The e-scooter is a popular invention that has gained a large following in a short amount of time. While e-scooters were created a century ago, they were properly introduced in the 1980s and have been streamlined in recent years. In the past few years, the e-scooter market has seen significant growth. They are fun and adventurous to ride and can also serve as a means of transportation. Could e-scooters become the transportation of the future?
Region-Based Usage of E-scooters
Undoubtedly, North America is the market leader when it comes to the usage of e-scooters. The American markets are expected to experience a compound annual growth rate (CAGR) of 28.4% from 2019 to 2024, considering the usage of both adult electric scooters and commuter ones. The United States, followed by Canada and Mexico, is likely to lead this market.
After North America, Europe is the rising star of the e-scooter market. In the previous year, Europe witnessed an 80% surge in unit sales, setting a record year-on-year sale. Latin America is also making progress in this sector. China and Singapore are leading the Asian Pacific Region, with the APAC e-scooter market expected to reach 31.2 million units by 2025.
According to a recent study conducted by Bird, a scooter rental company, 50% of their customers use commuter electric scooters to travel from home to work and back. Approximately 29% use these scooters to connect to the DC Metro and bus services, based on the stats of Washington DC users of Bird's services.
In addition to these findings, let's explore multiple facets of e-scooters as a mode of transportation. Will commuter electric scooters revolutionize the transportation sector, or will adult electric scooters suffice for fun and adventure?
Are E-Scooters Just For Fun or a Mode of Transportation?
With the increasing popularity of e-scooters and their widespread use, researchers have focused on exploring their full potential. Initially thought to be just for recreational purposes by the youth, studies have proven e-scooters to be a reliable source of transportation, particularly in urban areas. According to a survey conducted by Rebeca L. Sanders and her team, "E-scooters are more for transport than recreation."
Many people are now adopting e-scooters as a means of transportation due to their affordability and convenience. Surveys conducted in Portland reveal that 70% of frequent e-scooter riders use them for transportation purposes. The reasons behind this trend include their reliability, speed, cost-effectiveness, fun, and convenience.
Moreover, in regions with hot climates like Phoenix, Las Vegas, and Arizona, people have opted for e-scooters over walking due to the scorching sun. They have found e-scooters to be extremely convenient and faster than walking on foot.
Shorter Commutes
E-scooters are more preferred for shorter commutes. Like, multiple universities and research centers— spreading over hundreds of acres of land— are seriously considering the introduction of e-scooters as the primary way of reaching various spots in the institution.
A survey focused 1256 University staff members and inquired about their experience with e-scooters. 36% quoted that they have ridden e-scooters, while 40% showed a willingness to drive them in the next year.
Interestingly, the latest generation of e-scooters— like the one offered by Varla— can go for longer commutes of up to 40 miles within just one hour— but make sure to wear all safety gears at these peak speeds. So, e-scooter companies are investing their best efforts to streamline e-scooters as a means of transportation properly.
E-Scooter Sharing
A study conducted by MDPI examined the impact of shared e-scooter systems on urban sustainability. The introduction of these systems in 2017 led to significant growth in the industry, which was further accelerated during the pandemic. With restrictions imposed on public transportation and car services, people turned to shared e-scooters as a convenient mode of transportation. The study found that even after the lifting of COVID-19 restrictions, people continue to rely on e-scooters for their daily commute. This highlights the potential of the e-scooter market to capture a significant portion of daily commuters, including adults who have repurposed their recreational scooters for commuting purposes. To further increase their usage, some important steps can be taken.
Future of Electric Scooters
Electric scooters have become an increasingly popular mode of transportation in numerous countries around the globe. Their convenience, affordability, accessibility, and eco-friendliness have contributed to their rapid growth in popularity. With a few additional measures, the e-scooter market has the potential to become a billion-dollar industry.
Acceptance by Government
As time goes on, an increasing number of states in the USA and cities in other countries are permitting people to ride e-scooters officially. Despite some safety concerns creating obstacles for approval, e-scooter companies' exceptional cooperation and positive attitude are closing the trust gap. The next five years will be critical for the future of this industry, but surveys are predicting exceptional growth for commuter electric scooters.
Investment and Funding
Many investors have recognized the promising future of the evergreen industry and are directing their attention towards it. As evidenced by the $415 million investment in Bird and other similar companies, investors are eager to capitalize on this market. If this trend persists, it is likely that a significant portion of global investments will be allocated to this sector.
The Bottom Line
Although the upcoming years are crucial, recent trends suggest that e-scooters have the potential to become a complete mode of transportation. With the introduction of e-scooter-sharing apps, governmental approvals, and investments, the growth of this sector is expected to accelerate further. If the trends persist, e-scooters could become a legitimate means of transportation in the near future.
