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On-demand Transportation Market Surges to USD 287.6 Billion

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Wilmington, Delaware, United States, Transparency Market Research Inc. -, Oct. 18, 2024 (GLOBE NEWSWIRE) — The on-demand transportation market (주문형 운송 시장) was valued at US$ 153.2 billion in 2022. A CAGR of 7.2% is expected between 2023 and 2031, increasing the market to US$ 287.6 billion.

Connectivity and digitalization have significantly impacted on-demand transportation. In addition to making it easier to book rides, the Internet and mobile apps have also enabled service operators to offer flexible options for transportation.

In the future of transportation and mobility, on-demand services are expected to become increasingly popular. The investment in on-demand transit has tripled over the past few years, making it the fastest-growing on-demand industry. These services bridge single occupancy vehicles and fixed-route mass transit via shared, autonomous, technology-enabled transportation.

As autonomous technology develops, on-demand transportation will be further revolutionized. On-demand transportation systems will become safer, more efficient, and more accessible with the use of self-driving vehicles in the future.

On-demand transportation services have also grown in popularity due to the increased cost of owning and operating a vehicle. In urban areas with high parking costs and vehicle maintenance expenses, on-demand services can be a more cost-efficient alternative to owning a vehicle

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Key Findings of the Market Report

  • The ride-sharing segment is expected to grow the market for on-demand transportation services.
  • On-demand transportation is poised to gain much traction in the coming years as passenger cars become more popular.
  • The manual segment is predicted to hold the largest share of the market for on-demand transportation in the near future.
  • The tourism industry largely drives the on-demand transportation market.
  • Asia Pacific holds the largest market share and is expected to lead in the coming years.

Global On-demand Transportation Market: Growth Drivers

  • Increasing smartphone usage and the accessibility of app-based transportation services like Uber, Lyft, and Grab are facilitating the growth of the on-demand transportation market.
  • As traffic congestion and rapid urbanization increase in the world’s largest cities, commuters are looking for alternatives to traditional transportation methods. Transportation solutions on demand are becoming more important as public and private cars become less prevalent.
  • With the changing preferences of consumers in terms of shared mobility, flexibility, and convenience, transportation on-demand services are becoming increasingly popular, especially among millennials and urban dwellers.
  • Enacting ridesharing rules and regulatory frameworks that facilitate the operation of ride-hailing businesses while guaranteeing passenger safety and high-quality service can help governments and municipalities expand the on-demand transportation sector.
  • A growing awareness of environmental issues and concerns about air pollution and greenhouse gas emissions have led to the demand for environmentally friendly transportation options. A green, electric, and hybrid fleet has emerged to provide on-demand transportation services.

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Global On-demand Transportation Market: Regional Landscape

  • Asia Pacific is expected to drive demand for the on-demand transportation market. As urbanization and traffic increase, on-demand transport services will become increasingly important. Increasing tech-savvy citizens and the growing use of smartphones have contributed to the rise of app-based ride-hailing in countries such as South Korea and China.
  • Regulatory assistance and advantageous regulations promote expanding on-demand transportation services in economies such as Japan. The growing demand for shared mobility solutions is driving the popularity of ride-sharing and bike-sharing services. In addition to e-scooters and bike rentals, micro-mobility options provide more on-demand transport alternatives.
  • Integrating on-demand transportation with public transportation networks can be improved by working with local transportation authorities and providers. Digital wallets and novel payment mechanisms are becoming increasingly common in regions like China and India, allowing smooth transactions and improving customer satisfaction.

Global On-demand Transportation Market: Competitive Landscape

Sustainable and inclusive practices are increasingly incorporated by players operating in the on-demand transportation market. Cooperative transportation and shared mobility are being invested in by key players in the on-demand transportation market to improve consumer convenience and demand.

Key Players

  • Uber Technologies Inc.
  • ANI Technologies Pvt. Ltd. (OLA)
  • Lyft Inc.
  • Grab
  • Careem
  • Taxify OÜ
  • Gett
  • Beijing Xiaoju Technology Co Ltd. (Didi Chuxing)
  • BlaBlaCar
  • Wingz Inc.
  • Curb Mobility
  • Easy Taxi Serviços LTDA
  • Cabify
  • Turo
  • Yandex
  • Car2go NA, LLC
  • DriveNow GmbH & Co. KG
  • Cabio CarSharing
  • Maven
  • Mobility Cooperative
  • SOCAR Mobility Malaysia
  • Europcar
  • Sixt SE
  • The Hertz Corporation
  • Avis Budget Group, Inc.
  • Enterprise Holdings Inc.

