Vietnam Bike Sharing Market Synopsis
The Vietnam Bike Sharing is Expected to Grow at a Significant Growth Rate, and the Forecast Period is 2023-2030, Considering the Base Year as 2022.
- Vietnam is a country with a population of over 97 million people, and the majority of its citizens live in urban areas. The country has a high rate of motorization, with over 50 million motorcycles registered in 2022. However, the use of motorcycles has also led to significant traffic congestion and pollution problems.
- Another factor driving the growth of the Vietnam bike sharing market is the rising concerns about traffic congestion and pollution. Vietnam's cities are some of the most congested in the world, and the pollution levels are also very high. Bike sharing can help to reduce traffic congestion and pollution, and it is a more sustainable way to get around.
- The Vietnamese government has also been supportive of the growth of the bike sharing market. In 2019, the government launched a pilot program for a public bike sharing system in Hanoi. The program was successful, and the government has plans to expand it to other cities in the country.
- There are a number of key players in the Vietnam bike sharing market, including TIER Mobility, Grab, GoBike, Xe hay, Mobike, and OFO. These companies are competing to provide the best possible service to their customers, and they are offering a variety of features, such as GPS tracking, real-time availability, and payment options. The competition in the market is expected to drive innovation and improve the overall customer experience.
Top Key Players:
Go-Viet (Indonesia), Be Group (Vietnam), Now (Singapore), TADA (South Korea), Vato (Vietnam), GrabBike (Singapore), Mobike (China), OFO (China), BlueGo (Vietnam), ViettelPost (Vietnam), Cycloshare (Vietnam), Go-ixe (Vietnam), Xe Om (Vietnam), Ahamove (Vietnam), JupViec (Vietnam), Loship (Vietnam), Gojek (Indonesia), Airbike (Vietnam), ZigWheels (Vietnam), iBike (Vietnam), and Other Major Players.
The Vietnam Bike Sharing Market Trend Analysis
Increasing Demand for Sustainable and Affordable Transportation in Vietnam
- The bike-sharing market in Vietnam is experiencing significant growth, largely driven by the increasing demand for sustainable and affordable transportation options. As the country's urban population continues to expand, so do concerns about traffic congestion and environmental pollution. Bike sharing has emerged as an attractive solution to these challenges, offering a low-cost and eco-friendly mode of transportation in densely populated cities.
- Vietnam's urban centers, such as Hanoi and Ho Chi Minh City, face severe traffic congestion due to high motorization rates, with millions of motorcycles registered in the country. In response to these issues, bike sharing has gained popularity as a practical way to navigate through congested roads and reach destinations more efficiently, especially for short-distance trips.
- Environmental awareness and a growing focus on eco-friendly practices have also contributed to the surge in bike-sharing demand. As people become more conscious of climate change and environmental sustainability, they are seeking transportation options with minimal carbon emissions. Bicycles provide a zero-emission mode of travel, making them an appealing choice for environmentally conscious commuters
Green Initiatives and Corporate Partnerships
- With a growing focus on sustainability, businesses in Vietnam are seeking ways to reduce their environmental impact. By partnering with bike-sharing companies, corporations can actively participate in promoting eco-friendly transportation options. Bike sharing, as a xzero-emission mode of travel, aligns with green initiatives, enabling businesses to demonstrate their commitment to environmentally responsible practices. This association with sustainable mobility solutions can enhance a company's reputation and appeal to consumers who prioritize eco-conscious brands.
- Through corporate partnerships, businesses can leverage marketing opportunities that align with green initiatives. Bike-sharing stations and bicycles can feature company branding, creating increased visibility throughout the city. This form of advertising showcases the company's commitment to sustainability and resonates with environmentally conscious consumers. The association with bike sharing can strengthen brand loyalty and attract socially responsible customers.
- By promoting sustainability, corporate social responsibility, and positive community impact, these partnerships can drive the adoption of bike sharing while supporting businesses' sustainability goals.
Vietnam Bike Sharing Market Segment Insights
Bike Sharing market is segmented into the Bike Type, Sharing System, and User Type. By Bike Type, E-bike segment is Anticipated to Dominate the Market Over the Forecast Period.
- E-bikes offer a level of convenience and accessibility that traditional bikes may not provide, particularly for longer or more demanding journeys. The electric motor assists riders in overcoming obstacles like inclines and headwinds, making e-bikes more attractive for both experienced and novice cyclists.
