COVID-19 has changed our lives, including the buying power of people. The automobile sector has been hit severely by this pandemic. People who cannot afford to buy a new can use a shared car. With MoboKey, you can share, access car from your smartphone.
COVID-19 affected the buying power of people
The Pandemic has severe effects on the overall business worldwide. It has affected the buying power of the people where the spending has decreased by 30%-50% in all the industries. This would result in the complete decimation of many industries.
Most hit by the pandemic is nonother than the vehicle industry. It has shown a decrease of more than 50%. While the sale of the essential items remains the same, the market for delivery and takeout has also dropped. You can read all the markets in detail here.
Beyond impacting some of the factors that determine consumers’ spend—such as consumer confidence, unemployment levels, or the cost of living—the COVID-19 pandemic has also drastically altered how and where consumers choose to spend their hard-earned cash.
As consumers grapple with uncertainty, their buying behavior becomes more erratic. What is clear, however, is that they have reduced spending on all non-essential products and services, but as each country moves along the COVID-19 curve, we can see a glimmer of increasing optimism levels, which in turn is linked to higher spending.
Car Sharing market is also one of the most hit by the pandemic. Newer trends have started to appear in these situations where companies have started to take on the responsibility of their employees. Providing them with solutions for mobility and car-sharing.
Corporate car sharing is going to show maximum growth. As it is expected to grow at the highest yearly growth in the global car-sharing market during the period 2020-21. Read more.
An employer provides corporate car sharing. It is a kind of mobility solution to their employees for the everyday commute. As people riding to offices are likely to travel on the same route, it will cause an increase in its demand. Thus, it is much easier to find co-passengers with ease and less waiting time.
Corporate car sharing enables commercial businesses to reduce or eliminate private vehicle fleets by providing their employees access to shared cars. It offers many benefits to businesses such as flexibility to employees, lower fleet management costs, and less traffic on roads. In comparison to P2P sharing, corporate sharing is more organized and manageable to tackle during situations like COVID-19.
You can read more here more about car sharing and market trends on our blog.