A holistic approach to shared micromobility fleet development

As cities around the world continue to face rapid urbanization and changing demographics, the need for innovative urban transportation solutions has become more urgent. Shared micromobility systems, including bicycle and scooter-sharing programs, are emerging as strong contenders in addressing these challenges. But what factors influence the growth and sustainability of these fleets?

Researchers at the University of Natural Resources and Life Sciences, Vienna, and Institut Teknologi Sumatera, Indonesia, set out to explore the dynamics behind shared micromobility fleet development.

By utilizing a system dynamics modeling approach, they examined how fleet size, user demand, regulatory policies, and economic factors interact to shape the success of these systems.

They published their study on 13 November 2024, in Communications in Transportation Research.

Their findings suggest that financial incentives, such as fee reductions and government subsidies, can significantly increase user adoption and profitability, while operational fees need careful management to maintain service appeal. This research provides valuable insights for policymakers and operators looking to optimize micromobility systems and promote more sustainable urban transportation.

“We developed a comprehensive system dynamics model to investigate the intricate growth and management dynamics of shared micromobility fleets, considering key factors such as fleet size, user demand, regulatory frameworks, and financial incentives,” explains Shahnaz Nabila Fuady, researcher at the Institute for Transport Studies, University of Natural Resources and Life Sciences, Vienna.

“Our model uses simulations to test various policy scenarios—ranging from fee reductions and government subsidies to increased operational fees—to offer strategic insights for optimizing fleet sustainability and urban mobility systems.”

Policy measures and their influence on fleet sustainability

The study highlights the powerful impact of financial incentives on shared micromobility systems. For instance, policies that reduce user fees or introduce government subsidies lead to significant increases in user adoption and fleet profitability.

These measures were found to improve both access and service attractiveness, fostering greater demand across urban populations. In contrast, policies that increase operational fees require a delicate balance, as they can negatively impact user demand and threaten the financial viability of fleet operators.

“Striking the right balance between operational costs and service attractiveness is crucial. We found that fee reductions attract users, while stricter fleet regulations and higher fees can limit service flexibility, particularly in highly regulated environments,” Fuady adds.

The role of regulations in fleet management

The research also demonstrates that public engagement and regulatory frameworks play a significant role in shaping micromobility systems. Political pressure to regulate often arises from negative consequences such as traffic violations or public dissatisfaction with micromobility services. This pressure, in turn, leads to fleet size restrictions, creating a balancing act between service accessibility and regulatory control.

“We observed that the imposition of strict regulations, such as fleet caps or operational limits, can curb service expansion, while policies that support operational flexibility, such as subsidies, drive both user growth and system sustainability. It’s essential for policymakers to consider these dynamics when designing future urban transport strategies,” says Fuady.

Sensitivity analysis reveals critical factors for success

The study conducted sensitivity and uncertainty analyses to identify the most critical parameters for managing fleet growth effectively. Variables such as fleet size elasticity, user demand patterns, and financial reinvestment strategies emerged as key elements influencing the long-term success of shared micromobility systems.

“Our sensitivity analysis underscores the importance of proactive fleet management and financial planning. For instance, increasing the reinvestment of revenue into vehicle acquisition significantly boosts system capacity, while neglecting such investments can lead to stagnation or decline,” Fuady notes.

This research provides actionable insights for both policymakers and micromobility operators, offering a pathway to more sustainable, efficient, and user-friendly urban transport solutions. The findings serve as a crucial guide for cities looking to integrate shared micromobility services into their broader transportation ecosystems.

The study is part of a collaborative effort aimed at advancing urban mobility research and developing practical solutions for future transport challenges.

Provided by
Tsinghua University Press