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Bike-sharing - Central America

Central America

Central America is projected to see a revenue of US$1.89m in the Bike-sharing market by 2024.
The revenue is expected to grow annually at a rate of 4.89% (CAGR 2024-2029), which will result in a projected market volume of US$2.40m by 2029.
By 2029, the number of users in this market is expected to reach 192.70k users.
The projected user penetration is 0.3% in 2024 and 0.3% by 2029.
The average revenue per user (ARPU) is expected to be US$11.47.
In the Bike-sharing market, it is projected that 87% of the total revenue will be generated through online sales by 2029.
It is noteworthy that in global comparison, China is expected to generate the most revenue (US$5,515m in 2024).
Bike-sharing initiatives are on the rise in Central American countries like Costa Rica, providing a sustainable and affordable transportation option for locals and tourists alike.

Key regions: South America, Malaysia, India, Indonesia, Saudi Arabia

Definition:

The Bike-sharing market includes short-term bike-sharing services. In bike-sharing services, bicycles are generally owned by a bike-sharing provider and are independently reserved by customers around the clock. Customers are required to open an account with the bike-sharing provider and can then reserve bicycles. This is usually done with a smartphone app, but there are also service providers that allow reservations to be made via the provider's website, by telephone, or at a terminal.

The two most frequently used bike-sharing varieties are the following: station-based (e.g., Stadtrad and Citi Bike New York) and free-floating (such as nextbike and ofo). With station-based bike-sharing, a bicycle is retrieved from a bike-sharing station and returned to either the same station or dropped off at another station. With free-floating bike-sharing, it is possible to find bicycles everywhere within the service provider's business zone and leave the bicycle anywhere in accordance with traffic regulations. Peer-to-peer bike-sharing is not included in the market definition of this market. Moped-sharing services are not available in all countries; thus, only a limited number of countries and regions can be selected.

Additional Information:

The main performance indicators of the Bike-sharing market are revenues, average revenue per user (ARPU), user numbers and user penetration rates. Additionally, online and offline sales channel shares display the distribution of online and offline bookings. The ARPU refers to the average revenue one user generates per year while the revenue represents the total booking volume. Revenues are generated through both online and offline sales channels and include exclusively B2C revenues and users for the mentioned market. User numbers show only those individuals who have made a reservation, independent of the number of travelers on the booking. Each user is only counted once per year.

The booking volume includes all booked rides made by users from the selected region, regardless of where the ride took place.

For further information on the data displayed, refer to the info button right next to each box.

Market

Region

Region comparison

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Analyst Opinion

Bike-sharing has gained significant popularity in Central America in recent years, with an increasing number of people opting for this convenient and eco-friendly mode of transportation. Customer preferences, market trends, local special circumstances, and underlying macroeconomic factors have all contributed to the development of the Bike-sharing market in the region.

Customer preferences: Customers in Central America are increasingly looking for sustainable transportation options that are cost-effective and efficient. Bike-sharing provides a solution to these needs by offering a convenient mode of transportation that is both affordable and environmentally friendly. Additionally, the health benefits associated with cycling have also attracted customers who are conscious about their well-being.

Trends in the market: The Bike-sharing market in Central America has witnessed several key trends. Firstly, there has been a rise in the number of bike-sharing companies entering the market, leading to increased competition. This has resulted in improved services and expanded coverage areas, making bike-sharing more accessible to a larger population. Another trend is the integration of bike-sharing with other modes of transportation. Many bike-sharing companies have partnered with public transportation systems, allowing customers to easily switch between bikes and buses or trains. This seamless integration has further enhanced the convenience and popularity of bike-sharing in Central America.

Local special circumstances: Central America's warm climate and relatively flat terrain make it ideal for cycling. The region also faces challenges such as traffic congestion and limited parking spaces, which have led to an increased demand for alternative modes of transportation. Bike-sharing has emerged as a viable solution to these challenges, offering a convenient and efficient way to navigate through congested city streets. Furthermore, Central American governments have been supportive of bike-sharing initiatives, implementing policies and infrastructure improvements to encourage the use of bicycles. This includes the development of bike lanes, bike parking facilities, and awareness campaigns promoting cycling as a sustainable transportation option.

Underlying macroeconomic factors: The growing Bike-sharing market in Central America can be attributed to several underlying macroeconomic factors. Economic growth in the region has led to an increase in disposable income, allowing more people to afford bike-sharing services. Additionally, rising urbanization rates have resulted in increased demand for efficient transportation options, further driving the growth of the Bike-sharing market. Moreover, the global trend towards sustainability and environmental consciousness has also influenced the development of the Bike-sharing market in Central America. Customers are increasingly aware of the environmental impact of traditional modes of transportation and are actively seeking greener alternatives. This has created a favorable market environment for bike-sharing companies to thrive. In conclusion, the Bike-sharing market in Central America is experiencing significant growth due to customer preferences for sustainable and cost-effective transportation options, market trends such as increased competition and integration with other modes of transportation, local special circumstances such as favorable climate and government support, and underlying macroeconomic factors including economic growth and environmental consciousness. As these factors continue to drive the development of the Bike-sharing market, we can expect further expansion and innovation in the industry in Central America.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and online shares of bike-sharing services.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, third-party studies and reports, federal statistical offices, industry associations, and price data. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as demographic data, GDP, consumer spending, internet penetration, and device usage. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, the S-curve function and exponential trend smoothing methods are applied.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.