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The Global Ride Sharing Market size is projected to reach a value of USD 86.33 billion, with a CAGR of 17.45% during the forecast period. The growth of the market depends on several factors, including the increase in vehicle ownership cost, increasing traffic congestion, and advances in navigation technologies. Ride-sharing platforms provide various services, including carpooling, shared rides, standard private rides, and premium services. Users can choose the type of vehicle and level of service that best suits their preferences and needs. This market analysis and report includes an in-depth analysis of drivers, trends, and challenges.
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This market research report extensively covers market segmentation by end-user (individual and business), type (car and others), and geography (APAC, Europe, North America, South America, and Middle East and Africa).
The market share growth by the individual segment will be significant during the forecast period. The individual segment accounted for the highest share of the global market in 2020, owing to the working model of ride-sharing.
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The individual segment was valued at USD 38.47 billion in 2017. The impact of technology on ride-sharing significantly shapes its dynamics. Unlike on-demand cab services like Ola, ride-sharing entails a pre-planned approach. Partnering with ride-sharing companies, private car owners provide rides to commuters seeking a more cost-effective travel option. Ride-sharing involves drivers picking up passengers and navigating towards their destination. If another rider requests a ride along the driver's route, they can accommodate the additional passenger, dropping them off en route. This efficient model benefits both riders and drivers, making travel more economical and streamlined. Such technological advancements are poised to fuel growth in this segment throughout the forecast period.
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APAC is estimated to contribute 45% to the growth of the market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
APAC captured the highest share of the global market in 2020. The increasing number of cities and population growth in developed and developing economies have created a demand for deploying a smart transportation network system. The growing middle-class population, growth in urbanization, and growing consumer emphasis on health and fitness have been further contributing toward the growth of the market in the region. The growth in urbanization has led to a more working population that needs a medium to commute for their transport. Thus, the market is expected to grow during the forecast period.
The market is experiencing significant growth, driven by factors like the millennial generation's preference for cost-effective and time-saving transportation. With the rise of autonomous vehicles and the increasing popularity of e-hailing services, more people are opting for shared rides over traditional car ownership. This shift is also influenced by concerns about traffic and the environment. The convenience of cab booking services, easily accessible through smartphones and digital networks, has further fueled the adoption of ridesharing. Additionally, big data analytics, IoT, and AI play key roles in optimizing these services for both riders and drivers.
The increasing traffic congestion is notably driving the market. The factors responsible for a global rise in traffic congestion are a rapidly growing population, increasing GDP per capita, a surge in the working women population, and exponential growth in urbanization. This trend is further exacerbated by issues such as car ownership, traffic, environmental concerns, the adoption of ridesharing services, reliance on digital networks and smartphones, and inadequate public transportation systems.
The escalation in global traffic congestion is attributed to several factors, including a burgeoning population, rising GDP per capita, an increasing demographic of working women, rapid urbanization, and the cost of owning a car, financing, gasoline, upkeep, registration/taxes, and maintenance & repair. Moreover, the surge in affordable entry-level cars, motor/electric bikes, and accessible loans offered by financial institutions adds to this congestion. The inclination toward such sharing services is anticipated to rise significantly in the forthcoming years, thereby stimulating market within the micro-mobility services and carpooling market during the forecast period. Furthermore, other factors include the increase in the number of affordable entry-level cars and motor/electric bikes, coupled with low-interest loans by financial institutions.
The rising adoption of dockless bike-sharing services is an emerging trend in the ride-hailing services market. In recent years there has been a rise in the number of dockless bikes. Dockless bikes can be picked up and dropped off anywhere without the need for parking or dock stations. As these bikes come with GPS sensors there are fewer chances of them being stolen or damaged. These sensors can be easily tracked, and the location of a bike can be found without any difficulty. Thus, the rising adoption of dockless bike-sharing services is expected to be a crucial driver for the market during the forecast period.
Risks of theft and the need for frequent maintenance are major challenges impeding the market. Various companies are facing challenges irrespective of installing sophisticated security mechanisms in bikes, which are expected to impede the growth of the market during the market forecast period.
The widespread theft issues are resulting in a scarcity of bicycles, which customers have started complaining about on social media. A deficit in the number of bicycles available over the actual count shown in the app is leaving customers dissatisfied. Furthermore, companies send bicycles for maintenance more frequently due to careless and improper riding practices, frequent falls, and numerous other reasons. Hence, the aforementioned factors are expected to hinder the global market during the forecast period.
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Uber and Lyft market share held a significant position in the global ride-sharing industry. Both companies were actively broadening their services, entering new markets, and consistently innovating to secure a larger segment of the ride-sharing industry. Ongoing advancements in app development, encompassing upgrades to user interfaces, bolstered safety features, and investments in autonomous driving technology, were instrumental in influencing their market standings and the growth of Uber and Lyft market share
Quickride.in -The company provides a range of transportation options including carpooling, bikepooling, and taxi services. Notably, within these offerings, the carpooling service stands out as the dominant force in the carpooling market.
We also have detailed analyses of the market’s competitive landscape and offer information on 20 market companies, including:
This market growth and trends report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
The market is experiencing rapid growth, driven by factors such as affordable mobility solutions, environmental reasons prompting the shift towards electric vehicles and low-emission options, and the convenience of smartphone apps for booking rides. Millennials and the increasing smartphone-owning urban population are key demographics fueling this trend. Ride-sharing services offer a cost-effective alternative to owning personal cars, addressing concerns about carbon emissions and pollution levels. Corporate ridesharing and B2B services cater to businesses, while B2C platforms serve individual customers. However, challenges like complex transportation rules and trust in ride-hailing services remain, highlighting the need for continued innovation in the industry.
The market has transformed urban transportation, offering convenient, app-based solutions that address challenges like bad public transportation systems and high depreciation costs of personal vehicles. These services, including car sharing and carpooling, promote cost-effective transportation and help reduce greenhouse gas emissions by encouraging the use of low-emission vehicles like scooters and mopeds. Mobility as a Service (MaaS) platforms integrates various transportation options, from premium cars to longboards, providing users with flexible, station-based mobility solutions. However, issues like customers' trust in these services and traffic rules require continual attention to ensure the industry's sustainable growth.
Market Scope |
|
Report Coverage |
Details |
Page number |
159 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 17.45% |
Market growth 2023-2027 |
USD 86.33 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
17.15 |
Regional analysis |
APAC, Europe, North America, South America, and Middle East and Africa |
Performing market contribution |
APAC at 45% |
Key countries |
US, China, Japan, Germany, and UK |
Competitive landscape |
Leading Companys, Market Positioning of Companys, Competitive Strategies, and Industry Risks |
Key companies profiled |
ANI Technologies Pvt. Ltd., Avis Budget Group Inc, Bolt Technology OU, Cabify Espana SL, Comuto SA, Curb Mobility LLC, DENSO Corp., Enterprise Holdings Inc., Grab Holdings Ltd., GT Gettaxi UK Ltd., Hertz Global Holdings Inc., Ibibo Group Pvt. Ltd., iDisha Info Labs Pvt. Ltd., Lyft Inc, My Taxi Indi, PT GoTo Gojek Tokopedia Tbk, Share Now GmbH, Uber Technologies Inc, Via Transportation Inc., and TomTom International BV |
Market dynamics |
Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by End-user
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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