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Car2go pulling out of Calgary, other North American cities

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Car2go pulling out of Calgary, other North American cities
WATCH: Popular ridesharing service Car2go is ceasing operations in Calgary on Oct. 31, leaving many Calgarians frustrated and looking for a new option. Adam MacVicar reports. – Sep 27, 2019

Calgarians who use the popular ridesharing service Car2go are going to have to find another option for getting around the city, as the company is pulling its vehicles from the streets.

In a news release on the Car2go website, the company said it “made the difficult decision” to leave several cities in North America, including Austin, Denver, Portland and Chicago. Calgary is the only Canadian city affected.

“This decision was not made lightly,” Car2go said.

“We have had to face the hard reality that despite our efforts, we underestimated the investment and resources that are truly necessary to make our service successful in these complex transportation markets amid a quickly-changing mobility landscape.”

Car2go launched in North America in 2009 and since then the car-sharing company said “transportation has changed drastically and mostly for the better.”

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Car2go said offering alternatives to private car ownership in growing cities has many economic and quality-of-life benefits. The company also said it’s helped to push forward the shift from private car ownership in the cities it’s operating in.

“However, with great change comes great challenges,” Car2go said. “The transportation market is highly volatile, especially in North America.

“We are certainly not the only transportation player – from traditional automakers to ride-hail giants to micro-mobility disruptors – who have had to face this reality and adjust course. Ultimately, we know that in order to ensure the future of our business in North America, we have to think differently about where and how we operate.”

https://twitter.com/car2goCalgary/status/1177636541583245312

Users were quick to express their frustration on the cancellation on Twitter Friday, with many saying this would greatly impact their day-to-day lives.

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“Nooooooooooooooooooooooooo!!!! Just go back to the SmartCars, don’t leave us,” user lola said. “Car2go drastically changed the way I got around in Calgary, and was an awesome alternative to using my own car. I am very sad to see this.”

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User Gordon Wilson said the ridesharing service was “one of the most easy ways to get around and be able to park downtown.”
It is also great when you know you’re going out for the night and don’t want to leave your car downtown unattended.”

Car2go user Jenny Lunan was also disappointed with the company’s decision to pull out of Calgary.

She sold her car in 2013 in large part due to Car2go’s presence in the city. She used the ridesharing service for short trips not accessible by transit and to take her grandmother to doctor’s appointments.

“I’m really disappointed, they were a huge factor in me getting rid of my car and I’m not sure what I’ll do yet,” Lunan told Global News on Friday.

“It’ll be harder to get my grandma to appointments for sure, and I’ll have to rely on transit a little bit more, which is fine during peak hours and if you’re going downtown or somewhere off the train line, but as soon as you have to go anywhere else, it can be really difficult and time-consuming.”

Car2go launched in Calgary in 2012 with SmartCars and in August 2017, added larger cars to its fleet.

Earlier this year, the company considered Calgary to be one of it’s most successful markets, with over 134,000 users.

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Car2go launched in Calgary in 2012 with SmartCars and in August 2017, added larger cars to its fleet.

The shareable cars — SmartCars, Mercedes CLAs and GLAs and Mercedes Benz B-class — will be pulled from Calgary streets on Oct. 31, along with Austin, Denver and Portland. Car2go will continue to operate in Chicago until Dec. 31.

Car2go said it will be shifting its focus and resources to “cities that present the clearest path to free-floating carshare success,” which are New York City, Washington D.C., Montreal, Vancouver and Seattle.

“We want to extend a heartfelt thank you to every employee, member, business partner and city stakeholder who have supported us throughout the years in these cities,” Car2go said.

“We deeply regret any inconvenience this decision causes.”

According to Ward 8 city Councillor Evan Woolley, city administration learned of Car2go’s decision on Tuesday, but he only found out on Friday morning.

Woolley, a Car2go user himself, said he’s concerned over the timing of the company’s departure, with winter right around the corner limiting ridesharing options and bike lanes.

“We need to think about what the impacts of them leaving is on our transit system, on Uber and the taxi system,” Woolley said. “We need to be thoughtful about what the implications of this are.”

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Woolley told Global News he is meeting with the city’s transportation department and Car2go next week to discuss how Calgary regulates ridesharing services in the hopes of improving the market.

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