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Bike-sharing - GCC

The projected revenue for the Bike-sharing market in GCC is US$55.87m by 2024.
The revenue is expected to exhibit an annual growth rate (CAGR 2024-2029) of 5.29%, resulting in a projected market volume of US$72.30m by 2029.
As for the number of users in the Bike-sharing market, it is expected to reach 4.78m users by 2029, with a projected user penetration of 6.1% in 2024 and 7.5% by 2029.
The average revenue per user (ARPU) is expected to be US$15.08.
By 2029, 97% of the total revenue in the Bike-sharing market is expected to be generated through online sales.
In terms of global comparison, China is projected to generate the most revenue with US$5,515m in 2024.
Bike-sharing in the GCC is gaining popularity as a sustainable and affordable mode of transportation, with cities like Dubai and Doha leading the way.

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

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Analyst Opinion

The Bike-sharing market in GCC has been experiencing significant growth in recent years, driven by changing customer preferences, emerging trends, and local special circumstances.

Customer preferences: Customers in the GCC region are increasingly looking for convenient and eco-friendly modes of transportation. Bike-sharing services provide a cost-effective and sustainable solution for short-distance travel, making them highly attractive to customers. Additionally, the rise of health and wellness trends has also contributed to the growing popularity of bike-sharing, as it offers a convenient way for individuals to incorporate exercise into their daily routines.

Trends in the market: One of the key trends in the Bike-sharing market in the GCC is the adoption of smart technology. Bike-sharing companies are leveraging advanced technology to enhance the user experience and improve operational efficiency. This includes features such as mobile apps for easy booking and unlocking of bikes, GPS tracking systems for real-time bike availability information, and cashless payment options. These technological advancements have made bike-sharing more accessible and convenient for customers, further driving its growth in the market. Another trend observed in the GCC Bike-sharing market is the expansion of bike-sharing networks. As more cities in the region recognize the benefits of bike-sharing, they are implementing infrastructure and policies to support its growth. This includes the development of dedicated bike lanes, installation of bike stations at key locations, and the integration of bike-sharing with other modes of public transportation. These efforts have not only increased the availability of bikes for customers but have also made bike-sharing a more integrated part of the overall transportation system.

Local special circumstances: The GCC region is characterized by a high population density, especially in urban areas. This, coupled with the challenges of traffic congestion and limited parking spaces, has created a strong demand for alternative transportation options. Bike-sharing services have emerged as a viable solution to these issues, providing a convenient and efficient mode of transport for short journeys. Additionally, the GCC countries have also made efforts to promote sustainability and reduce carbon emissions, making bike-sharing a preferred choice for environmentally conscious individuals.

Underlying macroeconomic factors: The Bike-sharing market in the GCC is also influenced by underlying macroeconomic factors. The region has witnessed strong economic growth in recent years, resulting in increased disposable income and a higher standard of living. This has led to a shift in consumer behavior, with individuals seeking more convenient and personalized services. Bike-sharing companies have capitalized on this trend by offering flexible pricing plans, personalized user experiences, and value-added services. Furthermore, the GCC countries have also made significant investments in infrastructure development, including the construction of new roads and public transportation systems. This has created a conducive environment for the growth of bike-sharing services, as it enables seamless integration with existing transportation networks. In conclusion, the Bike-sharing market in the GCC is experiencing rapid growth due to changing customer preferences, emerging trends, and local special circumstances. The adoption of smart technology, expansion of bike-sharing networks, and the region's high population density are key drivers of this growth. Additionally, underlying macroeconomic factors such as strong economic growth and infrastructure development have also contributed to the success of bike-sharing services in the GCC.

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.