The need for economically efficient mobility options across the globe is growing rapidly. Even though vehicles have become cheaper than they were a few years ago, several people still cannot afford private vehicles. Owing a private vehicle anyway demands high investment, including fuel cost, vehicles cost, maintenance charge, parking expense, and insurance cost. Because of such factors, enterprises are coming up with new mobility solutions that can help people commute easily and at low cost. One of such solutions is ride-hailing, which enable people to enjoy facilities of a private vehicle without actually owning one. 

When a person avails ride-hailing services, he/she only needs to pay for the distance traveled and all the other additional costs, including the cost of the fuel, parking charges, or vehicle maintenance expenses are taken care of by service providers. Therefore, a person can commute easily, even on a daily basis, with any kind of hassles, which is resulting in the growth of the global ride-hailing market across the globe. In addition to all this, people these days are becoming reluctant for buying a vehicle as they are harming the environment, and in such situation, services like ride-hailing, can make significant difference.

 

Governments of various countries are also trying to encourage the adoption of ride-hailing services in order to curb the surging levels of pollution. Not only national governments but state and local governments are also taking initiatives for facilitating the implementation of ride-hailing services. Furthermore, services providers these days are also incorporating electric vehicles in their fleets. Governments are putting pressure on the automotive industry for reducing its carbon footprint, which is why, several service providers are becoming more and more inclined towards the use of electric vehicles. 

On the basis of vehicle type, the market is divided into luxury, economy, and executive, among which, the economy division held the largest share of the market in the past. This is due to the fact that the number of cars under this category is more than luxury and executive cars. When commuting pattern is taken into consideration, the market is categorized into occasionally, daily/weekly, and monthly. 

Out of these, the daily/weekly category is predicted to register the fastest growth during the forecast period. The tie-up of ride-hailing service providers with corporates and business firms is expected to result in the growth of the market in the years to come. Geographically, Asia-Pacific dominated the ride-hailing market in the past, which can be ascribed to the surging consumer demand for these services in the region. In addition to this, rapid industrialization and urbanization, high population, and low income of people in some countries is also driving the market in this region.