How Growing EV Adoption is Propelling Demand for Mobility-as-a-Service Market?

By 2030, the mobility-as-a-service market is predicted to achieve a $519,697.5 million size, growing massively from $128,489.2 million in 2021. It is projected to grow at a 16.8% CAGR between 2021 and 2030, owing to the rising awareness about urban road congestion, greenhouse gas emissions, economical aspects, and convenience of MaaS. With an increase in the number of government initiatives to enhance their transportation efficiency, there is a rise in the adoption of MaaS.

The rising urbanization rate will push the MaaS market on the path to prosperity. As per the UN, by 2050, 68% of the world’s population will live in cities. This would aggravate traffic congestion on roadways in the coming years. By the efficient utilization of the private and public transportation infrastructure, MaaS would reduce traffic congestion. Even after expending over $500 billion on the widening and emergence of new roadways,  overcrowding in metropolitan places increased by 144% from 1993 to 2017, a study by Transportation for America showed. 

Mobility-as-a-Service Market Report 2022-2030

The ride hailing category accounted for over 50% revenue share in the mobility-as-a-service market in the past. The paradigm shift from offline systems to online systems, coupled with growth in the travel and tourism industry, is propelling the demand for the service. Additionally, the micromobility category is predicted to witness the fastest growth in the future. The pandemic has increased the average micromobility journey distance by 26%, due to a shift in the use cases to a more-specific level, such as excursions to pharmacy. 

In the past, APAC was the highest-revenue-generating region in the mobility-as-a-service market, with more than 40% share. To foster a greener environment, there was a surge in the usage of EVs on various platforms across Chinese cities in 2021. The market in China will witness tremendous growth due to the constant support from the government’s policies and initiatives. China is notorious for its alarming air quality, which has compelled the People’s government to take initiatives to clean it. 

Hence, with a rise in the awareness about road congestion issues, environmental sustainability, and greenhouse gas emissions, the market will get a boost in the future.