Skip to content

Kyte is the latest rental car company to join the Tesla party, with doorstep delivery

April 22 2022
5 min read
Kyte is the latest rental car company to join the Tesla party, with doorstep delivery
This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.

Joining the list of rental car companies offering customers the opportunity to rent Tesla Model 3s, startup Kyte expanded into the subscription model service in select markets last week, following a $200 million financing round.

For more TPG news delivered each morning to your inbox, sign up for our daily newsletter.

(Photo courtesy of Kyte)

Advancing beyond its signature model of doorstep delivery for short-term, on-demand rental cars, Kyte has now stepped into the electric vehicles market with a new fleet of Teslas available for rent on a monthly basis.

Sign up for our daily newsletter

As of April 15, Teslas are available to rent in Kyte's San Francisco and New York City-area markets; the latter includes Manhattan, Brooklyn and Jersey City, New Jersey.

Known for its doorstep delivery, Kyte enables users to pick up and drop off their rental car almost wherever and whenever across 13 U.S. cities, ranging from Southern California to Miami and Philadelphia. In other words, Kyte quite literally brings the car to you (and comes back to get it later).

"Our short-term, on-demand car delivery service is our first product to market – meant for one-off trips to and from a destination," Erik Zahnlecker, Head of Product at Kyte told me. "Kyte's long-term vision is to be the largest operator of electrified and autonomous fleets, so getting started with Teslas is very much along that path."

A monthly Kyte Tesla subscription starts at $995 per month for 12 months and goes up to $1,350 per month for three months. The subscription does not require users to sign a contract, allowing users to either cancel or extend their subscription plans.

"Consumers can cancel their subscription each month when Kyte reaches out with a new monthly rental renewal contract. Consumers need to give two weeks’ notice before they expect to have the car picked up," said Zahnlecker. "If someone decides to cancel a subscription prior to their originally selected duration, Kyte will charge them for the monthly difference in pricing."

In addition to the use of the vehicle, a subscription includes insurance, registration, maintenance and roadside assistance.

Related: The perfect rental car? My experience renting a Tesla Model 3 from Hertz

"Our subscribers can [have] the car for three, six or 12 months, with the option to extend at any time," he said. "And the icing on the cake is that our subscription is very competitively priced to the alternatives, which are leasing and buying."

Tesla's online calculator estimates a $519 monthly payment over 36 months for the baseline Model 3, for a total down payment of just over $5,700 for the first month.

(Screenshot from the Tesla Leasing Calculator)

Although the Tesla cars from Kyte available come with level 1 charging cables, expect to pay to use said cables throughout your subscription time.

"Customers can find Tesla superchargers along their route with the built-in Tesla software," Zahnlecker noted. "When we deliver a Tesla to a customer, we immediately give them access to the Tesla application, where they can add a credit card to be [billed] when they charge at a supercharger."

(Screenshot from Kyte)

Although the Tesla Model 3 is the only model currently available, the company plans to offer the Model Y down the line. It's part of an overall push to diversify its subscription services for individuals looking to rent a vehicle for a duration exceeding the typical rental car booking.

"Longer-term subscriptions is one of our next big pushes to deliver on our stated mission and provides convenience for consumers who are looking for alternatives to traditional leases or committing to owning a vehicle," said Zahnlecker. "Convenience is not having to go to the dealership and negotiate, not having to buy insurance or registration (or go to the DMV), not having to take care of maintenance or roadside issues. Flexibility, meanwhile, is not being locked into a vehicle purchase or a long-term lease."

I first rented a car from Kyte last year after discovering Kyte was the cheapest option for the week I needed a rental car in late July. I cannot emphasize how clutch its delivery service was. Upon flying from Washington, D.C. to Boston in the morning, I spent the day working from a coffee shop in the Back Bay. At the scheduled pickup time, I simply walked a few blocks to pick up the Kyte. It really could not have been any easier.

"In this day and age, consumer expectations are different than they used to be. People don't want to wait in line for their groceries, food, shopping or their car rental, they expect it to be delivered to them," said Zahnlecker. "They expect convenience — and that's what we're providing through and through."

The Tesla subscription service will eventually be available in all Kyte markets as the company grows its footprint throughout 2022.

"We fundamentally believe that EVs are the future," said Zahnlecker. "Before we know it, 'range anxiety' won't exist and EVs will rapidly become the majority of vehicles on the road."

Read more: My experience with Kyte, the rental car startup that brings the car to you

Editorial disclaimer: Opinions expressed here are the author’s alone, not those of any bank, credit card issuer, airline or hotel chain, and have not been reviewed, approved or otherwise endorsed by any of these entities.

TPG featured card

Best Marriott card for Business Owners
TPG Editor‘s Rating
Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
3 / 5
Go to review

Rewards

2 - 6X points
6X6x points at hotels participating in the Marriott Bonvoy® program.
4X4x points for purchases made at restaurants worldwide, at U.S. gas stations, on wireless telephone services purchased directly from U.S. service providers and on U.S. purchases for shipping.
2X2x points on all other eligible purchases.

Intro offer

Limited Time Offer: Earn 100,000 points75,000 points
Limited Time Offer: Earn 100,000 Bonus Marriott Bonvoy Points after spending $4,000 in purchases on your new Card in your first 3 months of Card Membership. Offer expires 11/2/22.

