This article is from the source 'nytimes' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.nytimes.com/2013/06/26/business/global/one-way-car-sharing-gains-momentum.html

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
One-Way Car Sharing Gains Momentum Car Sharing Grows With Fewer Strings Attached
(about 1 hour later)
BERLIN — Marc Clemens, founder and chief executive of Sommelier Privé, an online wine service, gave up owning a car a year and half ago. When he wants to drive to work in the morning, he checks his smartphone to see where a particular BMW, Smart car or Mini is parked and takes it. BERLIN — Marc Clemens, founder and chief executive of Sommelier Privé, an online wine service, gave up owning a car a year and a half ago. When he wants to drive to work in the morning, he checks his smartphone to see where a particular BMW, Smart car or Mini is parked and takes it.
Once he gets to his destination, Mr. Clemens parks the car on the street and forgets about it.Once he gets to his destination, Mr. Clemens parks the car on the street and forgets about it.
He relies exclusively on two car sharing services, DriveNow and Car2Go. “I use this three to four times a day,” he said, as he dropped off a colleague in front of a wine bar in the German capital’s Mitte district on a recent Sunday evening. “To get to work, for business meetings, going out to a bar. I like it because it’s one-way.” He relies exclusively on two car-sharing services, DriveNow and Car2Go. “I use this three to four times a day,” he said, as he dropped off a colleague in front of a wine bar in the German capital’s Mitte district on a recent Sunday evening. “To get to work, for business meetings, going out to a bar. I like it because it’s one-way.”
Car sharing has been around for decades in Europe and has caught on in the United States with Zipcar. These station-based car-sharing services require members to pick up vehicles from a particular place, which may or may not be convenient. Users usually need to reserve cars in advance for prearranged, prepaid blocks of time and, when they are done with the car, they have to return it to the same place — all factors that have limited car sharing’s attractiveness.Car sharing has been around for decades in Europe and has caught on in the United States with Zipcar. These station-based car-sharing services require members to pick up vehicles from a particular place, which may or may not be convenient. Users usually need to reserve cars in advance for prearranged, prepaid blocks of time and, when they are done with the car, they have to return it to the same place — all factors that have limited car sharing’s attractiveness.
Berlin, though, has become the largest one-way car sharing city in the world. One-way or free-floating services, which recently started in the United States, use GPS and smartphone apps for far more flexible car sharing. Cars are parked on city streets, and users pick up cars parked nearest them. Instead of bringing the car back to a lot, users leave it wherever they find parking near their destination. They are charged for the amount of time they spend driving. Berlin, though, has become the largest one-way, car-sharing city in the world. One-way or free-floating services, which recently started in the United States, use GPS and smartphone apps for far more flexible car sharing. Cars are parked on city streets, and users pick up cars parked nearest to them. Instead of bringing the car back to a lot, users leave it wherever they find parking near their destination. They are charged for the amount of time they spend driving.
These new systems have been making an impression. Since the first commercial one-way car sharing systems started in Germany two years ago, 183,000 people have signed up, according to Bundesverband CarSharing — a large number, considering that long-established car sharing systems in Germany have 262,000 members. Car2Go has started service in 11 North American cities including Austin, Tex., Seattle and the District of Columbia. DriveNow is in San Francisco, but it uses the older station-based model. These new systems have been making an impression. Since the first commercial one-way car-sharing systems started in Germany two years ago, 183,000 people have signed up, according to Bundesverband CarSharing — a large number, considering that long-established car-sharing systems in Germany have 262,000 members. Car2Go has started service in 11 North American cities including Austin, Tex., Seattle and Washington. DriveNow is in San Francisco, but it uses the older station-based model.
“It’s going to alter what car sharing is,” said Susan Shaheen, co-director of the Transportation Sustainability Research Center at the University of California, Berkeley."We didn’t have the technology to do this in the ‘90s.” “It’s going to alter what car sharing is,” said Susan Shaheen, co-director of the Transportation Sustainability Research Center at the University of California, Berkeley. “We didn’t have the technology to do this in the ’90s.”
Two of Germany’s biggest automakers are squarely behind the idea. DriveNow is a joint venture of BMW and the car rental company Sixt, and Car2Go is a subsidiary of Daimler. (In the United States, DriveNow is solely BMW’s venture.)Two of Germany’s biggest automakers are squarely behind the idea. DriveNow is a joint venture of BMW and the car rental company Sixt, and Car2Go is a subsidiary of Daimler. (In the United States, DriveNow is solely BMW’s venture.)
“We grew up having everything; maybe our parents had two cars. And now, with the current generation, there’s a trend toward shared economies,” said Michael Fischer, a spokesman for DriveNow in Germany. “As a car manufacturer, do you want to lose this group? Or offer them something? Because, apparently, you cannot sell to them.”“We grew up having everything; maybe our parents had two cars. And now, with the current generation, there’s a trend toward shared economies,” said Michael Fischer, a spokesman for DriveNow in Germany. “As a car manufacturer, do you want to lose this group? Or offer them something? Because, apparently, you cannot sell to them.”
Car2Go, which uses fleets of Daimler’s Smart cars, pioneered the one-way model with a pilot project in Ulm, Germany, in 2009. “More and more, people in cities don’t want their own cars. But in many ways, car sharing was unattractive,” said Andreas Leo, a spokesman for Car2Go in Europe. “It was hard to reach, you had to book in advance, you had to pay a monthly fee whether you used the car or not. We looked at the technology and decided to develop car sharing without these restrictions.”Car2Go, which uses fleets of Daimler’s Smart cars, pioneered the one-way model with a pilot project in Ulm, Germany, in 2009. “More and more, people in cities don’t want their own cars. But in many ways, car sharing was unattractive,” said Andreas Leo, a spokesman for Car2Go in Europe. “It was hard to reach, you had to book in advance, you had to pay a monthly fee whether you used the car or not. We looked at the technology and decided to develop car sharing without these restrictions.”
