By Sarwant Singh, Partner and Practice Director, Automotive and Transportation, Frost & Sullivan and
Vishwas Shankar, Industry Analyst, Automotive and Transportation, Frost & Sullivan
The European market for traditional carsharing services, which had nearly doubled since 2008 and had reached 0.7 million subscribers by the end of 2011, is expected to reach nearly 15 million subscribers by 2020. Moreover, the number of vehicles had also nearly doubled over the same period to reach approximately 21,000 by 2011 and is expected to increase to nearly 240,000 by 2020. To capitalise on this growth trend, companies are also inorganically expanding - for instance Zipcar has recently acquired Austrian Denzeldrive carsharing.
Similarly, the emerging European peer-to-peer (P2P) carsharing market, which had 13 operators in 2010, witnessed almost 85-90 per cent growth in one year to reach 24 operators in 2011. As a result, the number of members is expected to grow at least five folds and the number of vehicles is expected to grow at least ten folds over 2011 to reach more than 0.74 million and 0.31 million, respectively, by 2020.
The European Carsharing Market
The participants in the European traditional carsharing business towards the end of the last decade were largely conventional carsharing operators (CSOs). By the end of 2011, in addition to traditional CSOs, vehicle original equipment manufacturers (OEMs), leasing companies, transport operators and parking management companies had also entered the carsharing business. This is clearly indicated in the chart 1.1. Continued growth has attracted investment from OEMs, transport operators and so on.