Ride-hailing - NAFTA | Statista Market Forecast

The Ride-hailing market in NAFTA is anticipated to witness a rise in its revenue, with a projected value of US$57.59bn in 2024.
Moreover, the market is expected to exhibit an annual growth rate (CAGR 2024-2029) of 2.39%, resulting in a market volume of US$64.83bn by 2029.
The number of users in this market is also expected to escalate and reach 154.60m users by 2029, with a user penetration of 27.6% in 2024 and 29.4% by 2029.
The projected average revenue per user (ARPU) for this segment is US$408.60.
Furthermore, it is estimated that 100% of the total revenue generated by the Ride-hailing market would be through online sales by 2029.
In a global comparison, China is expected to generate the most revenue in this market, with a projected value of US$60bn in 2024.
The Ride-hailing market in the NAFTA region is highly competitive, with Uber and Lyft dominating the US market while Didi Chuxing is expanding in Mexico.

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 NAFTA has experienced significant growth in recent years, driven by changing customer preferences and the emergence of new technological advancements.

Customer preferences: Customers in the NAFTA region have increasingly turned to ride-hailing services due to their convenience and affordability. The ability to request a ride with just a few taps on a smartphone has revolutionized the way people travel, making it a popular choice for both business and leisure purposes. Additionally, the availability of various ride options, such as shared rides or luxury vehicles, allows customers to choose the service that best suits their needs and budget.

Trends in the market: One of the key trends in the Ride-hailing market in NAFTA is the increasing adoption of electric vehicles (EVs) by ride-hailing companies. This trend is driven by both environmental concerns and cost savings. EVs offer lower operating costs compared to traditional gasoline-powered vehicles, making them an attractive option for ride-hailing companies looking to reduce expenses. Furthermore, the use of EVs aligns with the growing demand for sustainable transportation options, as customers become more conscious of their carbon footprint. Another trend in the market is the integration of ride-hailing services with other modes of transportation, such as public transit. This integration allows customers to seamlessly plan and pay for their entire journey, combining ride-hailing with buses, trains, or even bike-sharing services. This trend is driven by the desire to provide customers with a more holistic and efficient travel experience, reducing the need for private car ownership.

Local special circumstances: In the United States, the Ride-hailing market has become highly competitive, with several major players vying for market share. This competition has led to aggressive pricing strategies and promotional offers, benefiting customers who can take advantage of discounted fares. Additionally, the presence of strong local regulations and labor laws has influenced the way ride-hailing companies operate, ensuring a level playing field for drivers and protecting customer safety. In Mexico, the Ride-hailing market has seen rapid growth, driven by the increasing urbanization and the need for reliable transportation options. However, the market is also characterized by high levels of informality, with a significant number of drivers operating without proper licenses or insurance. This has led to concerns about passenger safety and the need for stricter regulations to ensure a safe and reliable service.

Underlying macroeconomic factors: The growth of the Ride-hailing market in NAFTA is also influenced by underlying macroeconomic factors. For example, the rise of the gig economy and the increasing number of individuals seeking flexible employment opportunities have contributed to the availability of ride-hailing services. Additionally, the growing urban population and the need for efficient transportation solutions in congested cities have created a favorable environment for the expansion of the ride-hailing market. In conclusion, the Ride-hailing market in NAFTA is experiencing significant growth due to changing customer preferences, the integration of new technologies, and favorable macroeconomic factors. The adoption of electric vehicles and the integration of ride-hailing services with other modes of transportation are key trends shaping the market. However, local special circumstances, such as competition and regulation, vary across the NAFTA region, influencing the way ride-hailing companies operate.

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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