How to find profitability in the e-scooter sharing industry – a conversation with Bullride

How to find profitability in the e-scooter sharing industry – a conversation with Bullride

When it comes to the future of e-scooter sharing, there are some pretty conflicting opinions out there. Some say it's the future of micromobility, others are less optimistic.

Ultimately, the success of scooter operators all depends on their ability to find profitability.

Let's be honest – this industry has higher-than-average overhead costs. The hardware itself is a major investment, and profits are further seeped by the maintenance workforce, storage, relocation costs, and new regulatory requirements that are regularly introduced.

But profitability is possible. 

We spoke to Heiko Hildebrandt, co-founder of Bullride, which helps mobility companies offload their assets from their balance sheet to keep them in the black. 

The state of the scooter industry – hopeful

The economy is just starting to stabilize as we exit the Covid slump and enter the new normal. How did Covid affect the micromobility sphere?

A study published in Bloomberg found that monthly ridership fell drastically in 2021, but made a comeback in 2022 when people returned to office.

 

Source: Bloomberg

 

Source: Bloomberg

Now, that's using US-based brands as a model.

Heiko Hildebrandt shares that the scooter operators he's worked with have experienced a similar effect:

“Corona was the greatest fuel you could pour onto the micromobility fire. During Corona times, people hardly used public transport, and most people switched to scooters. We saw two of the biggest micromobility brands in Europe, Bolt and Tier, raise record-setting VC investment at the end of 2021 – totaling 1.4B EUR – a clear sign of traction. And since Covid has ended, we've seen a 30%-40% slump in demand. So was Covid bad for business? Not according to my perspective.”

However, according to Heiko, the real challenge is to make the unit economics work. Because the question is not about whether the product is in demand. The question is does it make sense from a business perspective. 

The challenges the scooter industry faces

The scooter industry, while in demand, must face challenges that directly impact their unit economics. For some businesses, it pushes them over the edge and drives them into insolvency. 

By knowing what those challenges are, scooter businesses can better set up their business models to protect their profitability. 

Rising hardware costs

In order for a scooter's lifetime to be profitable, it has to be in use for at least 2 seasons – some even say, for 4 years. That means that the scooter has to be durable, easily maintained, with cost-efficient replacement parts. 

“Scooters are usually imported from abroad (mostly China), and shipping costs are now 8x higher than they were two years ago. The costs of electronics components are ever increasing.”

Jürgen Sahtel, Manager of the ATOM Vehicle Marketplace, agrees that the prices have gone up over the past two years. 

“For example, hardware prices for the new Segway models have increased more than 40% over the last 16 months. And this trend is across all manufacturers – new scooters could be obtained starting from 650EUR and up, while more advanced models readily available in EU are priced at around 1000EUR per unit.”

The hardware is one of the biggest up-front investments that a scooter operator faces. But it's also critical to balance cost with quality, as you need to be so resilient that it can withstand public use over the course of 2-4 years. 

Expanding regulation

When the e-scooter sharing industry took off, the industry was so fresh that there wasn't any regulation in place to keep it in check. It was the wild west, and operators were able to take advantage of the regulatory grey area. 

Now, municipalities are starting to crack down on the industry and putting laws into place. Regulation, overall, is a good thing. However, the way it's done now shows a lack of understanding about the unit economics and its regulation that is being enacted.

“Most municipalities are limiting the size of a fleet that one scooter competitor can have. Their goal is to reduce the amount of scooter clutter on the streets. But that number is often too low to ensure what we call “natural floating” – the process of humans moving the scooters around the city. This puts a larger strain on relocation and charging teams.”

Other burdens placed on scooter brands is the stricter demarcation of allowable parking zones. This is a factor that impacts relocation teams – those responsible for bringing scooters from less popular zones back to city centers and transport hubs. Additionally, mandatory tenders with the municipality are usually offered only for one year, making planning rather difficult.

