How to develop an effective marketing strategy for your vehicle-sharing business
December 28, 2023
min. read
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Marketing in the mobility business is unique because your fleets – be it scooters, bikes, cars, or mopeds – are like a flexible billboard moving all over the city. Whenever someone chooses your service, they essentially parade it around town like a brand ambassador, and even when your fleet is stationary it attracts significant attention as people constantly see it on the streets.
In other words, urban mobility businesses enjoy high brand awareness.
Still, for mobility entrepreneurs, this is the norm. Namely, it's an industry baseline that everyone benefits from and it won't necessarily help you gain more customers, outperform competitors, and boost business.
To do all of those things, you still need an effective marketing strategy that reaches the right audiences and activates users.
Understanding your target audience
Vehicle-sharing customers are diverse, as are their motivations for using the services. Since you're likely operating in a very specific market, i.e. a particular city or region, it's critical to identify and understand your target audience and the different segments to not only reach and speak to the right people, but also avoid wasteful ad spend.
Determining who you're marketing to will also help you in defining the messaging and channels you use, which are key for successful campaigns.
1. Differentiating between B2C and B2B segments
The broadest categories are business-to-consumer (B2C) and business-to-business (B2B). While most people associate vehicle sharing with B2C, e.g. a person zooming on a scooter down a bike lane to make an appointment, the reality is that the far-less-visible B2B segment is thriving with initiatives like corporate car sharing schemes.
The messaging for these two – the individual on the scooter and the CEO looking to offer a convenient mobility solution to their employees – will vary greatly. Different pain points, motivations, and use cases mean that you must adapt how you talk to each segment and differentiate between the two from the get-go. That is, if you're looking to target both.
2. Conducting market research to define customer personas
Whether you're focusing on B2C, B2B, or both, you should research who are the people using/buying your services. The goal is to have your marketing efforts reach the right people, and by digging into the background of your customers, you'll gain an understanding of who they are.
To do so, dive into demographics (age, gender), use cases (how, when, and why they travel), and price sensitvity (how much they spend, do discounts affect their decisions), among other things. Companies often craft user personas by putting all of this information together and creating a profile of the average customer, which they then use to develop their messaging.
Do note that if multiple dominant categories emerge, it's completely normal to have 2-3 user personas. Plus, these can evolve over time, so make sure to conduct ongoing research and refine it according to new data.
Finding the right marketing channels
Once you know who you're targeting, it's important to find out where these people are to reach them in the most effective way possible. If your primary customers are college students, you're unlikely to find them on Facebook.
Generally speaking, we can split the marketing channels into two categories – online and offline.
Online channels
Nowadays, digital marketing is where the bulk of action happens.
Social media platforms offer a fantastic opportunity to reach your specific audience, as they typically allow advanced targeting. By narrowing down various parameters, such as location, demographics, and even related preferences (the factors we defined when creating user personas), it's possible to have very cost-effective ads that generally reach the people who are most likely to convert. Collaboration ith influencers is also an increasingly effective strategy.
However, you must carefully consider which platforms to advertise on. B2C content will thrive in places like Instagram, but, if you're targeting CEOs and CPOs for B2B services, LinkedIn may prove to be a better fit. It's extremely difficult to accurately predict which platform will perform best, hence it's wise to have a presence on multiple platforms, and allocate budgets according to observed returns.
Search engine and content marketing is another avenue worth exploring – think of it as your company showing up as the first result when somebody searches for a keyword relevant to your business, e.g. “best car-sharing in (city)”. This can be paid, where your website or app appears as a sponsored result. Or it can be organic, where you produce valuable content that ranks highly on search engine result pages.
Organic content may take longer to deliver results, however, it can offer greater long-term return on investment (ROI). For example, if your city is a burgeoning tourist destination, you can create a guide on how to get around the city and include your services as one of the best ways to do so.
Display advertising is another paid channel and, in essence, it entails paying partners to place ads/banners of your services on their website. For display advertising to succeed, finding the right partners is key. For example, it might make more sense to have your car-sharing service banner appear on a local tourism page or a student club website than a clothing e-commerce store.
You'll find further digital marketing opportunities with email marketing, referral programs, push notifications and more. With online advertising, experimentation is critical – test various methods and platforms to explore what brings the greatest ROI.
Offline channels
Offline channels include things such as traditional media (TV, radio, print), outdoor advertising, as well as partnerships and sponsorships. These can complement a strong digital marketing strategy, particularly as it relates to standing out among the competition.
Fostering brand awareness is its strong suit, as offline advertising typically struggles with driving direct conversions. That is, a bus stop poster may not give you immediate app downloads, but its primary value lies in your business being top of mind when the potential customer is looking for a mobility solution.
