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Bike-sharing - United Arab Emirates

United Arab Emirates

The Bike-sharing market in the United Arab Emirates is projected to earn a revenue of US$9.65m in 2024.
The revenue is expected to increase with an annual growth rate (CAGR 2024-2029) of 5.50%, resulting in a projected market volume of US$12.61m by 2029.
The number of users in this market is expected to reach 0.74m users by 2029, with a projected user penetration of 6.1% in 2024 and 7.4% by 2029.
The average revenue per user (ARPU) is expected to be US$16.54.
By 2029, 98% of the total revenue in this market will be generated through online sales.
In comparison with other countries, China is expected to generate the highest revenue of US$5,515m in 2024.
Bike-sharing in the United Arab Emirates is gaining popularity as a sustainable mode of transportation in cities like Dubai and Abu Dhabi.

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.

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Analyst Opinion

The Bike-sharing market in United Arab Emirates has been experiencing significant growth in recent years, driven by the increasing popularity of sustainable transportation options and the government's efforts to promote cycling as a means of reducing traffic congestion and carbon emissions.

Customer preferences: Customers in the United Arab Emirates are increasingly opting for bike-sharing services due to their convenience and affordability. Bike-sharing allows users to easily rent a bike for short trips, providing a flexible and environmentally-friendly alternative to traditional modes of transportation. Additionally, the availability of bike-sharing services in popular tourist areas has made it an attractive option for visitors who want to explore the city at their own pace.

Trends in the market: One of the key trends in the Bike-sharing market in the United Arab Emirates is the adoption of dockless bike-sharing systems. Unlike traditional docked systems, dockless bike-sharing allows users to locate and unlock bikes using a smartphone app, providing greater flexibility and convenience. This trend has been driven by advancements in GPS technology and the increasing popularity of mobile applications. Another trend in the market is the integration of bike-sharing services with public transportation networks. This allows users to easily combine bike-sharing with other modes of transportation, such as buses or trains, to complete their journey. This integration promotes multi-modal transportation and encourages more people to choose cycling as a viable transportation option.

Local special circumstances: The United Arab Emirates has a unique set of circumstances that contribute to the development of the Bike-sharing market. Firstly, the country has a well-developed infrastructure, with dedicated cycling lanes and paths in many cities. This makes cycling a safe and convenient option for commuters and leisure riders alike. Additionally, the government has been actively promoting cycling as a means of reducing traffic congestion and carbon emissions. This has led to the implementation of various initiatives and policies to encourage the use of bicycles, including the construction of cycling infrastructure and the introduction of bike-sharing programs.

Underlying macroeconomic factors: The growth of the Bike-sharing market in the United Arab Emirates is also influenced by underlying macroeconomic factors. The country has a high population density, particularly in urban areas, which creates a demand for efficient and sustainable transportation options. Additionally, the United Arab Emirates has a strong tourism industry, with millions of visitors each year. Bike-sharing services cater to the needs of both residents and tourists, providing a convenient and eco-friendly mode of transportation. In conclusion, the Bike-sharing market in the United Arab Emirates is experiencing significant growth due to customer preferences for convenient and affordable transportation options, as well as the government's efforts to promote cycling. The adoption of dockless bike-sharing systems and the integration with public transportation networks are key trends in the market. The country's well-developed infrastructure, government initiatives, high population density, and thriving tourism industry are underlying macroeconomic factors that contribute to the growth of the market.

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.