6. WILL BIKE SHARING BECOME YOUR
FUTURE LONG TERM TRAVEL CHOICE?
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
28.7%
70%
1.2%
INTEND TO USE BIKE
SHARING OFTEN
CHINACHANNEL.CO
INTEND TO USE BIKE
SHARING OCCASIONALLY
NO INTENTIONS TO USE AGAIN
7. HOW LONG IS YOUR TYPICAL JOURNEY
WHEN USING A SHARED BIKE?
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
30.7%
61.3%
8%
CHINACHANNEL.CO
OVER 5KM
LESS THAN 3KM
3 TO 5KM
BEIJING SHANGHAI GUANGZHOU SHENZHEN
LESS THAN 3KM 63.4% 65.8% 57.6% 63.4%
3-5 KM 28.9% 28.1% 32.4% 31.1%
OVER 5KM 7.8% 6% 10% 11.6%
ANALYSIS
BIKE SHARING IS MOSTLY USED FOR SHORT
DISTANCE JOURNEYS. ‘THE LAST MILE’ IN
ORDER TO REACH YOUR FINAL DESTINATION.
(SEE NEXT SLIDE)
9. CHINACHANNEL.CO
TO COVER DISTANCE FROM SUBWAY /
BUS STOP TO FINAL DESTINATION
IN WHICH TYPE OF SITUATIONS WILL YOU
TYPICALLY USE SHARED BIKES? (MULTIPLE CHOICE)
SEE A BIKE WHEN WALKING
AND USE IT TO SAVE TIME
RIDE BIKE FOR FITNESS / EXERCISE
SEE OTHER PEOPLE USE THEM / WANT
TO TRY OUT SOMETHING NEW
TRAVEL AROUND WITH FRIENDS
GET AROUND CAMPUS
OTHER
62.9%
49.8%
20.4%
18.5%
16.4%
6.3%
10.3%
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
10. CHINACHANNEL.CO
WHICH OF THE FOLLOWING REGARDING
BIKE SHARING HAVE YOU TAKEN PART IN?
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
6.4%
21.8%
PROACTIVELY RECOMMENDED
SOMEONE TO USE BIKE SHARING
SHARE A TRAVEL ROUTE / DISCOUNT CODE /
FREE TRIAL ON A SOCIAL NETWORK
REPORT A BIKE MALFUNCION
TAKE PART IN A BIKE SHARING
PROMOTION
REPORT BIKE MISUSE /
VIOLATIONS
TAKE PART IN A PROMOTION THROUGH
THE WECHAT OFFICIAL ACCOUNT
NONE OF THE ABOVE
13.2%
11.6%
63.2%
44.0%
39.3%
8.1%
13.9%
18.9%
33.2%
62.1%
26.1%
26.2%
OFO USERS MOBIKE USERS
WORD OF
MOUTH IS
STRONG
11. CHINACHANNEL.CO
WHEN I WANT TO GET A BIKE THERE
ARE NONE CLOSE BY
WHICH ASPECTS OF THE BIKE SHARING EXPERIENCE
ARE YOU NOT SATISFIED WITH? (MULTIPLE CHOICE)
CONCERN IN HAVING A BIKE AVAILABLE
FOR THE RETURN JOURNEY
BIKES AREN’T THAT COMFORTABLE
TO RIDE
BIKE’S (IN APP) LOCATION
NOT ACCURATE
(IN APP) CREDIT SYSTEM IS USELESS
DON’T LIKE THE CURRENT PRICING /
BILLING METHOD
OTHER
55.2%
41.4%
40.5%
26.1%
21.2%
14.5%
9%
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
12. CHINACHANNEL.CO
ANALYSIS
TOP 2 REASONS GIVEN FOR DISSATISFACTION WITH THE BIKE SHARING
SERVICE (PREVIOUS SLIDE) ARE DIRECTLY RELATED TO THE NUMBER OF
BIKES IN CIRCULATION.
THE PLAYER WHO CAN PUT THE MOST BIKES OUT INTO CIRCULATION THE
FASTEST WILL LIKELY WIN THE WAR. TRADITIONAL METHODS OF USER
ACQUISITION E.G. ONLINE PROMOTION (SEE NEXT SLIDE), DISCOUNT
COUPONS, BILLBOARDS ARE ALL SECONDARY TO THE MOST IMPORTANT
FACTOR WHICH IS HAVING THE BIKE THERE IN FRONT OF YOU AVAILABLE
FOR USE.