Of course, you don't have to – nor should you – go all-in on a single channel. Rather you should dabble in multiple to see what works, and then double down on the most effective channels.
Allocating ad spend effectively
The goal of any marketing effort is to invest $1 and get more than $1 in return. Working with a limited budget means you must carefully manage your ad spend to get the most out of it.
First, you should define measurable goals for your marketing campaigns. Setting key performance indicators (KPIs) allows you to measure the success of your campaign. These KPIs – e.g. app download, website visit, account creation, first ride, user activation – can vary between channels, platforms, and campaigns, however, they should always be conducive to achieving your business goals.
With clear goals, you can evaluate performance. Investing in various channels and seeing how they perform will provide you with insights about which should be left alone, and which are the more lucrative ones that demand prioritzation.
Still, here are some things to keep in mind:
- Adapt your campaigns to each platform. A video of a teenager dancing around your scooter might do great on TikTok and flop on LinkedIn.
- Take into account that vehicle-sharing, and e-scooters in particular, can be a very seasonal industry and your marketing goals should reflect that.
- Your campaigns should become more effective over time as you gather more data, so don't get discouraged early on.
- Always tackle low-hanging fruits first, namely, the opportunities that give you the most returns with the least amount of effort.
Effective ad budget allocation is a balancing game that you will get better at with experience. Early on, it's about defining achievable goals and finding the easiest way to reach them.
Making use of ATOM Mobility's features for marketing
Best-in-class software platforms for mobility, like ATOM Mobility, should offer various tools that help you along in your marketing journey.
For example, ATOM Mobility can inform your overall strategy with the comprehensive analytics business owners can find in their dashboard. Ride and customer data, statistics and heatmaps, reports and insights can all help you get a better grasp of who is using your services and where. This, in turn, may aid in defining user personas and ensure you don't have to start your marketing from scratch.
More directly, ATOM Mobility also offers inbuilt advanced marketing tools:
- Loyalty and referral programs that drive word-to-mouth marketing,
- Integrated email marketing, in-app messages, and push notifications that help stay top of mind and re-activate existing users,
- Discounts, promos, and bonus zones that appeal to deal-chasing customers.
This article has mostly focused on customer acquisition, however, retention and activation should also have a prominent place in your strategy. By leveraging your own organic communication channels – your app, email subscribers, social media – you can increase customer lifetime value, boosting revenue at low expense to yourself.
Level up your mobility business
A well-executed marketing strategy can elevate your business. Putting one together takes effort and resources, but it can be the difference between struggling to make ends meet and a thriving mobility enterprise.
So, identify your customers, target them where they hang out, iterate and optimize. And make sure to use tools and platforms that help you along the way.
Interested in launching your own mobility platform?
Click below to learn more or request a demo.
Blog
Who does carsharing better – OEMs or start-ups?
🚗📉 Why do big car brands struggle in carsharing while independent startups thrive? OEMs like Volvo and SEAT have shut down, but new players like Kia are stepping in with smarter strategies. Meanwhile, independent operators like GreenMobility are scaling fast. 🔍 What’s the secret to success in carsharing? It’s all about adaptability, cost control, and tech partnerships.
February 7, 2025
min. read
Who does carsharing better – OEMs or start-ups?
The carsharing industry is at a crossroads. Once hailed as the future of urban mobility, it has seen a mix of success and failure, with some players thriving and others closing shop. So we ask: why do some carsharing ventures fail while others continue to grow? And more importantly, what does it take to run a sustainable and profitable carsharing business in today’s competitive landscape?
Recent developments have been telling. Two OEM-backed carsharing ventures have recently shut down, while independent operators continue to expand, and a new entrant – Kia – has just launched its own service. This article takes you into the challenges, key success factors, and the evolving role of technology in the industry.
OEMs vs. startups: What's the difference?
Before diving into specific cases, it’s important to clarify what OEMs (Original Equipment Manufacturers) are and how they differ from startups. OEMs are traditional car manufacturers – companies like Kia, Volvo, or Ford – that primarily produce and sell vehicles under their brand names. Some OEMs have expanded into mobility services, including carsharing, but often struggle because their main focus remains on car sales.
In contrast, startups and independent operators like GreenMobility are built from the ground up as mobility service providers. They don’t manufacture cars but instead focus entirely on the carsharing experience, optimizing operations, technology, and customer service. This difference in core focus often determines success or failure in the carsharing industry.
OEM carsharing ventures
Automakers have long recognized the potential of carsharing as a way to diversify revenue streams, enhance brand loyalty, and explore new mobility business models. However, history has shown that simply putting cars on the streets and creating an app isn’t enough to make carsharing work.
