Ride Sharing Market Overview:
Ride Sharing Market Size was valued at USD 47.6 billion in 2021. The ride sharing market industry is projected to grow from USD 56.7 billion in 2022 to USD 194.01 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 19.20% during the forecast period (2022 - 2030). Big data analytics, IoT, and AI have been introduced, which permit smart riding options and the expansion of the number of cab booking services, which are the main market drivers boosting the worldwide market growth.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Ride sharing Market Trends
Rise in the cost of owning a car to propel the market growth
A vehicle's ownership involves a number of interrelated issues, including financing, gasoline, upkeep, registration/taxes, maintenance & repair, and depreciation. The price of owning a car goes up every year. Although the American Automobile Association (AAA) estimates that depreciation accounts for about 43% of the cost of ownership, additional expenses including maintenance and gasoline expenditures collectively account for -25%. The expense of fuel and maintenance has multiplied in recent years, and it is predicted that this trend will not reverse. Owning a car has shifted from being an asset to being more of a problem as cities get more and more congested with people and vehicles. In 2020, compared to 2019, the average cost to acquire and run a new car grew by USD 279 to reach USD 9,561.
Additionally, micromobility can be defined as the capacity to travel short distances in only one or two passenger cars. These include lightweight automobiles like mopeds, bicycles, scooters, and longboards. For commuters looking for a quick journey in the city without the hassle of public transit, shared micro-mobility is a wise choice. The concept of micro-mobility has a significant impact on how to use and profit from scooters and bikes. Growing congestion, particularly in metro areas, presents a huge opportunity for micromobility to solve these issues. For instance, as part of its strategy for electric mobility, the Volkswagen Group is supporting micro-mobility. In Geneva, the business unveiled Cityskater and Streetmate electric scooters. Together, Daimler and BMW are renting out scooters in more than six European cities. Thus, this factor is driving the market CAGR.
Furthermore, the growing use of smart devices like smartphones and smart wearables as well as the rising use of internet data have increased the demand for ride sharing services globally and accelerated the expansion of the Ride Sharing Market. The essential need for using ride-hailing services is internet connectivity. To access the information and navigation of the ride, passengers must download ride-providing programmes onto their cellphones through the internet. The proper operation of V2V communication, navigation, and telematics requires internet access. Additionally, the smartphone apps offer a lot of security measures like the driver's name, phone number, and photo, the vehicle's number, route tracing information, and records of previous rides.
However, the rate of vehicle emissions has been rising over time on a global scale. The global greenhouse gas emissions are significantly influenced by the car industry. The government, businesses, and automakers are making additional efforts to reduce the rising CO2 emissions. Many organisations, including the International Institute for Sustainable Development of Canada, the Ministry of Environment and Climate Change of India, and the Paris Agreement on Climate Change of the European Union, have established aspirational goals and standards, including increasing the amount of forest cover to reduce carbon footprints in the upcoming years. Therefore, rather than owning an own vehicle, these norms are likely to influence how these sharing services are used. Thus, it is anticipated that this aspect will accelerate ride sharing market revenue globally.
Ride Sharing Market Segment Insights:
Ride Sharing Type Insights
The Ride Sharing Market segmentation has been segmented by type into car sharing, e-hailing, car rental and station-based mobility. The e-hailing segment dominated the market growth in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Using a personal driver hired under a contract or as an employee, e-hailing ride services offer transportation to customers. Additionally, the demand for Ride Sharing, particularly e-hailing, is growing as a result of increased government initiatives to educate the public about issues such as air pollution, passenger comfort, growing traffic congestion, and simplicity of booking.
Ride Sharing Vehicle Type Insights
The Ride Sharing Market segmentation, based on vehicle type, ICE vehicle, electric vehicle and vehicle running on LPG or CNG. The electric vehicle segment dominated the ride sharing market revenue in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Due to recent advancements by major ride-hailing firms like Uber, Lyft, Bolt, In Driver, Ola, and Free now to power up their facility, the electric vehicle ride sharing market is expected to grow at the fastest rate during the anticipated time.
Figure 2: Ride Sharing Market by Business Model, 2021 & 2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Ride Sharing Business Model Insights
The Ride Sharing Market data, based on business model, B2C, P2P and B2B. The P2P segment dominated the ride sharing market revenue in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. P2P car sharing is a type of vehicle sharing where people lend out their cars to other travelers. The P2P model also keeps the owner in the automobile for the duration of the trip. Automobile peer-to-peer sharing is becoming more and more popular.
Ride Sharing Membership Type Insights
The global ride sharing industry, based on membership type, fixed ridesharing, corporate ridesharing and dynamic ridesharing. The corporate ridesharing segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 because more international corporations are using ride-sharing services for their employees' daily commutes. The popularity of ride-sharing services in the region is projected to accelerate due to rising industrialization and the relocation of IT companies' headquarters to the Asia Pacific region.
Ride Sharing Service Insights
The global ride sharing industry, based on service, app-based, web-based and web and app-based. The app-based segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Mobile cloud computing is used to construct ride-sharing apps. Due to its user-friendliness, the majority of people have an android-based smartphone. Consequently, a number of well-known ride-sharing businesses create apps that are compatible with the Android operating system.
Ride Sharing Regional Insights
By region, the study provides the market insights into North America, Europe, Asia-Pacific, and the Rest of the World. North America ride sharing market accounted for USD 20.6 billion in 2021 and is expected to exhibit a 43.20% CAGR during the study period as a result of the quick growth of electric vehicles in nations like Canada, the United States, and Mexico. Moreover, the ride service companies' quick adoption of cutting-edge technology features. In Canada, Uber's company has been growing quickly.
