Sustainable transportation to rocket global shared mobility market to US$1.55T by 2030
Mobility-as-a-Service and autonomous mobility will lead to an uptake in technology-enabled safe transport and create key growth opportunities
SANTA CLARA, Calif. — Frost & Sullivan’s recent research, Strategic Analysis of the Global Shared Mobility Market, 2030, forecasts that the gross market value of the sector will exceed US$1 trillion by 2026, despite suffering a major setback due to the pandemic.
The growing urban population and rising smartphone penetration are key factors driving the segment globally, followed by tightening emission norms and a shifting focus toward autonomous mobility. As a result, the global shared mobility market is expected to grow from US$731.8 billion in 2020 to US$1.55 trillion by 2030.
“Over the last decade, there has been rapid progress toward a new paradigm for transporting people in cities. Driven by quickly evolving technologies, new business models, and shifting societal expectations, shared mobility has become more sustainable, efficient, and convenient,” said Chanchal Jetha, senior research analyst, Frost & Sullivan, in a prepared statement. “The shared mobility market is expected to observe a stagnant growth in 2020, with COVID-19-related lockdowns affecting bookings and journeys. However, the economic impact of the pandemic on the sector will be short-lived, with the market expected to make a full recovery by the end of 2021.”
Jetha added: “In the short term, shared mobility operators should focus on bringing in revenues from alternate streams like essential goods delivery, which could become a continuing trend over the medium term. Shared mobility modes like bike-sharing, car-sharing, and ride-hailing are expected to pick up compared to the other multi-occupancy modes of transport. With the necessary support from cities, demand for public transport, demand-responsive transport (DRT), and Mobility-as-a-Service (MaaS) solutions is expected to increase in the long term, leading to an uptake in technology-enabled safe transport.”
For further revenue opportunities, Frost & Sullivan advises market participants to explore these strategic recommendations:
- Single-occupancy shared mobility: Service providers must focus on single-occupancy modes, as post-pandemic demand would be inclined toward these instead of public transport.
- Bike-sharing: Bike-sharing will be in high demand because it provides a safe transport option that ensures social distancing. Cities must consider promoting safe and eco-friendly transport by instituting emergency bike lanes.
- Last-mile delivery: Fleets across ride-hailing and car-sharing companies should be repurposed to deliver healthcare supplies and essentials and become P2P courier services to enable the utilization of fleets during lockdowns.
- Corporate mobility: Shared mobility service providers need to consider making changes to vehicle designs as shared transport would be crucial post-pandemic for the safe transport of workers.
Autonomous mobility: Cities and governments should undertake more initiatives to develop infrastructure technology for a seamless transition to autonomous vehicles.
- Mobility-as-a-Service: MaaS providers must offer greater flexibility, personalization, safety precautions, transparency on pricing, and data privacy to increase the comfort of potential customers.