In India, the number of vehicles on roads, including auto-rickshaws, buses, private cars, motorcycles, and scooters is incredibly high, which can be ascribed to the increased population in the country. This surging number of vehicles on roads is the primary cause for increased congestion on roads, particularly in urban cities, such as Bengaluru, Delhi/NCR, Chennai, and Mumbai. Commuters have to face increased travel-time due to this. Owing to this, the demand for two-wheeler sharing mobility services in India has been growing at a swift pace. 

Two-wheelers can go through traffic in a relatively easy and timely manner, which makes an ideal option in places with high road traffic. Moreover, two-wheeler sharing services are highly convenient for short distance and are much more cost-effective than other shared mobility services such as carsharing. Daily commuters can easily get to their destination in shorter time by making use of these services. Owing to all these factors, the Indian two-wheeler sharing market is predicted to witness substantial growth in the coming years. 

Seeing the necessity of these services in the country, the government is also offering incentives and subsidies for the uptake of these services. Presently, electric vehicles are largely being incorporated in shared mobility fleets in India, which can be ascribed to the surging air pollution levels in the country. Because of this, various companies in the domain are now offering electric scooters and motorcycles, thereby leading to the growth of the industry. 

The Indian two-wheeler sharing market is predicted to generate a revenue of $94.0 million by 2025, increasing from $31.1 million in 2019, and is projected to progress at a 20.2% CAGR during the forecast period (2020–2025), as per a report by P&S Intelligence. On the basis of vehicle type, the market is divided into bicycle and motorcycle/scoter, between which, the market was dominated by the motorcycle/scooter division in the past. 

The division is further predicted to account for the largest share of the market during the forecast period, owing to the expansion of the bike taxi sharing and rental classifications. These services have the capability to solve the first and last-mile connectivity issues in the countries and hence are being adopted extensively. Within the division, the bike taxi category held the major share of the market in in 2019 and is further expected to grow at the fastest pace during the forecast period as well. 

When the geographical scenario is taken into consideration, the Indian two-wheeler sharing market was dominated by the southern region in 2019 and the region is likely to account for the largest share of the market during the forecast period as well. Most of the companies in the domain are present in cities including Hyderabad, Bengaluru, and Chennai. The eastern region in the country is expected to register the fastest growth during the forecast period. 

Hence, the market is growing because of the surging road congestion and need for cheap and convenient means of travelling in India.