Vehicle Sharing System

Description

Vehicle sharing systems allow customers to use various vehicles without the need to own each vehicle. There are different types of vehicle sharing systems on the market. Differences can include the type of vehicle shared, like car sharing, bike sharing, scooter sharing or electric vehicle sharing. In addition to the type of vehicle, one main difference between vehicle sharing systems is the vehicle holder. Most commonly, the operator owns the vehicles that are then shared with the users. Another opportunity is peer-to-peer vehicle sharing, in which the citizens share their own vehicles. For each vehicle sharing system, it is necessary to ensure the accessibility of the vehicles and to manage the location and operation of the vehicles. 

The growth of vehicle sharing systems is driven by urbanisation, increasing smartphone penetration, growth in Internet of Things (IoT), climate change, regulations, growing awareness about the environment and personal health etc (SUNRISE, 2020).

Problems to be solved

City Context

Vehicle sharing systems are part of “mobility as a service” (MaaS). It describes the approach to providing access to various mobility services, such as public transport, car sharing, cabs etc. in one integrated, digital mobility offering, which can cover all individual transport demands. The user enters a start location and destination into the app, which then shows different options on how to travel. MaaS approaches are implemented in a growing number of cities to fully exploit the full potential of shared mobility.

(SUNRISE, 2020)

Supporting Factors

1. Already existing mobility stations – starting point for an area-wide implementation.
2. Dense cities enable a higher number of users and a more efficient and convenient distribution of vehicles and stations.
3. A public charging infrastructure for electric vehicles can support the business model as electric vehicles might be part of the shared vehicle fleet.
4. Available parking areas.
5. Proper bike lanes and other connected infrastructure.

Stakeholder Mapping

Stakholder mapping for vehicle sharing systems (BABLE, 2021)

Market Potential

Global Car-sharing revenue forecast in million USD (statista, 2020)

The different segments of vehicle sharing show high growth rates. The average growth rate of car-sharing is 7.6% per year and of bike-sharing 14.5%. The penetration rates are very low. Therefore, there is a high potential for expansion.

Innovation diffusion curve for Car-sharing for 2019 (statista, 2020)

The overall number of car sharing users is continuously increasing and is predicted to be 36 million in 2025.

Developement of global car sharing users (statista, 2020)

Moped sharing is implemented in 122 cities in 22 countries and had 9 million users in 2020 (compared to 4 million in 2019). The number of mopeds increased by about 38.000 mopeds to 104.000 mopeds overall in 2020.

(unumotors, 2021)

Cost Structure

The primary costs of a vehicle sharing system are the initial costs for vehicles and chargers, if necessary. The operational costs are mostly the costs of fuelling, maintaining and cleaning the vehicles as well as expenses related to customer service and insurance.

The implementation costs for bike-sharing systems are ca. 2.500€-3.000€ per bike. They consist of: station building (70%), bicycles (17%), operation equipment (6%), communication (5%), and management (2%). The maintenance costs for bike-sharing systems are ca. 1.500-2.500€ per year. They consist of: redistribution of bicycles (30%), maintenance of bicycles (22%), maintenance of stations (20%), back-end system (14%), management (13%) and replacement of bicycles and stations (1%). (OBIS, 2011)

 The costs for car-sharing depend on the number of cars, the needed charging stations, the implementation, the maintenance, etc. Charging stations cost around 700 to 5.000€. The costs of electric cars start at around 24.000€. (DGRV, 2021)

E-scooters (kickboards) can be charged on normal sockets. If stations are used for E-scooters in public spaces, it is often to organize the public space and not for charging. The price for E-Scooters for private use is between 400 and 2000€. (verivox, 2021)

The implementation of vehicle sharing systems is often bundled at mobility stations that are managed by the city or public transport provider. An example is a mobility station in Rendsburg, Germany with bicycle parking, a bench, a repair station for bicycles, lighting, an opportunity for bike sharing, one parking spot for car-sharing and signs. With construction, the costs add up to 84.500€. (KielRegion, 2020)

Pricing

A comparison of vehicle sharing providers in Berlin shows that E-Scooters are sometimes even more expensive than car-sharing. The reason for the high costs are high expenses for logistics. The best vehicle sharing solution depends on the distance, price model (minute-based fee, subscription fee, extra costs for fuel etc.) and local road and bicycle connections. Some vehicle sharing companies also offer hourly-based or daily-based rates.

Prices for different vehicles for short distance in Berlin. Way from Hackescher Markt to Checkpoint Charlie (2.3 km by bicycle and 2.8 km on street) (Business Insider & Mydealz, 2019)

Legal Requirements

• Parking fees and equality of all cars limit the freedom to operate.
• Age limits used by different car sharing providers: Usually between 18 and 21 years of age or depending on the time holding a driving license.
• Different European regulations regarding E-scooters (e.g., speed limit).