Several OEM-backed carsharing services have struggled to maintain profitability. Volvo’s Volvo On Demand recently announced its closure as part of a broader strategy to optimize costs. Similarly, SEAT ceased operations at the end of 2024 due to declining demand and rising operational costs (€31 million total losses, with €11 million lost in 2023 alone, against a turnover of €16 million).
The challenges OEMs face in carsharing stem from several factors:
- High operational costs: Fleet management, maintenance, insurance, and parking fees add up quickly.
- Consumer behavior: Unlike leasing, carsharing requires a behavioral shift from users, who must plan trips around vehicle availability.
- Integration challenges: Traditional automakers are structured around car sales, not service-based mobility solutions. This makes it difficult to operate carsharing efficiently.
However, these closures don’t necessarily mean that carsharing itself is an unsustainable model. Instead, they highlight the need for a different approach – one that independent players are executing more effectively.
New entrants and independent operators
While OEM carsharing ventures struggle, independent operators like GreenMobility are experiencing growth. Unlike traditional automakers, these companies are built from the ground up as mobility service providers, allowing them to operate more efficiently.
GreenMobility’s growth can be attributed to:
- A laser focus on carsharing: Unlike OEMs, which juggle multiple business lines, independent companies dedicate their entire strategy to optimizing the carsharing experience.
- Smart cost control: Leveraging technology for fleet management and maintenance allows them to run lean operations.
- Strategic market selection: Choosing the right cities with high demand and favorable regulatory environments plays a huge role in their success.
By leveraging a digital-first approach, these companies are able to optimize vehicle utilization, reduce operational costs, and offer a seamless user experience—something OEMs often struggle to achieve.
Does KIA’s entry in carsharing bring new hopes?
Amidst the shifting landscape, Kia has entered the carsharing market with its new service, Hyr & Dela. Unlike previous OEM carsharing attempts, Kia's model focuses on businesses rather than individual consumers. This service allows companies to rent vehicles on a monthly basis and share them among employees, partners, or customers via a digital platform.
Why does this approach make sense?
- Higher vehicle utilization: By targeting businesses, Kia ensures that its vehicles are in use more frequently than traditional consumer-focused carsharing models.
- Fleet management efficiency: A B2B-focused model allows for easier scheduling, tracking, and maintenance planning.
- Electric vehicle (EV) adoption: Kia’s service aligns with the growing trend of businesses adopting EVs for sustainability goals.
If executed well, Kia’s corporate-focused carsharing model could prove to be a sustainable business approach, avoiding many of the pitfalls that plagued previous OEM carsharing attempts.
5 lessons we have learned from this
So, what can current and future carsharing ventures learn from these experiences?
1. Adaptability is key
Rigid business models and a lack of flexibility are major roadblocks to success. Carsharing services need to be highly adaptable, leveraging data to adjust pricing, fleet locations, and service offerings dynamically.
2. Cost management determines longevity
Carsharing is a capital-intensive business. Operators need to optimize fleet efficiency, reduce downtime, and control maintenance and insurance costs. This is where independent operators often outperform OEMs, as they are more agile in managing expenses.
3. Technology is a game-changer
A carsharing platform is only as good as its technology. Companies partnering with mobility tech providers like ATOM Mobility can benefit from advanced booking systems, automated fleet management, and data-driven decision-making—key elements for a seamless and cost-effective service.
4. Market selection matters
Choosing the right city or region for carsharing is crucial. Factors like public transportation integration, parking regulations, and urban population density can make or break a carsharing business.
5. OEMs need a service-oriented mindset
Carsharing is not just about providing access to vehicles—it’s about service excellence, convenience, and user experience. For OEMs to succeed, they need to rethink their approach and adopt a more customer-centric mindset.
The future of carsharing
The carsharing industry is at an inflection point. While some OEM-backed services have faced hurdles, independent operators like GreenMobility and strategic initiatives like Kia’s Hyr & Dela show that success is still possible with the right approach. The key lies in adaptability, cost control, technology integration, and market focus.
As the industry continues to evolve, Kia’s entry into corporate carsharing is an exciting development. With a smart strategy and strong execution, they have the potential to carve out a successful niche in the market.
We’ll be keeping an eye on Kia’s progress and, in the meantime, wishing them the best of luck in their new venture. Let’s hope they are here to stay!
Blog
How to find your niche in the competitive ride-hail market: real-world examples of businesses that resonate
💡Want to break into the ride-hail market but don know what’s your angle and how to make yourself visible in an already packed field? Check out how InDrive, BLACWOLF, and COMIN found their unique angles to thrive in a competitive space! 🚗
December 18, 2024
min. read
The ride-hail market is crowded, fiercely competitive, and often dominated by household names like Uber and Bolt. But don’t let the giants fool you into thinking there’s no place for you. With some creative thinking and a unique angle, you can get on the road quite quickly. The secret? Finding the one thing that sets you apart from others. Let’s explore how some notable players (both veterans and newcomers) have done just that.
