Industry & Market

Market Overview

The mobility-as-a-service market size was valued at $128,489.2 million in 2021, and it is projected to foster at a CAGR of 16.8% during 2021-2030. The growing concerns over greenhouse gas emissions, urban road congestion issues, cost-effectiveness and convenience of MaaS, and rising government initiatives are facilitating the adoption of MaaS, which is likely to behold the market progress.

Furthermore, the increasing pace of urbanization in developing countries for instance, 68% of the global population would live in cities by 2050, is predicted to worsen traffic congestion on roadways in the near future. MaaS would help to alleviate traffic congestion by effectively utilizing existing public and private transportation infrastructure. Despite spending more than $500 billion on a strategy to widen and develop new roadways around the country, according to research issued in 2020 by Transportaion for America, congestion in metropolitan areas rose by 144% between 1993 and 2017.

The COVID-19 pandemic adversely affected the mobility-as-a-service market With the implementation of lockdowns and social distancing regulations, worldwide, the need for mobility services reduced significantly, except for emergency purposes. With nearly zero public movements, the market growth was severely hit.

Electric Propulsion Type Will Grow at a Healthy Growth Rate

The electric propulsion category is expected to grow at the highest CAGR, of over 40%, in the coming years, owing to the surging need for electrification of transport systems. Moreover, the mobility-as-a-service market has been rapidly incorporating electric vehicles, since the demand for EVs has increased globlally.

Demand for MaaS for Personal Use To Witness Fastest Growth

MaaS utilized for personal use accounted for a larger share in 2021, and the market in this category will grow at a higher CAGR in the foreseeable future. The majority of the customers are shared mobility services for personal work, which may include going to the workplace, running errands such as grocery shopping, and undertaking short trips such as escorting someone to the airport.

Growing Concerns over Greenhouse Gas Emissions To Propel the Market Growth

The growing environmental concerns, especially as a result of a faster rate of environmental degradation and ozone layer depletion, are propelling the industry globally. Environmental authorities’ concerns about air quality degradation caused by rising car exhaust gases are paving the way for a variety of governmental initiatives worldwide, including strict emission control policies. These programs are supplemented by major players, who aimed at lowering private vehicle ownership. Therefore, it has become one of the powerful strategies against pollution’s negative effects on the environment. Thus, this factor propels the demand for MaaS.

Moreover, governments of several nations throughout the world are working to raise awareness about sustainable transportation systems and to adopt low- and zero-emission vehicles. To provide and emission-free ecology, vehicles offered for mobility services under these systems are generally powered by electric motors that meet environmental criteria.

Urban Road Congestion Issues Drive the Market

The mobility-as-a-service market is also driven by urban road congestion issues. The growing population of major cities throughout the world has resulted in a rise in daily commuters, causing substantial traffic congestion, particularly during peak hours. In order to right this problem, some governments are attempting to develop alternate mobility options. People prefer personal vehicles over public transit in the absence of an efficient public transportation system, exacerbating the problem. This scenario is a primary driving force for the MaaS business all over the world. Several countries are encouraging everyday commuters to user shared mobility services in order to reduce the number of vehicles on the road. Thus, with the growing population in metropolitan areas, more efficient modes of transportation, such as MaaS, are becoming popular, especiallty for short distances.

(Sources : https://www.psmarketresearch.com/)