Ride-hailing - Eastern Asia | Statista Market Forecast

By 2024, the Ride-hailing market in Eastern Asia is estimated to generate a revenue of US$62.71bn.
Moreover, the revenue is expected to increase at an annual growth rate (CAGR 2024-2029) of 6.45%, resulting in a projected market volume of US$85.73bn by 2029.
Eastern Asia is also expected to have 698.90m users users in the Ride-hailing market by 2029.
Furthermore, the user penetration rate is projected to increase from 34.0% in 2024 to 43.0% by 2029.
The average revenue per user (ARPU) in Eastern Asia is expected to be US$113.00.
Additionally, online sales are projected to contribute to 100% of the total revenue by 2029 in this market.
In comparison to other countries, China is expected to generate the highest revenue in the Ride-hailing market in Eastern Asia, amounting to US$60bn in 2024.
In Japan, ride-hailing services struggle to compete with well-established taxi companies and face strict regulations.

Definition:

The Ride-hailing market encompasses on-demand transportation services facilitated through mobile apps or online platforms. This market covers both private vehicle rides and taxi services, all booked exclusively online. It includes Transportation Network Companies (TNCs), such as Uber and Lyft, traditional taxis booked via apps, such as Free Now or Cabify, and ride-pooling services, such as Moia and Via. This market excludes peer-to-peer ride-sharing, focusing on professionally operated transport services booked digitally for efficient and convenient urban mobility. Rides of traditional taxi services hailed on the street or booked via telephone are not included in this market.

Additional Information:

The main performance indicators of the Ride-hailing 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.

Platforms that let users book rides offered by drivers using their private vehicles (e.g., Uber)
Taxi companies that offer their services through an app (e.g., Free Now)
Platforms that offer shared rides (ride-pooling) with other passengers (e.g., Moia, Via)

Traditional taxi rides booked offline with taxi companies (via street-hailing or by telephone)

The Ride-hailing market in Eastern Asia has experienced significant growth in recent years, driven by changing customer preferences and local special circumstances. Customer preferences in Eastern Asia have shifted towards more convenient and efficient transportation options, leading to the rise in popularity of ride-hailing services. Customers are increasingly looking for alternatives to traditional taxis and public transportation, and ride-hailing platforms provide a convenient solution. These platforms offer a seamless booking process, real-time tracking, and cashless payment options, which appeal to tech-savvy customers in Eastern Asia. Additionally, the availability of various vehicle options, such as cars, motorcycles, and even bicycles, caters to the diverse needs of customers in the region. One of the key trends in the ride-hailing market in Eastern Asia is the dominance of local players. While global ride-hailing companies have a presence in the region, local companies have gained significant market share due to their understanding of the local market and ability to adapt to local regulations. These local players have built strong brand recognition and customer loyalty through aggressive marketing campaigns and competitive pricing strategies. They have also formed partnerships with local businesses, such as hotels and restaurants, to offer integrated services and enhance the overall customer experience. Another trend in the market is the expansion of ride-hailing services beyond major cities. Initially, ride-hailing services were primarily available in urban areas, but they have gradually expanded to smaller cities and rural areas. This expansion has been facilitated by the increasing availability of smartphones and internet connectivity in these areas, as well as the growing demand for transportation options in underserved regions. Ride-hailing companies have also introduced innovative solutions, such as shared rides and shuttle services, to cater to the unique needs of customers in these areas. Local special circumstances also play a significant role in the development of the ride-hailing market in Eastern Asia. For example, in countries like China and Japan, the aging population and declining birth rates have led to a growing demand for transportation services for elderly and disabled individuals. Ride-hailing platforms have capitalized on this opportunity by offering specialized services and vehicles equipped with wheelchair ramps or other accessibility features. Additionally, the high population density in many Eastern Asian cities has created a strong demand for efficient transportation solutions, making ride-hailing services a popular choice. Underlying macroeconomic factors, such as urbanization and increasing disposable incomes, have also contributed to the growth of the ride-hailing market in Eastern Asia. As more people move to cities and experience rising incomes, they are willing to spend more on transportation services. Ride-hailing platforms provide a cost-effective and convenient alternative to car ownership, especially in congested cities where parking is scarce and expensive. Moreover, the growing middle class in Eastern Asia is increasingly embracing the sharing economy, including ride-hailing services, as a way to access goods and services without the burden of ownership. Overall, the ride-hailing market in Eastern Asia is thriving due to changing customer preferences, local special circumstances, and favorable macroeconomic factors. As the market continues to evolve, ride-hailing companies will need to adapt to new technologies, regulations, and customer demands to maintain their competitive edge.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings and revenues of ride-hailing 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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