The ride-hailing industry will experience further growth over the next five years, but this growth will level off, according to analysis from Statista, a German research portal.
In 2019, the global revenues of ride-hailing companies increased by 19.6% to reach $183.7 billion but are now expected to only grow by 11.6% in 2023.
According to Statista forecasts, in 2020, the mark of one billion users will be passed, and the penetration rate will amount to 15.4%. In line with the above-mentioned slowing growth, the growth rates of user numbers are also expected to decline: In 2019, the growth rate amounts to 16.1%, whereas in 2023, it will only be 8.3%.
The average revenue per user (ARPU) is estimated to amount to $184.28 in 2019, and it is expected to grow as well, amounting to $208.14 in 2023.
When comparing revenues across the globe, China is currently in the lead with $53.5 billion, followed by the U.S. ($49.6 billion) and India ($30.4 billion). In terms of market volume, the U.K. is the most profitable market in Europe ($6 billion), whereas Germany currently generates $1.4 billion.
When it comes to user penetration, Singapore is ahead with 34.2%, followed by Qatar (33.4%) and China (32.2%). The U.S. has a penetration of only 20.1% in 2019. In European terms, the U.K. is once again in the leading position (19.7%); Germany's user penetration currently amounts to 6.4%.
In recent weeks, ride-hailing group Moia has received permission to expand its fleet in Hamburg to 500 vehicles. In London, another big player, the Indian ridesharing company Ola, is entering the market, and Mytaxi finalized its rebranding, changing its name to Free Now.