The transportation industry has witnessed a massive transformation over the last few years.
Where ride-hailing players like Uber and Lyft continue to progress, the advancements in technology and the social preferences of Millennials in instantaneous access over ownership has shifted the transportation’s paradigm towards a new dawn, MaaS (Mobility-as-a-Service).
The new face of mobility
In simple terms, Mobility-as-a-Service (MaaS) or otherwise known as Transportation-as-a-Service (TaaS), can be defined as the convergence of public and private transportation into a single mobility service platform that provides a more reliable, convenient and sustainable means of transportation for end-to-end journeys. Users can access a variety of travel options from one place and utilize the services on a trip-based or monthly charges.
A shift from shared to owned
Mobility solutions for transportation is likely to advance at an average 14% per year, growing from 22 million vehicles in 2016 to 130 million in 2030. This shift from ownership to the shared ecosystem will showcase how users will no longer be drawn towards owning vehicles rather than accessing the services whenever the need arises.
Channeling the benefits of MaaS
With the growing adoption of IoT, MaaS aims at bringing in increased connectivity that benefits all the involved parties – users, transit agencies and the government. Connectivity assists in amassing a large quantity of data that both private and public transportation can harness to analyze behavior patterns and user demand for improved efficiency. As for the government, they are in a better position to execute better planning and improve living conditions.
On the other hand, users can benefit from improved experience, accessibility and a better means of transportation to travel across locations.
This innovation will be constructive in battling the pressing challenges of the urban environment. Earlier, owned cars and single occupancy ride-sharing vehicles continued to aggravate road congestion and environmental pollution. The introduction of the shared economy will reduce road congestion to an extent due to better planning through an integrated mobility service. Electric vehicles and autonomous vehicles will also contribute to reducing carbon emissions and provide an overall improvement in the city infrastructure.
Preparing for the future of transportation
On the market front, there has been a definite indication on the shift towards Mobility-as-a-service with increasing mergers between key automobile makers and technology giants. However, for MaaS to come out in maximum force, it is crucial that there is a cultural change in individual preferences and the cities’ infrastructure changes to support the future of transportation.