Industry Analysis & Industry Trends
Stable revenue growth and heavy regulation have characterised the Taxi and Limousine Transport industry over the past five years. While industry services are well accepted across most demographics, they are discretionary and easily substituted. Weak discretionary income growth, fluctuating consumer sentiment and high household savings rates over the past five years have suppressed overall demand for taxi services, with consumers flocking to cheaper public transport providers. Industry revenue is forecast to rise modestly, by an annualised 2.0% over the five years through 2015-16. Over the current year, revenue is forecast to grow by 2.3%, to $5.7 billion... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Taxi and Limousine Transport industry is characterised by a low level of market share concentration, with no player accounting for more than 5.0% of revenue. The vast majority of the industry is comprised of individual licence holders, and small operators, who own a small number of licences. Substantial regulation and the homogenous nature of industry products are barriers to high concentration. In addition, as economies of scale are hard to achieve once cabs are running frequently, the profit incentive for consolidation is weak.
While the industry's largest players are small from a revenue perspective, revenue does not capture the full influence of the various players... purchase to read more