More people using car sharing

Kiwis are moving to car sharing in increasing numbers to reduce their reliance on vehicle ownership, new figures show.

Local uptake of peer-to-peer vehicle renting is part of an international trend where people have begun to use short-term rentals as a way of filling the gap left by other forms of public transport, Yourdrive chief executive officer Oscar Ellison says.

Yourdrive, the country’s largest car sharing platform, says the market has grown significantly since the company launched. It has booked more than 12,000 rental days in the past year alone.

The car sharing scheme includes electric vehicles like a Tesla Model S in Auckland.

Ellison says while still an emerging market in New Zealand, globally the value of the car sharing industry is expected to reach $15.7 billion within the next six years – with the expected rate of growth in this country far exceeding the more mature international markets.

“Yourdrive has now been running for three years in New Zealand and grew by more than 420% in the last financial year. We now have more than 10,000 registered users.

“Most of this growth was in the centres with high urban density such as Auckland and Wellington,” he says.

Ellison says car sharing can help reduce congestion, the need for parking infrastructure and has other environmental benefits associated reduced vehicle use.

“We are finding that consumers understand the benefits of this transport model but need alternative options in place to make the leap and forgo car ownership.

“Recent postgraduate research out of Victoria University found the biggest driver of peer-to-peer rentals in New Zealand is the existence of good public transport infrastructure.”

He says the company’s continued future growth in this market will depend on greater public awareness and for commuters to broaden their definition of public transport to include car sharing.

“For Kiwis to divorce themselves completely from car ownership we need to help them understand that public transport is really a multi-modal concept.

“In practice this means you might take the train or bus to work, then take an Uber to an evening event – but for a weekend away you would turn to car sharing.”

Ellison says their usage analysis shows Saturday and Sunday are the most popular days for car sharing as Kiwis like to take weekend trips to places outside the reach of other forms of public transport.

Online upgrades, mobile technology, increased transaction speed and more are planned to improve the service.

Ellison says vehicle owners are earning up to $1500 for longer bookings, with their biggest earner taking in over $7400.