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Advantages of Starting a Shared Mobility Venture in a Small Town: 7 Key Benefits

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Whether we're discussing car sharing, mopeds, or scooters, shared mobility has traditionally been linked to bustling metropolises. Larger customer bases, increased travel distances, and a heightened demand for transportation services have often been viewed as primary factors for budding mobility entrepreneurs.

However, metropolises also come with their own set of challenges. From fierce competition to elevated operational costs, establishing a presence in a major urban center can be a costly and demanding endeavor that's growing more challenging by the day.

In response to these challenges, mobility entrepreneurs are increasingly turning their attention to smaller towns as potential operational hubs.

Initiating a shared mobility venture in a small town offers a unique array of advantages, especially suited for newcomers entering the industry. Even though seasoned industry experts are considering opportunities to expand beyond urban centers, smaller towns might not align with their profitability goals, often leading them to overlook these areas.

In the subsequent discussion, we will outline seven significant benefits of launching a shared mobility enterprise in a small town, offering a glimpse into the potential dynamics of such an operation.

7 Seven Compelling Reasons to Initiate a Shared Mobility Venture in a Small Town

Unless you possess substantial capital and are prepared to engage in fierce competition with multiple operators, a small town can serve as an ideal starting point for launching your shared mobility business, especially if you have roots in the community or a nearby town.

  1. Address Genuine Needs Operating in a small town offers a distinct advantage in addressing authentic transportation requirements. Local entrepreneurs, deeply embedded in the community, possess an intimate understanding of the unique needs and behaviors of their fellow residents. Consequently, providing a mobility solution that effectively tackles specific challenges can be financially and socially rewarding. Local entrepreneurs can respond swiftly and efficiently to these needs, often outpacing larger competitors.

  2. Enhanced Collaboration with Authorities and Residents Collaborating with local authorities in small towns typically involves a more streamlined and cooperative process. Obtaining permits and navigating regulations becomes considerably easier compared to larger cities. The smaller scale and close-knit nature of these communities foster stronger relationships between entrepreneurs and city officials, encouraging open communication and shared visions for tailored mobility solutions.

  3. Streamlined Marketing Efforts Marketing and advertising campaigns in small towns can be simplified and highly effective, sometimes even rendering traditional marketing unnecessary. Local entrepreneurs can leverage community events, traditions, and personal connections to craft impactful marketing strategies that deeply resonate with residents. This localized approach not only boosts brand visibility but also fosters familiarity and trust among potential customers, elements that external brands may struggle to replicate.

  4. Limited or Absent Competition Launching a shared mobility business in a small town offers the enticing advantage of minimal competition from major players. Larger companies often overlook these areas due to perceived limited profitability, leaving the market wide open for local entrepreneurs to establish themselves as the primary mobility service provider. With minimal competition to contend with, entrepreneurs can seize the opportunity to capture a significant market share and cultivate a loyal customer base from the outset.

  5. Rapid Service Adoption In large cities, slow service adoption can pose a major challenge, as consumers have numerous options and are often already loyal to established providers. In contrast, smaller towns experience rapid adoption due to word-of-mouth recommendations, and standing out becomes easier in a landscape with little or no competition. This expedited adoption rate accelerates revenue generation for your mobility business.

  6. Facilitated B2B or B2G Collaborations The community-centric nature of small towns enhances the potential for fruitful partnerships and collaborations. As local businesses, shared mobility entrepreneurs are more likely to attract the interest and support of neighboring organizations. Establishing partnerships becomes more accessible, as there is a shared understanding of the community's needs and a mutual interest in fostering positive change. Collaborations with local businesses for corporate fleet services or cooperative efforts with local government to offer discounts to specific citizen groups can create mutually beneficial arrangements, expanding the business's customer base and strengthening its reputation.

  7. Streamlined and Efficient Ground Operations Small towns inherently provide a significant advantage by simplifying and optimizing ground operations for shared mobility businesses. With smaller geographical areas and populations, logistical challenges such as vehicle collection, relocation, and maintenance are substantially reduced. The compact size of small towns often results in lower operational costs, enabling entrepreneurs to maintain a lean and cost-effective operation while ensuring high customer satisfaction.


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