Global Scootersharing Market Report 2018 November 2018 Author: Enrico Howe

Global Scootersharing Market Report 2018 November 2018 Author: Enrico Howe

2 Foreword Global mobility challenges are omnipresent. Especially urban centers across the globe are facing challenges regarding congestion, high emission levels and a lack of space among other topics. The aim of the report is to put together publicly available facts, issues and statistics as well as apply new methods to describe the status quo of the scootersharing market in the year 2018. This analysis was conducted by the Berlin-based Innovation Centre for Mobility and Societal Change (InnoZ), which closely evaluates mobility markets in the light of changes within the mobility sector. The report reaches out to shared mobility operators, scientists, mobility planners and consultants, municipalities, the press and individuals. The author has been focusing on scootersharing for several years now and wants to facilitate a better access to the market by publishing this report. All data of this report was analyzed as of September 15 th 2018. Tokyo traffic navigating the urban jungle

3 Setting Scooters have been an important mode of transport in many parts of the world for decades. The new sector of scootersharing has been emerging since 2012. The scootersharing market has strongly accelerated its growth in the past year. The market has never been bigger, but still remains a niche among shared mobility options globally. However, it is reasonable to believe that the scootersharing market will move away from its niche, considering that bike- and carsharing went through a similar process a few years back. Simultaneously, the market is becoming more complex. Currently, so-called kick scooters are emerging rapidly, attracting a lot of attention, and investments are high (see page 27). These kick scooters á la Bird, Lime, Tier or Wind are often referred to as "scootersharing". However, this report solely focusses on electric and combustion scooters as pictured on the right (moped; Vespa-like). Street scene in India scooters as a central element

4 Table of content Market 6-10 Scooters 11-15 Trends 16-18 Users & Usage 19-27 Summary 28-29 Digital Map & Contact 30 InnoZ office in Berlin - a living lab

5 Scootersharing market development since the 2017 report*: At a glance 25,000 scooters +17,000 scooters since 2017 38 operators Multiple new operators since 2017 85 city schemes +39 city schemes since 2017 1.8 million registered users +1.45 million registered users since 2017 62 cities 26 +33 cities since 2017 scooter +12 supplying manufacturers since 2017 manufacturers * The first Global Scootersharing Market Report was published in November 2017. All data of the Global Scootersharing Market Report 2018 was analyzed as of September 15 th 2018.

6 62 cities world-wide host scootersharing activities Scootersharing started in San Francisco in 2012. Following a slow international diffusion to just eight cities by 2015, scootersharing has began flourishing between 2016 and 2018. Today, more than 60 cities have a scootersharing scheme. 84 % of these are in Europe (79 % in 2017). Twelve cities are home to more than one operator, whereby Madrid and Barcelona have six resp. five operators. In terms of fleet size, Madrid and Paris are by far the most ambitious (see next page). Econduce (Mexico): 700 scooters

7 Madrid & Paris: Center of scootersharing activity 36 % of the global scootersharing fleet is based in these two European capitals. Madrid provides 4,665 and Paris 4,300 scooters. Barcelona, Taipeh and Berlin are following on the next ranks. COUP (Germany, France, Spain): 3,580 scooters

8 Market development: Number of accumulated scootersharing schemes* Local launches of scootersharing schemes in the respective year City scheme closures in the respective year Accumulated no. of active city schemes in the respective year 85 49 36 39 20 1 1 1 2 2 4 5 8 12-1 -3-7 2012 2013 2014 2015 2016 2017 2018 * 85 scootersharing schemes are active in 62 cities globally. As described on page 6, a city can have more than one scheme. Numbers slightly differ in comparison to last report due to new findings and updates.

