Mobility Services to Hit $842B in Revenue in 2021, $141B Less than in 2017
The ongoing COVID-19 pandemic and the social distancing rules forced millions of people worldwide to change their daily routine, including how they travel or use mobility services.
According to data gathered by Finaria.it, global mobility services revenues halved amid the COVID-19 pandemic falling to $520bn in 2020. The entire market is expected to witness a recovery, with revenues rising by almost 62% YoY to almost $842bn in 2021, still $141bn less than in 2017.
Flight and Taxi Revenues Still $200B Below Pre-COVID-19 Levels
The mobility services market includes flights, ride-hailing, taxi services, long-distance bus travel and train tickets, car rental hires, and car-sharing services, booked online and offline. In 2017, the revenue of the global mobility services segment amounted to $983.1bn, revealed Statista data. Over the next two years, this figure rose to $1.07trn. Flights, taxi, and ride-hailing services, as the two leading segments, generated nearly 80% of that value.
However, the COVID-19 crisis came as a new shock to the market already faced with growing environmental concerns, new regulatory trends, and changing customer preferences. Statistics show the combined revenues of flights, taxi, and ride-hailing services plunged by more than $450bn amid the COVID-19 crisis, reaching $386.7bn in 2020. Although this figure is expected to recover to $641.4bn in 2021, that is still $200bn below pre-COVID-19 levels.
The combined revenues of the train and bus segment are forecast to jump by almost 50% year-over-year to $117.6bn in 2021, $13bn less than in 2019.
Car rental revenues are projected to grow by 60% and hit a $64.8bn value this year, $30bn below pre-COVID-19 levels. The income of the market’s smallest segment, the car-sharing services, is expected to hit $10.4bn in 2021.
Statista data also revealed the global mobility services market is expected to recover in the next two years, with the revenue rising to $1.21trn in 2023. By 2025, the unified market is set to reach almost $1.4trn value.
US Market the Hardest Hit Amid Pandemic, Revenues Still $45B Under 2017 Levels
Besides huge revenue losses, the global mobility services market also witnessed a substantial drop in the number of users. In 2019, almost 2.5 billion people worldwide traveled with flights, buses, and trains or used ride-hailing, car rental and taxi services. After the COVID-19 hit, this figure plunged by 400 million to $2.1 billion last year. Statistics show the number of users is expected to recover to 2.4bn in 2021 and touch almost 3 billion by 2025.
As the world’s largest mobility services market, China is expected to witness significant recovery this year, with revenues rising to $214.5bn, still $15.8bn less than in 2017.
The US market, as the second-largest globally, has suffered the most significant losses amid the pandemic. Statista data show revenues plunged by almost 60% to $86.2bn in 2020. Although all market segments witnessed huge revenue drops, the flight market took the hardest hit.
Travel restrictions and massive cancellations of flights in the United States caused revenues to slump by 63% to $40.2bn in 2020. The revenues in the ride-hailing and taxi segment halved last year. Although the entire US market is expected to grow by 75.4% YoY and hit a $151.3bn value in 2021, this figure represents a $45bn plunge compared to 2017 figures.
The revenues of the Indian market, as the third-largest globally, are forecast to grow by 67.6% to $95.6bn this year. The United Kingdom and Germany follow with $33.8bn and $28.5bn, respectively.
The full story can be read here: https://www.finaria.it/trading/mobility-services-to-hit-842b-in-revenue-this-year-141b-less-than-in-2017/