Published Date: Apr 2020 | Report ID: GMI719 | Authors: Preeti Wadhwani, Prasenjit Saha



Report Format: PDF | Pages: 225 | Base Year: 2019

Industry Trends

Car Sharing Market size exceeded USD 2.5 billion in 2019 and is poised to grow at a CAGR of over 24% between 2020 and 2026. The implementation of stringent emission regulations by governments across the globe is fueling the adoption of urban mobility solutions, driving the market growth.



Moreover, the increasing traffic congestion in urban areas coupled with crowded public transport facilities is boosting the car sharing market revenue. Growing dependence of daily commuters on carsharing services can be attributed to their rising safety concerns in public transport facilities.



Get more details on this report - Request Free Sample PDF



Stringent emission regulations by government authorities across the globe are enforcing automobile manufacturers to reduce harmful vehicle emissions. Automobile manufacturing companies are increasingly investing in these services to cater to the growing urban mobility demands and support the market trend.



Furthermore, the emergence of electric vehicles in the automobile industry is supporting car sharing market growth. Emerging technologies, such as digital car keys, will further help in renting cars on demand, influencing the market size.



The major factor challenging the industry growth is unavailability of adequate technology & transport infrastructure. Several automobile manufacturers are collaborating with technology providers, such as Google, Apple, and EasyMile, to develop user-friendly apps for vehicle sharing services. Additionally, fierce competition from similar business models, such as ride-hailing and on-demand taxi services, is anticipated to hamper the market demand.



Car Sharing Market Report Coverage Report Coverage Details Base Year: 2019 Market Size in 2019: USD 2.5 Billion (2019) Historical Data for: 2015 to 2019 Forecast Period: 2020 to 2026 Forecast Period 2020 to 2026 CAGR: 24% 2026 Value Projection: USD 9 Billion (2026) Pages: 225 Tables, Charts & Figures: 274 Geographies covered (21): U.S., Canada, UK, Germany, France, Italy, Spain, Russia, Turkey, China, India, Japan, South Korea, Taiwan, Malaysia, Singapore, Australia, Brazil, Mexico, GCC, South Africa Segments covered: Model, Business Model, Application Companies covered (21): Autolib, Car2Go, Cambio CarSharing, Cityhop, Communauto Inc, DriveNow GmbH & Co. KG, Getaround, Inc., CarShare Australia, Carrotshare, Ekar Fz LLC, Hertz Corporation, Hour Car, Locomute (Pty) Ltd, Lyft, Inc, Mobility carsharing, Modo Co-operative, Orix Corporation, Peg City Car Co-op, Regina Car Share Co-operative, Turo Inc., Zipcar, Inc Growth Drivers: Stringent government regulations pertaining to emission control in Europe and North America

Incentives offered by the government to use car sharing in the U.S.

Increasing adoption of vehicles enabled with advanced technologies

Reduction in traveling/commuting cost

Growing investments in car sharing by the automobile manufacturers in Germany

Increasing adoption of urban mobility due to increasing traffic congestion and pollution in China

Lack of proper public transportation infrastructure in India

Changing regulations in Malaysia and Singapore Pitfalls & Challenges: Inadequate transportation infrastructure

Fierce competition from similar transport models

Get more details on this report - Request Free Sample PDF



Monetary benefits from car-sharing are supporting the demand for P2P sharing services

The P2P car sharing market accounted for over 25% revenue share in 2019. The demand for P2P sharing is significantly increasing owing to easy access to private car rentals. P2P business model allows private car owners to rent personal cars that are not in regular use. Vehicle owners can charge a rental fee and provide additional services such as insurance and car maintenance.





Moreover, users can easily rent cars for short-distance commutes through websites and smartphone applications that connect them to car owners. P2P sharing aids commercial service providers to use rental cars for delivering their services, reducing the need to purchase new commercial cars.



Growing adoption of one-way car sharing model owing to increased flexibility

In terms of members, the one-way business model segment holds around 15% of the car sharing market share in 2020. Increased customer convenience and flexibility of use are major factors contributing to the segment growth. This business model allows users to rent a car for their commute and park it according to their convenience.





One-way car sharing also assists users in intercity travel, reducing the number of private cars on the road. This aids in reducing traffic congestion and emissions, minimizing the harmful impact on the environment.



The industry players are focusing on offering an enhanced driving experience to its customers to cater the industry demand. For instance, in November 2019, Tesloop, a car rental startup based in the U.S, expanded its one-way route network with an LA-Las Vegas route. The company offers three tesla models on rent with an autopilot mode for enhanced driving experience.



Increasing demand for car sharing services in businesses

Get more details on this report - Request Free Sample PDF



The business application segment of the market generated revenue of over USD 2 billion in 2019 owing to adoption of rental cars by large number of businesses. Companies are using these services to provide pick-up and drop facilities to their employees. Increasing initiatives by business organizations to provide convenience, comfort, and safety to their employees will fuel the car sharing market growth. Furthermore, car sharing aids companies to reduce carbon emissions from personal vehicles used by individual employees.



Vehicle sharing service providers are focusing on building long-term relationships with business enterprises to enhance their customer base and market share. For instance, in February 2020, MOIA, a ride-sharing service based in Germany, launched a new voucher portal for its corporate customers. This portal will aid businesses to book vouchers for trips for their employees and customers.



Increasing adoption of car sharing services in APAC due to growing customer preferences for shared mobility

Get more details on this report - Request Free Sample PDF



Asia Pacific car sharing market is predicted to register 24% growth during the forecast period. The increasing adoption of carsharing services in Asia Pacific can be attributed to overcrowding in public transport facilities.



The increasing population in countries including India, China, and Japan has led to overcrowding of transit facilities. This promotes people to switch to vehicle sharing for their daily commute requirements. Furthermore, factors such as traffic congestion and reduced travel costs, are fueling the market growth in the region.



Continuous innovation is the key strategy by leading market players

The car sharing industry players are adopting various strategies, such as partnerships & collaborations, to expand their market shares. For instance, in February 2019, Daimler AG and BMW announced their partnership to offer car sharing services. The partnership assisted the companies in providing ride and car sharing services under a new brand, ‘ShareNow’.



Furthermore, automobile manufacturers are launching new vehicle sharing platforms to provide modern mobility solutions, supporting industry growth. For instance, in October 2019, Toyota launched its new car sharing service for the Japanese market. This service aided the company to provide a wide range of mobility services for short-term use.



Some of the leading companies operating in the car sharing market include Zipcar, Inc., Turo, Inc., Orix Corporation, Regina Car Share Co-operative, CarShare Australia, Lyft, Inc., Communauto Inc., Car2Go, Autolib, DriveNow GmbH & Co. KG, Getaround, Inc., Ekar Fz LLC, Carrotshare, Hour Car, Mobility carsharing, and Hertz Corporation.



The car sharing market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2020 to 2026 for the following segments:



Market by Model

P2P

Station Based

Free Floating

Market by Business Model

Round Trip

One Way

Market by Application

Business

Private

The above information has been provided for the following regions and countries :

North America U.S. Canada

Europe UK Spain Germany France Italy Turkey Russia

Asia Pacific China India Japan South Korea Taiwan Malaysia Singapore Australia

Latin America Brazil Mexico

MEA GCC South Africa



Frequently Asked Questions (FAQ) :