Peer-to-Peer Carsharing Market Research Report: By Car Type (Economy, Executive, Luxury) - Global Industry Analysis and Growth Forecast to 2030

Market Overview

The peer-to-peer carsharing market was valued at $1,015.7 million globally in 2020, and it is expected to grow at a CAGR of 21.7% during 2020–2030. The major factors driving the growth of the market are the low cost and convenience of such mobility services, growing concerns over greenhouse gas emissions, vehicle electrification, growing adoption of carsharing services in developing countries, and worsening urban road congestion.

In 2020, the COVID-19 pandemic changed the mobility patterns of people all over the world. Mobility for recreational and shopping purposes decreased, as did visits to workplaces due to organizations asking their employees to work from home. Even when it comes to mobility choices, the COVID-19 pandemic seems to have caused a shift in priorities. Before the crisis, the travel time, price of the services, and convenience of the trip, as well as the different socioeconomic variables unique to the individual had been identified as the major criteria affecting decisions about the mode of transport.

Although some countries are now offering guidance on how to minimize the risk of the COVID-19 infection in vehicles provided by commercial operators, the lackluster response in meeting the obligations when it comes to cleanliness and protective equipment seems to have raised doubts about the safety of carsharing services. Consequently, carsharing service offers were reduced, or in some cases, the services were even suspended during the lockdowns. Despite carsharing providers' efforts to communicate the safety measures taken to travelers, the pandemic has made consumers shun the services used before the pandemic and seek products and services associated with higher levels of safety.

Executive Cars Dominated Peer-to-Peer Carsharing Market in 2020

In the peer-to-peer carsharing market, based on car type, executive cars held the largest share in 2020. The category is further projected to grow at a healthy rate during the forecast period (2021–2030). This can be majorly attributed to these cars’ lower rental cost relative to the comfort and quality offered to consumers, which encourages their adoption for peer-to-peer (P2P) carsharing services.

Asia-Pacific (APAC) Is Expected to Witness Fastest Growth during Forecast Period

The APAC region is expected to witness the fastest growth during the forecast period. China and India have increased their focus on new mobility services and electric vehicles. Moreover, in China, there has been an increase in the usage of electric vehicles across carsharing platforms, to promote a greener environment. With continuous support from the government in the form of policies and incentives, the peer-to-peer carsharing market in China is expected to demonstrate robust growth in the near future.

Introduction of Mobility as a Service (MaaS) Is Key Market Trend

As the cost of vehicle ownership has risen in recent years, many individuals have begun to shift toward more-accessible, inexpensive, and hassle-free means of transportation, such as car-pooling, P2P carsharing, and vehicle rental, all of which are part of the MaaS ecosystem. The services allow users to organize their journeys and offer mobility options based on their travel requirements. MaaS is based on a digital platform that combines online booking, payment, end-to-end trip planning, and various extra services.

MaaS has considerably enhanced the entire transportation network by boosting the efficiency of transport service providers. The method has proven advantageous for carsharing services as well; hence, the adoption of MaaS has been identified as one of the market's key trends.

Growing Concerns Over Greenhouse Gas Emissions Are Driving Market Growth

The concerns raised by environmental organizations about the deterioration of air quality caused by the rising quantity of exhaust fumes emitted by cars are paving the way for a variety of government measures. Countries are taking steps to reduce emissions by lowering the usage of private automobiles. Carsharing services are an effective way to reduce pollution, as their increasing usage would help reduce the number of private automobiles on the roads, thus lowering the quantity of carbon dioxide (CO2) emitted into the atmosphere.

Furthermore, countries all around the world are stepping up their efforts to create awareness on sustainable transportation systems. Several countries have begun to install low- and zero-emission transportation systems in this pursuit. To maintain an emission-free ecosystem, the vehicles supplied for carsharing services under these systems are mainly powered by electric motors that meet the sustainability criteria.

Vehicle Electrification in Developing Countries also Propelling Market

Over the past few decades, the urban population in many developing countries, including India and China, has risen significantly. The greater concentration of people in large cities has resulted in the increasing adoption of fuel-based vehicles, further leading to high air pollution levels and long commuting times. The scenario, however, is quite favorable for the launch of carsharing services in these countries. Moreover, developing nations are actively investing in clean transportation systems, thus encouraging carsharing companies to expand their services. Besides, governments in several APAC countries are enforcing stringent regulations and working on the development of more-efficient transportation networks, with the addition of electric cars, thus offering ample growth opportunities to P2P carsharing service providers.

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Market Players Involved in Investments and Funding Activities to Gain Significant Position

In recent years, players in the peer-to-peer carsharing market have been involved in investment and funding activities to increase their operations. For instance:

• In February 2020, Turo Inc. secured an additional $30 million, following its $250-million Series E capital raise in July 2019. Turo Inc. has raised a total of around $500 million in funding over 12 rounds. In addition, Turo Inc. acquired Croove from Daimler AG in 2017 and raised $92 million in its Series D funding, with Daimler AG as one of the key investors.
• In October 2020, Getaround Inc. raised $140 million in its Series E funding round, which was led by PeopleFund Inc. Getaround Inc. has raised a total of around $600 million in funding over 17 rounds.

Key Players in Global Peer-to-Peer Carsharing Market Include:

Market Size Breakdown by Segments

The peer-to-peer carsharing market report offers comprehensive market segmentation analysis along with market estimation for the period 2015-2030.

Based on Car Type

• Economy
• Executive
• Luxury

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • The Netherlands
• Asia-Pacific (APAC)
  • Australia
• Latin America (LATAM)
• Middle East, and Africa (MEA)