Global Bike and Scooter Rental Market Grows at a Staggering CAGR of 12%

Introduction

Bike and scooter rental services offer short-term access to bicycles and scooters, typically facilitated through mobile apps or docking stations, enabling users to quickly rent and return vehicles at multiple locations. These services are essential to urban mobility, promoting cost-effective and environmentally friendly transportation. With options such as dockless rentals and electric scooters, these systems help ease traffic congestion, reduce carbon emissions, and enhance last-mile connectivity in cities. Companies like Lime, Bird, and Citi Bike have driven the widespread adoption of these services, integrating them into smart city initiatives worldwide.

The global bike and scooter rental market is rapidly growing as consumers opt for sustainable, convenient transportation solutions. With rising eco-consciousness and urban mobility needs, bike and scooter rentals are becoming preferred in major cities globally. Many municipal governments actively promote these rental services to alleviate traffic congestion and minimize emissions. The Global Infrastructure Facility has also collaborated with urban planners to improve the accessibility and efficiency of bike-sharing programs.

Market Dynamics

Government initiatives encouraging eco-friendly transportation drive market growth

Governments worldwide are supporting bike and scooter rental services as part of their efforts to curb urban pollution and promote sustainable mobility. Many cities have introduced policies and incentives to encourage shared mobility solutions, contributing to reduced traffic congestion and improved air quality. As a result, local authorities increasingly incorporate bike-sharing programs into public transportation networks to enhance sustainability.

• For example, Transport for London (TfL) has launched an e-bike rental initiative called Santander Cycles, providing a fleet of e-bikes for short-term rentals, allowing residents and visitors to access green transportation options more conveniently.

Furthermore, the rapid expansion of urban populations has led to severe traffic congestion, posing a significant challenge for many cities. This has increased the demand for alternative mobility solutions, such as bike and scooter rentals, which help alleviate congestion while providing an efficient mode of transport for short commutes. As cities become more crowded, rental services emerge as a practical solution for improving urban mobility and reducing travel time.

Expansion of bike and scooter rental services in emerging markets

Emerging markets present significant growth opportunities for the bike and scooter rental industry. As urban populations rise and sustainability awareness grows, the demand for affordable, eco-friendly transport options increases. These markets offer a lucrative space for companies to introduce shared mobility services, tapping into new customer bases and supporting sustainable urban development.

• For instance, MYBYK, a bicycle-sharing provider, introduced 100 bicycles across 10 locations in South Mumbai in 2023 to enhance last-mile connectivity.
  Additionally, numerous rental service providers are expanding their operations in Southeast Asia, Latin America, and Africa, leveraging rising smartphone adoption and digital payment technologies in these regions. Government initiatives supporting infrastructure development, such as dedicated bike lanes, alongside favorable policies, further strengthen market potential.

Regional Analysis

The Asia Pacific region dominates the global bike and scooter rental market, driven by rapid urbanization, dense populations, and increasing demand for cost-efficient transportation alternatives. This region benefits from strong, smart city initiatives and government-backed programs supporting shared mobility. Countries like China and India significantly contribute to market growth, with large-scale adoption of dockless bikes and scooter-sharing models in major cities.

Moreover, the growing use of electric two-wheelers and integrating artificial intelligence (AI) and Internet of Things (IoT) technologies in rental systems enhance user experience and operational efficiency. High smartphone penetration and an increasing emphasis on sustainability further drive market expansion in the region.

Key Highlights

• The global bike and scooter rental market size was worth USD 4.2 billion in 2024 and is estimated to reach an expected value of USD 11.65 billion by 2033, growing at a CAGR of 12% during the forecast period (2025-2033).
• Based on the Type of Vehicle, the global bike and scooter rental market is segmented into Bikes and Scooters. The Bikes segment owns the highest market share.
• Based on the Business Model, the global bike and scooter rental market is segmented into Station-based Rentals and Dockless Rentals. The Dockless Rentals segment owns the highest market share.
• Based on Application, the global bike and scooter rental market is segmented into Urban Mobility, Tourism, and Corporate/Business Use. The Urban Mobility segment owns the highest market share.
• Based on End User, the global bike and scooter rental market is segmented into Individual Consumers and Corporate Users. The Individual Consumers segment owns the highest market share.
• Based on Region, the Global Bike and Scooter Rental Market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. Asia-Pacific owns the highest market share.

Competitive Players

1. Lime
2. Bird Rides, Inc.
3. TIER Mobility
4. Spin
5. Lyft, Inc.
6. Yulu
7. Beam Mobility
8. Neuron Mobility
9. MyByk
10. Dott

Recent Developments

• In Oct 2024, TIER merged with Dott to create a unified micromobility company, now operating under the Dott brand to serve 427 cities across Europe and the Middle East, offering 250,000 electric scooters and e-bikes.
• In December 2023, Dott secured a three-year contract with the city of Milan to provide 2,000 e-scooters and 2,000 e-bikes, further strengthening its position as a leading micro-mobility operator in Italy.

Segmentation

1. By Type of Vehicle
   1. Bikes
   2. Scooters
2. By Business Model
   1. Station-based Rentals
   2. Dockless Rentals
3. By Application
   1. Urban Mobility
   2. Tourism
   3. Corporate/Business Use
4. By End User
   1. Individual Consumers
   2. Corporate Users
5. By Regions
   1. North America
   2. Europe
   3. Asia-Pacific
   4. Latin America
   5. The Middle East and Africa