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Car-Sharing



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Guide:
An Overview of the Tool
Is This the Right Tool for You?
Evaluation of Results, Analysis of Impacts
How to Put this Tool into Action in Your Community:
Implementation Techniques
Who Else is Doing It?
Case Studies
Show Me the Money:
Implementation Costs
Dig a Little Deeper:
Links, Resources, and Related Materials
Who You Gonna Call?
Contacts for More Information
How to Put this Tool into Action in Your Community: 
Implementation Techniques


Expanding an existing car sharing effort.
 

Just because your area has a car sharing organization already doesn’t mean it has anywhere near scratched the surface of its potential. To expand an existing organization to meet your community's needs, first meet with the organization and talk to them about your ideas for expansion. Other ideas to help integrate car sharing more thoroughly into your community include:
 

> Asking developers to provide car-sharing in new developments and reduce the amount of parking accordingly, and asking the Planning Commission to require this and provide the necessary incentives (e.g. more flexible parking requirements).
> Asking businesses and individuals to join – maybe include car-sharing as part of an employer TDM program.
> Asking business parks, university campuses, etc. to provide car-sharing for their employees.
> Asking transit agencies and cities to provide car-sharing at stations, and bus hubs, in municipal parking facilities and on-street.

 
Starting from scratch.
A car sharing effort could have thousands of members, or just a handful. In many cases, more informal car-sharing programs (e.g. among a group of friends or neighbors, or in an apartment building) might be a better alternative where there is less of a market (e.g. in a small community where car-sharing might not be able to break even). It is okay to start small if you don't have the ability to go big! The rest of this section will discuss the challenges of setting up a more formal car sharing organization.

Let’s get started! The number of car sharing programs in the United States is growing rapidly, and starting such an organization in your community could encourage less traffic congestion, cleaner air, and increased use of transit, bicycling, and walking where you live by giving people the option to drive less frequently (or not at all). If you feel that your community could benefit from a car-sharing program, you and your group can work to get one started. Be aware that starting a car sharing program can be a time-consuming project, so before beginning to plan on how to start a new program, make sure to find out if there are any active (or former) plans for car sharing programs already moving forward for your area.
 

If there are no proposals to start a new car sharing organization in your community, you may want to contact one of the three established car sharing organizations to sell them on coming to your area. FlexCar and ZipCar are the leading for-profit organization and City CarShare  is the leading non-profit organization. The steps suggested below will help you in your efforts to start one. (For more resources on starting a car sharing organization, see the resources in Toolkit Links or contact the car sharing organizations in the Internet Resources (both in the ‘Dig a Little Deeper’ section) as well as the people leading car sharing organizations listed in the ‘Who You Gonna Call?’ section.
 

Get your plan together. Start by asking: What are short-term and long-term goals? What is the service area (i.e. the geographic area that the car sharing program will be able to conveniently serve)? What is the business model (i.e., non-profit, for-profit, or co-operative)? How can you partner with any of the existing car sharing organizations in order to build off their expertise? You can get advice on how to write an organizational/business plan for your car sharing organization from the US Small Business Administration’s Business Plan Basics website or the online article So You Wanna Write a Business Plan?. Resources and advice for starting a non-profit are available from the Center for Non-Profit Management.


Recruit local leaders. Select a management team of at least three people who are committed to the concept of car sharing and have experience in transportation policy or planning. The three essential positions are usually the Executive Director (aka Chief Executive Officer in a for-profit organization), a Director of Operations & Finance (aka Chief Operating Officer and/or Chief Financial Officer), and a Director of Member Services & Community Outreach (aka Customer Service Director and/or Director of Public Relations/Marketing). In addition, you’ll want to select a board of directors to provide oversight and guidance to the organization. Members of the board of directors should have some expertise in a field related to car sharing and/or should be closely involved in the communities that the car sharing program is intended to serve.
 

Create partnerships. Identify strategic partners in your community and get them involved in the planning process as early as possible. Examples of potential partners are: transit providers, transit advocacy organizations, car rental agencies, automakers (particularly in California, as they may be interested in complying with the state’s Zero Emissions Vehicle (ZEV) mandate), and housing developers (because hosting a car sharing pick-up location at their development may allow them to build fewer parking spaces; see sidebar Car sharing helps developers create more affordable housing for more information).