Now in 21 cities, Car2Go puts its worldwide membership at 400,000. Berlin, with 1,200 cars, has the company’s largest fleet. DriveNow, whose fleet is made up of Minis and other BMWs, is active in four German cities with 700 cars in Berlin.Now in 21 cities, Car2Go puts its worldwide membership at 400,000. Berlin, with 1,200 cars, has the company’s largest fleet. DriveNow, whose fleet is made up of Minis and other BMWs, is active in four German cities with 700 cars in Berlin.
It doesn’t cost much to join; the idea is that a short trip should cost less than a taxi. DriveNow costs about $39 to register and 32 to 46 cents a minute to drive. The Car2Go registration fee is about $27 and 39 cents a minute to drive.It doesn’t cost much to join; the idea is that a short trip should cost less than a taxi. DriveNow costs about $39 to register and 32 to 46 cents a minute to drive. The Car2Go registration fee is about $27 and 39 cents a minute to drive.
One-way car sharers tend to be about 30 years old, male and technophiles. Both Car2Go and DriveNow, however, report that the longer they are in a city, the more women and older people join. “It is a new kind of mobility, a new stage of mobility, especially for young people,” said Christoph Menzel, a professor with the Institute for Traffic Management at the Ostfalia University of Applied Sciences.One-way car sharers tend to be about 30 years old, male and technophiles. Both Car2Go and DriveNow, however, report that the longer they are in a city, the more women and older people join. “It is a new kind of mobility, a new stage of mobility, especially for young people,” said Christoph Menzel, a professor with the Institute for Traffic Management at the Ostfalia University of Applied Sciences.
Although Mr. Menzel, who is compiling a study of one-way car sharing, predicts that the market for free-floating cars will explode in the next years, he has doubts about profitability. “It’s working well for the people using it,” he said. “But the concern is that companies’ costs are higher than benefits.” Mr. Menzel, who is compiling a study of one-way car sharing, predicts that the market for free-floating cars will explode in the next years, but he has doubts about profitability. “It’s working well for the people using it,” he said. “But the concern is that companies’ costs are higher than benefits.”
Car2Go says four cities are profitable thus far. “We want to make money,” the company’s Mr. Leo said. “This is not a marketing gag or a charity concept.”Car2Go says four cities are profitable thus far. “We want to make money,” the company’s Mr. Leo said. “This is not a marketing gag or a charity concept.”
DriveNow and Car2Go each report that in Berlin hundreds of new users sign up for one-way car-sharing every day. Other car companies have noticed and are joining in. Last year, Flinkster, the station-based car sharing company run by Deutsche Bahn, the German railway company, partnered with Citroën’s one-way car sharing company, Multicity, for a pilot project that now has 350 free-floating cars in Berlin. “Things are developing, and we can try everything, from bikes to electric cars, to improve the mobility chain,” said Susan Sass, a Deutsche Bahn spokeswoman. “We can see if the clients like it.” DriveNow and Car2Go each report that in Berlin hundreds of new users sign up for one-way car sharing every day. Other car companies have noticed and are joining in. Last year, Flinkster, the station-based car-sharing company run by Deutsche Bahn, the German railway company, partnered with Citroën’s one-way car-sharing company, Multicity, for a pilot project that now has 350 free-floating cars in Berlin. “Things are developing, and we can try everything, from bikes to electric cars, to improve the mobility chain,” said Susan Sass, a Deutsche Bahn spokeswoman. “We can see if the clients like it.”
In Berlin, some people are concerned that the popularity of the new car-sharing systems will encourage people to drive rather than walk, bike or use buses and subways. “Environmentally speaking, that would be a step backward,” said Gabi Lambrecht, a spokeswoman for Bundesverband CarSharing.In Berlin, some people are concerned that the popularity of the new car-sharing systems will encourage people to drive rather than walk, bike or use buses and subways. “Environmentally speaking, that would be a step backward,” said Gabi Lambrecht, a spokeswoman for Bundesverband CarSharing.
One-way car sharing companies say most of their members have monthly or yearly passes for public transportation, and that their systems enhance rather than compete with existing modes of transportation. If anything, they say, it will make it easier for urbanites to give up their cars if they know they have easy access to an automobile when they want it. One-way car-sharing companies say most of their members have monthly or yearly passes for public transportation, and that their systems enhance rather than compete with existing modes of transportation. If anything, they say, it will make it easier for urbanites to give up their cars if they know they have easy access to an automobile when they want it.
On a recent Friday afternoon, in the bustling Car2Go office in central Berlin, Kathrin Ilic was signing up for a Car2Go membership because friends had told her how convenient it was. She said she would use Car2Go for one specific trip: to take her daughter to visit a friend who lives on the other side of the city. “I have to transfer three times using public transportation,” said Ms. Ilic, whose partner uses the family car. “My little mouse is 5, and with all the toys and the blankets, it would be nice to have a car.”On a recent Friday afternoon, in the bustling Car2Go office in central Berlin, Kathrin Ilic was signing up for a Car2Go membership because friends had told her how convenient it was. She said she would use Car2Go for one specific trip: to take her daughter to visit a friend who lives on the other side of the city. “I have to transfer three times using public transportation,” said Ms. Ilic, whose partner uses the family car. “My little mouse is 5, and with all the toys and the blankets, it would be nice to have a car.”