As the coronavirus crisis rages, public life in all countries is grinding to a halt. The social distancing rules forced millions of people worldwide to change their daily routine, including the way they travel or use mobility services.
According to data gathered by BuyShares.co.nz, the revenue of the global mobility services market is expected to plunge by $450bn year-on-year, falling to $616bn value in 2020.
Flights and Taxi Services to Lose $395.3bn in Revenue
The mobility services market includes flights, ride-hailing, taxi services, long-distance bus travel and train tickets, car rental hires and car-sharing services, booked online and offline. In 2017, the revenue of the global mobility services segment amounted to $975bn, revealed Statista Global Consumer Survey. Over the next two years, this figure rose to $1.06trn. Flights, taxi and ride-hailing services, as the two leading segments, generated nearly 80% of that value.
However, the COVID-19 crisis came as a new shock to the market already faced with growing environmental concerns, new regulatory trends, and changing customer preferences. Statistics show the flight segment is expected to lose 47% of revenue in a year, falling from $538.6bn in 2019 to $285.3bn in 2020.
Ride-hailing and taxi services are set to witness a 37% drop, with the revenues plunging by $37.8bn and reaching $53.3bn this year. The combined revenues of the train and bus segment are forecast to plummet by $46.7bn, reaching $77.4bn value in 2020. Car rental services are expected to witness a 41% drop year-on-year, reaching $53.3bn in revenue by the end of the year. The incomes of the market’s smallest segment, the car-sharing services, is expected to drop to $2.1bn in 2020, a 22% fall year-on-year.