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Since its launch, Lime has seen a surge in the number of users for its bike and scooter riding service. The transportation rental company introduced the idea of dock free rides for its bikes when the company first came about, and later introduced their Lime-S scooters.
Lime introduced its scooter in February of this year and since then, is operating in over 65 U.S. cities as well as five cities in Europe. Using scooters as a means of transportation is becoming more and more popular and Lime isn’t the only one on the market.
Facing Competition
In 2017, another scooter company also launched called Bird. Although Lime first started out with bikes, Bird went right into the scooter industry. Lime and Bird both have similar services where users pay $1 per minute to rent electric scooters. These scooters travel between 15-20 mph and once you are done with it, you can drop it off anywhere. This dock-less system provides customers with efficiency, as they are able to use an app to rent a scooter from wherever.
Even though both scooter companies have similar features and concepts for their scooter service, Lime recently acquired the upper hand. In a recent financing round, ride-hailing giant Uber has joined forces with Lime and plans to invest $335 million in the company. The deal, which is led by Alphabet Inc.'s (GOOGL - Free Report) venture arm GV, puts the company's value at $1 billion now.
Even though Bird just raised $300 million, valuing the company at $2 billion, Lime could still outright beat it. According to TechCrunch, even though Uber faced some battles in the past year, its mobile app is still the most downloaded in the U.S compared to Lyft. So with this brand integration, Lime could potentially get much more exposure through Uber.
Increasing Popularity
Since the launch of these scooters, many people have given them a try and actually liked the idea of them. There could be a potential market for these scooters especially among the working class and millennials. According to CNBC, many estimates suggest that these scooter companies could make $2-3 in revenue from each ride, which could ultimately mean an increase in revenue if these companies continue to progress.
Future of Dockless Scooter Services
Although the idea of scooter services is still fairly new, there seems to be a growing market for it. With Lime’s partnership with Uber, it could lead to a potential surge in demand for these scooters as well as a spike in revenue. Even though Lime came out with the idea of scooters after Bird did, the fact that it is receiving investment from Uber says something about the product and the company’s outlook in terms of performance and standard.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020. Click here for the 6 trades >>
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Drop Your Bikes: Scooters are the Real Deal Now
Since its launch, Lime has seen a surge in the number of users for its bike and scooter riding service. The transportation rental company introduced the idea of dock free rides for its bikes when the company first came about, and later introduced their Lime-S scooters.
Lime introduced its scooter in February of this year and since then, is operating in over 65 U.S. cities as well as five cities in Europe. Using scooters as a means of transportation is becoming more and more popular and Lime isn’t the only one on the market.
Facing Competition
In 2017, another scooter company also launched called Bird. Although Lime first started out with bikes, Bird went right into the scooter industry. Lime and Bird both have similar services where users pay $1 per minute to rent electric scooters. These scooters travel between 15-20 mph and once you are done with it, you can drop it off anywhere. This dock-less system provides customers with efficiency, as they are able to use an app to rent a scooter from wherever.
Even though both scooter companies have similar features and concepts for their scooter service, Lime recently acquired the upper hand. In a recent financing round, ride-hailing giant Uber has joined forces with Lime and plans to invest $335 million in the company. The deal, which is led by Alphabet Inc.'s (GOOGL - Free Report) venture arm GV, puts the company's value at $1 billion now.
Even though Bird just raised $300 million, valuing the company at $2 billion, Lime could still outright beat it. According to TechCrunch, even though Uber faced some battles in the past year, its mobile app is still the most downloaded in the U.S compared to Lyft. So with this brand integration, Lime could potentially get much more exposure through Uber.
Increasing Popularity
Since the launch of these scooters, many people have given them a try and actually liked the idea of them. There could be a potential market for these scooters especially among the working class and millennials. According to CNBC, many estimates suggest that these scooter companies could make $2-3 in revenue from each ride, which could ultimately mean an increase in revenue if these companies continue to progress.
Future of Dockless Scooter Services
Although the idea of scooter services is still fairly new, there seems to be a growing market for it. With Lime’s partnership with Uber, it could lead to a potential surge in demand for these scooters as well as a spike in revenue. Even though Lime came out with the idea of scooters after Bird did, the fact that it is receiving investment from Uber says something about the product and the company’s outlook in terms of performance and standard.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market. Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020. Click here for the 6 trades >>