Shared Mobility Market by Service (Ride Hailing, Bike Sharing, Ride Sharing, Car Sharing, and Others), Vehicles (Car, Two-wheelers, and Others), and Region (North America, Europe, Asia-Pacific, and LAMEA): Opportunity Analysis and Industry Forecast, 2023-2032

Shared Mobility Overview

Shared mobility is the practice of collectively accessing transport services rather than owning individual vehicles. This includes different modes of transportation such as cars, bikes, scooters, public transport, etc. where multiple users can use the same vehicle or transportation system. Supported by digital platforms and mobile applications, shared mobility services enable users to find and book available vehicles and consistently pay for them. Cases of shared mobility include car sharing, where users rent cars for short periods of time; ride-sharing or carpooling, where passengers share a trip with a driver going in the same direction; bike sharing for short trips; and electric scooter sharing.  These services aim to provide flexible, affordable, and sustainable transportation options, subsequently diminishing reliance on private vehicle ownership, congestion, and pollution.

Global Shared Mobility Market Analysis

The global shared mobility market size was $450.11 billion in 2022 and is predicted to grow with a CAGR of 11.8%, by generating a revenue of $1276.93 billion by 2032.

COVID-19 Impact on Global Shared Mobility Market

The COVID-19 pandemic has had a significant impact on the shared mobility market. With lockdowns and social distancing measures in place, the demand for services like ride-hailing, car-sharing, and bike-sharing plummeted. This led to severe financial challenges for shared mobility providers, forcing many to lay off employees and even shut down operations. Safety concerns arose due to the potential spread of the virus through shared vehicles, prompting providers to implement rigorous sanitization protocols. People's preferences shifted towards individual modes of transportation, such as personal cars, bicycles, or walking, further impacting the demand for shared mobility. Providers responded by focusing on digital platforms for contactless booking and payment. As vaccinations rolled out and restrictions eased, shared mobility services gradually recovered, but the lasting impact is still uncertain. The rise of the pandemic has made people more conscious of hygiene and personal space, requiring providers to prioritize safety and flexibility to regain customer confidence.

Increasing Urbanization to Drive the Market Growth

key factors drive the growth of the shared mobility market. Increasing urbanization has resulted in transportation challenges and congestion, making shared mobility services an attractive solution. The need for cost-effective transportation options is also an important driver, as shared mobility services offer users the option of paying for shipping per user, thereby reducing costs and relating to the ownership of a vehicle. Advances in technology, especially in mobile apps and GPS tracking, have made it easier for users to reserve, pay for, and track shared rides. Environmental concerns have also played a role, with shared mobility services promoting greener transportation options such as electric vehicles. Government initiatives and regulations that support shared mobility, changing consumer preferences towards access-based models, integration with public transit, and corporate car-sharing programs have all contributed to the market's growth.

Limitations of Infrastructure to Restrain the Market Growth  

The shared mobility market faces several factors that can restrain its growth. Infrastructure limitations, such as the lack of proper transportation networks, parking facilities, and charging stations, hinder the expansion of shared mobility services, particularly in underdeveloped areas. Regulatory challenges pose another barrier, as governments may impose strict regulations and licensing requirements on shared mobility providers, increasing operational costs and creating barriers to entry. Resistance from traditional transportation providers, who view shared mobility as direct competition, can lead to legal battles and attempt to restrict or regulate these services. Consumer behaviour and preferences also play a role, as some individuals still prefer private vehicle ownership, while concerns about cleanliness, safety, and reliability can deter others from using shared mobility options. Technological limitations, including poor network coverage and outdated infrastructure, can hamper the efficient functioning of shared mobility services. Financial viability and profitability are significant challenges due to high operating costs and the need for continuous investment. Public perception and trust are crucial, and negative incidents can erode confidence in shared mobility.