14. CHINACHANNEL.CO
WHEN I WANT TO GET A BIKE THERE
ARE NONE CLOSE BY
WHICH ASPECTS OF THE BIKE SHARING EXPERIENCE
ARE YOU NOT SATISFIED WITH? (MULTIPLE CHOICE)
CONCERN IN HAVING A BIKE AVAILABLE
FOR THE RETURN JOURNEY
BIKES AREN’T THAT
COMFORTABLE TO RIDE
BIKE’S (IN APP) LOCATION
NOT ACCURATE
(IN APP) CREDIT SYSTEM IS USELESS
DON’T LIKE THE CURRENT PRICING /
BILLING METHOD
OTHER
55.2%
41.4%
40.5%
26.1%
21.2%
14.5%
9%
DATA SOURCE: TENCENT
PENGUIN INTELLIGENCE
SURVEY DEC 2016
15. CHINACHANNEL.CO
ANALYSIS
PRICE IS A LESS IMPORTANT CONSIDERATION FOR USERS WHEN DECIDING
IF/WHEN TO USE BIKE SHARING.
CURRENTLY PRICES ARE ARTIFICIALLY LOW (OFTEN FREE). IN THE SHORT
TERM (A LEAST 1 YEAR) GAINING NEW USERS AND BUILDING STRONG
USAGE HABITS AMONGST EXISTING USERS IS THE MOST IMPORTANT GOAL.
FIERCE COMPETITION BETWEEN MARKET PLAYERS WILL ALSO PREVENT
PRICE RISES UNTIL A STABLE LONG TERM MONOPOLY / OLIGOPOLY MARKET
EMERGES.
16. NEW BIKE PRODUCTION CAPABILITIES 2017 ESTIMATED
PRODUCER
UNITS
(MILLIONS)
TIANJIN FUJITEC 13
FLYING PIGEON 4.8
TOTAL 17.8
Data Source: Tencent TechCHINACHANNEL.CO
PRODUCER
UNITS
(MILLIONS)
TIANJIN AIMA 5
FOXCONN 5.6
SELF PRODUCED 5
TOTAL 15.6
17. CHINACHANNEL.CO
ESTIMATED FUTURE NUMBER
OF SHARED BIKES ACROSS CHINA
TIER 1 CITIES: 1.8 MILLION
TIER 2 CITIES: 4.39 MILLION
TIER 3 & 4 CITIES: 11.25 MILLION
TOTAL 17.45 MILLION
18. BEIJING SHANGHAI GUANGZHOU SHENZHEN
POPULATION
(MILLIONS) 24.19 21.72 14.04 11.37
OFO BIKES IN CIRCULATION
(THOUSANDS) 150 100 80 80
MOBIKES IN CIRCULATION
(THOUSANDS) 150 100 100 100
END OF 2016 ESTIMATED TOTAL
SHARED BIKES IN CIRCULATION 360 200 200 320
END OF 2017 PREDICTED SHARED
BIKES IN CIRCULATION 540 600 350 320
END OF 2016 BIKES PER CAPITA
(BIKES/POPULATION) 1.5% 0.9% 1.4% 2.8%
FUTURE MAXIMUM
SHARED BIKES PER CAPITA
(BIKES/POPULATION)
2.5% 2.5% 2.5% 2.8%
Data Source: Tencent TechCHINACHANNEL.CO
TIER 1 CITIES
23. MATTHEW BRENNAN
CO-FOUNDER OF CHINA CHANNEL
MATTHEW IS A REGULAR KEY NOTE SPEAKER ON THE TOPIC OF WECHAT AND CHINA’S MOBILE
ECOSYSTEM. HE WORKS PRIMARILY WITH INTERNATIONAL BUSINESSES HELPING TO FORM AND
IMPLEMENT THEIR WECHAT PLATFORM STRATEGY THROUGH TRAINING, WORKSHOPS, COACHING.
MATTHEW IS A FLUENT MANDARIN SPEAKER AND HOLDS 13+ YEARS ON THE GROUND
ENTREPRENEURIAL EXPERIENCE IN CHINA. HIS COMPANY ORGANIZES CHINA’S LARGEST WECHAT
MARKETING CONFERENCE SERIES FOR INTERNATIONAL COMPANIES.
EMAIL: MATTBRENNAN@CHINACHANNEL.CO
LINKEDIN: HTTPS://CN.LINKEDIN.COM/IN/MATTHEW-BRENNAN
COMPLIED BY