Bike Sharing Market Size, Growth, Industry & Revenue | 2032

Report Description

Bike Sharing Market Outlook 2032

The global bike sharing market size was USD 6.8 Billion in 2023 and is projected to reach USD 19 Billion by 2032, expanding at a CAGR of 11% during 2024–2032. The market growth is attributed to the rising urbanization and environmental concerns.

Increasing urbanization and environmental concerns are propelling the market for sustainable transportation solutions. Bike sharing systems, which allow users to access shared bikes for short-term use, have become a popular alternative to traditional modes of transportation in densely populated areas.

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Governments and regulatory bodies, such as the International Transport Forum (ITF), have recognized the importance of promoting sustainable mobility as well as have implemented policies and regulations to support the development of bike sharing infrastructure. These initiatives have included providing financial incentives, establishing bike-friendly infrastructure, and integrating bike sharing with public transit systems. For instance,

• In 2022, the International Transport Forum (ITF) released a set of guidelines for bike sharing operators to ensure the protection of user data and security measures. These guidelines have been adopted by several cities and bike sharing providers to maintain user trust and compliance with data privacy regulations.

Rising demand for cost-effective and eco-friendly transportation options as well as the proliferation of smart technologies is fueling the market. Advancements in mobile applications, digital payment systems, and connected devices have made bike sharing accessible and user-friendly, attracting a wide range of commuters and leisure riders. The bike sharing market has emerged as a vital component in the transition toward sustainable urban mobility, as cities strive to address traffic congestion and reduce carbon emissions.

• In 2023, the European Union announced a EUR 100 million funding program to support the development of bike sharing schemes across major cities in Europe. This initiative aims to encourage the adoption of sustainable mobility solutions and reduce reliance on private vehicles.

Impact of Artificial Intelligence (AI) in the Bike Sharing Market

The integration of Artificial Intelligence (AI) has profoundly transformed the market, steering in a new era of enhanced user experiences and operational efficiency. Increasing advancements in AI-powered technologies have enabled bike sharing providers to develop innovative solutions that optimize fleet management, improve predictive maintenance, and enhance customer service.

Growing AI-powered predictive analytics have empowered bike sharing operators to forecast demand patterns, allocate resources effectively, and strategically position bikes across their networks. Moreover, AI-driven computer vision and sensor technologies have been integrated into bike sharing systems, enabling real-time monitoring of bike usage, condition, and vandalism, thereby improving maintenance and security measures.

• In 2022, the International Transport Forum (ITF) released a set of guidelines for the responsible use of AI in bike sharing systems. These guidelines address data privacy, algorithmic transparency, and the ethical deployment of AI technologies, ensuring that bike sharing providers adhere to best practices and maintain user trust.

Bike Sharing Market Dynamics

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Major Drivers

Increasing environmental awareness and sustainability concerns are driving the market. Growing consumer preference for eco-friendly transportation options as well as government initiatives promoting low-carbon mobility are anticipated to boost the adoption of bike sharing systems during the forecast period.

Surging urbanization and the need to address traffic congestion in densely populated areas are propelling the demand for bike sharing as a viable first and last-mile solution. This is estimated to enhance the overall connectivity and convenience of urban mobility in the coming years, spurring the integration of bike sharing with public transit networks. For instance,

• In March 2023, Brighton and Hove announced plans to launch a bike-sharing scheme with Beryl. About 75 e-bikes and 19 parking bays were made available across the Bright and Hove areas to the general public.

Rising health consciousness and the pursuit of active lifestyles are anticipated to contribute to the growth of the global bike sharing market during the forecast period. High consumer interest in outdoor activities and the perceived health benefits of cycling are expected to further expand the user base for bike sharing services in the coming years.

Existing Restraints

Lack of adequate cycling infrastructure in many regions is hampering the market, due to insufficient investment in bike lanes, secure docking stations, and related facilities. The expansion of bike sharing services is anticipated to face challenges in areas with limited urban planning for sustainable mobility during the forecast period.

Safety and security of users are impeding the market, owing to the perceived risks of riding in traffic and the potential for bicycle theft. Some consumers are hesitant to utilize bike sharing services in areas with limited enforcement of traffic regulations and security measures.

