Al Fujairah Taxi Service Market Outlook to 2028
Driven by the regions growing economic activities and the demand for convenient transportation
January 2024
42
About the Report
About the Report
Market Overview:
Fujairah's demographic composition reveals a notable trend with a significant proportion of non-Emirati residents (66%) of total population. The integration of advanced technologies, such as improved mobile apps, GPS tracking, and online payment systems enhance the overall efficiency and convenience of taxi services. The companies are committed to strategically invest in the digitization of the mobility services industry to enhance operational excellence.
Car Taxi Service, Platinum Taxi, and Reyama Taxi are the only three players present in taxi service market in Fujairah. Fujairah’s GDP contributed only 1.3% to the total GDP of UAE ($ 507 Bn) in 2022, driven by cargo and container activities at Fujairah Port. A hotel occupancy rate of 71% for the UAE and 54% for Fujairah in 2022 indicates a demand for accommodation due to strong trading opportunity in the region which indicates a demand for taxi services.
The 30-50 age group predominantly utilizes taxi services in Fujairah, driven by their active involvement in economic activities and businesses within the city. Market is in growth stage due to factors such as increasing population, urban development, and a growing preference for convenient and reliable transportation services. Al Fujairah Taxi Service Market is consolidated with only 3 organised players in the sector.
Al Fujairah Taxi Service Market Analysis
- Reyama Taxi is an Emirates Transport associate company, in partnership with Fujairah Transport Corporation. It manages and operates taxis in the Emirate. It provides Sedan cars in taxi service.
- Platinum Taxi has started its operations in Fujairah on 1st April 2021 and currently operating 150 Taxis. All Platinum Taxi vehicles are brand new Toyota Camry Hybrid and Corolla Hybrid vehicles.
- Car Taxi provide taxi services in all 6 Emirates. It offers the fastest, most convenient cab service in UAE. It provides Sedan cars in taxi service.
- By meticulously managing the acquisition of vehicles, taxi companies ensure efficiency and reliability, laying the foundation for superior customer satisfaction. This strategic optimization not only enhances operational efficiency but also underscores a commitment to providing reliable transportation services.
Key Trends by Market Segment:
By Age Group: The age group 20-30 rely on traditional taxi services because they have limited capital investment to afford a private vehicle. The age group of 30-50 is the leading contributor of taxi services in Fujairah, largely due to their extensive engagement in various economic activities and businesses within the region.
They often comprising working professionals, entrepreneurs, and individuals involved in shipping & cargo, relies on taxi services for convenient and efficient transportation to navigate their daily work routines, contributing to the sustained demand for taxis in the area. Reliance on taxis may increase due to potential health considerations or a preference for hassle-free transportation in retirement age group which is 50 years and above.
By Gender: Men in Fujairah commonly use taxis for various purposes, including daily work commutes, business activities, or when seeking a convenient transportation option that aligns with their busy schedules.
Also, their share in the population is higher (65%). The choice is influenced by factors such as time efficiency and ease of access. Cultural norms and expectations influence women's choices regarding transportation. In some cultures, women are more inclined to use private or family-owned vehicles for safety and cultural reasons. Women in Fujairah have limited involvement in business activities. Thus, they occasionally travel.
Competitive Landscape:
Major Players in Al Fujairah Taxi Service Market
- Car Taxi Service, Platinum Taxi, and Reyama Taxi are the only three players present in taxi service market in Fujairah.
- Fujairah lacks strict regulations on taxi vehicle types and age, utilizing lower-value cars, in contrast to Dubai's standardized models.
- Dubai Taxi has embraced the use of electric model taxis, contributing to sustainability efforts and reducing environmental impact in the city.
- In Fujairah, the taxi permit process involves recruiting drivers, conducting driving classes, passing RTA and taxi permit tests.
- Drivers in the UAE taxi industry undergo a comprehensive onboarding process, including tourist visa conversion to work visa and adherence to specific driving rules.
Future Outlook:
- The market will grow at a CAGR of 8.1% during 2022-2027 due to Fleet modernization, economic growth and business tourism.
- Fleet modernization, incorporating fuel-efficient or electric vehicles, acts as a catalyst for taxi companies in Fujairah. It addresses the environmental concerns and become appealing to the environmentally conscious consumer base. For instance, in February 2023, RTA director announced the plan to transform taxis into environmentally-friendly vehicles to optimize energy usage and promote environmental sustainability in the UAE.
- Economic and tourism growth in the region leads to increased business activities, resulting in higher demand for corporate travel and taxi services. For instance, in November 2023, Fujairah plans to double the number of visitors to its archaeological sites, aiming to reach half a million visitors.
- The emirate had recorded around 1 lakh visits to its top seven archaeological sites in 2022.
