A study by Frost & Sullivan has concluded that by 2025, the global ridesharing market will be a multi-billion dollar industry, presenting OEMs with investment opportunities in existing ridesharing services, and the opportunity to launch OEM-specific ridesharing, carsharing and eHailing “sub-brands” to generate more revenue streams. “The convenience, flexibility and security of mobility services, and the advent of autonomous cars/taxis, will significantly reduce car ownership and increase adoption of new mobility services,” stated the report.
The analysis was conducted through Frost & Sullivan’s Mobility Growth Partnership Service program. It found that the revenue generated from the North American and European shared mobility segments is expected to grow at an average compound annual growth rate of 18.3 per cent between 2016 and 2025. Key players profiled in the study are Zipcar, Car2go, Faxi, Via, Uber, Easytaxi and Gett.
The report predicts that new business models, such as those targeting specific ridesharing customer segments or that combine the benefits of taxi hailing and ridesharing, are going to emerge in the market, as more people migrate to shared mobility services.
It added that OEMs are “joining the race” and investing heavily in the shared mobility market to create additional streams of revenue.
With increasing competition, the market will experience consolidation, said the report.
“Partnerships with OEMs will be inevitable as they look at taxi hailing fleets as a route to commercialise self-driving technologies.”
“As value shifts from individual consumption to collaborative consumption, shared mobility is experiencing a flood of new technologies and players,” said Frost & Sullivan in a news release.”
