Getaround is going to be a well-known name in the car rental industry. It is going to have the same impact that Uber had on Taxi's in the US for car owners in the rental service sector.
Getaround is not just another P2P app; it is a full technology development company that provides a physical solution to ease the rental process for private car owners totally.
What is Getaround?
Getaround is a P2P (peer to peer) car rental network that provides an app as well as a gadget to assure a seamless rental service. The gadget is the heart of the matter since the app is nothing but a strip of code that can be found a dime a dozen. The gadget is what makes Getaround unique.
The Getaround gadget is a device that they install in your car, and it connects to your cars computer system. This gadget then enables you to lock, unlock and track the car during rental schedules. The app will let you know the status of your car during the rental period, where it is if its parked or driving and where it is parked? Legally in a paid for parking zone, in a private parking lot, or in a Getaround location.
Benefits of Getaround
Getaround is another P2P car rental service, so it provides you with income for your car when you don't need to use it. If you have more than one car, than renting one out is a good idea. If you buy a car in installments and want a way to pay it back, then this is a great solution. What is really great is that you can rent a car for as little as 1 hour. Which means you can go to college, go to work, or even sleep at home, and have your car working for you when you don't need it.
- Your car must be 2005 or newer
- It cannot have more than 125,000 miles
- It cannot seat more than 8 passengers
- It can be either manual or automatic
- It can be diesel or gas, or hybrid or electric
Getaround is not yet situated in many locations. However, we expect this to change as people realize the benefits of not having to actually be by the car when it is picked up and dropped off unless you are truly concerned with damage and dirty interior issues.
The current locations are:
- San Francisco, CA
- Berkeley, CA
- Oakland, CA
- South San Francisco, CA
- Burlingame, CA
- Millbrae, CA
- Daily City, CA
- San Bruno, CA
- Brisbane, CA
- Portland, OR
- Washington, D.C.
- Bethesda, MD
- Silver Spring, MD
- Arlington, VA
- Alexandra, VA
- Chicago, IL
- Evanston, IL
- Jersey City, NJ
- Hoboken, NJ
- Weehawken, NJ
- Boston, MA
- Cambridge, MA
- Somerville, MA
Getaround income (business model)
The hourly rental rates are set by Getaround, and they are a minimum of $6 to $10 per hour. They take 40% of all income, so this means you get to retain 60% which is anywhere between $3.6 to $6 per hour.
Payment is made by check or PayPal, but we expect this to change as well, as more payment options become available.
Based on the Getaround payment scheme, taking an average of $7 per hour for a nice sedan, you can make around $4.2 per hour, and if you rent your car on average for 1 hour a day, that adds up to $126 a month. That's a nice income for just renting a car for 30 hours.
Rental Income Model
Getaround determines the rental value of your car on a number of factors:
You don't need to take Getarounds rate, you can make your own, but that would be tampering with cost effectivity and the chances of your car being rented.
Pros and Cons of the Getaround tech
Getaround allows car owners the freedom of not being close the car when being rented. The operational procedures are simple; the renter comes to the car. The car opens, and the rented finds the key in the car. The renter returns the car with the key inside, so you don't need to see the car on its return either.
Their technology is called Getaround Connect, which is a GPS-enabled device that plugs into the OBDII (the cars computer port).
The downside is that you don't see the condition of the car upon return, and you don't see how clean or dirty it is inside. This is fine if you are ready to take a financial solution to damage, since Getaround provides insurance for over $1,000, any damage under that is covered by the renter, and that means that if you don't have a credit card to charge, you have to chase up after the first $1,000.
Regarding smoking and internal cleanliness, you get a $45 cleaning reimbursement for dirty interiors and a $300 for anyone that smoked during their rental period.
Again, this is a truly personal decision, since some people are less concerned with the welfare of their cars and hope to rack up a lot of rental income. While others might love their cars more than their kids and that means that this service is not for you.
Some Getaround Rules
Renters have to pick up and drop off the car at the same location. They are also responsible for any parking fines, driving violations, and tow fees.
All renters are screened, so you don't get anyone with a bad DMV record. Also, only the renter is allowed to drive the car.
The first 20 miles are included per hour, anything over that is charged at a rate of $0.30/mile.
As with standard renting procedures, all cars must be returned with the same amount of fuel as when picked up. If not, they will be charged for the difference and have a price adjustment to their renting time of an additional $10.
Late returns are charged at $30 per hour and parking the returned car improperly also leads to a $30 fine.
How much does it cost?
The sign up is free, and you get the first month listing free. After which you will pay a monthly fee of $20 for your cars listing. You will also pay a $99 installation fee for their gadget.
Renters that cancel within 1 hour of placing their request don't get fined; they also don't get fined if they cancel more than 24 hours before the pickup time. The moment they cross the 24-hour border, they will pay a 50% trip estimated cancellation fee.
Car owners that cancel a rental agreement before 24 hours before the pickup time don't pay a fine, however, if they cancel a ride within the 24 hour time of pickup, they will be charged $25. If a car owner cancels within 1 hour of the pickup, then a $50 is charged, and if your car is not available or a no-show, you get fined $100.
Getaround covers both the driver and the owner with a $ million insurance policy. However, the first $1,000 is not covered, and this is up to the renter to pay.
This is another P2P platform with an added xing, the gadget that allows you to be dislocated from the car. This is a great opportunity for car owners that are not too concerned with the status of their car, and accept that renters will treat the car with respect (yeah!). However, if you have a spare car, or don't drive much and want to make some money on the side, this could be a great opportunity.