9 99 % are free floating or free floating-dominated hybrid systems Globally, 99 % of the systems are free floating. That means, users can freely choose where they want to park their scooter within a defined service area. Only 1 % are pure station-based systems, where users access and park their scooter at a rental location. Also, there are some systems which are hybrid and offer both free floating and stationary scootersharing. Both systems offer round-trips and one-way trips. All in all, free floating dominates the market by far. emmy (Germany): 1,600 scooters

10 71% of the fleet owned by just seven companies COUP, ecooltra, Cityscoot, Muving, WeMo, emmy and Scoot own more than two thirds of the global scootersharing fleet. The last third is operated by the remaining 31 companies active in the market. All of these dominating seven players own at least 1,500 scooters. Four companies even own 3,000+ scooters each. However, operator diversity is currently increasing. There have never been more operators than today. And the dominance of single operators has been decreasing during the past year. Muving (Spain, US): 3,000 scooters

11 25,000+ scooters on the market The market exploded again this year. From 2017 to 2018, the number of scooters almost tripled. The year before last (from 2016 to 2017), the number of scooters almost quadrupled. Hence, the past two years have been very dynamic in terms of global scaling. The following pages depict where scooters are distributed, which machine type is used and the suppliers. felyx (Netherlands): ca. 420 scooters

12 Market development: Scooters per country (with at least 100 deployed scooters*) # scooters growth Spain France Germany Taiwan Italy USA Poland Mexico Austria Netherlands Belgium Portugal Switzerland 8,920 4,870 2,843 2,050 1,350 1,318 1,251 700 452 420 335 300 240 498 % 132 % 14 % 925 % 286 % 164 % 1,151 % 133 % 110 % NEW 415 % 76 % NEW Number of scooters in Oct 2017 Added scooters in the past 12 months * Additional scooter fleets with fleet sizes below 100 are deployed in Hungary, Croatia and Lebanon.

13 55 % of all scooters in Spain and France Scootersharing has arrived in 16 countries (+4 from 2017). However, more than every second scooter remains distributed within Spain and France which are the two dominant markets. Including Germany, two thirds of the global fleet are distributed in these three European markets. In 2017, Germany has been the most important market. Since then, Spain and France heavily increased their fleets, leaving Germany on rank 3. Cityscoot (France): 3,000 scooters

14 Market development: Scooters per city Madrid Paris Barcelona Taipeh Berlin San Francisco Mexico City Milan Rome Nice All others 52 further cities # scooters 4,665 4,300 2,530 2,000 1,655 1,000 700 650 600 500 ~6,600

15 97 % of scooters are electric 26 scooter manufacturers currently provide vehicles for the sharing business. Electric scooters are by far dominating the market. The dominance of electric scooters has increased from 92 % to 97 % in reference to the last report. A reason for this is the increase of electric fleets and the decrease of fleets using scooters powered by combustion engines at the same time. The dominant manufacturers in terms of deployed scooters are currently Govecs (26 %), Torrot (15 %) and Gogoro (14 %). The manufacturers which currently supply the hightest number of customers are Torrot, NIU and emco with five customers each, and Govecs which supplies four operators with scooters. In other words: Market leaders are from Europe (Govecs, Torrot, Silence, Askoll) and Asia (Gogoro, Kymco). Additionally, the number of manufacturers supplying the market has been rising (from 14 in 2017). Finally, market domination of individual suppliers has been reduced. 21% 5% 7% 8% 3% Govecs Torrot 26% Gogoro Kymco Silence Askoll 15% All other electric 14% Combustion * All scooter manufacturers with more than 5 % market share are displayed in the chart. Sum can differ from 100% due to rounding.

16 Trend 1: Larger investments Scootersharing is attracting higher investment sums in comparison to 2017. For instance, Cityscoot received 40 million and ecooltra 10 million. Also, the stakeholders investing in scootersharing are becoming more and more diverse. Consequently, investments make a big contribution towards the market expanding rapidly. One additional option to foster market expansion is crowdfunding, which emmy (Germany), felyx (Netherlands) and Blinkee (Poland) have tried out in order to grow faster. Movo (Spain): 500 scooters

17 Trend 2: US market is accelerating The US has been a small market since the appearance of the innovator Scoot in 2012. Multiple market entries have been accomplished in Atlanta, New York City and Pittsburgh. Known cities which will be entering the market include Palo Alto, Miami and Orlando. It seems that the USA will soon become a strong market alongside with Europe. Revel (USA): 68 scooters

