As per a report by a market research institution, P&S Intelligence, the kick scooter sharing market is growing at a rapid pace because of the numerous advantages this mode of transportation provides to those stuck in traffic jams and breathing the increasingly polluted air. A major driving factor for the growth of the industry is the increasing demand for first and last-mile transportation.
With the growing count of automobiles on the roads, the length of traffic jams is increasing. As a result, people are spending more time doing nothing, which is leading to loss of productivity. For instance, as per a study, in Bengaluru, which is notorious for its traffic jams in India, an average person loses over INR 50,000 each year just stuck in still traffic.
The European industry will witness the fastest growth in the near future, mainly credited to the entry of recognized players offering these services. In addition, the increasing investments from numerous venture capitalists, as well as automobile giants, are creating various opportunities for growth in the region. Spain is the most-popular country among kick scooter sharing service providers in Europe.
Over the last decade, the first- and last-mile category dominated the kick scooter sharing market, and it will remain dominant in the coming years. The usual mobility services, such as cars, are a costlier option for traveling the first and last miles. Particularly for first- and last-mile traveling, the kick scooter sharing services have been a successful replacement for cars, as these are the best options for traveling shorter distances.
In recent years, North America accounted for the largest share of the industry, and it will maintain its position in the years to come. This is attributed to the rapid introduction of the service in the region, as well as the presence of key industry players, such as Spin, Lime, and Bird. Moreover, people, especially teens, are using kick scooters as a fun mobility option, such as for outings or commuting to colleges and schools.
The industry is consolidated in nature, as the top two players held the major market share in recent years. Over the last decade, the key industry players have taken some strategic measures, for instance, mergers & acquisitions, partnerships, and service launches, and increased their investments, to gain a competitive edge in the kick scooter sharing industry.