Technology-Enabled Disruptions Impacting Transportation

Technology-Enabled Disruptions

• Ride-hailing – Hail rides from a provider’s network of freelance drivers using private cars through mobile apps (Uber, Lyft)
• Ride-sharing – Join carpools going through fixed routes with other commuters and drivers using mobile apps (UberPool, Lyft Line, Waze Carpool)
• Car-sharing – Rent or lease cars through online marketplaces (Zipcar, Turo, GetAround)

Disrupted Groups

• Taxi operators, drivers and mass transit systems – Declining rides as passengers increasingly use on-demand, more convenient transportation services
• Traditional car rental companies – Decreasing rentals as customers shift to peer-to-peer rental platforms offering more cost-effective rentals and wider range of cars
• Car manufacturers – Slowing sales growth as customers increasingly prefer using technology-enabled transportation services than owning vehicles themselves

Consumer Benefits

• Accessible – Procure rides on-demand and access areas uncovered by public transportation easier
• Convenient – Conserves time by using app-based requests and scheduling functionalities
• Comfortable – Helps avoid congested mass transit systems and fixed heavy traffic routes
• Personalized – Provides wide range of choices, in terms of routes, type of service (e.g. economy, luxury), and type of car (car rentals)
• Alternative Income Sources – Provides new income streams by being independent chauffeurs or leasing underutilized vehicles