18 Trend 3: Integrated systems More and more providers do not simply offer scooters, but also supply other vehicle types as part of their overall concept. For instance, Swiss Mobility is both active in scootersharing and carsharing. Also, Scoot (USA) offers scooters alongside with kick scooters and bikes. As shown in the picture, integrated services might also appear in one city. The Austrian automobile and mobility association ÖAMTC started to offer electric scooters in 2018. This trend is expected to continue in 2019. Scoot (US, Spain): 1,500 scooters

19 1.8 mio. estimated registered users User numbers (either registered or active) are hard to obtain. Some operators publish numbers, others don t. InnoZ estimates that there are 1.8 mio. registered users. This estimate is based on the available numbers from providers and a conservative exploration of others. In comparison to 2017, the number of registered users has more than quadrupled. (2017: 350,000 registered users). Regardless of the precise number, the trend is clearly visible: Scootersharing is rapidly growing in urban centers. ecooltra (Spain, Italy, Portugal): 3,500 scooters

20 246,000 Facebook likes Another method of tracking how popular scootersharing is, is by measuring social media activity by counting the likes of each operators Facebook page. As of October 2018, more than 240,000 people liked the official pages of the scootersharing operators on Facebook with a rising tendency. This is the double amount of Facebook likes than 12 months ago. The most popular Facebook-sites are those from ecooltra (Spain/Italy/Portugal), Blinkee (e.g. Poland) and Econduce (Mexico). Obviously, Facebook likes are not an equivalent for user numbers. However, they can be a good indicator for preference development over time. Method: Only individual operator pages with focus on scootersharing are counted; no aggregated pages which mainly offer other services such as e.g. carsharing. Scooty (Belgium): 310 scooters

21 Young users The scootersharing sector still lacks a widespread scientific descriptions of user characteristics. However, it has become very obvious that the majority of users are young. Many users can be described as young urban professionals. Many operators state that the males are slightly in the majority when it comes to using scootersharing services. Scooters are often used for commuting or leisure time activities. Many scootersharing users also use car- and bikesharing or own a public transport pass. A first scientific paper to further learn about user segment characteristics can be found here: Degele et al. (2018) "Identifying E-Scooter Sharing Customers Segments using Clustering" https://ieeexplore.ieee.org/document/8436288 YEGO (Spain, France): 400 scooters

22 4-5 km per ride as a global average The distance for scooter rides as part of a shared service tend to be short to medium. 4-5 km is an estimation based on press releases and opinions of experts. The value differs from city context to city context. In the last report, we have been calculating a lower value for one central reason: We have been calculating direct routes (beeline). Hence, the 4-5 km estimation of this year is more accurate for planning. gourban (Austria): ca. 50 scooters

23 15-20 mins per ride as a global average Similarly to the distance estimation, the average time per booking depends on the city context. However, the estimated travel time lies between 15 and 20 minutes. This is an estimation based on press releases and opinion of experts. In the last report, we have been calculating a lower value for one central reason: We have been calculating direct routes (beeline). Hence, the 15-20 min estimation of this year is more accurate for planning. ZigZag (Italy): 300 scooters

24 > 6 rentals per scooter/day during top months Based on expert interviews, InnoZ estimates that each scooter has a daily rental rate of 6. This figure refers to the best months during the year. Some operators have the potential to achieve more than 10 rentals per scooter and day in several months. These values have been growing in the past year. The peak month being July (all scootersharing schemes are in the northern hemisphere). Some operators pause rentals in harsh winter conditions and even take scooters off the streets (e.g. Berlin). Blinkee (Poland and other): > 1,000 scooters

25 Peak usage Early evening during the week The usage of scooters follows a certain pattern during the week (see the following page). During the week, peaks can be found in the mornings and evenings, with commuting most likely to be the predominant reason. Scooters are used the most on Thursdays after 6 pm. Weekends tend to show a more widespread distribution pattern which correlates with leisure activities. The fewest scooters being used is typically on a Monday morning around 3 am. Overall, Monday, Saturday and Sunday have the lowest share of rentals. Deutsche Bahn (Germany): 50 scooters (pilot)

26 Usage pattern: Distribution of scooter rentals during an average week* Distribution of movements (per hour) Mon 13 % Tue 15 % Wed 15 % Thu 16 % Fri 16 % Sat 13 % Sun 11 % 100 % Weekdays Weekend * Based on a global big data set from 2016-2017 as described in the Global Scootersharing Market Report 2017.

