The global ride-sharing market is expected to grow to by more than 40 percent between 2023 and 2028. The market value is expected to amount around 216 billion U.S. dollars in 2028. DiDi, Uber, and Lyft are among the key players in this industry.
Costs, congestion, and comfort are key market drivers
The ride-sharing market’s rapid growth is being fueled by several key factors: Consumers, particularly younger adults, seek to avoid the large overhead costs of car ownership. It is expected that ride-sharing will be most popular in cities where vehicle ownership is not only costly but also less practical due to traffic congestion and limited parking. Ride-sharing’s reach has been enabled by widespread smartphone use and mobility apps are particularly popular in India and China, making mobility services likely to see large revenue streams in regions such as China. The industry may struggle to take over the market in areas where public transportation is well-funded and attractive to use and hence, Europe is the region where the market for urban mobility platforms that combine individual and shared mobility options has the greatest potential.
Shared mobility market segmentation
Car-sharing and ride-sharing represent parts of a wider aspect of the transportation industry, shared mobility. Either vehicles or mobility services are shared between consumers on an on-demand basis. Car-sharing provides consumers more privacy and less contact with strangers than ride-sharing. The value pool for ride-hailing is expected to be more than 14 times the size of the car-sharing market by 2030.
