Industry Analysis & Industry Trends
Stagnant revenue 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. Low business and consumer confidence after the global financial crisis has suppressed demand for taxi services, as consumers flocked to cheaper public transport providers. Industry revenue is forecast to rise marginally, by an annualised 0.4% over the five years through 2014-15. Over the current year, revenue is forecast to improve by 1.6%, to total $5.5 billion.
The industry complements public transport and private vehicle transport by providing flexible door-to-door transport for consumers... purchase to read more
Industry Report - Industry Key Buyers Chapter
Market share concentration in the industry is low, with the top four players accounting for less than 10.0% of industry revenue. The vast majority of the industry is comprised of individual licence holders and 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