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Scooter sharing schemes to grow to 2.6m vehicles by 2023

Berg Insight predicts that the growth of sharing schemes will see up to 2.6m scooters on streets

Scooter sharing schemes to grow to 2.6m vehicles by 2023
Berg Insight expects a massive increase in shared scooter schemes in the next four years.

There will be over two and a half million shared scooters on city streets worldwide by 2023, according to Berg Insight.

The IoT analyst company predicts that scooter sharing schemes, which allow users to rent a scooter on-the-spot, and pay just for the journey by time or distance, will grow in popularity, from a fleet of 14,400 vehicles in 2017, to 2.6m by 2023.

The company says that the market today is made up of electric scooters in both sitting and stand models, but stand-up scooter services have grown rapidly this year, and will account for nine-tenths of the market in the next five years.

Scootersharing operators offer access to scooters that are spread across cities. Usage is typically billed by the minute or by distance driven with rates that include fuel/charging, parking, insurance and maintenance. The scootersharing operators have their own street team or utilise a network of partners that ensure that the scooters have fuel or are charged and are serviced on a regular basis. New technologies in the form of telematics systems and smartphones are key enablers of scootersharing services. Notable vendors of scootersharing telematics technology include INVERS, Vulog, COMODULE, Omoove (Octo Telematics) and Sensefields.

"Leading traditional scootersharing operators include ECooltra, Muving, Coup, CityScoot and Blinkee.city," said Martin Svegander, IoT Analyst at Berg Insight. During 2017-2018, new services comprising stand-up scooters were introduced. The leading operators in this segment include Bird, Lime, Spin and Skip. As free floating models are the most popular operational model for scootersharing companies, many operators have faced issues when rolling out the services in cites, sometimes without the cities' permission.

"Stand-up scootersharing companies are today facing similar regulatory hurdles as ridehailing companies did when scaling their services," said Svegander. Today cities need to approve pilot projects and award licences that for example limit the number of stand-up scooters allowed on the streets. "If operators of stand-up scootersharing services overcome regulatory hurdles, improve the robustness of vehicles as well as attract new riders, the stand-up scootersharing market can potentially grow significantly in the upcoming years."



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