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Case Study

Revenue Boost: How Zipcar Reduced Cycle Time by 72% Using ServiceUp’s Repair Platform

Apr 10, 2024
Kam Thandi

Zipcar is a well-established car-sharing platform founded in 2000, providing an innovative solution to urban transportation needs. Operating in numerous cities worldwide, Zipcar allows members to access vehicles on a short-term basis, promoting a cost-effective and sustainable alternative to traditional car ownership. With a user-friendly interface and a commitment to reducing environmental impact, Zipcar has become a leading player in the shared mobility industry.

ZipCar's Challenges

Zipcar encountered obstacles in its fleet operations, specifically around a disjointed repair process. The absence of a standardized operating procedure and a well-staffed operations team led to a reactive strategy, where repairs were scheduled based on personnel availability rather than considering shop turnaround time, price, or quality.

This resulted in prolonged cycle times, a lack of transparency throughout the repair process, and increasing overhead costs. Ultimately, fleet profitability was impacted as more vehicles sat idle without generating rental revenue.

ServiceUp’s Solution

In response to Zipcar's challenges, ServiceUp implemented its comprehensive repair solution that transformed Zipcar’s repair process. Throughout the initial pilot, Zipcar offloaded over 50 damaged vehicles onto ServiceUp’s platform. ServiceUp took it from there.

Comprehensive Repair Management

As vehicles were entered into the platform, ServiceUp immediately got to work moving and repairing them. In a single comprehensive view, Zipcar witnessed vehicles progressing seamlessly from estimation and pick-up to repair, drop-off, and finally, payment. Manual paperwork and time-consuming administrative tasks were eliminated. With the addition of zero appraisal and storage fees, Zipcar experienced a decrease in both direct and total repair costs as it utilized ServiceUp's repair management platform.

On-Demand Repair Network

ServiceUp’s extensive network of certified collision repair shops enabled vehicles to move into a shop immediately after the first notice of loss. ServiceUp’s insight into shop capacity also allowed vehicles to commence repair work as soon as they entered the shop. Damaged vehicles no longer sat idle on lots or at repair shops; repairs began swiftly after the damage occurred. This powerful repair network empowered Zipcar to reduce vehicle downtime further and promptly return vehicles to service.

Vehicle Pick Up and Drop Off 

To lighten the logistics load for Zipcar, ServiceUp took charge of picking up and delivering vehicles to and from Zipcar's lots. Previously, Zipcar team members managed vehicle logistics themselves, even coordinating tows with local providers for inoperable vehicles. ServiceUp allowed Zipcar to offload its entire logistics burden, saving valuable time and eliminating frustrations associated with moving vehicles. This comprehensive service included refueling and washing vehicles to ensure they were 100% rental-ready when delivered back to the lot. 

The Results

ServiceUp's solution delivered significant improvements for Zipcar, positively impacting their fleet repair operations and profitability. 

72% Decrease in Cycle Time

The average repair cycle time was significantly reduced from 47 days to just 13 days. This substantial improvement allowed Zipcar to get their vehicles back into service promptly, maximizing rental revenue.

28% Revenue Gain Per Vehicle

ServiceUp's platform and managed repair service led to a 28% increase in revenue potential per damaged vehicle. As vehicles were repaired faster, they were back in service faster and ready for customers to rent. 

5/5 Satisfaction Rating 

Zipcar reported a perfect satisfaction rating, indicating that ServiceUp not only addressed its operational challenges but also exceeded expectations in delivering a seamless and effective solution.

"We were facing significant challenges in managing our rental fleet repairs, with slow cycle times and escalating overhead costs. ServiceUp came to our rescue, transforming our repair process with speed, efficiency, and cost savings. We’re incredibly happy with their platform and are looking forward to using them across the country." - Grant Petrichko, Operations Manager

About ServiceUp

ServiceUp is a cutting-edge platform specializing in streamlining and automating vehicle repair processes for fleets and insurance carriers. With a focus on efficiency, transparency, and cost-effectiveness, ServiceUp leverages its on-demand repair network to optimize the entire repair lifecycle for businesses, ensuring minimal downtime and maximum operational effectiveness.

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