- By incorporating e-bikes into their fleets, bike-sharing companies can cater to a broader demographic. E-bikes are appealing to a wide range of users, including older adults, tourists, and individuals who may not be regular cyclists.
- The e-bike market is experiencing significant technological advancements, leading to improved battery life, range, and overall performance. As e-bike technology continues to evolve and prices become more competitive, their popularity is likely to soar further, driving their dominance in the bike-sharing market.
Country Analysis of The Vietnam Bike Sharing Market Country Analysis
- Hanoi is capital and one of the most densely populated cities in Vietnam, with a large urban population. The high population density creates a significant demand for convenient and sustainable transportation options, making bike sharing an attractive choice for daily commuting and short-distance travel within the city.
- Like many major cities in Vietnam, Hanoi faces severe traffic congestion, especially during peak hours. Motorbike and car traffic contribute to the gridlock, leading to longer commute times and increased pollution. In this scenario, bike sharing provides a practical solution for navigating through congested streets, allowing users to reach their destinations faster and more efficiently.
- Hanoi has been making efforts to improve its transportation infrastructure, including dedicated bike lanes and bike-sharing stations. The presence of bike-friendly infrastructure enhances the safety and convenience of using bike-sharing services, encouraging more people to opt for this eco-friendly mode of transportation.
Covid-19 Impact Analysis on Vietnam Bike Sharing Market
- During the peak of the pandemic, there was a substantial decrease in ridership as people practiced social distancing and avoided public transportation to reduce the risk of infection. The decline in ridership affected bike-sharing companies' revenues and operations, as fewer people were using the service for their daily commute or leisure activities.
- During the pandemic, some bike-sharing companies pivoted their operations to support essential services and delivery. They partnered with food delivery companies or other businesses to provide efficient and contactless delivery options. This diversification allowed companies to adapt to changing consumer behavior and maintain some level of revenue.
- Despite the challenges, the pandemic also highlighted the importance of active transportation and the benefits of biking for health and well-being. As lockdown restrictions eased, there was an increasing emphasis on promoting biking as a safe and healthy mode of transportation, which could positively impact the bike-sharing market in the long run.
The Revenue of the Bike-sharing Market in Vietnam displayed consistent growth from 2018 to 2022, with a notable surge in 2020, despite the challenges posed by the COVID-19 pandemic. Starting at $26.06 million in 2018 and reaching $59.01 million in 2022, the market witnessed a significant increase in 2020, reaching $46.62 million. This growth can be attributed to the heightened demand for safe and sustainable transportation options during the pandemic, as consumers turned to bike sharing as an alternative to public transit. Despite the initial impact of the pandemic, the bike-sharing market demonstrated resilience and adaptability, maintaining a positive trajectory in subsequent years and establishing itself as a promising segment within Vietnam's transportation industry.
Top Key Players Covered in The Vietnam Bike Sharing Market
- Go-Viet (Indonesia)
- Be Group (Vietnam)
- Now (Singapore)
- TADA (South Korea)
- Vato (Vietnam)
- GrabBike (Singapore)
- Mobike (China)
- OFO (China)
- BlueGo (Vietnam)
- ViettelPost (Vietnam)
- Cycloshare (Vietnam)
- Go-ixe (Vietnam)
- Xe Om (Vietnam)
- Ahamove (Vietnam)
- JupViec (Vietnam)
- Loship (Vietnam)
- Gojek (Indonesia)
- Airbike (Vietnam)
- ZigWheels (Vietnam)
- iBike (Vietnam), and Other Major Players.
Key Industry Developments in the Vietnam Bike Sharing Market
In May 2021, Telkomsel, Indonesia's leading digital telco company, and Gojek, Southeast Asia's leading on-demand services and payments platform, had announced that Telkomsel had decided to invest an additional US$300 million in Gojek. This strategic investment was aimed at strengthening the collaboration between the two companies and supporting Gojek's continued growth and expansion in the region.
In January 2020, Vietnam-based startup beGroup had set aside super-app ambitions and pursued profitable, sustainable growth. In 2018, the company initially entered the ride-hailing sector and later expanded its services to include delivery, online groceries, and financial offerings. However, beGroup decided not to venture into certain areas commonly associated with the 'super app' strategy, such as food delivery and e-wallets.
Vietnam Bike Sharing Market
2016 to 2021
Market Size in 2022:
USD XXX Bn.
Forecast Period 2023-30 CAGR:
Market Size in 2030:
USD XXX Bn.
By Bike Type
By Sharing System
By User Type
- Tourists and Visitors
- Regular Commuters