Several times during last week’s Automotive Intelligence Summit the topic of car-sharing surfaced, examining how dealerships can capitalize on this developing phenomenon and ways finance companies and fintech developers can streamline services and mitigate risk.
A variety of industry participants have their collective antennae raised about this topic stemming from robust figures mentioned by firms such as Global Market Insights, which recently released a report indicating the valuation of the car-sharing market by 2024 is expected to surge past $12 billion.
Analysts believe part of the reason for the growth is stringent government regulations and norms associated with the emissions of greenhouse gases. Delaware-based Global Market Insights made that assertion in its report that can be downloaded here.
The firm noted major car-sharing market players include:
— Cambio CarSharing
— CarShare Australia
— Ekar Fz
— Hour Car
— Mobility carsharing
— Modo Co-operative
— Peg City Car
— Regina Car Share Co-operative
“The round-trip car-sharing market is projected to undergo wide adoption due to the lower costs for long-distance trips as the fares are based on distance traveled. The model allows a user to pick and return a shared vehicle at the same station that is supported by mobile applications or a personal access card,” Global Market Insights said.
“The U.S. car-sharing market will grow exponentially led by incentives introduced by the government to promote the use of these services. The states in the country have enacted taxation regulations and legislation and incentives for companies providing these services,” the firm continued.
"P2P carsharing market is expected to witness high growth owing to the increasing number of people willing to rent out their idle cars on a short-term basis. Additionally, car owners are becoming progressively inclined toward earning money by renting it out rather than letting the car sit idle,” Global Market Insights went on to say.