- What is Getaround, and how does Getaround work?
- How does Getaround make money?
- Commissions on all booked trips (for Hosts)
- Booking Fee (for Guests)
- Getaround Connect Subscription and Setup Fee (for Hosts)
- Under 25 Fee
- License Fee
- Additional Service Fees (Accompanying Fees)
- Getaround subsidiaries, acquisitions, and exits
- Getaround profit and revenue
- What is the Getaround business and revenue model?
- Getaround funding, net worth, and valuation
How does Getaround make money? Here is a full, in depth, breakdown of their six (6) revenue streams and the different products and services they offer, as well as the Getaround business and revenue model, how much money Getaround makes per year, and how Getaround works.
What is Getaround, and how does Getaround work?
Getaround is a peer to peer car sharing company that allows car owners to rent out their personal vehicles to renters on their marketplace.
Founded in 2011 by Elliot Kroo, Jessica Scorpio, and Sam Zaid, Getaround has now built a platform of more than 6 million users and a fleet of 20,000+ vehicles across 950 cities in 21 countries around the world.
So, how does Getaround work? To rent a vehicle on Getaround, you can first start by downloading their mobile app through the Apple App Store or Google Play store; or by visiting their website to sign up for an account.
Once signed up and approved to drive, you can then browse from cars, trucks, and vans in your area to find something you like. You can book it instantly through your app, pick it up at its location, and unlock it using your Getaround app.
Some of Getaround’s competitors include Turo, HyreCar, and other car sharing companies.
How does Getaround make money?
According to Getaround, Getaround has more than 6 million users and a fleet of 20,000+ vehicles on its marketplace. So how does Getaround make money off of all these users and cars?
Below is a breakdown of how much money Getaround makes and its revenue model. Including all revenue streams and how much they charge for their services.
Here are the 6 ways of how Getaround makes money in 2022
Getaround has a revenue model that makes money in six (6) ways; from commissions taken on all booked trips, guest booking fees, subscription revenue from Getaround Connect and setup fees, under 25 fees, license fees, and additional service fees.
#1. Commissions on all booked trips (for Hosts)
One of the ways Getaround makes money is through the commissions they take from hosts on all booked trips through their marketplace.
This commission fee, also referred to by Getaround as a standard fee, is 40% of the trip’s total price and covers things like insurance coverage and providing 24/7 roadside assistance.
For example, if the trip total is $1,000, Getaround will take $400 as their commission. If the trip total is $100, Getaround takes $40.
Getaround host fees (Getaround commission)
- Getaround takes a 40% commission of trips booking total
#2. Booking Fee (for Guests)
Getaround also makes money from the guests who book the vehicles on its platform by taking a percentage of the total trip price they call a booking fee.
According to Getaround, the cost of the booking fee is a percentage of the trip’s total price and varies based on the city, date, and the type of car being booked.
Getaround booking fee:
- 3% of the trip price per reports
Note: Getaround makes money from both the guests and the hosts.
#3. Getaround Connect Subscription and Setup Fee
Another fee Getaround charges hosts is a monthly subscription fee for the Getaround Connect as well as a fee to install it.
The Getaround Connect is an electronic device that is installed in every Getaround car that equips the cars with GPS tracking as well as allows Getaround guests to unlock the host’s vehicle(s) by simply using the app, without a key – among other things.
During onboarding, hosts will pay a one-time $99 setup fee to install the Connect and then will be charged monthly as long as the Connect remains installed on the car(s). How much it will cost the host depends on how many cars they are actively renting out on Getaround (1 to 100+ cars). Which you can see below.
How much are Getaround Connect installation and subscription fees?
- Installation Fee: $99 (one-time setup fee)
- $10 to $20 per month, per car depending on how many cars a host has active on Getaround
Note: The Getaround Connect is a required installation for every Getaround car. Meaning, hosts must pay these monthly fees if they want to rent out their car(s) on Getaround.
#4. Under 25 Fee
Getaround also makes money from charging its guests an “under 25” fee.
This fee is pretty self explanatory, but applies to all guests renting a Getaround car under the age of 25. Fees are dynamic and are a percentage of the trip’s total price. How much the percentage depends on the driver’s exact age. Which you can see a simplified breakdown, below or click here for the full breakdown.
Getaround under 25 fee:
- 5% to 75% of the total trip price depending on the guests age (19 to 24)
#5. License Fee
Another fee Getaround charges guests are license fees.
License fees are a one-time fee of $10 charged to all new driver’s licenses added to a guest’s Getaround account.
This fee, according to Getaround, is to pay for the DMV cost of requesting and processing driving records of guests to see if they meet the criteria to be eligible to rent a vehicle on their platform.
Getaround license fee:
- $10 for every new driver’s license (one-time fee)
#6. Additional Service Fees (Accompanying Fees)
Lastly, Getaround also makes money by charging for additional services they provide to hosts and guests, which they call accompanying fees.
These additional services are guest and host cancellation fees, cleaning fees, milages fees, damage fees, lost connects and connect reinstallation fees, and service fees. And can cost anywhere from $0.50 to $3,000 depending on the service. You can see the full list with itemized pricing for each service here.
Getaround subsidiaries, acquisitions, and exits
To date, Getaround has made a total of 2 acquisitions.
Getaround profit and revenue
Getaround has not released any official reports in regards to company earnings.
Note: Because Getaround is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.
What is the Getaround business and revenue model?
Getaround makes money through a few revenue models that they combine within their company, they are:
- Transportation as a Service (TaaS) business model
- Fee for service (FFS) business model
- Commission based business model
- Transaction based business model
- B2B2C (partnerships) business model
- Business to business (B2B) business model
- Mergers and acquisitions (M&A) business model
Getaround funding, net worth, and valuation
Getaround’s Crunchbase profile shows Getaround has raised $568 million over 17 rounds.