A new trend that Heiko mentions seeing from a regulatory perspective is the emergence of mandatory insurance. 

“Scooters used to be classified as bikes, and thus, similarly regulated. Now, they're being reclassified as motored vehicles, which have different regulatory requirements, including mandatory insurance.” 

This further skews the unit economics of each ride.

On the other hand, regulation can also play an enabling factor. Heiko shares that if tenders could be extended for, say, 3 years, it could provide scooter brands with planning stability. If municipalities limited only 2 competitors in a city, this would ensure enough demand to make the unit economics work.

Finding profitability in unlikely places – Bullride's unique business model

Heiko believes that the future lies in the shared economy. He's among the 4 co-founders of Bullride, an investment platform that shoulders the burden of the hardware investment and splits the scooter rent with the operating brand.

How does it work? 

  1. The Bullride platform crowdfunds the costs of the initial scooter investment. These people become your investors. Instead of giving away equity (ownership) of your company, they end up “owning” one of your scooters (1 scooter = 1,000 EUR). 
  2. The order is made into one of the top scooter manufacturers that have the best longevity – Bullride does this for you.
  3. You split the rental income – 55% for you, 30% for investors, 15% for Bullride.

The idea works for a number of reasons. 

  1. You'll need money. A bank is unlikely to fund a scooter venture (because of historically low profitability), and a VC will ask for equity. This way, you get the investment, while retaining full control.
  2. Bullride has very specific requirements. They know what works, and what doesn't. They only work together with entrepreneurs that meet their very strict requirements. That includes entering a city that has no more than 2 competitors, and a city that has no more than 100,000 inhabitants. 30,000 is the ideal sweetspot. You also only have one employee – and that's you. 

The operating brand then may use a leading vehicle-sharing platform ATOM Mobility, to fast-track their time to market. ATOM takes profitability even further with its unique pricing model. Instead of the common model of cost-per-vehicle, ATOM uses a cost-per-ride model. That means that if you have less demand (and as a result, less income) in a certain month, then you pay less for use of the ATOM platform. 

But scooter sharing is just the beginning. This same model, Heiko believes, can be applied to e-bikes, e-scooters, carsharing, even wind turbines and major investments like that. Why shouldn't a community be able to jointly invest in and co-own the infrastructure that they need to live? 

This is a unique model that hasn't been commonly seen elsewhere. It's more than just scooters – Bullride believes that at the heart of it, what they're doing is democratizing asset ownership.

If you're looking to launch or scale your own vehicle-sharing business, contact the ATOM Mobility team to learn more abut this opportunity.

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Micromobility fleet vehicles: Types, features & best use cases
Micromobility fleet vehicles: Types, features & best use cases

🚲 🛴 E-scooters or e-bikes? Docked or dockless? Every vehicle choice shapes the success of your micromobility business. In this new article, we break down the key micromobility fleet vehicles – their features, best use cases, and how to match them to your city profile. Plus, how ATOM Mobility helps operators manage both scooter and bike fleets in one platform.

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Operators entering the micromobility space today face one major early decision: which vehicles to deploy. Your fleet type affects user experience, operational costs, maintenance needs, and regulatory compliance. Whether you plan to launch e‑scooters, e‑bikes, mopeds, or a mixed fleet, each vehicle category serves a different purpose.

This guide covers the main micromobility fleet vehicles – bike, e‑bike, kick scooter, e‑scooter, moped, and e‑moped – along with their features, common manufacturers, docking options, and ideal use cases.

Understanding the vehicle types

Bike (mechanical bicycle) A standard pedal bicycle with no motor. In shared fleets, mechanical bikes are simple, durable, and cost‑efficient. They require minimal electronics and are ideal for cities with strong cycling infrastructure. They generate lower maintenance costs but depend entirely on rider effort. Normally, user demand for this type of bike is also lower, thus operators can expect lower RPV rate (rides per vehicle per day).

