Vehicle rental start-up Zoomcar raises $30 million in funding
Zoomcar, a Bengaluru-based start-up that allows individuals to rent cars as per their convenience, has raised $30 million in funding. The investment, led by mobility-focused Sony Innovation Fund as well as other existing Zoomcar investors, is part of a larger $100 million Series-D round of the vehicle rental company. Here's all you need to know about it.
First, a bit about Zoomcar and its services
Started by University of Pennsylvania alumni David Back and Greg Moran in 2013, Zoomcar is an online platform to rent vehicles by the hour or by the day. At present, the start-up offers its services in over 45 Indian cities and has partnered with giants like Volkswagen, Nissan, Renault, and Toyota to include different types of cars in its fleet.
How Zoomcar will deploy the fresh funds?
Notably, Zoomcar plans to deploy the fresh funds to increase its vehicle fleet to over 100,000 in the next couple of years and focus on its shared subscription service, ZAP. Apart from that, the start-up will also use the capital to enhance its technology infrastructure and focus on data science and innovations around IoT (Internet of Things).
Zoomcar also uses an AI-based scoring system
On a related note, Zoomcar has recently launched an AI-based 'Driver Score' feature, which uses machine learning algorithms to track the driving style of the customer and rate their driving skills on a scale of 0-100. Beyond driving skills, the scoring system also monitors the drivers' riding behavior and provide real-time feedback when and if signs of rash driving are noted.
Meanwhile, here's a look at the previous investments in Zoomcar
In September 2019, Zoomcar had received $1.98 million (approximately Rs. 14.14 crore) from its US-based parent Zoomcar Inc. And, with the inclusion of this investment, the total capital raised by the company now stands at around $152 million.
