Over the past few years, increasing demand for economical, flexible, and convenient alternatives for commuting and micromobility has fuelled the bike and scooter sharing market. Advancements in communication technologies, rising congestion, and a focus on sustainability have propelled the market. Dockless bike sharing in particular has gained prominence due to its ease of use (in terms of locating and tracking) through a smartphone application. China, Europe, and the US are the key markets with successful systems operated by Bird, Bolt, and Lime amongst others.
This report summarises the status and forecasts from the Bike and Scooter Sharing Application Group found in the Transforma Insights Connected Things IoT forecast. The report provides a description of what is covered in the Application Group, as well as top-level figures from the forecast that provide details on how many connected devices will be installed, the types of communication technology used and the total revenue opportunity. Full details are accessible through the IoT Forecast tool.
The “Market Forecast” section begins with a list of some programs which show the growth of the global bike sharing market. For instance, after 2008, the Hangzhou district authority launched a public bike sharing scheme with 4,900 bicycles that expanded to 50,000 within a year.
The report then examines key factors that are influencing the development of the market, including:
This section of the report lists some of the drivers behind the rising adoption of Bike & Scooter Sharing (like the additional transportation flexibility it provides users) and claims that local authorities are likely to introduce measures to alleviate congestion and reduce urban pollution. For instance, as per the US Department of Transportation, bike sharing is expected to reduce traffic congestion by as much as 4%. It explains how micromobility schemes make them a compelling short-term solution for cities looking to reduce congestion or ease the burden on their public transport networks.
This section of the report traces the rise of the dockless model and charts the advantages of this model over the docked or station-based bike sharing model (like being more flexible). It then talks about the features of dockless bikes such as being equipped with GPS and talks about how their adoption has fared over time.
This section talks about the connectivity technology that are used in these devices and their advantages. For instance, cellular IoT (particularly LPWA networks) increases the lifespan of bikes and scooters and helps in service diagnostics and logistics. This section first talks about the growth of the micromobility market in the past 5 years and charts some of the important features of these vehicles, including automatic emergency calls and integrated navigation. It then discussed the technologies that are used to manage bike and scooter sharing systems and their benefits. For instance, Bluetooth SoCs (Systems on Chips) are used to track bikes and scooters, and NFC (Near Field Communication) tags are used for identification and communication.
It also discusses the impact of the emergence of low power wide area (LPWA) networks on this market. For example, LPWA technologies ensure cheap support for bikes and scooters through regular maintenance tracking and updates of the vehicle and in-service diagnostics and logistics.
This section begins with an explanation of how the lack of support or sympathy from local authorities has resulted in the mixed success of bike and scooter sharing schemes, leading companies like Ofo and Bluegogo to face bankruptcy.
It then talks about how this scenario has gradually changed since 2017, which witnessed the introduction of new regulations, which are crucial to avoid oversaturation, maintain goodwill with the governments, keep the public onside, and ensure long-term success of the market. Case in point, developed markets like China, the US, and the UK mandate commuter registration, restrict services for children under 12, and encourage operators to use geofences to ensure orderly parking, avoid pedestrian areas, and prompt removal of non-functional bikes. It also states that the rising number of shared bicycles launched by micromobility service providers that increased beyond market capacity has also increased regulatory reforms in the industry.
Furthermore, it claims that safety concerns safety concerns may also result in further regulatory action in some instances and may also dissuade some potential users, and charts the steps taken by various governments to support better cycling infrastructure and encourage greater bicycle usage. For instance, as of August 2023, approximately EUR3.2 billion (USD3.5 billion) had been invested in cycling projects across Europe as per the 2021-2027 EU structural funding period.
The key vendors section lists some of the main providers of products and services related to the market such as Bird, Bolt, Cooltra, Lime, Lyft, Capital Bikeshare, DiDi, and Tier Mobility. The report provides profiles of the various vendors including aspects most relevant to this Application Group, such as product offerings, pricing, financial results, and technology.
In the market forecasts section, we provide a summary of the forecasts from the Transforma Insights IoT Forecast Database:
The report charts the growth in the number of bike and scooter sharing devices which will grow from 13.97 million in 2023 to 23.8 million in 2033.
Transforma Insights forecasts are compiled on a country-by-country basis. This report includes a regional summary, showing splits between Australasia, Greater China, North America, Europe, Japan, Latin America, MENA, Russia & Central Asia, South East Asia, South Korea, India & South Asia, and Sub-Saharan Africa.
Transforma Insights’ IoT forecasts include splits between the various connectivity technologies as follows: 2G, 3G, 4G, 5G mMTC, 5G non-mMTC, LPWA (non-mMTC), Satellite, Short Range, and Other.
This section discusses which technologies will be used in the bike and scooter sharing application group.
This part of the report discusses the market growth in terms of revenue (module revenue, service wrap revenue, and VAC revenue). Transforma Insights estimates that the revenue in the Bike & Scooter Sharing Application Group will grow at a CAGR of 8%.
