Scooters have played an important part in mobilizing India. Be it geared scooters in 1980s-early 2000s or the gearless one’s post 2005 or now in 2019-the shared scooters. India is the biggest ICE(Internal combustion engine) powered two-wheeler market globally, selling ~20 Million units in 2018 and ~35% of them are gearless scooters.
WHAT PROBLEM(s) ARE THEY TRYING TO SOLVE?
India, despite being the world`s biggest two-wheeler market, is still an underpenetrated market, at ~125 two-wheelers per 1,000 inhabitants. The ownership ratio also varies per region and there are migrant workers/college students, who relocate for study/work opportunities in tier-1 cities for short/medium term and are hesitant to own a vehicle due to various reasons.
This set of users either use public transport or on-demand taxi for daily commute and shared scooters cost less than an on-demand taxi and sometimes even less than public transport as detailed below.
RIDE CHARGES COMPARISON OF SCOOTER SHARING OPERATORS IN INDIA FOR A 5KM RIDE
|Sl no||Operator||Unlock charges INR($)||Price per km|
|Time charges per Minute INR($)||Estimated charges for a 5km ride INR($)||Savings when compared to a budget on-demand taxi*|
$1= 70 INR Source: Official apps ride cost estimator
*Considering a 5km budget ride in an on-demand taxi costs INR 85($1.2)
POSSIBLE EXPANSION IN OTHER TIER-1/2 CITIES?
As we have observed after multiple studies on bike and scooter sharing market worldwide that some of the key factors for sharing economy expansion are 1. High population density 2. Resistance to personal asset ownership 3. High smartphone penetration.In India, all the three factors hold good for 8 tier-1 cities and a few tier-2 cities but definitely not in tier-3 cities which are more than 100 in number.
Our other Bike and Scooter sharing reports
Scooter Sharing Market in Asia
As of August 2019, the scooter sharing market in India is dominated by two startups i.e. Bounce (owned by Wicked ride adventure) and Vogo. Both have been competing relentlessly in the IT city of India- Bangalore.
The difference lies in their sharing model. Vogo is a station-based sharing marketplace whereas Bounce has a station less/dock-less model.
Both models have their own advantages/disadvantages, where station-based rentals assure better fleet management and safety, consumers are also tempted towards floating scooter share where they can get on/off their ride anywhere, adding to convenience and flexibility. But, dockless sharing has resulted in theft, vandalism and higher maintenance costs not just in India but across the globe. Read our scoter sharing report to know more about it.
- Vogo Automotive Pvt Limited
- Bounce rental(Wicked Ride Adventure Services Private Limited)
- Zoom car India Pvt Limited
THIS REPORT WILL ANSWER THE FOLLOWING QUESTIONS
- Market Size and Forecast for 2019-2025
- The path to profitability for operators
- Who are the users and why do they choose scooter sharing over other commuting options?
- The difference in cost borne by a user in a month while commuting on a shared scooter v/s a monthly rental scooter?
- User acquisition cost,Scooter repairing and maintenance cost of operators
- Potential for Electric scooter deployment and growth
- Is there a potential opportunity for electric kick scooter sharing market in India?
- Opportunity for IOT sensor, GPS tracker , fleet management,scooter manufacturers and software vendors in this market
- Risks in the scooter sharing market in India
- Details on investors
|4||Bike and scooter sharing fleet in India||8|
|5||Legislations impacting scooter sharing in India||9-10|
|6||Comparison between bike sharing and scooter sharing business model||11-12|
|7||Top purposes served by scooter sharing in India||13|
|8||About scooter sharing users in India||14-15|
|9||Scooter sharing growth in number of cities 2018-H1 2019||16-17|
|10||Cash flow and burn rate of scooter sharing start-ups||19|
|11||Opportunities and risks with the sharing business model||20|
|12||Market Size, Dynamics and Forecast, by Sharing type||21-30|
|13||Market split by major Indian cities||31-32|
|14||Market Size, Dynamics and Forecast, by Scooter type||33-45|
|16||Funding raised by scooter sharing operators||49|
|18||Unmet needs and Market Opportunity for suppliers||71-72|