Shared mobility services have steadily grown for urban transportation especially for commuting in cities over the past few years. Shared mobility companies are offering e-hailing services to tap into the enormous revenue potential. The shared mobility market size is projected to reach US$ 397.61 Bn by the end of 2031.
OEMs and other automotive companies are geared toward growing their stakes in shared mobility market by offering fleets at lower costs. Exponential rise in demand for e-hailing services has created sizable revenue streams for shared mobility service providers to capitalize on over the past few years. Especially in developed and developing economies, keen inclination of customers toward e-hailing services is anchored in the propositions of convenience and availability.
Recent shared mobility trends suggest that car-pooling, vehicle rental, and ride sourcing services are gathering steam among customers for numerous benefits including convenience, cost-efficiency in commuting, and availability. Of note, in emerging economies, micro-mobility and ride sharing services have gained momentum on the back of the trend that these have helped bridge the gaps in public transport.
- Environmental Benefits Reinforcing Investments by Fleet Owners and OEMs: Rise in traffic congestions and difficulty in finding parking spaces have strongly nudged customers away from using their personal vehicles for commuting. Additionally, personal vehicle ownership has been declining, which thus catalyzed the need for shared mobility. Environmental benefits of use of shared mobility in urban transport is also spurring the growth prospects of the shared mobility market. Fleet owners and OEMs are leaning toward offering shared mobility services at attractive price points, observed the authors of the study on the shared mobility market.
- Rising Demand for E-Hailing and Car-Pooling Services in Urban Consumers Underpins Abundant Avenues: Rise in demand e-hailing services has generated vast lucrative avenues for players in the shared mobility market. The use of car-pooling services in corporate customers has been growing, adding promising opportunities. Furthermore, the popularity of affordable micro-mobility, notably among customers in developing countries such as in Asia Pacific, will open up new revenue streams.
- Need for Affordable Autonomous Mobility to Unlock Incredible Opportunities in Shared Mobility Market: Push toward commercializing autonomous mobility has created a new frontier for firms in the shared mobility market. They are keen on capturing value by offering affordable autonomous vehicles, particularly robo-taxis. In the next few years, rolling out of autonomous vehicle services at scale for cities is likely to considerably enrich the entire value chain in the shared mobility market.
Shared Mobility Market: Key Drivers
- Need to make urban transport more convenient, affordable, environmental-friendly in the face of rapid pace of urbanization is a key pivot for the evolution of the shared mobility market. Witnessing enormous value proposition in the shared mobility, the investments in the forms of venture capital and private equity in shared mobility companies is growing, which thus will drive the market.
- Rising demand for e-hailing, carsharing, and shared micro-mobility services among consumers for commuting is a key driver of the shared mobility market. Advancement in e-hailing apps will extend the horizon for various industry players during the forecast period.
Shared Mobility Market: Key Players
Players in the shared mobility market need to constantly realign their business models in order to stay the course. Key players are geared toward expanding their product portfolio to retain their market shares. Of note, to meet this end, many have engaged in mergers & acquisitions and are forging partnerships with private players.
Some of the key players in the market are The Hertz Corporation, Beijing Xiaoju Technology Co, Ltd., Careem, Curb Mobility, Avis Budget Group, Inc., Taxify OÜ, Grab SG, Lyft, Inc., Wingz, Inc., ANI Technologies Pvt. Ltd. (OLA), BlaBlaCar, and Uber Technologies Inc.