E‑bike (electric bicycle) An electric bike combines pedal power with an electric motor that assists the rider. E‑bikes allow longer trips, easier hill climbing, and broader user appeal. Typical shared e‑bike trips range between 5–10 km. They cost more upfront but often generate higher revenue per ride. Many fleet operators source models from manufacturers such as Segway‑Ninebot, Okai, and Yadea. You can explore available e‑bike hardware options on the ATOM Mobility vehicles page: https://www.atommobility.com/vehicles.

Kick scooter (non‑electric scooter) A kick scooter is manually powered by pushing off the ground. While less common in commercial shared fleets today, they are still used in some controlled campus or tourism environments where low speed and low complexity are priorities.

E‑scooter (electric scooter) E‑scooters are lightweight, battery‑powered vehicles designed for short urban trips, typically under 4 km. They are highly flexible and well suited for dense city centers and first‑mile/last‑mile transport. Modern fleet models include swappable batteries, improved braking systems, suspension upgrades, and integrated IoT modules. Popular manufacturers include Segway‑Ninebot, Okai, and Navee that can also be found at ATOM Mobility. 

Moped (fuel‑powered light motorcycle) A moped is a small motorized vehicle traditionally powered by gasoline, offering higher speeds and longer range than bikes or scooters. In shared mobility, fuel mopeds are becoming less common due to emissions regulations but still operate in some regions.

E‑moped (electric moped) An e‑moped is an electric version of a traditional moped. It provides longer range and higher speed than e‑scooters, often up to 45 km/h depending on local regulations. E‑mopeds are ideal for suburban areas or cities with longer commuting distances. Manufacturers such as NIU, Silence, Super Soco, and Yadea dominate this segment. 

The table below provides a general comparison of the most common shared mobility vehicle types, including typical purchase prices, expected service life in commercial fleets, and average utilization (rides per vehicle per day). Actual figures vary depending on manufacturer, market, operating conditions, and fleet maintenance.

Shared mobility fleet economics: purchase price, lifespan, and rides per vehicle per day, comparing bikes, e-bikes, e-scooters, and mopeds.
Vehicle Purchase price (new) Purchase price (used) Fleet lifespan Rides per day (RPV)
Mechanical bike €300–500 €100–300 5–8 years 1–3
E-bike €900–1,300 €400–800 4–8 years 2–5
E-scooter €500–1,200 €200–600 3–8 years 3–6
Fuel moped €1,500–2,500 €700–2,000 4–7 years 2–5
E-moped €1,800–2,500 €700–1,500 4–7 years 2–5

Approx. new purchase price – The typical cost of purchasing a new commercial-grade vehicle for a shared mobility fleet. Prices vary depending on the manufacturer, hardware specifications, battery capacity, IoT integration, and fleet order size.
Approx. used purchase price – The typical market price of a pre-owned commercial vehicle suitable for shared mobility operations. Factors such as vehicle age, mileage, battery health (for electric vehicles), overall condition, and refurbishment status significantly influence the price.
Typical fleet lifespan – The average period a vehicle remains economically viable in a shared mobility fleet before being retired or replaced. Lifespan depends on ride frequency, maintenance quality, weather conditions, road infrastructure, vandalism, accidents, and how intensively the fleet is operated.
Average rides/day/vehicle (RPV) – Rides Per Vehicle per Day (RPV) is one of the most important performance metrics for shared mobility operators. It measures the average number of completed trips each vehicle performs daily. Higher RPV generally leads to better fleet utilization, faster return on investment, and improved profitability. Actual RPV varies depending on vehicle type, city size, demand, seasonality, pricing strategy, fleet availability, and operational efficiency.

Docked vs dockless infrastructure

Beyond vehicle choice, parking strategy matters. Dockless fleets offer flexibility but may create parking compliance challenges. Docked systems use physical stations that improve order, security, and charging efficiency.

