General Motors (GM) Expands Maven To 3 New Cities

General Motors Company (NYSE:GM) announced that it is expanding its car-sharing service, Maven to Boston, Chicago and Washington, DC. With this, in the limited time span of four months, Maven has expanded in five markets, also including New York City and Ann Arbor, MI.

General Motors confirmed that it has already started offering this application-based service at over 15 sites in Chicago. The company has 30 vehicles of Chevrolet, Cadillac and Buick brands available under this service in the city. The service costs $8 per hour, including gas and insurance. Maven has teamed up with ZIRX in order to power the experience. General Motors also said that the Maven+ residential on-demand car-sharing is available for residents of the Aqua luxury high-rise apartment community along with Maven City.

In Mar 2016, General Motors and its business partner, Lyft Inc. launched Chicago Express Drive, a short-term rental program mainly for Lyft drivers. This program will leverage the Maven platform in Chicago. Lyft drivers are able to avail vehicles at affordable rates, and enjoy benefits like insurance and maintenance via Express Drive. In the eight weeks since the launch, Chicago Express Drive has expanded to more than 200 cars. By the end of the year, General Motors will expand Express Drive to additional markets including Boston, Baltimore and DC.

Meanwhile, General Motors will be launching Maven+ in Washington DC. next month. The service will be available to residents of the Hepburn, which is a 195-unit luxury apartment community. Maven City will also be available throughout the city by the end of June.

In Boston, the automaker will launch Maven+ and Maven City this summer.

General Motors had launched Maven in Jan 2016, to seize the opportunities in ride- and car-sharing services. Maven started its car-sharing service in Ann Arbor, MI and then extended it to New York City. General Motors will combine and expand its multiple programs under this brand. The automaker intends to provide its customers with highly personalized, on-demand mobility services through Maven.

Customers using Maven car-sharing services can access the vehicles through their smartphones. They can search, reserve a vehicle by location or car type, and unlock it through an application. The app also allows remote functions like starting, heating or cooling, and others. Apps and services like Apple (NASDAQ:AAPL) CarPlay, Android Auto, OnStar, SiriusXM radio and 4GLTE wireless may also be accessed by customers. The vehicle will offer an ownership-like experience via a car-sharing service. With the expansion of Maven, General Motors plans to use innovative ways to form personal connections with customers.

General Motors is focusing on transforming from being only an auto manufacturer to a mobility company. Maven is using the automaker’s campus car-sharing locations for testing future shared mobility services. Maven also launched a peer-to-peer car-sharing pilot in Warren, MI, and a campus car sharing service at the GM do Brasil headquarters in Sao Cataeno do Sul.

Apart from General Motors, many other automakers are also focusing on ride- and car-sharing services. Daimler AG (NYSE:F) announced the acquisition of ride-sharing apps, RideScout and mytaxi in 2014. In 2008, Daimler launched Car2Go, a car-sharing service. BMW has its own car-sharing service, DriveNow, in nine European cities. Last year, Ford Motor Co. (NYSE:F) introduced its car-sharing service, GoDrive, in London. Also, Toyota Motor Corp. (NYSE:TM) is part of such a program in Grenoble, France, under which people can take short trips in tiny electric cars.

General Motors currently carries a Zacks Rank #3 (Hold).

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>

FORD MOTOR CO (F): Free Stock Analysis Report

TOYOTA MOTOR CP (TM): Free Stock Analysis Report

DAIMLER AG (DDAIF): Free Stock Analysis Report

GENERAL MOTORS (GM): Free Stock Analysis Report

Original post

Zacks Investment Research