CarShare Market Guide - Columbia Falls, Montana by Carshareacademy

A R S H A R E A C A D E M Y . C O M

COLUMBIA

MARKET GUIDE C

CARSHARE

FALLS, MONTANA

COPYRIGHT & DISCLAIMER

All rights reserved. No portion of this report may be reproduced, stored in a retrieval system, or transmitted in any form or by any means – electronic, mechanical, photocopy, recording, scanning, or any other – without the prior written permission of the publisher.

Disclaimers:

This report is not published, nor sanctioned by any specific carshare company. It is the sole work and intellectual property of Carshare Academy. The data interpretations, conclusions, and recommendations herein are those of Carshare Academy alone.

No data or information confidential and proprietary to any specific carshare company, was used in the creation of this market analysis. All data used is freely available in the public digital domain.

This analysis is not intended to be a perfect predictor of host success as many factors determine a host’s success or failure. The data used to create this analysis changes slightly from day to day, even hour to hour with bookings, fleet additions, retired vehicles, etc.

This analysis is intended to provide sound recommendations for fleet composition, based on twelve different comprehensive data sets, and provide hosts with the vehicle performance information they need to bring the best vehicles to market in their city based on available data at the time.

William Huffhine Carshare Academy

ABOUT THIS GUIDE

Since June of 2021 The CarShare Academy has studied nearly 200 markets to provide hosts with the business intelligence they need to build a fleet consisting of the right vehicles to match the demand pattern for their city.

A team of data specialists extracts multiple sets of data from the Turo database, assembles them, and sends the workbook to Lead Coach William Huffhine for review, analysis, and interpretation to complete the Market Guide. This process can take anywhere from 4 to 8 hours depending upon city.

No scrapers or crawlers are used to extract this data as such technology can provide erroneous results.

M A R K E T D Y N A M I C S 0 4 1 0 1 1 1 3 1 4 T U R O I N V E N T O R Y V E H I C L E M I X D A I L Y R A T E M I X T O P B R A N D S T O P M O D E L S C O N T E N T S 1 6 Y O U R F L E E T R E C O M M E N D A T I O N S 1 9 P R O J E C T E D S E A S O N A L T R E N D 2 0 C O N C L U S I O N S A N D R E C O M M E N D A T I O N S

MARKET DYNAMICS

DEMOGRAPHICS

Columbia Falls is a small city located in Flathead County, Montana, with a population of approximately 5,500 people. According to the United States Census Bureau, the population of Columbia Falls is relatively young, with a median age of 33 years. The city has a diverse racial and ethnic makeup, with the largest racial group being White (84.5%), followed by Hispanic or Latino (5.6%), Native American (4.7%), and Asian (2.1%). The majority of the population is of German descent, followed by English, Irish, and Norwegian.

The city has a relatively high rate of poverty, with 15.4% of the population living below the poverty line. The median household income is $48,972, which is lower than the state average of $58,390. The unemployment rate in Columbia Falls is 4.4%, which is slightly higher than the national average of 3.7%.

The largest industries in Columbia Falls are manufacturing, retail trade, and healthcare. The city is home to several large manufacturing companies, including Columbia Falls Aluminum Company, which is one of the largest aluminum plants in the United States. The retail trade and healthcare sectors also employ a significant number of people in the city.

In terms of education, Columbia Falls has a high school graduation rate of 89%, which is higher than the state average of 87%. The city also has several elementary and middle schools, as well as a community college and a vocational-technical center.

MARKET DYNAMICS

MOBILITY CHALLENGES

The city is situated in a rural area, and transportation can be a challenge for residents due to the lack of public transportation options and limited access to major highways.

One of the main transportation challenges in Columbia Falls is the lack of public transportation. The city does not have a public bus system, and the nearest public transportation options are located in the neighboring city of Kalispell, which is about 15 miles away. This can make it difficult for residents who do not have access to a personal vehicle to get around, especially for those who rely on public transportation for essential needs such as grocery shopping or medical appointments.

Another transportation challenge in Columbia Falls is the limited access to major highways. The city is located off of US Highway 2, which is the main east-west route through Montana. However, there are no major north-south highways that pass through Columbia Falls, making it difficult for residents to access other parts of the state without driving long distances.

