If all you did was read news reports and listen to the raves of fellow travelers, you would probably think TNCs are rapidly putting traditional car services out of business.
The reality, however, is more complicated.
The “Taxi & Limousine Services in the U.S.” report from IBISWorld shows luxury and sedan corporate car services account for 13.9% of the total ecosystem, while taxis account for about two-thirds of the market.
Car service use is on the rise in general, after losing ground to TNCs from 2012 to 2015, according to the report. Regardless, revenue and employees grew over the same time period when car services and taxi companies lost market share to company’s like Uber and Lyft. It pegs the segment’s revenue at $19.6 billion with a $1.7 billion profit, showing how expensive it is to run a car service company.
Keywords
business travel corporate travel industry trends Lyft research and trends taxis TNCs Uber
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