Key Developments

  • In June 2023, Uber, an app that offers ridesharing services, introduced its first electric vehicle product, Uber Green, at the Chhatrapati Shivaji Maharaj International Airport (CSMIA). As part of its electrification journey, the company offers zero-emission electric rides on-demand in Mumbai, a convenient and emission-free option.

Global On-demand Transportation Market: Segmentation

By Type

  • Ride-sharing
  • Vehicle Rental/Leasing
  • Ride Sourcing

By Business Model

By Vehicle Type

  • Passenger Cars
  • Light Commercial Vehicles
  • Heavy Commercial Vehicles
  • Buses & Coaches
  • Micro-mobility

By Autonomy Level

  • Manual
  • Semi-autonomous
  • Autonomous

By Power Source

By Application

  • Passenger Transportation
  • Goods Transportation

By Region

  • North America
  • Europe
  • Asia Pacific
  • Middle East & Africa
  • South America

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More Trending Reports by Transparency Market Research –

Smart Transportation Market (スマート交通市場) – The global smart transportation market is projected to flourish at a CAGR of 21.30% from 2021 to 2031. As per the report published by TMR, a valuation of US$ 400.77 billion is anticipated for the market in 2031. As of 2023, the demand for smart transportation is expected to close at US$ 85.5 billion.

Electric Bus Market (سوق الحافلات الكهربائية) – The global electric bus market was estimated at 74.157 thousand units in 2020. It is anticipated to register a 17.89% CAGR from 2021 to 2031 and by 2031; the market is likely to head to 448.920 thousand units.

About Transparency Market Research

Transparency Market Research, a global market research company registered at Wilmington, Delaware, United States, provides custom research and consulting services. Our exclusive blend of quantitative forecasting and trends analysis provides forward-looking insights for thousands of decision makers. Our experienced team of Analysts, Researchers, and Consultants use proprietary data sources and various tools & techniques to gather and analyses information.

Our data repository is continuously updated and revised by a team of research experts, so that it always reflects the latest trends and information. With a broad research and analysis capability, Transparency Market Research employs rigorous primary and secondary research techniques in developing distinctive data sets and research material for business reports.

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Uber and Baidu partner to launch autonomous ride-hailing in global markets

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Uber Technologies Inc. and Baidu Inc. have announced a multi-year strategic partnership to deploy autonomous vehicles (AVs) across selected global markets outside the United States and mainland China.

The agreement will see Baidu’s Apollo Go driverless vehicles integrated into the Uber platform, with initial operations expected to begin in Asia and the Middle East later this year.

The partnership aims to enhance ride-hailing services by expanding the availability of autonomous mobility solutions through Uber’s platform.

The collaboration is designed to increase the supply of affordable and reliable rides by supplementing existing transport networks with advanced driverless technology.

Under the terms of the agreement, users requesting eligible Uber trips may be offered the option to travel in a fully autonomous Apollo Go vehicle.

READ MORE: UK DfT fast-tracks self-driving pilots

This marks a significant step in the commercial deployment of AVs beyond pilot programmes and limited urban trials.

Apollo Go currently operates more than 1,000 fully autonomous vehicles and has established a presence in 15 cities worldwide, including Dubai and Abu Dhabi.

As of May 2025, Baidu reports that Apollo Go has provided over 11 million autonomous rides to the public, making it the most widely used driverless ride-hailing service globally by volume.

Co-founder, chairman, and CEO of Baidu, Robin Li, said: “We are committed to bringing the benefit of autonomous driving technology to more people in more markets, and this partnership with Uber represents a major milestone in deploying our technology on a global scale.

“We look forward to working with Uber to deliver safe and efficient autonomous mobility solutions to riders around the world.”

Achievements and innovations in connected autonomous vehicles will be recognised and celebrated at the fourth annual CiTTi Awards on 25 November 2025 at De Vere Grand Connaught Rooms in London. Visit www.cittiawards.co.uk to learn more about this unmissable event for the UK’s transportation sector!



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Kakao Mobility pursues Waymo, Baidu partnerships for driverless taxis

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A Kakao Mobility self-driving car is being tested in the Pangyo area of Seongnam, Gyeonggi. [KAKAO MOBILITY]

 
Kakao Mobility, Korea’s top ride-hailing platform operator, is reportedly in talks with global autonomous vehicle leaders to launch a self-driving taxi service in Korea.
 
Kakao Mobility is pursuing partnerships with the U.S.-based Waymo and China’s Baidu to bring autonomous taxis, also known as robotaxis, to the domestic market through its Kakao T platform, which currently holds over 90 percent of Korea’s taxi-hailing market, according to industry sources and the Ministry of Land, Infrastructure and Transport on Friday.
 
 
If these collaborations are finalized and relevant regulatory frameworks are established, Korean users may be able to summon Waymo or Baidu robotaxis via Kakao Mobility’s platform.
 
