Mobility as a Service (MaaS): Seamless Transportation Through a Single Platform

Mobility as a Service (MaaS) refers to the concept of offering entire mobility services through a single digital platform. Through a single interface, users can access a variety of transportation options, such as ride-hailing, bike-sharing, car-sharing, and public transportation.

Features including trip planning, booking and payment, real-time updates, and multi-modal connectivity are commonly available on Mobility as a Service (MaaS) platforms. MaaS seeks to maximize mobility by integrating various modes of transportation and offering consumers adaptable, effective travel options.

Electrification and MaaS

In the context of MaaS, electric cars have a number of benefits, such as quieter operation, reduced operating costs, and zero exhaust emissions. Operators may provide consumers environmentally friendly transportation options that help to improve air quality and lower carbon emissions by integrating EVs into MaaS fleets.

According to International Energy Agency, In 2023, nearly 14 million electric cars were registered, bringing the global total to 40 million, a 35% increase from 2022 and six times 2018 levels. Electric cars accounted for 18% of total sales, up from 14% in 2022, with battery electric vehicles comprising 70% of the stock. Electric vehicles, electric scooters, electric bikes, and electric shuttles are just a few of the electric mobility options that MaaS platforms can incorporate. Whether it's a quick trip within the city or a more involved travel across town, this variety of options enables consumers to choose the best form of transportation for their need.

Societal and technical trends enabling MaaS

One underlying trend that makes it easier for MaaS to acquire traction is the growing development and usage of digital technology. Furthermore, another underlying trend that is influencing the transportation sector in such a way that MaaS is now viewed as a more feasible vision than previously is the shifting cultural attitude toward mobility. For example, In United States, Gen Z is less likely to have a driver's license. According to the data from the Department of Transportation, Driver's licenses are no longer valued by Generation Z in the same manner as they were by previous generations. The percentage of 16-year-olds with driver's licenses decreased from around half to a quarter between 1983 and 2022. During this period, the percentage of 18-year-olds with driver's licenses fell from 80% to 60%. Younger Generation Z members (those born between 1997 and 2012) are either postponing or completely opting out of obtaining their license. The proportion of 16-year-olds with driver's licenses has dropped by over 27% since 2000. In the United States, just one out of every 25 licensed drivers is 19 years of age or younger, which is a decrease from more than 20 years ago.

Younger generations are no longer as reliant on using and owning privately owned vehicles. Rather, they are more willing to experiment with different forms of transportation. One could argue that this marks the start of a change in society around transportation. Millennials have the potential to upend the trend of previous generations being more reliant on personal vehicles.

Ride hailing services hold a major market share due to their widespread popularity worldwide

The market is anticipated to be dominated by ride-hailing service types because of their ease, adaptability, and global reach. Easy booking, comfortable travel, scheduling and destination flexibility, and interoperability with public transportation are some advantages of ride-hailing services.

Because ride hailing is an on-demand transportation service, users can schedule rides whenever they need to, without having to wait for set times or locations. Increased traffic congestion, ease of booking, government awareness campaigns, and passenger comfort and convenience are all contributing factors to the growing demand for ride sharing. Since ride-hailing services are now offered in many nations, customers are accustomed to using them and can easily switch to other providers, which can increase the market value of mobility-as-a-service.

Benefits of Mobility as a Service (MaaS)

MaaS ensures inclusive transportation by facilitating mobility for work, education, and leisure. Journey planning is made easier by a straightforward and user-friendly interface that unifies several types of transportation into a single, seamless platform. Because users may effectively optimize their routes, this shortens travel times and increases daily productivity. MaaS lessens dependency on private vehicles by encouraging public transportation and shared mobility, which helps to reduce traffic and improve environmental sustainability. By offering accessible and reasonably priced transportation options to all social groups, it also promotes equity. Additionally, shorter commutes, a cleaner environment, and less stress from travel planning are other ways that MaaS improves people's quality of life. Together, these advantages highlight MaaS as a crucial component for creating intelligent, people-centered, and sustainable urban transportation systems.

For cities, MaaS contributes to greener and more effective cities by lowering carbon emissions, transportation congestion, and infrastructure wear and tear by lowering vehicle miles per person. By maximizing the use of bike lanes, public transportation, and shared mobility networks, it makes the most of the infrastructure already in place and ensures sustainable and affordable urban expansion.

Additionally, MaaS promotes urban real estate development by improving accessibility to parking lots and public transportation, which raises property prices and permits compact, transit-oriented construction. MaaS guarantees that public transportation networks continue to be effective and relevant by enhancing or modifying transit services in response to current demand and user behavior. By combining several forms of transportation onto a single platform, it also promotes more transit usage, making public transportation a more alluring and practical choice for city people.

Key Players in the Mobility as a Service (MaaS) market

• MaaS Global Ltd.: MaaS Global Ltd., one of the leading MaaS operators globally, with its main office in Helsinki, Finland. Founded in 2015, the company offers its users all urban transportation services in one step through the Whim app, the first commercially available fully integrated MaaS solution. Users can use taxis, motorcycles, cars, and other options to go whenever and wherever they like with only one membership.
• Uber Technologies Inc.: Based in California, the United States, Uber Technologies Inc. is a provider of ride-hailing services. It was founded in 2009 and offers services using mobile and web-based technological platforms. Uber links users with ride-sharing services or independent drivers. The business provides airport pickup and drop-off services on all continents.
• FOD Mobility Group: Based in the UK, FOD Mobility Group is a well-known technology provider of consumer and business mobility solutions. It was founded in 2011 and provides cutting-edge platforms such as Mobilleo, a comprehensive Mobility-as-a-Service (MaaS) platform, and Fleetondemand, a worldwide ground transportation service. The company, which operates throughout Europe, helps people and companies access a variety of transportation choices, such as ride-sharing, public transportation, and automobile rentals. FOD Mobility Group is renowned for its expansion and inventiveness, and it keeps changing the worldwide mobility scene.