TAAS (Transportation As A Service)

Andrew Morse
Jul 23, 2017 · 2 min read

I really enjoyed this Disruption article and want to rif on it a bit…

Eight years ago I turned in the lease on my BMW and I have not owned (or leased) a car since. The economies of living in a city and owning a car did not make financial sense. I loved my BMW. The issue was that I only drove it on the weekends. On weekdays I would take corporate or public transportation. I lived in an apartment building with three Zipcars in the adjacent lot and also close to several bus routes. Doing the math I realized I could rent a Zipcar every weekend, take public transportation to and from work every weekday, and still come out ahead of owning. By owning I include the following costs: car (lease or loan), maintenance, insurance, gas, and parking.

I can see the transportation model changing…

- Note I will use BMW because with ReachNow they are already making steps in this direction (and they are my favorite marque).

BMW will offer various membership levels. The top will include access to all cars and services. This top tier will allow you to keep the car at home. The lowest will be similar to what ReachNow is currently. That is occasional access to shared cars. This top tier is the most interesting because instead of owning a specific car, you will have access to a class of cars. For example, the platinum level lets you take out any car from the luxury 7-series to a 4-series convertible.

What about gas and insurance? Both will be included as well. In many states the insurance is tied to the car. Including gas makes sense for the incentive of having people use quality gas and not to empty the tank.

In addition to a car at home, other services are available, either included or additional depending on level. These include airport pickup and drop off, access to rental cars while in another city, and ride hailing services.

As you can see, the idea of the platinum level is to be the complete transportation solution for a customer whether they drive themselves or be driven, whether they are in their home city or traveling.

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