InDrive: A pioneer in price negotiation
🔹 Over 200M downloads, active in 700+ cities across 45+ countries
🔹 Unique feature: Set your price - Riders offer a fare, and drivers can accept or negotiate!
🔹 Drivers pay no commission, just a small monthly subscription, giving them better earnings.
🔹 Unique market entry: Initially free usage for drivers (no commission, no subscription).
Before we discuss the latest players, let’s revisit InDrive, a company that entered the market years ago with an approach that sounds almost too simple to work – offer your price.
The idea is straightforward. Instead of accepting a fixed fare, riders suggest how much they’re willing to pay. Drivers, in turn, can accept, counter, or reject the offer. It’s a dynamic that mirrors haggling at a bazaar but digitized for the modern commuter.
This model resonated. Riders felt empowered, and drivers appreciated the flexibility, especially in sensitive markets where fair pricing is a concern. InDrive rapidly scaled across emerging markets like Latin America, Russia, and Southeast Asia, regions where affordability and negotiation are cultural norms.
The takeaway here? InDrive’s “offer your price” model wasn’t just a fun gimmick, but a solution tailored to specific markets and demographics, offering fair rides to anyone who needs it. If you’re entering the ride-hail space, ask yourself: what unique cultural or social nuance can you leverage to disrupt the market in the region?
BLACWOLF: The armed and ready approach
🔹 Unique feature: Focus on rider security with armed & trained drivers 🛡️
🔹 Launched in Atlanta (2023), now expanding across Arizona, Florida, Georgia, Tennessee, and soon Houston, Austin, and Dallas!
🔹 Over 300K downloads in just 1.5 years.
Now, let’s fast-forward to the present and head to the U.S., where BLACWOLF has entered the scene (launched in Atlanta, 2023), now expanding across Arizona, Florida, Georgia, Tennessee, and soon Houston, Austin, and Dallaswith an eyebrow-raising twist: drivers who carry firearms.
BLACWOLF was launched in response to concerns over driver and passenger safety. Their USP (unique selling proposition) is ensuring peace of mind through armed drivers. As their slogan says, “We didn't reinvent ride-hailing; we just made it safer.”
As controversial as it sounds, it’s resonating in specific markets like Houston, where personal security is a priority for many.
This approach has gained traction, especially among passengers who prioritize safety or feel underserved by existing ride-hail platforms. Of course, it’s not without its challenges. Regulatory hurdles and liability concerns spring to mind; however, BLACWOLF is scaling rapidly, proving that a polarizing angle can still be a winning one.
Don’t shy away from bold ideas that cater to real pain points. Whether it’s safety, convenience, or cost, identifying an underserved need can help you stand out in a crowded market.
COMIN: France’s bid-for-ride disruptor
🔹 Unique features: Offering a fair 10% commission and Set your price feature (similar to inDrive).
🔹 Quickly onboarded 6,000 drivers, capturing 15% of the market in record time.
Over in Europe, a fresh player called COMIN is shaking things up in France. This newcomer has onboarded 6,000 drivers, taking 15% of the French market almost overnight, a feat that’s turning heads across the industry.
COMIN’s secret sauce? A bidding system that allows passengers to submit offers for rides, giving drivers the choice to accept or negotiate. Yes, it’s like InDrive, but with a hyper-local twist tailored to France’s market dynamics.
To fuel their growth, they’ve also raised €300,000 in seed funding from Station F, Europe’s largest startup incubator. By focusing on one market and perfecting their model, COMIN has avoided doing too much at once—proof that a focused approach often trumps trying to be everything to everyone.
For aspiring ride-hail entrepreneurs, COMIN serves as a case study in starting small but thinking big. Specializing in one region or demographic before expanding can help you gain traction and refine your offering.
The ride-hail market may look like a fortress, but even the strongest walls have cracks. With creativity, boldness, and the right platform to support your vision, there’s no reason you can’t break through and thrive. Are you ready?
How ATOM Mobility can help
So, you’ve got your groundbreaking idea. What’s next? To turn your vision into a reality, you’ll need a robust platform to build on—and that’s where ATOM Mobility comes in.
ATOM provides a ready-made platform for entrepreneurs looking to launch ride-hailing or mobility services. With customizable tools, seamless integrations, and scalable tech, ATOM lets you focus on your unique value proposition while we handle the backend.
Ready to make your mark in the ride-hail world? Join ATOM Mobility today and start your journey!
Driver App demo credentials - Email: test@atom.com, Password: driver