Define a realistic time table. You should expect the planning process to last a minimum of 6 months, and potentially much longer (planning being the time from when you begin writing your business plan to the moment the first member of your organization books a car share vehicle and drives it for the first time in your community). Suggestions on developing a realistic project schedule are available online.
 

Tackle the biggest challenges. Typically, car share organizations report that their major challenges are accessing start-up capital, finding locations for parking car share vehicles, and insuring the vehicles. Some suggestions to overcome of these challenges are listed below (for additional advice on these topics, you can also contact the car sharing organizations listed in Internet Resources in the ‘Dig a Little Deeper’ section as well as the people leading car sharing organizations listed in the ‘Who You Gonna Call?’ section).
 

> Accessing start-up capital. Finding and securing start-up capital has been identified by many existing car sharing organizations as the greatest obstacle they faced in the beginning (because the start-up costs of car sharing programs are significant, seed money is almost always necessary). Your first step in getting start-up funding will be to accurately calculate what your start-up costs will be and create a budget. Then you can begin to seek funding from private investors, government agencies and non-profit foundations. For more information on estimating your initial costs and how to access start-up capital, see the ‘Show Me the Money!’ section.
> Identifying convenient parking locations. Try to work with local businesses and government agencies to secure appropriate and convenient parking locations. The parking area should be secure but also accessible to car share members 24 hours a day. Many large businesses (such as grocery stores) or publicly-owned garages will likely have a few extra spaces that they could make available to car sharing vehicles either for free or for reasonable cost (especially if the proposal is pitched to them as a way for them to reduce parking demand from individually-owned vehicles while at the same time generating positive publicity for their business or agency).
> Insuring car sharing vehicles. You should thoroughly research insurance options and try to identify the most cost effective option, as insurance prices are often one of the greatest expenses for car sharing programs and some car share organizations have reported difficulty obtaining insurance. Talk to other car sharing programs which operate on a similar model and to find out which insurance companies gave them the best quotes and had the best customer service. It should be noted that, the lowest cost insurer is not always the best choice for a car sharing organization, especially if the company does not seem to understand the car sharing concept and/or seems unresponsive to the unique insurance needs of a car sharing program.


Identify your target markets. In 2003, UC Berkeley researchers discover that the demographic/lifestyle groups that have the highest rates of participation in car sharing programs are younger people (25-35 years old), whites, women, and those holding professional are management jobs. by learning how to identify the target markets for car sharing in your community, you can tailor your rates, locations, and even the style of vehicles you offer (as well as your marketing efforts, discussed below) to the types of people most likely to respond to the concept of car sharing.

 

Market yourself. Develop a means of branding your car sharing program so that it will appeal to the target markets you have selected as well as other core user groups (such as environmentalists and alternative transportation advocates). Some tips for successful marketing include:
 

> Develop a catchy name, slogan, and logo for your organization. Be creative, but make sure that each of these is as simple and self-explanatory as possible.
> Develop a promotional strategy. Essential promotional steps include placing your name and logo on the side of each car share vehicle in your fleet and creating printed brochures and a web site.
> Contact the environment and/or transportation reporters at local media organizations and ask them to write an article about your program. When you launch your organization, you should hold a press conference and invite local media, elected officials, and community leaders to attend. You can also write a press release to announce recent news or new initiatives (like the opening of a new car sharing location, surpassing the 1,000-member mark, or how many fewer cars are on local roads because of car sharing).
> If you have the resources, consider doing print, radio, local TV, or outdoor paid advertising. If you don’t have the resources for a paid ad campaign, find a local advertising agency that does pro bono ad work for community groups and see if they might be willing develop a campaign for your group for free. Then approach media outlets and ask them to run your ads for free or at a reduced rate.

Secrets of success. The following items are a few of the ‘secrets of success’ that emerged from the experience of existing car sharing organizations.
 

> A critical mass of at least 30 members is typically needed to keep even the smallest car sharing programs operational. Achieving this membership threshold at the beginning of the organization will require extensive outreach and marketing. Good places to recruit both volunteers and potential members are at environmental- and transportation-related conferences, fairs, and forums.
> Overhead costs for vehicle management, reservations, and billing can be significant, so innovations that reduce these costs can help make car sharing more financially feasible and thereby help keep user charges as low as possible.
> Car sharing programs may need sustained political and/or financial support from both the private- and public-sector to reach their environmental, economical, and social goals. Case studies of car sharing programs in San Francisco and Amsterdam have indicated that the level of success that a car sharing achieves in your community will likely be proportional to the level of external support it receives.

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