Several manufacturers specialize in docking and locking infrastructure, including KNOT CITY (which recently is out of market), and Kuhmute. These docking systems can improve vehicle organization, reduce vandalism, and simplify charging logistics for e‑bikes and e‑mopeds.

E‑scooters: Best for dense urban zones

E‑scooters work best in compact city centers, student districts, and areas with high short‑trip demand. They require less parking space and are faster to deploy. However, they demand consistent maintenance and battery management.

E‑bikes: Broader demographic appeal

E‑bikes provide greater comfort and stability, making them suitable for older users, tourists, and riders carrying bags. They perform well in cities with established cycling lanes or moderate hills. Although more expensive than scooters, they often achieve longer ride durations and stronger customer loyalty.

E‑mopeds: Extended range and higher revenue potential

E‑mopeds are suitable for cities with wider geography or suburban commuting patterns. They typically deliver higher revenue per trip but require licensing compliance and more robust fleet management.

Matching vehicles to city profiles

Tourist cities often benefit from e‑bikes due to comfort and sightseeing suitability. College towns frequently lean toward e‑scooters because of affordability and convenience. Larger or hilly cities may support mixed fleets. Suburban zones often justify e‑mopeds for longer travel distances.

Climate also influences hardware decisions. Wet or cold regions require sealed wiring, water‑resistant components, and tires suitable for slippery conditions.

Planning your hardware strategy

Choosing the right fleet is not only about vehicle type. It involves sourcing reliable manufacturers, evaluating docking options, understanding regulatory requirements, and planning maintenance cycles. Reviewing available hardware categories through ATOM Mobility’s vehicles directory can help operators compare models and integrations before committing to a large fleet purchase.

The most successful operators treat fleet composition as flexible. They start with one category and expand based on usage data, seasonality, and rider behavior. A balanced hardware strategy allows adaptation without replacing the entire fleet.

ATOM Mobility supports mixed fleets – including e‑scooters, e‑bikes, and e‑mopeds – within one platform, covering booking, payments, hardware integrations, and analytics. This allows operators to scale gradually while maintaining operational control.

Vehicle choice is not static. As cities evolve and regulations tighten, operators who understand their hardware options and adapt quickly are better positioned for long‑term growth.

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How to launch a taxi business without building everything from scratch
How to launch a taxi business without building everything from scratch

🚕 Getting drivers on the road is not the only thing you need to launch your taxi business. Many new platforms struggle with the same problem – drivers with no demand and riders with no available drivers. Building both at the same time is where most launches fail. This article introduces the key steps to launch a taxi business and avoid the most common mistakes.

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Launching a taxi business today takes more than having drivers. It requires a system that can attract riders, onboard drivers, manage bookings, process payments, and keep daily operations running smoothly as demand grows.

The ride-hailing market is growing fast, while customer acquisition is getting more expensive and more competitive. Technavio estimates the global ride-hailing market will grow by more than $102 billion between 2024 and 2029, which creates room for new operators, but also raises the cost of visibility, paid acquisition, and brand differentiation in crowded markets, according to this ride-hailing services market forecast.

Many operators now launch faster by using ready-made tools instead of building every part from scratch. ATOM Mobility has already helped operators launch mobility businesses in as little as 90 days through a phased rollout covering market validation, legal setup, branding, driver onboarding, and launch execution.

But how to actually launch your business, if you’re not willing to do everything from scratch?

1. Start with a market gap, not with the app

Most taxi businesses do not fail because the app is missing a feature but because there is no clear reason for customers to switch. Before choosing software or recruiting drivers, define where your opportunity is. That could mean:

  • poor service in smaller cities
  • premium airport rides
  • business travel
  • women-only rides
  • scheduled transport
  • local business transport partnerships

This matters more than most expect. Your pricing, branding, driver experience, and customer acquisition all depend on the niche you choose. That is why defining a clear angle early matters, especially in crowded markets.

