Bike Sharing Market

Increased venture capital and strategic investment combined are driving the market growth

Market CAGR for bike sharing is being driven by the growing customer preference for using electric bike sharing. The critical reason influencing the expansion of ride-hailing and ride-sharing services is the massive increase in regular office commuters' preference for carpool and bike sharing pool services. The availability of more services from the top competitors on the market, such as Uber and Ola, as well as the choice of convenient pick-up and drop-off locations, is pushing customers to use ride-hailing and ride-sharing services.

Additionally, the bike sharing industry's expansion is fueled by the massive increase in ride-hailing and ride-sharing services, such as bike sharing and auto sharing services, even for short-distance travel.

In addition, ride-sharing service providers provide advantages compared to traditional transportation service providers, including more convenient doorstep pick-up and drop-off prices, co-passenger information, and affordable doorstep pick-up and drop-off. It is forecasted that this will improve demand for ride-sharing services. To lower the costs of everyday commuters, many service providers also give a variety of amenities, incentives, and discounts, such as a monthly pass on shared transportation. Due to their quick & flexible operations and low carbon emissions, the demand for e-bikes is rising worldwide.

Government support programs and financial incentives have been provided to promote electric vehicles, which is expected to open new opportunities for this market in the forecast period. In addition, fossil fuel depletion is a crucial problem that might be solved by creating a self-sufficient electric vehicle sector. New incentive systems for electric bikes are being developed in many countries where electric two-wheelers are popular. For instance, in February 2021, the Government of India announced plans to support electric vehicles through the Faster Adoption and Manufacturing of Electric Vehicles Scheme (FAME).

The government is subsidizing buyers through the Electric Vehicle Accelerated Introductory Manufacturing (FAME) program, which invests Rs 100 billion in the market. The increasing trend in electric bike sharing in India is an example of government and corporate efforts. These positive bike sharing market trends are expected to act as facilitators driving the bike sharing market revenue.

Service providers invest heavily in technological advancements like artificial intelligence (AI) and the Internet of Things (IoT) to deliver dependable performance to commuters. Developing a dockless bike sharing system has also been made possible by incorporating GPS technology, consumer-ready mobile payments, and lower bike sharing locking and monitoring system investment costs. Cutting-edge technologies like lot and GPS trackers on bike sharing help service providers find them anywhere, reducing the likelihood of theft problems.

The Global Bike Sharing Market Industry is poised for substantial growth, with projections indicating a market value of 5.12 USD Billion in 2024 and an anticipated increase to 10.9 USD Billion by 2035. This growth trajectory suggests a compound annual growth rate (CAGR) of 7.15% from 2025 to 2035. Such figures underscore the increasing adoption of bike-sharing systems across various regions, driven by urbanization, environmental concerns, and technological advancements. The market's expansion reflects a broader shift towards sustainable urban mobility solutions, positioning bike-sharing as a key player in the future of transportation.

The rapid urbanization and population growth in cities worldwide appear to be a primary driver of the Global Bike Sharing Market Industry. As urban areas expand, the demand for efficient and sustainable transportation solutions increases. In 2024, the market is projected to reach 5.12 USD Billion, reflecting the growing need for alternatives to traditional vehicles. Cities are increasingly adopting bike-sharing programs to alleviate traffic congestion and reduce carbon emissions. For instance, cities like Amsterdam and Copenhagen have successfully integrated bike-sharing into their public transport systems, showcasing the potential for growth in urban areas globally.

The Global Bike Sharing Market Industry is significantly influenced by the increasing emphasis on environmental sustainability. Governments and organizations are actively promoting eco-friendly transportation options to combat climate change and reduce air pollution. This trend is evident in various countries implementing policies that encourage cycling as a viable mode of transport. For example, cities such as Paris and Barcelona have expanded their bike-sharing networks as part of broader sustainability initiatives. The market is expected to grow at a CAGR of 7.15% from 2025 to 2035, indicating a strong alignment with global sustainability goals.

