Bike-sharing advantages and disadvantages – what to bear in mind?
April 19, 2024
min. read
The shared mobility industry has seen immense growth within the past few years, and shared micromobility vehicles, such as shared bikes, are no exception. Various reports on the shared mobility market have emphasized that revenue from bike-sharing is projected to continue rising, with the sector expected to reach US$12.68 billion by 2027.
Data and statistics speak for themselves – the bike-sharing market's future is bright and shiny. But are there any disadvantages to bike-sharing? And what are the biggest benefits of this micromobility type? Read this article to find out.
What is bike-sharing?
Before we discuss the pros and cons of bike-sharing, let's define what this term actually means.
Also known as bike rental or public bicycle sharing, bike-sharing is a system where individuals can use bikes on a short-term basis. Bikes that are available for sharing are commonly placed in designated areas or docking stations, mainly in urban environments. Bike-sharers rent and return the micromobility vehicles for a certain fee, depending on the bike-sharing service provider.
An equally important part of the bike-sharing system are the various mobile applications and payment systems that enable users to grab a shared bike when needed and conveniently pay for the service.
As you can likely guess, bike-sharing is primarily an urban phenomenon. It has become one of the key components of sustainable transportation strategies in cities around the world. Plus, it's convenient, cool, and… well, continue reading for more pros.
Advantages of bike-sharing
Besides making urban areas look hip, bike-sharing systems have a bunch of advantages that range from user convenience to sustainability and beyond.
1. It benefits the environment
Those who care about sustainability have all the reasons to love bike-sharing. It provides an alternative mode of transportation that is also environmentally friendly. Access to bike-sharing helps make greener choices (read – drive cars less often), which helps reduce air pollution and carbon emissions. Moreover, riding a bike for a short trip around the city is an amazing way to reduce your personal carbon footprint.
2. It helps reduce traffic congestion
Traffic congestion is a common issue in many cities and urban areas. Bike-sharing systems can significantly help deal with this problem, as they provide a convenient way to complete short trips around the city. Biking instead of driving a car, taking public transport, or paying for a taxi during rush hours also shortens the time spent on the road and improves the traffic flow overall.
3. It promotes public health
Cycling is not only a convenient way to get around but also benefits one's health. Just think about it – you're commuting while getting some exercise at the same time. How cool is that? Well-built bike-sharing systems such as Tretty can encourage people to bike more often, contributing to overall public health as a result.
4. It's cost-effective
And cost-effective not only for bike-sharers but also for micromobility service providers. The growing demand for shared micromobility vehicles, bikes included, clearly shows that it's a profitable niche. Plus, today, there are plenty of ways to start your bike-sharing business quickly and easily. For example, with ATOM Mobility, you can launch a bike-sharing platform in 20 days. We offer a fully customizable white-label solution for all kinds of sharing businesses. You'll love it, and your bike-sharers will, too.
5. It's a scalable micromobility business model
Another advantage of bike-sharing from the perspective of micromobility businesses or businesses-to-be – it's scalable and has relatively low operational costs. Bikes require less maintenance than, for example, e-scooters and have no fuel expenses, contrary to car-sharing. Moreover, bike-sharing businesses can be easily expanded to new locations – cities or even countries, and it's relatively easy to grow the bike fleet in response to user demand.
Bike-sharing disadvantages
As with all seemingly perfect things, there are always at least a few downsides to them, and bike-sharing is no exception. What are its disadvantages? Scroll down.
1. It poses some safety concerns
Despite being a relatively safe way of getting around a city, bikes raise some safety concerns, mainly when interacting with motorized vehicles. Not all roads have bike lanes, and not all drivers are used to sharing the road with cyclists, which can lead to heightened accident risk. Moreover, those new to bike riding may be particularly vulnerable to accidents and injuries.
Increasing safety for cyclists requires the involvement of public authorities. However, if you're a micromobility service provider, you can customize your app and add information on safety concerns and things to remember when cycling around the block.