Emerging Opportunities

­Growing integration of bike sharing with public transportation networks is expected to present significant opportunities for the global bike sharing market in the coming years. Increasing partnerships between bike sharing operators and transit authorities are anticipated to enhance the overall connectivity and accessibility of urban mobility, making it easy for commuters to seamlessly combine bike sharing with other modes of transportation. For instance,

• In March 2023, MYBYK launched two electric bicycle variants, named MYBYK Electric and MYBYK Electric Cargo. The MYBYK Electric model caters to both citizens and tourists, offering a solution for convenient first and last-mile connectivity. The MYBYK Electric Cargo model aims to address the last-mile delivery challenges faced by gig workers.

Rising popularity of electric-assisted bikes in bike sharing schemes is projected to create new opportunities in the market during the forecast period. Surging consumer demand for efficient and effortless cycling experiences is estimated to drive the adoption of e-bikes within bike sharing systems in the coming years, catering to a wide range of users and expanding the market.

Increasing focus on smart city initiatives and sustainable urban planning is anticipated to create new avenues for the market during the projection period. Growing investment in developing smart infrastructure and promoting low-carbon mobility solutions is expected to provide a favorable environment for the expansion of bike sharing services in areas with strong government support for eco-friendly transportation.

Scope of the Bike Sharing Market Report

The market report includes an assessment of the market trends, segments, and regional markets. Overview and dynamics are included in the report.

Regional Outlook

In terms of region, the global bike sharing market is classified as Asia Pacific, North America, Latin America, Europe, and the Middle East & Africa. Asia Pacific held a major market share in the global bike sharing market in 2023, due to the increasing urbanization and growing focus on sustainable mobility solutions. Surging demand for first and last-mile connectivity as well as government initiatives promoting the adoption of bike sharing have fueled the market expansion in countries such as China, Japan, and South Korea. For instance,

• In April 2023, MYBYK, a bicycle-sharing service, launched 100 bicycles at 10 locations in Mumbai, India. The service is being run through MYBYK app, and tariffs range from INR 59 (USD 0.86) per day to INR 749 (USD 9.07) per month. MYBYK plans to introduce electric bicycles in the area as well.

The market in North America is projected to grow at a significant pace during the forecast period, owing to the rising awareness of the health and environmental benefits of cycling. The growing investments in developing bike-friendly infrastructure, such as dedicated bike lanes and secure docking stations, are anticipated to drive the adoption of bike sharing services in the region during the forecast period. For instance,

• In December 2023, the US International Development Finance Corporation (DFC) and IDB Invest announced that they were co-investing a combined USD 23 Million in equity in the micro-mobility platform Tembici to support the expansion of bicycle-sharing services in Latin America.

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Bike Sharing Market Segment Insights

Bike Type Segment Analysis

Based on bike type, the bike sharing market is divided into conventional and electric. The conventional bike segment held a major share of the market in 2023, owing to its widespread availability, affordability, and established infrastructure for non-electric bikes. These made conventional bikes accessible to a large population, especially in areas with limited or underdeveloped electric bike infrastructure.

The electric bike segment is expected to expand at a significant growth rate in the coming years, due to increasing environmental awareness, government incentives for eco-friendly transportation, and technological advancements improving battery life and performance. This trend is supported by the growing demand for alternative transportation options that offer both convenience and sustainability.

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Operation Model Segment Analysis

On the basis of operation model, the global market is segregated into docked bike sharing and dockless bike sharing. The docked bike sharing segment held a large market share in 2023, attributed to its established infrastructure, organized parking spaces, and reliable docking stations. These have instilled confidence among users regarding bike availability, security, and ease of use, leading to increased adoption and market dominance.

The dockless bike sharing segment is anticipated to grow at a significant pace during the projected period, due to its flexibility, convenience, and ability to reach underserved areas without the need for fixed docking stations. This model appeals to users looking for on-the-go mobility solutions and complements the trend toward smart bike, app-based transportation services.

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End-user Segment Analysis

Based on end-user, the bike sharing market is segmented into commuters, tourists, and students. The commuters segment led the market in terms of revenue in 2023, owing to the increasing adoption of bike sharing as a sustainable and cost-effective commuting option in urban areas. Traffic congestion, rising fuel costs, and environmental concerns have driven commuters to choose bikes for their daily transportation needs. Additionally, initiatives by governments and companies to promote cycling as a mode of commuting have further fueled the segment.

The tourists segment is projected to register a robust growth rate during the assessment years, due to the rising trend of eco-friendly tourism and the desire for authentic local experiences. Tourists prefer bike sharing services to explore cities and tourist attractions at their own pace, as it reduces their carbon footprint. The convenience of bike sharing apps and the availability of bikes at popular tourist spots make it an attractive option for travelers looking for alternative transportation modes.