Europe offers a strong ridepooling market
As one of many different mobility solutions, ridepooling has the potential to make cities more liveable and safer places. Since 2019, we at MOIA have been contributing to this with our flagship project in Hamburg. But it is not only in the Hanseatic city that ridepooling is being recognised as a forward-looking mobility solution. Ridepooling is becoming increasingly popular throughout Germany. According to the VDV (Association of German Transport Companies), the number of ridepooling services in Germany increased from around ten to over 80 between 2019 and 2022. But what does the range of on-demand transport, ridepooling, microtransit and DDRT services look like in Europe and what is the potential behind them? In this article, we provide an overview of the European market.
Great potential for ridepooling in Europe
Europe as a whole offers high customer potential for on-demand transport, ridepooling, microtransit and DDRT services due to its large urban centres. Demand is also driven by the desire to close gaps in existing mobility services. The market will continue to be characterised by strong growth, especially if ridepooling offers meaningful added value compared to existing modes of transport.
Legislation around ridepooling
In Europe, legislation around ridepooling varies from country to country, as the transport sector is mainly regulated at the national level. While some countries - such as Germany under the Passenger Transportation Act (PBefG) and the Netherlands - have introduced specific paragraphs for ridepooling services, other countries have included these services under existing taxi and rental car legislation. These include France and the United Kingdom, among others. Subsequently this leads to different service offerings. This is because the laws do not always focus on the same usage scenarios.
Who rides where in Europe?
Ridepooling services are widespread, especially in major European cities, and offer a practical alternative to conventional public transport in urban areas. Recently, however, more and more projects have been launched in rural areas, where public transport is infrequent or non-existent. Here is an overview:
Ridepooling in Germany
An amendment to the Passenger Transportation Act (PBefG) in 2021 created a legally secure framework for on-demand services for the first time. Whether as part of public transport or bundled on-demand services, this legislative change is proving to be extremely successful and timely, as evidenced by the increase in projects. At the beginning of 2019, there were around a dozen on-demand services. By the end of 2022, the number increased to more than 80. 85 percent of these new projects will be approved as line-demand services under Section 44 of the PBefG, according to the VDV. However, most of the implementations are still pilot projects that lack a long-term funding base for long-term operation.
There are multiple providers of on-demand ridepooling solutions in Germany. In terms of directly bookable options, MOIA has made a name for itself in cities such as Hamburg and Hanover, providing efficient and environmentally friendly ride services for groups of passengers who share a similar route. In addition, there are companies that offer public transport solutions in cooperation with public transport operators.
Ridepooling in France
In Paris in particular, ridepooling providers have established themselves, offering their services to commuters. This is intended to provide an attractive alternative to using your own car in line with the new legislation for driving in the city center. The services also aim to reduce the number of vehicles in Paris. One provider for example, in addition to software solutions for on-demand public transport also offers solutions for corporate mobility, school transport and medical transport. The focus is not mainly on Paris but offers its services in more than 20 French communes as well. The other provider, focuses primarily on rural areas, connecting them to urban centers with digital on-demand solutions. Outlying areas and suburbs are thus better connected, especially during off-peak hours. These services are offered as a full-service provider: from digital infrastructure to driver-operated buses.
United Kingdom
In London in particular, services are focused on providing a greener alternative to taxis and private rental cars. Services have also emerged for small businesses in the freight transport sector, which can also be classified as carpooling. Especially two companies have a strong presence in the commercial sector. Further north in and around Birmingham, a small cell of demand-responsive transport (DRT) systems is developed. Mobility services range from carpooling to fixed routes to complement public transport and on-demand micro-transit solutions. Scotland also has a DRT cluster. 16-seat minibuses support local services in remote areas during peak hours.
Ridepooling in Europe: Spain
Spain still shows many white spots on the ridepooling map. In Madrid, one major project is currently developed. They are complemented by local individual services, which are run as test pilots. In Barcelona, a local company is the main player. At the heart of their technology are three main components: an intuitive app, a routing system and a central management tool that makes controlling the fleet as smooth as possible. Excitingly, passengers can use existing public transport season tickets or pay, when entering the vehicles.
Ridepooling in Italy
Italy also has services in the Emilia-Romagna region as well as in northern Italy. From Milan down to San Marino and Florence, there are about ten major projects, ranging from public transport support services to on-demand night-time services.
Switzerland: Ridepooling
Switzerland also offers a multitude of services. They rely on comparatively many DRT hotspots, taking the population and service area into account. But with the Postbus, Switzerland was already traditionally a ridepooling country - a tradition that is now continued and introduced into the digital age.
Speaking of Europe: the international Autonomy trade fair will take place in Paris from 20 to 21 March 2024. More than 250 exhibitors will be presenting sustainable mobility solutions - and we will be there with MOIA. You can find us at booth E17. Come and visit us!
