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          1. Taxi & Limousine Services Industry Profile

            Report Page Length: 10-12
            Last Quarterly Update: 7/6/2020
            SIC Codes: 4119, 4121
            NAICS Codes: 4853
            Chapters Include:
            Industry Overview Trends & Challenges Industry Forecast
            Quarterly Industry Update Call Prep Questions Website & Media Links
            Business Challenges Financial Information Glossary & Acronyms
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            Excerpt from Taxi & Limousine Services Industry Profile

            Companies in this industry provide passenger transportation by automobiles not operated over regular routes or on regular schedules. No major companies dominate.

            The global taxi and limousine industry is highly fragmented, with service levels and practices varying greatly from country to country. Activity and revenue are concentrated in major cities throughout the world. Large cities in affluent countries such as Japan, the UK, and the US have strictly regulated markets and relatively high fares.

            The US taxi and limousine services industry includes about 8,400 establishments (single-location companies and units of multi-location companies) with about $7 billion in combined annual revenue.

            COMPETITIVE LANDSCAPE

            Taxi and limousine revenue is driven by business and leisure travel. The profitability of individual companies depends on good marketing. Small companies can effectively compete with large ones because there are few economies of scale in operations. The US industry is fragmented: the top 50 companies account for about 30% of industry revenue.

            Major competition is coming from ride-sharing services, which are accessed through mobile apps that connect riders with independent drivers who use their own vehicles. Such businesses include Uber and Lyft, which after only a few years in business have begun to place intense pressure on the traditional taxi model. Goldman Sachs forecasts the global ride-hailing industry to be worth about $285 billion by 2030, compared to about $36 billion in 2017. The value of the taxi industry was ...

             
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