27 What else? Kick scootersharing Our scooter sharing report was compiled to make research about sharing systems in the sector of electric scooters. But in the past months more and more kick scooters have been distributed globally. We are experiencing another start of a potential shared mobility revolution. At this time, the U.S. market has four big players (Bird, Lime, Jump, Spin). Many more players from other regions are set for rapid expansion, such as Berlin-based TIER Mobility and Wind, as well as Swedish VOI. The idea is similar to scootersharing. Registered users can book a kick scooter via app and use it in a given service area as a free floating system. So, what is the best terminology to differentiate between the two services? Besides what terminology will best describe this new service, the future will show what kind of use cases and user segments will be addressed by kick scooters. Street scene in the U.S. electric kick scooter by Lime

28 Summary (1/2) Market development since 2015 has been very dynamic. A further increase in activities is predicted. Historic record-high of local sharing scheme launches. The overall growth record continued in 2018. There are approx. 25,000 shared scooters globally by now (17,000 more than 2017). Scootersharing is now available in 62 cities in 16 countries. Still a strong focus on Europe. Global distribution is predicted to stay constant at least for 2019. US-American market shows signs of emerging development. Almost all provided scooters are electric, having a global fleet share of 97 %. Free-floating is the standard operational system. Only a few companies own the majority of the fleet.

29 Summary (2/2) We estimate 1.8 mio. customers globally. With a typical 4-5 km and 15-20 min duration, services are generally used for quick inner-urban trips. One of the most important key performance indicators, rentals per scooter per day, has been further increasing to more than 6 rentals/scooter/day during most of the year. Industry trends are the increase in investments to scootersharing companies and the development of integrated systems. The (expected) rollout of shared kick scooters will be a further addition to the shared mobility product family (kick scooters have not been analyzed in this report). Finally, the market is gaining more and more attention but still remains a sparsely researched field. More research is needed.

30 You want to keep track of the emerging scootersharing market? Check out the up-to-date global scootersharing map at http://scooter.innovationslandkarte.de/en Our scootersharing map at your disposal: http://scooter.innovationslandkarte.de/en

Innovation Centre for Mobility and Societal Change (InnoZ) GmbH EUREF-Campus 16 10829 Berlin, Germany +49(0)30 23 88 84-211 enrico.howe@innoz.de Feel free to contact the author Enrico Howe on Linkedin. www.innoz.de Managing directors: Dr. Matthias Borrmann, Martin Masch Gerichtsstand: AG Berlin Charlottenburg Many thanks to all depicted sharing operators for allowing the usage of their photo material as well as to Anna Filby, Kolja Schwenson and Josephine Steiner as well as other InnoZ employees for support and discussions. Many thanks also to Benno Bock for co-authoring last years report. Picture credits: All picture copyrights are hold by InnoZ GmbH, if not stated otherwise in the following list: Title page + page 19: ecooltra, www.ecooltra.com Page 2, 3, 28 and 29: Max Power, http://www.maxpower.photo Page 6: Econduce, https://econduce.mx Page 7: 2018 COUP Mobility GmbH, https://joincoup.com Page 9: emmy-sharing, http://emmy-sharing.de Page 10: Muving, https://muving.com Page 11: felyx, https://felyx.nl Page 13: Cityscoot, http://www.cityscoot.eu Page 16: Movo, https://movo.me Page 17: Revel, https://reveltransit.com Page 18: Scoot Networks, https://scoot.co Page 20: Scooty, https://scootysharing.be Page 21: YEGO, www.rideyego.com Page 22: gourban, https://gourban.at Page 23: ZigZag, https://www.zigzagsharing.com/en/ Page 24: Blinkee, https://blinkee.city Page 25: Deutsche Bahn AG, http://escooter.deutschebahn.com Page 27: Lime, https://www.li.me Layout: InnoZ GmbH (Lorenz Crössmann, Mahoma Niemeyer), 2015