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Innovative Technologies and Business Models are Driving a B2C and P2P Market Transformation
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In the past, several carsharing companies have commenced operations in Latin America and have launched solutions that focus on the business to consumer (B2C) and the peer-to-peer (P2P) models. However, due to several challenges—ranging from low technological adherence by users and companies and problems in terms of reducing fixed and operational costs—many of these companies ended their operations or started operating through a business model that was more focused on corporate solutions.Despite all this, the Latin American carsharing market has been able to sustain growth. Although the COVID-19 pandemic impacted the use of these services for approximately 6 months during 2020, this growth continues to be sustainable and is gaining strength every day.At present, most carsharing companies are developing their technologies in-house as opposed to acquiring them from partner companies—such companies are becoming a benchmark and are attracting the attention of companies from other segments, which allows their technologies to be offered as a service instead of being used for operational purposes only.This Frost & Sullivan study analyzes B2C and P2P services in the Latin American carsharing market (forecast up to 2025). It includes an analysis of current business models, fleet size, number of vehicles registered on B2C and P2P platforms, revenue, and a detailed business model analysis of key carsharing companies (12 companies that operate either through the B2C model or the P2P model).In terms of geographic breakdown, the study considers the following countries—Brazil, Argentina, Chile, and Colombia. The B2C (traditional model) includes round trips, free-floating services, and one-way services, while the P2P service involves the rental of private vehicles—either by the hour, the day, or the month—through a third-party operator through the Web or a mobile platform. B2C and P2P innovations are examined, the impact of the COVID-19 pandemic on the market is analyzed, and operator profitability is discussed. Market growth drivers and restraints alongside pricing trends, competitive environment, and market share are examined. The study concludes with growth opportunities and recommendations that market participants can leverage.Author: Guira Barretto
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