Ride sharing service was pioneered by Uber, which started in 2010 in San Francisco, U.S. Ride-sharing platforms such as Lyft and Uber have revolutionized the transportation industry by matching the supply of drivers in accordance with the demand for rides. These platforms do not employ drivers and operate as two-sided markets between riders and independent contractors that provide services as drivers. Such platforms use their pricing and compensation policy to facilitate the match between drivers and riders. For instance, Uber received a lot of praise but also criticism on how its pricing works.
Many a times, ride sharing services are often misconnected with ride hailing services, which is essentially flagging down a taxi from the side of the road.
The global ride sharing market has been segmented by service type, sharing type, vehicle type, travel mode, and data service. By service type, the market has been segmented into e-hailing, ride sharing, car rental, and station-based mobility. By the sharing type, the market has been segmented into P2P and corporate. By vehicle type, the market has been segmented into ICE vehicle, CNG/LPG vehicle, and electric vehicle. By mode of travel, the market has been segmented into inter-city and outstation. By data service, the market has been segmented into information service, navigation, payment, and others.
Ride sharing is the most widely used service type as it offers a cost-effective and easy alternative to local transport services. Corporate ride sharing has been gaining popularity as a number of large enterprises in various industrial sectors are collaborating with ride sharing service providers for their employees. By vehicle type, the electric vehicle segment is expected to gain traction in the years to come with the growing adoption of these vehicles, due to stringent regulations that aim to curb CO2 emissions.
The global ride sharing market has been segmented into Europe, Asia Pacific, North America, and Latin America and Middle East & Africa (LAMEA).
North America dominates the global ride sharing services market due to its technologically advanced infrastructure, anticipated adoption of autonomous ride sharing vehicles and strong presence of several established enterprises in developed countries such as the U.S and Canada.
In Europe, the U.K. and Germany are slated to account for major shares in the ride sharing services market, owing to government initiatives that support expansion of ride-sharing activities.
Asia Pacific is pegged to be the fastest growing market for ride sharing services, owing to volatility in fuel prices, rising traffic congestion, increasing demand from working-class population for daily commute in urban areas.
The Latin America and the Middle East & Africa (LAMEA) region have been witnessing strong growth in the global ride sharing services market.
Some of the key players covered in this study on the global ride sharing services market are Uber Technologies Inc., ANI Technologies Pvt. Ltd. (OLA), Lyft, Inc., Grab, Careem, Taxify OÜ, Gett, Beijing Xiaoju Technology Co, Ltd. (Didi Chuxing), BlaBlaCar, Wingz, Inc, Curb Mobility, and Cabify.
Uber and Lyft, among the most prominent players in the market space, are out to lure everyday riders with monthly passes for discounted or free rides, dabbling with a subscription model aimed at commuters.
In December 2015, an ordinance to Austin’s city code was approved, under which Uber and Lyft drivers must go through mandatory fingerprint requirements. Companies such as BlaBlaCar and BlancRide avoid regulatory attention by allowing drivers to only recover costs, which prevents them from turning a profit.
By Service Type
By Sharing Type
By Vehicle Type
By Travel Mode
By Data Service