The Rise of Shared Economics in the Mobility Market

The mobility market has undergone a significant transformation in recent years, driven by the rise of shared economics. This shift is reshaping how people move within cities and beyond, offering more sustainable, cost-effective, and convenient transportation options. Shared mobility is experiencing significant growth in Mexico, driven by urbanization, traffic congestion, and the demand for cost-effective transportation options. Let's explore the key aspects of shared economics in the mobility market and its impact on urban transportation.

What is Shared Mobility?

Shared mobility refers to transportation services that are shared among users, reducing the need for individual car ownership. This concept encompasses various modes of transport, including ride-hailing, car-sharing, bike-sharing, and scooter-sharing. The primary goal is to maximize the utilization of vehicles, reduce traffic congestion, and lower environmental impact.

Key Segments of Shared Mobility

1. Ride-Hailing: Platforms like Uber and Lyft allow users to book rides via mobile apps. This service has disrupted traditional taxi services by offering more flexible and often cheaper alternatives.

2. Car-Sharing: Companies provide vehicles that users can rent for short periods. This model is ideal for those who need a car occasionally but do not want the burden of ownership. 

3. Bike and Scooter Sharing: Services like Lime (that just opened again in Mexico) and Ecobici that offer bikes and scooters that can be rented for short trips. These options are particularly popular in urban areas for their convenience and environmental benefits.

4. Dynamic Shuttle Services: These services, like Via, offer shared rides in larger vehicles, optimizing routes based on demand and reducing the number of vehicles on the road.

Economic and Environmental Benefits

The shared mobility market is not only about convenience but also about economic and environmental sustainability. Here are some of the key benefits:

• Cost Savings: Shared mobility reduces the cost of transportation for users by eliminating the need for car ownership, maintenance, and fuel expenses.

• Reduced Traffic Congestion: By maximizing vehicle usage and promoting carpooling, shared mobility helps reduce the number of vehicles on the road, easing traffic congestion.

• Lower Emissions: Shared mobility services often incorporate electric and hybrid vehicles, contributing to lower greenhouse gas emissions and improved air quality.

Market Growth and Trends

The global shared mobility market was valued at approximately US$209.42 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 15.8% from 2023 to 2030. In Mexico is expected to reach approximately US$24.38 billion by 2025

This growth is driven by increasing urbanization, advancements in mobile technology, and a growing preference for sustainable transportation options. Even though ride-hailing is the segment with the most participation in Mexico, car-sharing is an option that in recent years has gained prominence, with projected growth of at least 20% each year.

Challenges and Outlook

Despite its benefits, the shared mobility market faces several challenges, including regulatory hurdles, competition, security and the need for infrastructure development.One of the biggest challenges in Mexico is that people still look at a car as a status symbol, which is a barrier that still needs a lot of work to overcome.

However, the future looks promising as cities and governments increasingly prioritize sustainable transportation solutions. Ecobici is one of the best examples of this. Each year, it is increasing the number of available bicycles and expanding to new areas in the city. In Mexico, despite all this, people and companies are embracing sustainable transportation options, and you can see they are moving away from having cars to using other modes of transportation.

We don’t need more vehicles on the streets. What we need is to continue working with shared economics models and use the available assets more efficiently, especially in terms of mobility where space is limited and the cost of owning and not using is very high. Shared economics and shared mobility are and will be the main difference in addressing some of the biggest problems cities face and having a more sustainable mobility that reaches more people.