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Transportation: Disrupted by Shared Mobility

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This article is based on a report, Digital Disruptors: The Competitive Landscape of Shared Mobility Platforms.

Shared mobility platforms have always existed in the form of private taxis or public buses. However, the rise of shared mobility players like Uber are disrupting the industry and spearheading growth of ride-sharing globally.

Ride-sharing succeeded as a concept in the developed world as it offered convenience and filled the gap in the market between public transport and private taxis. As this concept moved to emerging economies, consumers were given an alternative to using inefficient or overcrowded public transport.

The growth of card payments, the uptake of mobile and contactless as well as peer-to-peer payments have also helped the adoption rate of mobility platforms in the developed world. Players in emerging worlds meet consumers by offering cash payment.

The ease of paying for the service offered by shared mobility platforms reduces the barrier for uptake for consumers. In addition, ride-sharing companies are expanding their service offerings for consumers.

Companies now offer business transit, freight sharing, food and grocery delivery and courier services as they aim to be a one-stop solution for customers. Additionally, bikes, scooters and autorickshaws are now available. The future is about bringing all mobility services together.

Shared mobility players should pay special attention to Asia Pacific and the Middle East and Africa. Although these regions have lower urbanisation rates, the sheer numbers of urban dwellers offer great economies of scale.

These urban consumers will form a key consumer base for all types of mobility services. As more and more people move to the cities in search of better life prospects, mobility platforms can invest in urban development.

To learn more, download the free white paper “Digital Disruptors: Leveraging Tech to Innovate”.

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