Car-sharing - India | Statista Market Forecast

By 2024, the projected revenue in the Car-sharing market in India is expected to reach US$79.08m.
The revenue is anticipated to demonstrate an annual growth rate (CAGR 2024-2029) of 7.82%, which would result in a predicted market volume of US$115.20m by 2029.
Moreover, the number of users in the Indian Car-sharing market is estimated to reach 2.80m users by 2029.
In terms of user penetration, it is anticipated to be 0.1% in 2024, and 0.2% by 2029.
The average revenue per user (ARPU) is projected to be US$40.15.
It is estimated that by 2029, 90% of the total revenue generated in India's Car-sharing market will come from online sales.
Furthermore, in comparison to other countries, United States is expected to generate the highest revenue in the Car-sharing market, with US$3bn projected for 2024.
Car-sharing services in India are becoming increasingly popular due to traffic congestion and a growing concern for the environment.

Definition:

The Car-sharing market encompasses car-sharing services. Car-sharing service providers own the vehicles that customers can book independently at any time. Customers need to enter into a contract with the service provider in order to be able to book vehicles via a smartphone app, the website of the service provider, or by telephone. The vehicle is usually opened via smartphone or a chip card. Some service providers, however, provide the car key in a key safe at the car-sharing station. Prices are calculated per minute or hour, with the money being debited from the customer's bank account. Peer-to-peer car-sharing is not included in this market. Car-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 Car-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.

Free-floating car sharing bookings
Station-based car sharing bookings
Companies offering a combination of free-floating and station-based car sharing
Services such as Share Now, Sixt Share, or Enterprise CarShare

Peer-to-peer car sharing bookings
Rental car booking
Taxi services
Carpools
Ride hailing services

The Car-sharing market in India is experiencing significant growth, driven by changing customer preferences, emerging trends, and local special circumstances.

Customer preferences: Indian consumers are increasingly looking for convenient and cost-effective transportation options. Car-sharing provides them with the flexibility of using a car without the hassle of owning one. This appeals to a wide range of customers, including young professionals, students, and urban dwellers who want to avoid the expenses and responsibilities associated with car ownership. Additionally, the rise of ride-hailing services has familiarized consumers with the concept of sharing vehicles, making them more open to car-sharing as an alternative mode of transportation.

Trends in the market: One of the key trends in the car-sharing market in India is the emergence of app-based platforms that connect car owners with potential renters. These platforms provide a seamless and user-friendly experience, allowing customers to easily find and book a car for their desired duration. This trend has significantly expanded the availability of car-sharing services, making them more accessible to a larger audience. Another trend in the market is the growing popularity of electric car-sharing. With increasing concerns about air pollution and the need for sustainable transportation solutions, electric car-sharing services have gained traction in India. These services not only provide customers with a greener alternative but also help in reducing traffic congestion in urban areas.

Local special circumstances: India is experiencing rapid urbanization, with a significant portion of the population migrating to cities in search of better opportunities. This urbanization has resulted in increased traffic congestion and limited parking spaces, making car ownership less practical. Car-sharing services provide a solution to these challenges by offering a convenient and efficient mode of transportation without the need for personal vehicles. Additionally, the Indian government has been actively promoting electric vehicles and car-sharing as part of its efforts to reduce carbon emissions and promote sustainable transportation. Various incentives and subsidies are being provided to both car owners and car-sharing platforms to encourage the adoption of electric vehicles and the expansion of car-sharing services.

Underlying macroeconomic factors: India's growing middle class and rising disposable incomes have contributed to the growth of the car-sharing market. As more people have the financial means to afford transportation services, the demand for convenient and affordable options like car-sharing has increased. Furthermore, advancements in technology and the widespread availability of smartphones have played a crucial role in the development of the car-sharing market. The ease of accessing and booking car-sharing services through mobile apps has made it more convenient for customers to utilize these services. In conclusion, the car-sharing market in India is witnessing rapid growth due to changing customer preferences, emerging trends such as app-based platforms and electric car-sharing, local special circumstances like urbanization and limited parking spaces, and underlying macroeconomic factors like a growing middle class and advancements in technology. As these factors continue to evolve, the car-sharing market in India is expected to further expand and diversify in the coming years.

Data coverage:

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

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