Scope Of The Report
Scope of the Report
|
Al Fujairah Taxi Services Market Segmentation |
|
|
· 20-30 · 30-40 · 40-50 · 50+ |
|
|
· Male · Female |
|
Products
Products
Key Target Audience – Organizations and Entities Who Can Benefit by Subscribing This Report:
- Investors
- Taxi Service Providers/Companies
- Taxi Drivers
- Government Entity
- Local Communities
- Tourism and Hospitality Sector
Time Period Captured in the Report:
- Historical Period: 2017-2022
- Base Year: 2022
- Forecast Period: 2022-2028
Companies
Major Players Mentioned in the Report:
- Cars Taxi
- Platinum Taxi
- Reyama Taxi
- Al-Futtaim Motors
Table of Contents
Table of Contents
1. Executive Summary
1.1 Executive Summary: Al Fujairah Taxi Service Market (Market Sizing, Competition 1.2 Scenario and Recent Trends)
2. Demographic Analysis
2.1 UAE and Fujairah Overview
2.2 Population Analysis of Fujairah, 2022
3. Market Overview of Al Fujairah Taxi Service Market
3.1 Ecosystem of Al Fujairah Taxi Service Market, 2022
3.2 Value Chain Analysis of Al Fujairah Taxi Service Market, 2022
3.3 Tourism Overview in UAE and Fujairah, 2022
4. Market Size and Segmentation of Al Fujairah Taxi Service Market
4.1 Market Size Analysis of Al Fujairah Taxi Service Market, 2017-2022
4.2 Al Fujairah Taxi Service Market Segmentation by Age Group, 2022
4.3 Al Fujairah Taxi Service Market Segmentation by Gender, 2022
5. Competition Framework of Al Fujairah Taxi Service Market
5.1 Competitive Landscape
5.2 Major Players in Al Fujairah Taxi Service Market, 2022
5.3 Cross Comparison of Major Players
6. Industrial Analysis of Al Fujairah Taxi Service Market
6.1 SWOT Analysis of Al Fujairah Taxi Service Market
6.2 Trends and Developments in Al Fujairah Taxi Service Market, 2022
6.3 Opportunities in Al Fujairah Taxi Service Market
7. Future Outlook of Al Fujairah Taxi Service Market
7.1 Market Size Analysis of Al Fujairah Taxi Service Market, 2022-28F
7.2 Al Fujairah Taxi Service Market by Age Group and Gender, 2028F
8. Research Methodology
8.1 Market Definitions and Assumptions
8.2 Abbreviations
8.3 Market Sizing Approach
8.4 Consolidated Research Approach
8.5 Primary Research Approach
8.6 Sample-Size Inclusion
8.7 Limitations and Future Conclusion
Disclaimer
Contact Us
Research Methodology
Research Methodology
Step1: Identifying Key Variables: Ecosystem creation for all the major entities and referring to multiple secondary and proprietary databases to perform desk research around market to collate industry level information.
Step2: Market Building: Collating statistics on taxi market over the years, penetration of marketplaces and service providers ratio to compute revenue generated for Al Fujairah Taxi Service Market. We will also review service quality statistics to understand revenue generated which can ensure accuracy behind the data points shared.
Step3: Validating and Finalizing: Building market hypothesis and conducting CATIs with industry experts belonging to different companies to validate statistics and seek operational and financial information from company representatives.
Step4: Research output: Our team will approach multiple taxi service providing channels and understand nature of product segments and sales, consumer preference and other parameters, which will support us validate statistics derived through bottom to top approach from taxi providers.
Frequently Asked Questions
Frequently Asked Questions
How big is Al Fujairah Taxi Service Market?
The Al Fujairah Taxi Service Market was valued at 33.3 AED Mn in 2022.
What are the Key Factors Driving the Al Fujairah Taxi Service Market?
convenient and reliable transportation services and city's growing population, coupled with the rise in tourism and business activities will drive the Al Fujairah Taxi Service Market.
Who are the Key Players in the Al Fujairah Taxi Service Market?
Cars Taxi, Platinum Taxi and Reyama Taxi are some of the key players in the Market
What is the Future Growth Rate of the Al Fujairah Taxi Service Market?
The Al Fujairah Taxi Service Market is expected to reach 53.3 AED Mn by 2027.
Why Buy From US?
What makes us stand out is that our consultants follows Robust, Refine and Result (RRR) methodology. i.e. Robust for clear definitions, approaches and sanity checking, Refine for differentiating respondents facts and opinions and Result for presenting data with story
We have set a benchmark in the industry by offering our clients with syndicated and customized market research reports featuring coverage of entire market as well as meticulous research and analyst insights.
While we don't replace traditional research, we flip the method upside down. Our dual approach of Top Bottom & Bottom Top ensures quality deliverable by not just verifying company fundamentals but also looking at the sector and macroeconomic factors.
With one step in the future, our research team constantly tries to show you the bigger picture. We help with some of the tough questions you may encounter along the way: How is the industry positioned? Best marketing channel? KPI's of competitors? By aligning every element, we help maximize success.
Our report gives you instant access to the answers and sources that other companies might choose to hide. We elaborate each steps of research methodology we have used and showcase you the sample size to earn your trust.
If you need any support, we are here! We pride ourselves on universe strength, data quality, and quick, friendly, and professional service.