With these new members, Greater Boston and Zipcar have partnered to become North America's largest car sharing city.
    In Washington D.C., with more than 1,000 active members, Zipcar has joined with such District corporate establishments as Preferred Office Club and the Willard Hotel as well as Charles E. Smith Residential and Commercial Realty, the largest developer in the District.
    Zipcar, a two and a half-year-old company based in Cambridge, Mass, provides urban-based individuals and businesses with access to privately owned cars for short-term, round trip use by the hour or for several days at a time. The company is a membership organization and covers the cost of assigned parking, maintenance, insurance and even gas.
    "We've always believed that Zipcar is about simplifying one's life and eliminating the burdens of owning a car in the city. That's in large part what we're all about," explained Robin Chase, founder and CEO of Zipcar. "We've been very fortunate that the concept is really taking off, and we're thankful for both the private and corporate support that has helped us integrate our concept into the lifestyles and the values of the cities where we have cars."
    Zipcar's joint venture with Preferred Office Club (POC), with offices to open in the Willard, helps promote POC's short-term office space leasing, a concept that is catching on in urban areas around the country.
    "Our short-term program provides office space and meeting rooms for as little time as an hour or as long as several months," said Angie O'Grady, COO of parent company Preferred Offices. "Since Zipcar also offers businesses and private citizens the use of cars for an hour or more, we found the match a natural one. We're very excited about the program and our new relationship."
    Zipcar also has partnerships with not-for-profit organizations such as the Human Rights Campaign in Washington offering special corporate membership plans to members, as well as with Smith Residential and Commercial Realty where the District's largest real estate developer is offering multiple parking spaces for Zipcars as a valued tenant amenity benefiting both residents and their communities.
    Outside the District, the city of Greenbelt, Md has devised a unique partnership program with Zipcar to help reduce both the demand for limited urban parking spaces as well as the size of the municipal fleet of cars. The program allows for Zipcars to serve as substitutes for the City's pool vehicles whenever possible. Private citizens who are Zipcar members can use the same cars as well.
    Also, in the New York area, Zipcar has several corporate partnerships including the YMCA of New York and the Chambers of Commerce of Manhattan, Brooklyn, Upper West Side and Hoboken, N.J. as well as with institutions such as the Stevens Institute of Technology.
    "Our business partners have found that Zipcar is a viable alternative for their employees when public transportation is inconvenient to attend meetings and appointments around town," said Chase.
    According to an international study, each membership vehicle takes between seven and 10 privately owned vehicles off the street. On average, one Zipcar services the needs of 20 urban drivers and, according to company research, 15% of Zipcar members have given up private car ownership and 35% have postponed the purchase of a new car.
    Zipcar members have access to cars 24 hours a day, seven days a week for as little as an hour or as long as several days at a time. Reservations are made on line in as little as 30 seconds. The cost for a Zipcar membership is $20-$75 and members pay as they go with hourly and mileage charges.
    "Zipcar offers three unique advantages to city dwellers, municipal workers, businesses and organizations that need a car or a second car from time-to-time," continued Chase. "First is convenience. Your Zipcar is usually right around the corner from where you work or live and you can use it for as little as an hour at a time. Our technology means that there is no paperwork or lines to stand in. Getting your Zipcar is as easy as getting cash from an ATM. Second is the cost. With Zipcar, you pay for only what you need. If you use a car 15 hours a month, your cost with Zipcar will be less than most people pay for car insurance in the city. And lastly, it takes cars off the road, reducing both air and noise pollution and traffic congestion."
    Research conducted by AAA shows the average monthly costs associated with car ownership in urban areas breaks down as follows: $300, vehicle depreciation or lease costs; $110, insurance; $200, parking; $50 gasoline; $40, maintenance for a monthly total of $700.
    In comparison, a typical monthly Zipcar member bill for 15 hours of driving during three sessions is $100-$150.
    Information about becoming a Zipcar member can be found online at www.zipcar.com or by calling toll free 866-4Zipcar.