Increasing Global Trend of Urbanization to Drive Excellent Opportunities

The shared mobile market is witnessing significant growth due to a number of factors that present many expansion opportunities. Increasing urbanization, which leads to higher population densities in cities, leading to traffic congestion and parking restrictions. Vehicle-sharing services, such as car sharing, bike sharing, and carpooling, provide convenient transportation, reducing traffic blockage traffic and parking needs. Environmental concerns also play a part as people become more aware of reducing their carbon impression. Advances in technology, including smartphones, GPS tracking, and mobile apps, have made it easier to get to and use shared mobility services, improving convenience and client experience. Cost-effectiveness is another deciding factor, as shared mobility services can be more economical than owning a private vehicle, especially in areas where parking and maintenance costs are high. Changing consumer preferences are also contributing to the growth of shared mobility, with many individuals prioritizing convenience, flexibility, and ownership. There is a growing government support for shared mobility through supportive incentives, subsidies, and regulations, recognizing it as a sustainable transport solution.

Global Shared Mobility Market Share, by Service, 2022

The ride hailing sub-segment accounted for the highest market share in 2022. Ride-hailing services have dominated the shared mobility market due to several key factors. The convenience and accessibility offered by platforms like Uber and Lyft have revolutionized transportation, allowing users to ask for rides with just a few taps on their mobile phones. In addition, these services are often cost-effective, with competitive pricing and optimized routes that make them affordable for riders. The seamless user experience, including features like real-time tracking and cashless payments, has built customer trust and loyalty. Technological innovation, such as user-friendly apps and AI-driven optimization, has further enhanced their offerings. Rapid global expansion into new markets and integration with other transportation modes have solidified their presence. Additionally, the flexible employment opportunities provided to drivers and aggressive marketing strategies have contributed to the dominance of ride hailing services.

Global Shared Mobility Market Share, by Vehicles, 2022

The car sub-segment accounted for the highest market share in 2022. Several important factors have led to the dominance of cars in the shared mobility market. One of the main reasons is their convenience and flexibility, offering users door-to-door service and the ability to travel at their own preferred time and pace. Cars are widely available in most urban areas, ensuring easy access and reducing waiting times for users. The integration of technology has further impelled the dominance of cars, with mobile apps and platforms enabling users to locate, book, and unlock vehicles easily. Moreover, the rise of ride-sharing and carpooling services has made car-based shared mobility more appealing by offering cost-effective transportation choices. Companies like Uber and Lyft have heavily invested in car-centric platforms, solidifying their advertising presence and making it challenging for other modes of shared transportation to compete. Furthermore, existing infrastructure and regulations tend to support cars, with road networks and parking facilities designed to accommodate them.

Global Shared Mobility Market share, by Region, 2022

The Asia-Pacific shared mobility market generated the highest revenue in 2022. The Asia Pacific region has emerged as a dominant force in the shared mobility market due to several key factors. Rapid urbanization in the region has led to a growing demand for efficient transportation solutions, prompting the rise of shared mobility services. Additionally, high population densities in many Asia Pacific countries make traditional car ownership impractical, further driving the popularity of shared mobility options like ride-hailing and bike-sharing. The region's tech-savvy population, coupled with widespread smartphone usage, has facilitated the growth of shared mobility platforms that rely on mobile apps for booking and payment. Furthermore, governments in the Asia Pacific have shown support for shared mobility to address traffic congestion, reduce pollution, and promote sustainable transportation, and also implemented policies and regulations that encourage its growth. Finally, the presence of strong market players like Grab, Gojek, Didi Chuxing, and Ola, which have expanded their services across multiple countries, has further solidified the region's dominance in the shared mobility market.

Competitive Scenario in the Global Shared Mobility Market

Investment and agreement are common strategies followed by major market players. Some of the leading shared mobility market players are Car2Go, Deutsche Bahn Connect GmbH, DiDi Chuxing, Drive Now (BMW), EVCARD, Flinkster, Grab, GreenGo, Lyft, Uber, and Zipcar.