2. It can be subject to theft and vandalism
It's no secret that bikes are a catch loved by thieves and vandals. Even the best safety locks and docking systems can sometimes get hacked, resulting in financial losses for operators and inconvenience for bike-sharers. What can be done is adding GPS tracking to shared bikes, picking extra resistant locks, and placing surveillance cameras around bike docks to prevent theft and purposeful damage.
3. It's not for all weathers
Of course, there are cyclists who ride their bikes in rain or thunder, but the usual bike-sharing client may not be up for cycling in a snowstorm, rainfall, or extreme heat. Hence, bad weather can decrease bike-sharing, and if it sticks for long, bike fleet owners may feel it financially.
Whether you're a municipality thinking of implementing a bike-sharing system or a micromobility business owner looking towards bikes, consider the weather of your location. As simple as that.
4. It requires diligent maintenance
Yes, we mentioned low maintenance costs among the benefits of bike-sharing. However, bike fleet maintenance requires quite a lot of work. A bike is not a complex ride, but if the fleet is used constantly, the rides wear out fast. Regular check-ups – cleaning, inspections, repairs, and parts replacement – are essential to prevent mechanical failures and ensure a positive user experience. Doing so requires both human and financial resources.
Build your bike-sharing empire with ATOM Mobility
Now that you're familiar with the main bike-sharing advantages and disadvantages, you can take the next step and look for ways to start your micromobility service or improve your already existing one by adding bikes to the game.
But solid rides are not the only crucial thing – bike-sharers love convenient bike-sharing apps, too. And that's where ATOM Mobility comes in. Our software is suited for any type of vehicle-sharing and has 200+ features to bring you to the top of the bike-sharing game. What are you still waiting for?
Interested in launching your own mobility platform?
Click below to learn more or request a demo.
Blog
Bid your price: ATOM Mobility launches rider-controlled pricing feature
💸 ATOM Mobility launches “Offer your price” - a rider-controlled pricing feature. Riders can suggest higher or lower fares within pre-set limits. Boosts demand & helps stand out in competitive ride-hail markets 🚖🌍
August 4, 2025
min. read
The ride-hailing market is always changing. From Latin America to Eastern Europe, platforms like inDrive have popularized a new norm: letting riders suggest what they want to pay. Now, in response to this growing global trend, ATOM Mobility is proud to introduce: Offer your price – a fully configurable pricing feature built right into your rider app.
💡How It works
Available on all ride-hail projects, this feature lets riders propose a price – higher or lower than the default fare – within operator-set limits. Drivers can then accept or decline based on the offer.
Here’s how it reshapes the experience:
In the Rider app:
- A new "Offer your price" button appears when selecting a vehicle class.
- Riders can slide or tap “+/-” buttons to adjust price:
- e.g. +30% to get a faster ride 🟢
- or -10% to save on a flexible trip 🔵
- For scheduled rides, this feature is disabled to keep things predictable.
Smart logic behind the slider:
Your admin dashboard defines the limits – say, up to +500% from regular price and down to -30% – and the app calculates step sizes automatically:
- +500% limit → 1 step = 5%
- +100% limit → 1 step = 1%
- +200% limit → 1 step = 2%
Slider position adapts dynamically, depending on your defined range. And yes – the button color and style can be customized to match your brand 🎨.
On the operator dashboard:
You’ll find complete control and clarity:
- Enable/disable the feature per vehicle class
- Set custom % limits for price increase/decrease
- Price card, exports and ride activity logs are all updated with the adjusted ride price
- New ride status - Ride requested (adjusted ride price) for transparency in reporting
What drivers see:
In the driver app:
- Price offers are marked clearly (e.g. 🔻 "Discount requested" or 🔺 "Extra fee offered");
- Final earnings are adjusted accordingly and logged in driver stats.
Who's already doing this – and winning?
