The Vietnam Bike-Sharing Market size is estimated at USD 88.97 million in 2024, and is expected to reach USD 143.61 million by 2029, growing at a CAGR of 10.05% during the forecast period (2024-2029).
Over the long term, the increasing traffic congestion and consumers' growing preference for sustainable transportation are expected to act as significant determinants for the growth of the bike-sharing market in Vietnam. Due to the lack of an efficient traffic management system and the growing urban population, consumers face immense difficulties in traveling between places for a shorter duration. Therefore, to reduce traffic congestion and complement the government's efforts to promote the decarbonization of the transport sector, there exists a massive demand for bike-sharing services across the country.
The government's aggressive push to promote the reduction of carbon emissions from the transport sector fosters the demand for sustainable transportation, consequently leading to increasing demand for e-bicycles in the sharing ecosystem, among other electric transportation mediums. This is further facilitated by the increasing traffic congestion in the country, owing to the higher two-wheeler usage. Therefore, to reduce carbon emissions, the government is actively encouraging citizens to use sustainable transportation mediums, which not only assists in reducing carbon emissions but also helps curb traffic congestion, thereby positively impacting the growth of the e-bike market segment.
Companies such as G-Bike, TriNam, and TUMI are actively strategizing to expand their e-bike fleets in their sharing service model to complement the government's effort to reduce carbon emissions. These companies also cater to the growing need of consumers for sustainable transportation. E-bikes also enhance consumers' convenience when traveling as they offer a higher range and lower pedaling efforts compared to traditional bicycles. With the integration of e-bikes in sharing fleets in the coming years, the demand for this segment is projected to increase.
Assessing the lucrative opportunity, various domestic and international players, especially those of Chinese origin, are expected to integrate the e-bike sharing market in Vietnam to increase their profitability prospects, which, in turn, will contribute to the surging demand for this market segment. Moreover, with the development of dedicated bicycling paths for e-bikes, a massive demand for utilizing the new energy transportation medium will exist, thereby contributing to the market's growth during the forecast period.
The growing number of tourists arriving in Vietnam and the increasing preference of these consumers for lower-cost traveling services within the country are leading to excessive demand for bike-sharing services. Traditionally, tourists preferred car rental services or services provided by their tourism agency. However, with more tourists preferring to travel at their desired time, the demand for bicycle-sharing services has witnessed rapid growth in recent years. Cycling and walking within the city are the preferred choice for international travelers as it helps them to visit places based on their preferences and time.
Various companies operating in the ecosystem are actively strategizing to develop bike-sharing rental stations near tourist hubs and spots to cater to the increasing need. Companies like TriNam, Mobike, and Hue Smart Bike are spending hefty sums to expand their rental station network across these tourist sports. With the growing tourist arrivals from different countries, the demand for bike-sharing services is expected to record surging demand during the forecast period.
Apart from the demand by tourists, consumers prefer availing this service for daily commutes and leisure purposes, owing to the inclination toward a healthy lifestyle. Furthermore, the growing young population in the country also enjoys these services as they help them explore places at a lower cost compared to other transportation mediums. With the incorporation of subscription plan models and aggressive marketing strategies, the bike-sharing service model is projected to witness significant growth during the forecast period.
The Vietnam bike-sharing market is highly consolidated and competitive due to the presence of a few players capturing the majority share of the market. Some prominent players in the market include Trinam Group JSC, Meituan (Mobike), Lemonc Vietnam Company Limited (MBI Sharing), TUMI, and Hue Smart Bike. These players actively strategize to expand their fleet size and enhance their digital platforms to cater to increasing consumer needs. Active partnerships with local governments and municipalities also assist these players in setting up dedicated docks in a locality, enhancing their brand presence.
The market is anticipated to witness the integration of electric bikes deployed as sharing services, complementing the government's efforts to raise awareness of sustainable transportation mediums and lessen traffic congestion on roads.
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