2. Get legal and operational basics in place

A taxi business is still a regulated business. Before launch, you need to set up the basics properly:

  • business registration
  • local taxi or ride-hailing permits
  • insurance
  • driver requirements
  • vehicle checks
  • payment compliance

Skipping this part slows everything down later.

This is also the stage where many founders underestimate operating costs. Beyond software, you will need to plan for driver incentives, support, payment processing, and customer acquisition. That is one reason many operators now launch with white-label software instead of funding a custom build from day one.

3. Launch with ready-made software, not custom development

Building a taxi app from scratch is expensive (in many cases we see it costs more than 30 000 -50 000 EUR), slow (takes many monhts), and usually unnecessary. To launch a working taxi business, you need:

  • rider app
  • driver app
  • dispatch logic
  • payment system
  • admin dashboard
  • support tools
  • analytics
  • integrations

Most early-stage operators do not need to build these systems themselves but a working infrastructure they can brand and launch quickly. That is why many operators start with ATOM Mobility, where the full system already includes rider and driver apps, dispatch tools, payments, analytics, integrations and backend operations in one platform. This is the same logic behind building a branded taxi service with white-label software instead of spending months on custom development.

Driver app by ATOM Mobility

4. Make driver onboarding simple from day one

Driver onboarding needs to be fast and easy enough that drivers can register, upload documents, get approved, and start working without delays. But if onboarding takes too long, drivers drop off before they complete their first ride.

A strong launch setup should include:

  • fast registration
  • document upload
  • quick approval flow
  • simple earnings tracking

This is also where the ATOM Mobility driver app becomes important, since it gives drivers one place to accept rides, navigate, manage earnings, and stay active without switching between tools.

5. Give users more than one way to book

Many taxi businesses still focus only on app installs but that is a mistake. Not every rider wants to download an app before booking a ride. This is especially true for airport pickups and tourists in general, hotel guests, older riders, and occasional users. That is why booking flexibility is important. Alongside mobile apps, many operators now add browser-based booking so riders can order without installing anything.

This is what ATOM introduced with its Web Booker for ride-hail, which gives operators a simple way to capture web traffic, direct bookings, and one-time users without forcing an app download.

Web booker by ATOM Mobility

6. Build supply and demand at the same time

You need both, drivers and riders, to be interested in your service from day one – drivers will not stick around without rides and riders won’t pick you if there are no available drivers.

That means:

  • recruit drivers before launch
  • pre-seed rider demand
  • test dispatch density
  • launch in one focused zone first
  • avoid expanding too early

This is one reason local launches tend to perform better than city-wide launches. Smaller launch zones create stronger supply-demand density and better first user experience.

7. Plan marketing before launch, not after

Most taxi businesses fail because not enough people know they exist, not because they lack great technology. Founders often spend months building operations, then treat marketing as something to figure out later, which can become an aspect in which the expenses start rising fast.

You need:

  • launch campaigns
  • local paid ads
  • rider promos
  • referral loops
  • landing pages
  • retargeting

ATOM now offers a dedicated marketing agency for mobility businesses, built specifically for operators who need help acquiring riders, running paid campaigns, and building predictable demand. Without consistent rider acquisition, even a strong product struggles.

8. Think beyond taxis from the start

Many operators launch with taxis first, then expand into extra services once demand is stable.

That could mean:

  • airport transfers
  • scheduled rides
  • delivery
  • business transport
  • shuttle services
  • car sharing or rental
  • micromobility

This is one of the strongest advantages of launching on flexible mobility software. You are not building a single-use taxi app but a mobility platform that can grow. That is also why ATOM’s ride-hailing platform was built to integrate with broader shared mobility services instead of staying limited to one transport model.

If you’re launching a taxi business, building the right system usually is more important than building a software from scratch. The strongest operators start with a clear market gap, launch with ready-made tools, onboard drivers quickly, give riders flexible booking options, and invest in demand early.

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