Real-world companies are already proving that rider-defined pricing works:
🚘 inDrive (LATAM, Africa, Asia)
Now one of the top global ride-hailing players outside the U.S. (over 200M downloads, active in 700+ cities across 45+ countries), inDrive built its brand around rider-negotiated pricing. It helps them stand out in price-sensitive markets and win over both drivers and passengers with more transparent pricing dynamics.
🚖 Comin (France)
A local success story, Comin has embraced flexible rider pricing to gain traction in several French cities (onboarded 6,000+ drivers). The feature gives them an edge against larger platforms, offering more freedom for users and better utilization for drivers.
These examples show that letting riders bid their price isn’t just a gimmick – it’s a growth strategy.
From our previosu blog “How to Find Your Niche in the Ride-Hail Market”, we saw how localisation and user control drive loyalty and conversion.
This new pricing flexibility supports:
- Emerging markets with income-sensitive riders
- Driver shortages, where riders can tip in real-time
- Brand positioning, letting you stand apart from competition
🚀 Ready to lead the market?
This is just one of the 300+ features available in ATOM’s white-label ride-hailing platform.
Let’s talk about how to launch or upgrade your app with “Offer your price”, advanced pricing logic, and more tools to dominate your niche.
👉 Contact our team and explore how to become the market leader: www.atommobility.com
Blog
Is car sharing profitable in 2025?
🚗💡 Is car sharing still a profitable business in 2025? Short answer – yes, if done right. From rising fleet costs to smarter user behavior and green transport trends, the shared mobility game is changing fast. Learn what makes a car sharing business work today – and why some succeed while others shut down. 👉 Real stories, data-backed tips, and practical advice for operators and mobility founders.
July 23, 2025
min. read
In 2024, the global car-sharing market was valued at approximately €8.9 billion, with Europe accounting for over 50.2% of that total. Analysts forecast it will grow at a CAGR of 11.8% between 2025 and 2033, reaching roughly €24.4 billion by 2033. This blend of urbanization, environmental regulation and a growing preference for flexible mobility continues to create fertile ground for operators - yet not every service finds a clear path to profitability.
Success hinges on your location, business model, fleet, operations and local market dynamics. There are strong success stories, but also many high-profile failures. Here’s a closer look at what really affects profitability in today’s car-sharing market - and what you can learn from real-world cases.
What makes a car-sharing business profitable?
Profitability in car sharing boils down to securing enough paid usage while keeping costs under control. Every unused hour or unnecessary expense erodes margins.
Key factors:
- Fleet utilization – the most important metric. Cars need to be in use several hours each day to cover fixed costs.
- Operational efficiency – cleaning, charging, relocation, maintenance and insurance add up quickly.
- Fleet acquisition – leasing usually optimizes cash flow and scalability, but still carries fixed monthly expenses.
- Pricing and competition – too low cuts margins; too high drives away users. Finding the right balance is essential.
- Tech stack – a robust platform automates operations, improves customer experience and reduces support costs.
The operators who win are those who combine solid daily usage with lean operations.
❌ PANEK S.A. suspends its car-sharing service to focus on rental
29 March 2025 marked the end of Panek’s car-sharing experiment. Despite peaking at 2 700–3 000 vehicles, Panek never turned a profit in over seven years.
About Panek
- Launch: Car sharing added in 2017 by Maciej Panek, entirely internally funded (no VC)
- Fleet mix: City cars, hybrids, EVs, cargo vans and vintage models
- 2023 acquisition: Regional Rent (+ 45% fleet), making Panek Poland’s largest integrated rental/operator
2024 performance
- Revenue split: Car sharing ≈ 20 % of total. Traditional rental 80 %
- Utilization: 0.7–1.0 rides/car/day
- Maintenance & overhead: Up to €690/car-month
- Profitability: Negative since inception
Why it failed
- Under-utilization: < 1 ride/day vs. ~ 2-4 rides/day needed to cover fixed costs
- Price wars: Fierce competition in Warsaw eroded margins and drove up customer-acquisition costs
- High OPEX: Parking, maintenance, insurance and vandalism pushed costs > €690 per car each month
- Tech drag: Two-year outsourced app development cycle meant poor UX and slow feature delivery
- No public support: Missed out on parking incentives or EV subsidies
Faced with persistent losses, Panek’s leadership refocused on profitable core segments: daily/weekly rentals, corporate leasing and Fleet-as-a-Service.