The lack of public transportation and limited access to major highways can also make it challenging for businesses in Columbia Falls to attract and retain employees. Many potential employees may be unwilling to relocate to a area without reliable transportation options, which can limit the pool of available workers for local businesses.

Overall, transportation is a significant challenge for residents and businesses in Columbia Falls. While the city has made efforts to improve transportation options, such as providing a shuttle service for seniors and those with disabilities, more work is needed to address the transportation needs of the community.

MARKET DYNAMICS

TOURISM PATTERN

The city is situated in a rural area and is known for its outdoor recreational opportunities, including hiking, fishing, and hunting. As a result, tourism is an important part of the local economy.

According to data from the Montana Department of Commerce, Columbia Falls is a popular destination for tourists, particularly during the summer months. The city attracts visitors from all over the United States, as well as international tourists. The majority of visitors are middle-aged adults, and many are families with children.

The main attractions in Columbia Falls are its outdoor recreational opportunities. The city is located near the Flathead National Forest, which offers a range of activities such as hiking, fishing, and hunting. In addition, the city is located near several lakes and streams, making it a popular destination for water sports such as boating and kayaking.

Tourism in Columbia Falls is also supported by a range of local businesses, including hotels, restaurants, and gift shops. Many of these businesses rely on the tourism industry for a significant portion of their revenue.

Overall, tourism is an important part of the local economy in Columbia Falls, and the city has a strong and growing tourism industry. The city's natural beauty and outdoor recreational opportunities attract visitors from all over, and local businesses benefit from the influx of tourists.

MARKET DYNAMICS

KEY ANNUAL EVENTS

The city is known for its strong sense of community and hosts a range of annual events that bring together residents and visitors. One of the most popular annual events in Columbia Falls is the Flathead Cherry Festival, which takes place every July. The festival celebrates the local cherry industry and includes a parade, live music, and a cherry pit spitting contest.

Another annual event in Columbia Falls is the Montana Street Fair, which takes place every August. The street fair features live music, food vendors, and a variety of craft and artisan vendors.

In addition to these events, Columbia Falls also hosts a number of sporting events throughout the year, including the Flathead Marathon and the Flathead Lake Triathlon. The city is also home to the Montana Special Olympics, which brings together athletes from around the state for a range of sports and activities.

Overall, Columbia Falls has a strong and vibrant community that is supported by a range of annual events. These events bring together residents and visitors and contribute to the city's sense of community and pride.

TURO INVENTORY OVERVIEW

Columbia Falls is an emerging market, and a bit of an oddity compared to other markets around the country.

There is one Turo vehicle for every 16 residents compared to a typical vehicle ratio of about 1:1,800 in cities that are not major tourist destinations.

Inventory in search results is spread across a geographic area from Kalispell in the south to Whitefish in the north to Coram in the east.

KEY POINTS

Demand in this market trends heavily toward economy and utility with very limited demand for luxury.

Daily rates in the car category are considerably higher than other comparable markets. In this category 60% of vehicles are priced above $100 per day with the $100 - $150 range holding the most inventory.

Daily rates are considerably higher than comparable markets in the SUV category. In this category 77% of vehicles are priced above $100, with the $100 - $150 range holding more inventory than other price ranges

SUVs outnumber cars by almost 3:1 compared to most markets where cars outnumber SUVs by a ratio of about 2:1.

Trucks make up the third leading vehicle type by inventory.

VEHICLE MIX

Approximate number of vehicles on the platform in this city.

Approximate number of passenger cars on the platform in this city.

Approximate number of SUVs on the platform in this city.

Approximate number of trucks on the platform in this city.

340

218 45

11 CAR RATE MIX 9 2 13 25 8 3 Under $50/Day $51 - $75/Day $76 - $100/Day $101 - $150/Day $151 - $200/Day Over $201/Day Approximate number of vehicles in each daily rate cohort. Though this number remains fairly consistent, it changes slightly daily.

12 SUV RATE MIX 15 1 34 77 56 35 Under $50/Day $51 - $75/Day $76 - $100/Day $101 - $150/Day $151 - $200/Day Over $200/Day Approximate number of vehicles in each daily rate cohort. Though this number remains fairly consistent, it changes slightly daily.