Government support and favorable policy frameworks play a crucial role in the expansion of the Global Bike Sharing Market Industry. Many governments are recognizing the benefits of bike-sharing programs in promoting public health, reducing traffic congestion, and enhancing urban mobility. Initiatives such as subsidies for bike-sharing operators and investments in cycling infrastructure are becoming more common. For example, the United Kingdom has launched various funding programs to support the establishment of bike-sharing schemes in urban areas. This proactive approach is likely to bolster market growth, creating a conducive environment for bike-sharing initiatives.

Technological innovations are reshaping the Global Bike Sharing Market Industry, enhancing user experience and operational efficiency. The integration of mobile applications for bike rentals, GPS tracking, and smart locking systems has made bike-sharing more accessible and user-friendly. Companies are leveraging data analytics to optimize bike distribution and maintenance, thereby improving service quality. For instance, cities like San Francisco have adopted advanced technology to monitor bike usage patterns, leading to better fleet management. As technology continues to evolve, it is likely to drive further growth in the market, with projections indicating a market value of 10.9 USD Billion by 2035.

The evolving consumer preferences towards shared mobility solutions are driving the Global Bike Sharing Market Industry. As urban dwellers increasingly seek convenient and cost-effective transportation options, bike-sharing has emerged as a popular choice. The shift away from car ownership, particularly among younger generations, suggests a growing acceptance of shared mobility. This trend is reflected in the rising number of bike-sharing users globally, with cities reporting increased ridership. The market's trajectory indicates a robust demand for bike-sharing services, aligning with the projected growth to 10.9 USD Billion by 2035.

By Region, the study delivers market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The Asia Pacific bike sharing market will dominate owing to the high consumption of bicycles in almost every part of the region after the pandemic to avoid public transportation and traffic. For instance, In December 2020, Chandigarh Smart City Limited (CSCL) launched a pilot project with 225 cycles at 25 docking stations in India. In the next phase, by May 2021, a total of 1,250 cycles will be counted, and docking stations will be enhanced from 25 to 155.

Moreover, China bike sharing market held the largest market share, and the India bike sharing market was the fastest growing market in the Asia-Pacific region.

Further, the prominent countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Bike Sharing Market Share By Region 2024 (%)

Source: Secondary Research, Primary Research, Market Research Future Database, and Analyst Review

Europe bike sharing market accounts for the second-largest market share due to the In November 2020, the German Development Cooperation (GIZ) and the Ministry of Construction of Vietnam inscribed a memorandum of understanding on developing technical guidelines for the design of cycling infrastructure in the region. Further, the German bike sharing market held the largest market share, and the UK bike sharing market was the fastest growing market in the Europe region.

The North America bike sharing market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to the region's increasing demand for low-cost transportation alternatives. Companies working in the region are integrating various advanced technologies into bicycles to deliver efficient user performance. Moreover, China bike sharing market held the largest market share, and the India bike sharing market was the fastest growing market in the North America region.

Leading market players are investing heavily in research and development to expand their product lines, which will help the bike sharing market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, bike sharing industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the global bike sharing industry to benefit clients and increase the market sector. Major players in the bike sharing market, including Lyft, Uber, Neutron Holdings Inc., Meituan, dba Lime (formerly LimeBike), Youon Bike, and others, are attempting to increase market demand by investing in research and development operations.

Cooltra Motos SL was established in Barcelona in 2006, and its headquarters is in Barcelona. The company provides rental services. The company specializes in scooter rental services as well as offers vacation information. Cooltra Motos serves customers in Europe and Brazil. In June 2020, Cooltra introduced a new electric bike sharing service in Barcelona, Spain. The firm was previously offering motorcycle sharing through an app. The cost of this service is the same as that of electric motorcycles (EUR 0.24 per minute).

Didi Chuxing Technology Co. Ltd. provides transit services. The Company offers taxis, special car, buses, luxe, vehicle driving, and other services. Didi Chuxing Technology offers services all over the world. In February 2020, Didi Chuxing’s bike sharing arm Qingju was set to raise USD 600 million in a Series B equity fundraising round and be granted another USD 400 million in loans.