According to a new report published by Pristine Intelligence, titled, “South America Bike Sharing Market by Type, Sharing Type and Model: Country Opportunity Analysis and Industry Forecast, 2024–2032,” the South America Bike Sharing market size was valued at $ 242.19 Million in 2023, and is projected to reach $ 330.08 Million by 2032, registering a CAGR of 3.5% from 2024 to 2032. Bike sharing is a system in which individuals share bicycles for brief periods. These systems typically work through rental stations where customers can hire bikes for a limited time, frequently paying by the hour or through a subscription service. Bike sharing has grown in popularity due to its convenience, affordability, and environmentally friendly nature, which promotes sustainable urban mobility. Bicycle sharing has a wide range of applications throughout South America, including commuting, tourism, and leisure.

South America's bike-sharing market has grown significantly in recent years, owing to the region's emphasis on sustainable mobility solutions and the necessity for efficient urban transit. Brazil, Colombia, and Argentina have implemented bike-sharing schemes in major cities such as São Paulo, Bogotá, and Buenos Aires.  

The rapid increase in traffic congestion in South American cities is a major factor driving the growth of the region's bike-sharing sector. As metropolitan populations grow and car ownership increases, traffic congestion has far-reaching socioeconomic implications. In cities such as São Paulo and Bogotá, everyday car trips can take up to two hours, causing aggravation and inefficiency. Persistent congestion is more than just an inconvenience; it is a significant economic cost. In Colombia alone, the annual cost of traffic congestion is $6.4 billion, underscoring the critical need for efficient solutions.

Focusing on low-income regions is a significant opportunity in South America's burgeoning bike sharing sector. In the face of increasing traffic congestion in cities, these towns frequently bear the brunt of inefficient transit infrastructure. Nonetheless, bike-sharing projects provide a unique way to address mobility challenges faced by persons who have restricted access to traditional modes of transportation. Low-income communities in many South American cities have disproportionately high levels of traffic congestion, poor public transportation, and a lack of cheap commuting options.

Global South America Bike Sharing Market, Segmentation

The South America Bike Sharing market is segmented on the basis of Type, Sharing Type and Model.

Type:

The type segment is further classified into Traditional Bike, E-bike. Among these, the Traditional Bikes sub-segment accounted for the highest market share in 2023. Traditional bikes dominate the South American bike-sharing market due to a variety of variables. Their cheaper cost contributes significantly to their prevalence. Traditional bikes are often less expensive to purchase, maintain, and operate for bike-sharing firms than their electrified counterparts. Because of their low cost, they are more accessible and profitable for these firms, allowing for wider adoption by the general public. Another reason is South Americans' familiarity with conventional bicycles.

Sharing Type:

The Sharing Type segment is further classified into Docked, Dockless, Hybrid. Among these, the Hybrid sub-segment is anticipated to show the fastest growth by 2032. This hybrid approach combines the organized character of docked systems with the adaptability of dockless systems. It gives consumers the choice of using specified stations or locating bikes via mobile apps, catering to a variety of preferences and needs. The growing popularity of the Hybrid model reflects a growing desire for a balance of accessibility and convenience in South American bike sharing programs, leading the market toward a more adaptable and user-centric approach.

Model:

The Model segment is further classified into Free-floating, P2P, Station based. Among these, the Station Based sub-segment is anticipated to show the fastest growth. Station-based systems were popular in many cities across the continent, allowing users to pick up and drop off bikes at defined locations. Station-based systems' performance is frequently determined by factors like as urban infrastructure, government support, population density, and local riding culture. Users value these systems because they provide a structured approach and convenience in terms of organized parking and availability.

Some of the leading South America Bike Sharing market players are

• • Ecobici (Mexico)
  • Bici Q (Colombia)
  • Movete (Uruguay)
  • BKT (Brazil)
  • Moventia (Spain)
  • Tembici (Brazil)
  • Bike Santiago (Chile)
  • Encicla (Colombia)
  • Bim Bim Bikes (Portugal)
  • Grow Mobility (Brazil), and Other Active Players.

Key Industry Developments

• • In December 2023, The US International Development Finance Corporation (DFC) and IDB Invest are investing a total of $23 million in Tembici, a micro-mobility platform, to help expand bicycle-sharing services throughout Latin America. The project is anticipated to increase Tembici's active users in Brazil, Colombia, Chile, and Argentina from 300,000 in 2023 to over a million by 2029. The number of visits is expected to more than triple, reaching over 600 million by 2029. This will dramatically cut annual CO2 emissions, equivalent to removing 15,000 passenger cars from the road, by boosting the number of bike trips in cities as an alternative to driving.
  • In April 2023, Uber Technologies Inc. established a partnership with Brazilian bike-sharing business Tembici to make electric and standard bicycles available on its app in Latin America, as part of a push for greener initiatives. The agreement aims to make it easier for passengers to commute short distances on bicycles rather than cars, while also assisting the company in meeting its goal of becoming an entirely zero-emission platform by 2040.

Key Findings of the Study / Key Industry Developments. 

• • The emphasis on sustainable mobility and urban transit efficiency drives market expansion.
  • Traffic congestion costs in Colombia alone are $6.4 billion, encouraging bike-sharing adoption.
  • Bike-sharing provides solutions to mobility issues in low-income neighborhoods with inadequate transportation infrastructure.