Public Transportation - Tanzania | Statista Market Forecast

By 2024, revenue in Tanzania's Public Transportation market is estimated to reach US$248.00m.
The market is projected to display a compound annual growth rate (CAGR 2024-2029) of 4.58%, reaching a market volume of US$310.20m by 2029.
In the same timeframe, the number of users is predicted to reach 35.80m users.
The user penetration rate is expected to rise from 37.8% in 2024 to 44.9% by 2029.
The average revenue per user (ARPU) is predicted to be US$9.46.
By 2029, 16% of the total revenue in the Public Transportation market sector is expected to be generated through online sales.
It is noteworthy that in global comparison, United States is expected to generate the highest revenue (US$52bn in 2024).
Tanzania's public transportation sector is dominated by dala-dalas, which are privately owned minivans that operate on fixed routes.

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 Tanzania is experiencing significant growth and development due to several factors. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors all contribute to the current state of the industry.

Customer preferences: Customers in Tanzania are increasingly opting for public transportation due to its affordability and convenience. With the rising cost of private vehicle ownership, many individuals are finding it more economical to use public transportation for their daily commute. Additionally, the growing urban population and traffic congestion in major cities like Dar es Salaam have made public transportation a more attractive option for many residents.

Trends in the market: One of the key trends in the public transportation market in Tanzania is the expansion and modernization of existing infrastructure. The government has been investing in the construction of new roads, bridges, and bus stations to improve connectivity and enhance the overall efficiency of the transportation system. This has led to the introduction of new bus routes and the replacement of older vehicles with newer, more fuel-efficient models. Another trend is the adoption of technology in the public transportation sector. Mobile ticketing and payment systems are becoming increasingly popular, allowing passengers to purchase tickets and pay fares using their smartphones. This not only improves convenience for passengers but also helps to streamline operations for transport providers.

Local special circumstances: Tanzania's geography and population distribution present unique challenges for the public transportation market. The country is large and diverse, with rural areas often lacking proper transportation infrastructure. This has led to the development of informal transportation systems, such as minibuses and motorcycles, to serve these areas. These informal systems coexist with the formal public transportation system and cater to specific customer needs.

Underlying macroeconomic factors: The growth of the public transportation market in Tanzania is also influenced by underlying macroeconomic factors. The country has experienced steady economic growth in recent years, leading to an increase in disposable income and urbanization. As more people move to urban areas for employment opportunities, the demand for public transportation services has grown. Additionally, government initiatives to promote sustainable development and reduce carbon emissions have encouraged the use of public transportation as a greener alternative to private vehicles. In conclusion, the Public Transportation market in Tanzania is developing rapidly due to customer preferences for affordability and convenience, the expansion and modernization of infrastructure, the adoption of technology, local special circumstances, and underlying macroeconomic factors. As the country continues to grow and urbanize, the demand for public transportation services is expected to increase further, driving further development and innovation in the market.

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.