Factors such as the burgeoning demand for efficient transportation systems and increasing availability of cost-effective micromobility services are expected to drive the Thailand micromobility market at a robust CAGR, of 98.7%, during the forecast period (2021â€“2030). According to P&S Intelligence, the market was valued at $11.8 million in 2020 and it is expected to generate $15,102.1 million revenue by 2030. Moreover, the soaring air pollution levels and rising traffic congestion will also augment the demand for micromobility services in the country.
At present, the demand for micromobility services in Thailand is driven by the escalating demand for efficient transportation systems to bridge the first- and last-mile connectivity. First- and last-mile refers to the distance that commuters have to cover between a transportation hub to their point of origin or destination. Over the years, this distance has been covered by personal vehicles or walking because shared or public transport are incapable of bridging this gap. Thus, to meet the booming demand for a reliable last-mile connectivity system, the people of Thailand are opting for micromobility services.
Moreover, the low-cost travel option offered by service providing companies will also facilitate the Thailand micromobility market. Additionally, the compact size, low weight, ease of use, and eco-friendly traits of vehicles used in micromobility fleet also contribute to the popularity of such services. For example, Anywheel Pte. Ltd. provides bike sharing service at a base fare of $0.30 (THB 10.0). Whereas, Ofo Inc. offers bike sharing service at $2.0 (THB 5.0) per 30 minutes and charges a deposit of $3.0 (THB 99.0).
In recent years, the mounting investments being made in micromobility service providing companies has become a major trend in the Thailand micromobility market. Several market players are focusing on procuring funds from prominent venture investors, automotive original equipment manufacturers (OEMs), and investors, owing to which the competition has intensified among them. Leading service providing startups, such as Neuron Mobility Pte. Ltd., Ofo Inc., and Grab Holdings Inc., have raised heavy funding to introduce new services and products to meet the last-mile connectivity needs.
The type segment of the Thailand micromobility market is categorized into bikes, e-bikes, e-pods, e-mopeds, scooters, and e-scooters. Among these, the e-mopeds category dominated the market in 2020, and it is predicted to continue its dominance during the forecast period. This can be credited to the booming young population of the country, which are leading users of the internet and updated technologies. Young students and working professionals of the country are meeting their demand for cost-effective solutions for the daily commute through micromobility services.
At present, the Thailand micromobility market is fragmented due to the presence of numerous players, such as Grab Holdings Inc., Haupcar Company Limited, Ofo Inc., E-Revolution Co. Ltd., Falcon Go, Mobike, Anywheel Pte. Ltd., Innotra Co. Ltd., Neuron Mobility Pte. Ltd., and Go Scoot Bangkok. Currently, the market players are engaging in service expansion to gain a competitive edge. For example, in January 2018, Mobike started its operations in Chiang Mai, Thailand, with the support of the national government agencies, such as the Tourism Authority of Thailand (TAT) and the municipal council of the city, and local universities, businesses, and other community groups.
Thus, the mounting demand for efficient transportation systems and low-cost associated with micromobility services are the key contributors to the market growth.