On-Demand Transportation service is a public transportation service characterized by flexibility with respect to route, destination and time based on the requirement of the consumer. The market for this service is expected to grow at a significant rate driven by the growth of internet penetration. On-demand transport service proves to be cheaper as compared to personal vehicles and offer greater convenience than public transport which is expected to further fuel the market growth in the coming years. However, safety concerns are projected to be a restraint to market growth. By type, vehicle rental is estimated to have a considerable market share. The ride-sourcing segment is expected to have a significant growth rate due to the rise in internet penetration. By vehicle type, passenger cars segment is estimated to have a significant market share. By geography, the Asia Pacific market is expected to have a significant market share as there is a high percentage of the middle-class population who do not own a vehicle.
Rising internet penetration
Greater convenience as compared to public transport
In February 2019, BMW and Daimler teamed up for a billion-euro mobility effort that spans autonomous cars, ride-hailing, electric scooters, car-sharing, and electric car charging
In April 2018, Ford launched an on-demand medical transportation service called GoRide.
The on-demand transportation services market has been analyzed through the following segments:
By vehicle type
Light commercial vehicles
Heavy commercial; vehicles
Buses & Coaches
By business model
Middle East and Africa