Annual Fee

$125

Recommended Credit

670-850
Excellent/Good
Credit ranges are a variation of FICO© Score 8, one of many types of credit scores lenders may use when considering your credit card application.

Why We Chose It

The Marriott Bonvoy Business Amex is a stacked card with a rewards rate that will help you earn bonus points on everyday and business-related purchases. You'll earn 15 elite night credits each calendar year, and receive automatic Gold elite status. Finally, the free night award certificate with a redemption level of 35,000 points or less can get you hundreds of dollars in potential value each year.

Pros

  • 6x points on eligible purchases at hotels participating in the Marriott Bonvoy program
  • 4x points at restaurants worldwide, U.S. gas stations, wireless telephone services purchased directly from U.S. service providers and U.S. shipping
  • 2x points on all other eligible purchases
  • Earn a free-night award each card renewal month (up to 35,000 points)
  • Receive 15 elite night credits to jump-start status
  • Transfer Marriott points to 40+ airlines

Cons

  • Airline points transfer ratios are poor
  • Must spend $60,000 in a year for second free-night award
  • Limited Time Offer: Earn 100,000 Bonus Marriott Bonvoy Points after spending $4,000 in purchases on your new Card in your first 3 months of Card Membership. Offer expires 11/2/22.
  • 6x points at hotels participating in the Marriott Bonvoy® program.
  • 4x points for purchases made at restaurants worldwide, at U.S. gas stations, on wireless telephone services purchased directly from U.S. service providers and on U.S. purchases for shipping.
  • 2x points on all other eligible purchases.
  • Receive a 7% discount off standard rates for reservations of standard guest rooms at hotels that participate in the Marriott Bonvoy program when you book directly. Terms and Conditions Apply.
  • Receive 1 Free Night Award every year after your Card renewal month. Plus, earn an additional Free Night Award after you spend $60K in purchases on your Card in a calendar year. Awards can be used for one night (redemption level at or under 35,000 Marriott Bonvoy® points) at hotels participating in Marriott Bonvoy®. Certain hotels have resort fees.
  • Enjoy Complimentary Marriott Bonvoy Gold Elite Status with your Card.
  • Terms apply.
  • See Rates & Fees
Apply for Marriott Bonvoy Business® American Express® Card
at American Express's secure site
Terms & restrictions apply. See rates & fees
Best Marriott card for Business Owners
TPG Editor‘s Rating
Card Rating is based on the opinion of TPG‘s editors and is not influenced by the card issuer.
3 / 5
Go to review

Rewards Rate

6X6x points at hotels participating in the Marriott Bonvoy® program.
4X4x points for purchases made at restaurants worldwide, at U.S. gas stations, on wireless telephone services purchased directly from U.S. service providers and on U.S. purchases for shipping.
2X2x points on all other eligible purchases.
  • Intro Offer
    Limited Time Offer: Earn 100,000 Bonus Marriott Bonvoy Points after spending $4,000 in purchases on your new Card in your first 3 months of Card Membership. Offer expires 11/2/22.

    Limited Time Offer: Earn 100,000 points
    75,000 points
  • Annual Fee

    $125
  • Recommended Credit
    Credit ranges are a variation of FICO© Score 8, one of many types of credit scores lenders may use when considering your credit card application.

    670-850
    Excellent/Good

Why We Chose It

The Marriott Bonvoy Business Amex is a stacked card with a rewards rate that will help you earn bonus points on everyday and business-related purchases. You'll earn 15 elite night credits each calendar year, and receive automatic Gold elite status. Finally, the free night award certificate with a redemption level of 35,000 points or less can get you hundreds of dollars in potential value each year.

Pros

  • 6x points on eligible purchases at hotels participating in the Marriott Bonvoy program
  • 4x points at restaurants worldwide, U.S. gas stations, wireless telephone services purchased directly from U.S. service providers and U.S. shipping
  • 2x points on all other eligible purchases
  • Earn a free-night award each card renewal month (up to 35,000 points)
  • Receive 15 elite night credits to jump-start status
  • Transfer Marriott points to 40+ airlines

Cons

  • Airline points transfer ratios are poor
  • Must spend $60,000 in a year for second free-night award
  • Limited Time Offer: Earn 100,000 Bonus Marriott Bonvoy Points after spending $4,000 in purchases on your new Card in your first 3 months of Card Membership. Offer expires 11/2/22.
  • 6x points at hotels participating in the Marriott Bonvoy® program.
  • 4x points for purchases made at restaurants worldwide, at U.S. gas stations, on wireless telephone services purchased directly from U.S. service providers and on U.S. purchases for shipping.
  • 2x points on all other eligible purchases.
  • Receive a 7% discount off standard rates for reservations of standard guest rooms at hotels that participate in the Marriott Bonvoy program when you book directly. Terms and Conditions Apply.
  • Receive 1 Free Night Award every year after your Card renewal month. Plus, earn an additional Free Night Award after you spend $60K in purchases on your Card in a calendar year. Awards can be used for one night (redemption level at or under 35,000 Marriott Bonvoy® points) at hotels participating in Marriott Bonvoy®. Certain hotels have resort fees.
  • Enjoy Complimentary Marriott Bonvoy Gold Elite Status with your Card.
  • Terms apply.
  • See Rates & Fees