How will DriveNow work?
- DriveNow will run on a one-way “disposable” basis – just like the Boris bike scheme
- Allows cars to be parked in any public space in the local area
Customers pay a registration fee and can then drive models such as the MINI and the electric BMW i3 on a pay-per-minute basis - Access to the vehicles is through smartphone app or bankcard and insurance, car tax, car parking tickets are all included.
Some observers may think this is a high-risk strategy considering Daimler’s UK car2go scheme ended after just two years at the end of May, with the manufacturer claiming: “We’ve listened closely to customer feedback and taking the UK’s strong culture and tradition of private vehicle ownership into account, we have decided to withdraw from the UK market place.”
This withdrawal came despite Daimler running successful car clubs in 25 cities around the world with more than 700,000 customers.
According to the FT the consultancy AlixPartners has estimated that just one car sharing vehicle takes out 32 personal purchases. Brokerage Aviate Global has estimated that just 5% growth in car sharing by the end of the decade could halve US auto sales.