Further, the major countries studied in the market report are: The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: Ride Sharing Market Share By Region 2021 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe ride sharing market is expected to grow at a significant CAGR from 2022 to 2030 due to the growing collaborations between the government and service providers to support these kinds of sharing services in this area. Further, the UK ride sharing market held the largest market share, and the Germany ride sharing market was the fastest-growing market in the region.
Asia Pacific ride sharing market accounts for the second-fastest growing market share. The Asia Pacific market is anticipated to be driven by factors like the increased requirement to conserve fuel by providing rides to coworkers and commuters traveling the same route and the rise in regular commutes to metropolitan offices. Moreover, China ride sharing market held the largest market share, and the India ride sharing market was the fastest-growing market in this region.
Ride Sharing Key Market Players & Competitive Insights
Major market players are spending a lot on R&D to increase their product lines, which will help the ride sharing industry grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, market developments and collaboration with other organizations. Competitors in the industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market industry.
One of the primary business strategies manufacturers adopt in the global ride sharing industry to benefit clients and expand the sector is manufacturing locally to reduce operating costs. In recent years, ride sharing industry has provided medicine with some of the most significant benefits. The ride sharing market major player such as ber Technologies Inc. (U.S.), Taxify (Estonia), Lyft Inc. (U.S.), ANI Technologies Pvt. Ltd. (India), OLA, Gett (Israel), Didi Chuxing Technology Co. (China), car2go (Germany), Cabify (Spain) and GrabTaxi Holdings Pte. Ltd. (Singapore).
In the United States and a few Canadian cities, Lyft, Inc. provides mobility as a service, ride-hailing, vehicles for hire, motorised scooters, a bicycle-sharing system, rental cars, and food delivery. In July 2020, with a focus on safety, convenience, and flexibility, Lyft introduced the Lyft pass, which enables enterprises to pay for trips for their people—from employees and key personnel to clients, guests, and patients.
With its headquarters in Bangalore, Ola Cabs is a multinational ride-hailing business from India. It also operates in additional industry sectors, such as cloud kitchens and financial services. In February 2020, London was added to OLA's service area. Three levels of rides would be available on the Ola platform, including Comfort, Comfort XL, and Exec ride classes. Ola's London product quickly gained size thanks to the platform's over 25,000 registered drivers.
Key companies in the ride sharing market includes
- ber Technologies Inc. (U.S.)
- Taxify (Estonia)
- Lyft Inc. (U.S.)
- ANI Technologies Pvt. Ltd. (India)
- Gett (Israel)
- Didi Chuxing Technology Co. (China)
- car2go (Germany)
- Cabify (Spain)
- GrabTaxi Holdings Pte. Ltd. (Singapore)
Ride Sharing Industry Developments
August 2021: An all-electric, all-employee ride-sharing service was introduced in New York City by Revel Transit Inc. In the United States, Revel Transit Inc. launched a ride-sharing service in New York. All of the fleet's vehicles are Teslas, and all of the drivers work for the business.
May 2021: In Estonia, Bolt Technology OÜ introduced a car-sharing programme. In Estonia, Bolt Technology OÜ introduced a car-sharing programme. The business also intends to spend EUR 20 million in Europe to introduce Bolt Drive.
Ride Sharing Market Segmentation:
Ride Sharing Type Outlook (USD Billion, 2018-2030)
- Car Sharing
- Car Rental
- Station-based Mobility
Ride Sharing Vehicle Type Outlook (USD Billion, 2018-2030)
- ICE Vehicle
- Electric Vehicle
- Vehicle Running on LPG or CNG
Ride Sharing Business Model Outlook (USD Billion, 2018-2030)
Ride Sharing Membership Type Outlook (USD Billion, 2018-2030)
- Fixed Ridesharing
- Corporate Ridesharing
- Dynamic Ridesharing
Ride Sharing Service Outlook (USD Billion, 2018-2030)
- Web and App-based
Ride Sharing Regional Outlook (USD Billion, 2018-2030)
- Rest of Europe
- South Korea
- Rest of Asia-Pacific
Rest of the World
- Middle East
- Latin America
|Market Size 2021
||USD 47.6 Billion
|Market Size 2022
||USD 56.7 Billion
|Market Size 2030
||USD 194.01 Billion
|Compound Annual Growth Rate (CAGR)
||2018 & 2020
||Value (USD Billion)
||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
||Type, Vehicle Type, Business Model, Membership Type, Service, and Region
||North America, Europe, Asia Pacific, and Rest of the World
||The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
|Key Companies Profiled
||ber Technologies Inc. (U.S.), Taxify (Estonia), Lyft Inc. (U.S.), ANI Technologies Pvt. Ltd. (India), OLA, Gett (Israel), Didi Chuxing Technology Co. (China), car2go (Germany), Cabify (Spain) and GrabTaxi Holdings Pte. Ltd. (Singapore)
|Key Market Opportunities
||The market will grow as a result of strict carbon emission standards
|Key Market Dynamics
||Internet and smartphone adoption are expanding, which will help the market grow Micro mobility's growing popularity will fuel market expansion
Frequently Asked Questions (FAQ) :
The ride sharing market size was expected to be USD 47.6 billion in 2021.
The market is expected to register a CAGR of ~19.20% over the next ten years.
North America held the largest market share in the ride sharing market.
ber Technologies Inc. (U.S.), Taxify (Estonia), Lyft Inc. (U.S.), ANI Technologies Pvt. Ltd. (India), OLA, Gett (Israel), Didi Chuxing Technology Co. (China), car2go (Germany), Cabify (Spain) and GrabTaxi Holdings Pte. Ltd. (Singapore) are the key players in the ride sharing market.
The P2P category led the segment in the ride sharing market.
The corporate ridesharing category had the largest market share in the ride sharing market.
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