Uber and Lyft were the first to disrupt the $8 trillion global transportation industry by making car ownership less necessary and with the ride-hailing industry now worth $60 billion and on track to top $85 billion by 2023, the transportation revolution is well underway.
But Uber and Lyft can’t finish what they started. Their business models are broken. They’ve failed to grasp the enormity of the parallel revolution in ESG, or “impact” investing. And this is where the disruptors become the disrupted.
A startup that launched in late 2019 in Canada is pushing aggressively into the USA, and it’s not just challenging Uber and Lyft—it’s challenging the entire auto industry by taking the ride-sharing revolution to the next level.
It’s also planning to put another nail in the coffin of traditional car ownership with its recent acquisition of a pioneer in the electric vehicle subscription space. And that’s only the very beginning.
Facedrive. Washington-based Steer. Energy giant Exelon. These three names have now come together to form the next big challenge to the auto industry.
Private car ownership is under threat. Conventional car ownership is under attack.
It took almost a decade for cars sales in the European Union to even begin to recover when Uber and Lyft decimated sales in urban areas.
And now, the pandemic could change private car ownership forever because the general idea of pandemic has been irrevocably tied to other “natural disasters” and the fear of climate change.
Economics plays a big roll, too, and will do so even more under the struggles of COVID-19.
Chicago-based Steer says it’s time for a transportation revolution, and it fully intends to get more people into unconventional cars–without breaking the bank.
The success of subscription based ‘leasing’ models is already well documented, and this simple concept will be at the core of the next major disruption in the auto industry.
This seamless, hassle-free technology is grabbing onto the $250-billion ESG megatrend by giving subscribers access to their own virtual garage of low-emissions vehicles.
Not only is Steer planning to upend the auto industry by offering an alternative to the tradition of owning, leasing or renting vehicles for everyday use, but it’s also promising to give the EV industry itself another boost. And the electric vehicle market could top $800 billion by 2023.
Oil Price.com / ABC Flash Point News 2020.