Public Transportation - Azerbaijan

The Public Transportation market in Azerbaijan is expected to witness a surge in revenue, with a projected figure of US$290.70m by 2024.
This growth is expected to continue with an annual growth rate of 2.96% (CAGR 2024-2029), resulting in a projected market volume of US$336.30m by 2029.
It is estimated that the number of users in this market will reach 6.62m users by 2029, with a user penetration rate of 58.2% in 2024, which is expected to rise to 62.0% by 2029.
The average revenue per user (ARPU) is predicted to remain at US$47.72.
The contribution of online sales to the total revenue of the Public Transportation market is expected to be 21% by 2029.
Interestingly, in comparison to other countries, United States is projected to generate the highest revenue of US$52bn in 2024.
Azerbaijan's public transportation system is undergoing modernization with the addition of new buses and the implementation of a smart card payment system.

Definition:

Local public transportation is used to transport people in everyday traffic by road, water, railway tracks, and sometimes by air (cable car) for local and regional transportation. In this market, revenues generated by ticket sales from public transportation companies, such as BVG (Berlin Transport Company), TfL (Transport for London), or Toei (東京都交通局: Tokyo Metropolitan Bureau of Transportation) are considered. Most providers sell single and group tickets or time-limited tickets for up to one year. This market does not take long-distance public transportation with national travel offerings into consideration.

Additional Information:

The main performance indicators of the Flights 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 above-mentioned markets. 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. Additional definitions for each market can be found within the respective market pages.

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.

Local and regional public transportation by road, water, rail, and air
Regular transportation by bus, train, tram, subway, suburban trains, ferries, cable car, and trolleybus
All online and offline bookings for public transportation tickets and subscriptions, irrespective of the sales channel
Time-limited subscriptions and single tickets

Tickets for long-distance public transportation with nationwide travel offers
Private transportation
Freight transportation

The Public Transportation market in Azerbaijan is experiencing significant growth and development. Customer preferences are shifting towards more convenient and efficient modes of transportation, leading to increased demand for public transportation services. Additionally, local special circumstances and underlying macroeconomic factors are contributing to the expansion of the market. Customer preferences in Azerbaijan are favoring public transportation due to its convenience and affordability. With the increasing population and urbanization, there is a growing need for efficient transportation options. Public transportation provides a reliable and cost-effective solution for commuters, reducing the reliance on private vehicles. Furthermore, customers are becoming more environmentally conscious and are opting for greener transportation alternatives, making public transportation an attractive choice. Trends in the market indicate a shift towards modernization and expansion of public transportation infrastructure. The government of Azerbaijan has been investing heavily in the development of transportation networks, including the construction of new metro lines, tramways, and bus routes. These initiatives aim to improve connectivity within and between cities, making public transportation more accessible and convenient for commuters. Additionally, there is a growing emphasis on the integration of technology in public transportation systems, such as the introduction of contactless payment methods and real-time tracking systems, further enhancing the overall customer experience. Local special circumstances, such as the high population density in urban areas, contribute to the increasing demand for public transportation in Azerbaijan. As cities become more crowded, private vehicle ownership becomes less practical due to limited parking spaces and traffic congestion. Public transportation offers a viable alternative, allowing people to travel efficiently and avoid the hassle of finding parking. Moreover, the government has implemented policies to encourage the use of public transportation, such as dedicated bus lanes and reduced fares for certain demographics, further incentivizing its adoption. Underlying macroeconomic factors also play a role in the development of the public transportation market in Azerbaijan. The country's growing economy has led to increased urbanization and a rise in disposable income, enabling more people to afford public transportation services. Additionally, the government's focus on infrastructure development as part of its economic diversification strategy has created opportunities for public transportation companies to expand their operations and cater to the growing demand. In conclusion, the Public Transportation market in Azerbaijan is experiencing growth and development driven by customer preferences for convenience, the modernization of infrastructure, local special circumstances, and underlying macroeconomic factors. As the market continues to evolve, there will likely be further investments in public transportation systems to meet the needs of the growing population and urbanization in the country.

Data coverage:

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

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.

This report presents a comprehensive analysis and additional information on the Mobility market, in a PDF format.