Ride-hailing - Singapore | Statista Market Forecast

It is projected that the Ride-hailing market in Singapore will reach a revenue of US$929.10m in 2024.
Moreover, an annual growth rate (CAGR 2024-2029) of 3.85% is expected, which will result in a market volume of US$1.12bn by 2029.
In terms of the number of users in this market, it is expected that there will be 2.98m users users by 2029.
Furthermore, the user penetration rate is projected to be 42.0% in 2024 and 47.8% by 2029.
The expected average revenue per user (ARPU) is US$365.50.
In addition, it is estimated that 100% of the total revenue in the Ride-hailing market will be generated through online sales by 2029.
It is worth noting that, when compared globally, the majority of the revenue in this market will be generated China, with US$60bn in 2024.
The Ride-hailing market in Singapore is dominated by Grab, which has expanded its services to include food delivery and financial services.

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 Singapore has witnessed significant growth and development in recent years, driven by changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Customers in Singapore have shown a growing preference for ride-hailing services due to their convenience, affordability, and seamless user experience. The ability to book a ride with just a few taps on a smartphone has made ride-hailing an attractive alternative to traditional taxis. Additionally, the availability of various ride options, such as economy, premium, and shared rides, caters to the diverse needs and preferences of customers.

Trends in the market: One of the key trends in the Singapore ride-hailing market is the increasing adoption of ride-hailing services by corporate clients. Many companies are now partnering with ride-hailing platforms to provide transportation solutions for their employees, leading to a rise in corporate accounts and business-related rides. This trend is driven by the desire to streamline transportation arrangements, reduce costs, and enhance employee mobility. Another trend is the integration of ride-hailing services with public transportation. Ride-hailing platforms have collaborated with public transport operators to offer first-mile and last-mile connectivity solutions, allowing commuters to seamlessly transition between different modes of transportation. This integration has been well-received by customers, as it provides a more convenient and efficient travel experience.

Local special circumstances: Singapore's small land area and high population density have contributed to the popularity of ride-hailing services. The limited availability of parking spaces and the high cost of car ownership make ride-hailing an attractive option for many residents. Furthermore, Singapore's efficient public transportation system has created a culture of mobility, where people are accustomed to convenient and hassle-free travel options.

Underlying macroeconomic factors: The strong digital infrastructure and high smartphone penetration rate in Singapore have played a crucial role in the growth of the ride-hailing market. The widespread use of smartphones enables easy access to ride-hailing apps, while the reliable internet connectivity ensures smooth booking and ride experiences. Additionally, Singapore's robust economy and high disposable income levels have contributed to the willingness of customers to spend on ride-hailing services. In conclusion, the Ride-hailing market in Singapore is developing rapidly due to customer preferences for convenience and affordability, emerging trends such as corporate partnerships and integration with public transportation, local special circumstances like limited parking spaces and efficient public transport, and underlying macroeconomic factors including strong digital infrastructure and high disposable income levels. As these factors continue to shape the market, the ride-hailing industry in Singapore is expected to further expand and evolve in the coming years.

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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