The two companies are recognized as leaders in autonomous driving technology. In a March report by global market research firm Guidehouse, Waymo ranked first and Baidu second in autonomous vehicle technology.
 
“Both companies already operate fully autonomous taxi services — without safety drivers — in urban centers in the United States and China,” an industry official said. “They are widely considered front-runners in autonomous driving with a significant technological lead over competitors.”
 
Should these robotaxis be introduced to Korea, they would undergo adjustments to meet the country’s road conditions and traffic systems before being deployed for public service.  
 

A Waymo robotaxi seen on a road in San Francisco, California on Oct. 11, 2024 [YONHAP]

 
Kakao Mobility hopes the vehicles will help accelerate the accumulation of real-world driving data and spur domestic development in the autonomous vehicle sector.
 
“Rapid progress in autonomous technology requires continuous learning through on-road data,” one automotive expert explained. “Waymo and Baidu have proven the safety of their vehicles in real traffic environments and continue to collect valuable driving data.”
 
However, even if agreements are reached, significant legal and logistical hurdles remain. Under current Korean law, fully driverless vehicles are not permitted on public roads. Operational areas for autonomous vehicles are also limited.
 
Expanding to the level of widespread robotaxi deployment seen in parts of the United States and China will take time and require cooperation with Korea’s taxi industry.
 
“We are in discussions with several leading domestic and international companies regarding service collaborations,” said Kakao Mobility. “However, as talks are ongoing, no specific details or finalized agreements can be disclosed at this time.”
 

Baidu’s robotaxi RT6, currently in operation in Wuhan, China and other areas, is seen in this photo provided by the company. [BAIDU]

 

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY YUN JUNG-MIN [[email protected]]





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Bolt launches Family Profile in Nigeria to simplify shared rides – Innovation Village

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Ride-hailing company Bolt has unveiled a new Family Profile feature in Nigeria, aimed at transforming how families and small support networks coordinate transportation. This new addition enables a single user to manage and pay for rides on behalf of up to nine other people—all within one Bolt account. The move marks a significant shift toward inclusive mobility solutions in a market characterized by communal living and informal ride coordination.

While Bolt is not the first to launch such a feature—Uber pioneered the concept in the ride-hailing space—the platform is strategically adapting the idea to meet Nigeria’s unique mobility dynamics, where multi-generational households are common and transportation responsibilities are often shared among family members.

With the new Family Profile, users can add multiple individuals to a shared account, set monthly ride budgets, and receive real-time notifications about trips. This eliminates the need for constant coordination over phone calls or text messages, which, according to Bolt’s internal data, previously characterized around 2–6% of all rides in Nigeria. These trips often required the payer to relay driver details, track trip progress manually, and resolve post-ride payment concerns—an inefficient and often frustrating process.

Now, riders under the Family Profile can independently request trips through their own Bolt app, while the primary account holder retains complete financial oversight and visibility into ride histories and expenditures. The launch of this feature is part of Bolt’s broader strategy to localize its services and address real-world challenges faced by Nigerian users. For families with elderly members or relatives who may not be tech-savvy, the Family Profile offers a convenient way to ensure safe and reliable transportation without requiring them to navigate the app independently.

“At Bolt, we want to make ride-hailing work for the way people actually move,” said Osi Oguah, Country Manager for Bolt Nigeria. “Family Profile is a simple but powerful way to support others—whether it’s aging parents, adult children, or household staff—without the stress of managing every trip manually. It’s about offering control, visibility, and convenience in one seamless experience.”

The Family Profile maintains Bolt’s strict safety protocols. All added members must be at least 18 years old and possess verified Bolt accounts. The company has clarified that rides cannot be booked for unaccompanied minors, citing legal and safety reasons. However, the feature remains ideal for scheduling transportation for older adults or coordinating rides for family members with limited digital literacy.

This update builds on Bolt’s existing in-app safety features such as trip verification codes, live location sharing, real-time ride monitoring, and emergency assistance options—tools designed to reassure users in an increasingly safety-conscious market.

Bolt’s launch of the Family Profile also comes shortly after reporting a 42% drop in offline (untracked) rides over the past three months, a sign that users are increasingly turning to digital tools for secure and transparent transportation. By integrating family-focused features, Bolt reinforces its ambition to lead the ride-hailing industry in both safety and user empowerment.

The rollout of Family Profile is not just a feature upgrade; it’s a strategic evolution of Bolt’s services, grounded in the everyday realities of Nigerian households. As mobility continues to digitize across the country, innovations like this are likely to play a crucial role in shaping how families move together—safely, efficiently, and with greater peace of mind.



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