Shared Mobility - United Arab Emirates

United Arab Emirates

Highlights

The Shared Mobility market in the United Arab Emirates (UAE) is projected to experience significant growth in the coming years.
By 2024, the revenue in this market is expected to reach a staggering US$3.70bn.
Furthermore, the market is expected to exhibit a Compound Annual Growth Rate (CAGR 2024-2029) of 4.09%, resulting in a projected market volume of US$4.52bn by 2029.
It is worth noting that the largest market of the Shared Mobility market in the UAE is Flights, which is expected to have a projected market volume of US$1.60bn in 2024.
By 2029, the number of users in the Public Transportation market is expected to amount to 5.87m users.
Notably, the user penetration in 2024 is 59.6% and is expected to increase to 66.3% by 2029.
Moreover, the average revenue per user (ARPU) is expected to be US$647.60.
In the UAE, it is projected that 62% of the total revenue generated in the Shared Mobility market will be from online sales by 2029.
Finally, in a global comparison, it is expected that China will generate the most revenue in this market, with a projected revenue of US$365bn in 2024.
The United Arab Emirates is rapidly embracing shared mobility services, such as Careem and ekar, as a convenient and cost-effective alternative to traditional transportation options.

Key regions:

Definition:

The Shared Mobility market encompasses a diverse range of long- and short-distance mobility services. As the world moves towards a more connected and digital era, the Shared Mobility market is central to driving innovation, collaboration, and the development of intelligent transportation systems.

Structure:

The market consists of eleven further markets. These include the following markets:

The Car Rentals market contains vehicle rentals that have been booked in person, by telephone via the internet or an app.
The Car-sharing market includes professionally run car-sharing services that provide on-demand access vehicles, allowing users to rent cars for short periods, e.g., by minute or hour.
The Bike-sharing market contains short-term bike-sharing services. Bicycles can be found in the provider’s business zone where they are either parked at designated stations or freely distributed without fixed docks.
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.
The Taxi market covers exclusively traditional taxi services booked offline, typically via street hailing or phone calls.
The Flights market contains air travel bookings regardless of the purchase channel, such as an airline's website or a travel agency.
In the Public Transportation market, revenues generated by ticket sales from public transportation companies are considered.

Additional Information:

The main performance indicators of the Shared Mobility 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.

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Shared Mobility market in United Arab Emirates is experiencing significant growth and development driven by changing customer preferences, technological advancements, and unique local circumstances.

Customer preferences: Customers in the United Arab Emirates are increasingly looking for convenient, cost-effective, and sustainable transportation options. Shared Mobility services such as ride-hailing, car-sharing, and bike-sharing are gaining popularity among residents and tourists alike. The demand for on-demand transportation solutions is driven by the need for flexibility, ease of access, and the desire to reduce individual car ownership.

Trends in the market: One of the key trends shaping the Shared Mobility market in the United Arab Emirates is the rapid adoption of electric vehicles (EVs) in ride-hailing services. Companies are investing in electric fleets to reduce carbon emissions and meet sustainability goals. Additionally, the integration of smart technology and mobile applications is enhancing the overall customer experience, making it easier to book and pay for shared rides.

Local special circumstances: The unique demographics and urban landscape of the United Arab Emirates play a significant role in shaping the Shared Mobility market. With a large expatriate population and a high concentration of urban centers, there is a growing need for efficient transportation solutions. The government's focus on smart city initiatives and sustainable development further drives the demand for Shared Mobility services in the region.

Underlying macroeconomic factors: The economic prosperity and high disposable income levels in the United Arab Emirates contribute to the growth of the Shared Mobility market. As residents seek convenient and affordable transportation options, Shared Mobility services present a viable alternative to traditional car ownership. Additionally, government regulations and incentives to promote sustainable transportation solutions play a crucial role in shaping the market dynamics.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and online shares of car rentals, ride-hailing, taxi, car-sharing, bike-sharing, e-scooter-sharing, moped-sharing, trains, buses, public transportation, and flights.

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.