🚗 WiBLE Spain finds its profitable lane in Madrid
WiBLE (50/50 joint venture between Kia Europe and Repsol) launched in 2018 and has just closed its second consecutive year with positive EBITDA.
- Fleet: 600+ plug-in hybrids (Kia Niro, XCeed, Ceed Tourer)
- 2024 revenue: €6.93 million (+ 5% vs. 2023)
- Usage: ~1 500 trips/day ⇒ 2.5 rides/car/day
- Diversification: Monthly rentals (€599+) now 5% of revenue
- Market share: ~19% of Madrid’s car-sharing market
Key enablers:
- Higher utilization – rides up 15% YoY, driving a 10% lift in core revenue
- Fleet scale efficiencies – added 150 vehicles in 2 years, lowering per-unit costs
- Service diversification – multi-day and monthly rental options opened new revenue streams
After five years of absorbing fixed-cost drag and depreciation, WiBLE now leverages Madrid’s regulatory environment (low-emission zones, parking benefits) and delivers lean, tech-driven operations.
🚗 SOCAR South Korea: scale + longer rentals
SOCAR (backed by SoftBank, SK Inc. and Lotte Group) operates 20 000 vehicles, generates nearly €300 million in annual turnover and has 20% of South Koreans signed up.
- Model: Station-based, pay-per-minute with average rental duration of a whoping 12 hrs
- Segmentation trick: Aging cars shift from on-demand sharing to long-term monthly rentals (10% of revenue), extending resale life with minimal depreciation impact
By pairing massive scale with savvy car lifecycle management, extra-long rental duration, SOCAR converts high utilization into robust profitability.
🚗 Carguru (Latvia)
30 August 2024: Carguru (est. 2017) acquired EV-focused OX Drive (est. 2021), adding 200+ Tesla to the fleet.
- Growth: From just 30 cars and total budget below 500 000 EUR (2017) to over 1 000 cars (mid-2025) via leasing and strategic partnerships
- 2023 turnover: €4 million; 435 000 trips (+35.9 %); 7 million km driven; profit €375 600
Outcome: A combined ICE, hybrid and EV fleet—backed by local expertise and strategic acquisitions - has driven strong growth and high utilization.
🎯 Core suggestions for aspiring operators
- Target 2–4 rides/day per vehicle
- Leverage dynamic/off-peak pricing, B2B partnerships (hotels, offices) and event tie-ins.
- Contain OPEX via automation
- Use predictive maintenance, remote diagnostics and gig-economy cleaning/relocation.
- Secure municipal support early
- Negotiate parking incentives, EV charging access and low-emission zone permits.
- Choose your tech wisely
- Build an in-house development team for full control with higher costs, or adopt a proven white-label platform for speed to market, stability and lower costs.
- Validate unit economics before scaling
- Prove break-even utilization in one zone before expanding to others.
With clear benchmarks and smart execution - drawing on lessons from Panek, WiBLE, SOCAR and Carguru - car sharing can still be a highly profitable component of a modern mobility portfolio.
If you’re planning to start or improve your service, ATOM Mobility is ready to help. We’ve built the platform and supported dozens of teams worldwide - reach out, and we’ll share what we’ve learned.
Image credit: https://kursors.lv/2018/03/13/carguru-palielina-autoparku-un-paplasina-darbibas-zonas-mikrorajonos
Driver App demo credentials - Email: test@atom.com, Password: driver