TOP BRANDS

These are the top vehicle brands in this market by inventory count. Other brands may outperform these brands but are fewer in inventory.

CARS

SUVS

These are the top vehicle models in this market by inventory count.

Other models may outperform these models but are fewer in inventory.

KEY POINTS

Average trips is the average number of lifetime trips per unit in the model inventory.

Average rate is the average daily rate per unit across the model inventory. Some units book higher, some lower, but this is the average. Low earnings is based on 12 days booked per month, mid earnings is based on 18 days booked per month, and high earnings is based on 24 days booked per month.

Model Avg. Trips Avg. Rate Low Earnings Mid Earnings High Earnings

Camry 16 $98 $1,178 $1,765

Outback 10 $160

Mustang 13 $162

Audi A3 22 $121

Mini Countryman 6 $88

MODELS

CARS

Toyota

$2,355 Subaru

$1,920 $2,880 $3,840 Ford

$1,944 $2,916 $3,888

$1,446 $2,178 $2,892

$1,056 $1,584 $2,112

TOP

TOP MODELS

These are the top vehicle models in this market by inventory count. Other models may outperform these models but are fewer in inventory.

SUVS

Jeep Wrangler 18 $168 $2,013 $3,024 $4,032

Toyota 4Runner 13 $171 $2,049 $3,078 $4,099

Ford Explorer 18 $137 $1,639 $2,466 $3,288

KEY POINTS

Average trips is the average number of lifetime trips per unit in the model inventory.

Trips Avg. Rate Low Earnings Mid Earnings High Earnings

Model Avg.

These are the vehicles that, based on data from the Turo database, analysis of that data, and market intelligence, you should consider adding to your fleet.

Count

Subaru Impreza

3 $87 $1,044 $1,566 $2,088

Ford Fusion Hybrid 2 $81 $972 $1,458 $1,944

Toyota Prius 2 $150 $1,800 $2,700 $3,600

Audi A3 2 $121 $1,452 $2,178 $2,904

KEY POINTS

Count Now is the number of units, of this model, in inventory at the time the analysis was completed.

CARS Model

Now Avg. Rate Low Earnings Mid Earnings High Earnings

YOUR FLEET

These are the vehicles that, based on data from the Turo database, analysis of that data, and market intelligence, you should consider adding to your fleet.

SUVS Model Count Now Avg. Rate Low Earnings Mid Earnings High Earnings

17 YOUR FLEET

Jeep Cherokee 2 $134 $1,608 $2,412 $3,216 Jeep Renegade 7 $152 $1,824 $2,736 $3,648 Toyota RAV4 7 $107 $1,284 $1,926 $2,568 Ford Bronco Sport 2 $147 $1,764 $2,646 $3,528 Honda Passport 1 $170 $2,040 $3,060 $4,080 Subaru Crosstrek 11 $122 $1,464 $2,196 $2,928

PROJECTED SEASONAL TREND

As in most industries, earnings and profitability fluctuate throughout the year. In the travel and tourism industry we call these times of year high season, low season, and shoulder season, with shoulder season being those times between high and low season that can be somewhat unpredictable.

Most Turo markets experience all three of these seasons, but the time of year these seasons are experienced varies dependent upon geography and tourism patterns.

Based on what we know about your market, the graph below illustrates the projected trend in booking activity throughout the year.

CONCLUSIONS & RECOMMENDATIONS

Columbia Falls is a market that we’re going to classify as “orange” on the Turo Market Health Map, meaning that this is a market where hosts should proceed with caution as they consider beginning, or expanding in this market.

Overall, this appears to be a healthy market with average daily rates significantly higher than most other markets.

The caution here is that demand is driven almost entirely by tourism. On the positive side, this market enjoys two peak seasons, summer and winter ski season. The flip side of being entirely dependent upon visitors, is utilization will be difficult in slow tourist seasons.

The successful host in this market is going to choose their vehicles wisely, to fit the overall demand pattern, and with the smallest financial burden possible.

It’s going to be extremely important that the host in this market fully understand their business financials on a monthly basis and tightly control operating expenses.

Self-driven marketing efforts may be necessary in this market for maximum booking activity among locals to offset utilization losses in the slow tourist seasons.