The smart mobility technology company, Volvo Car Mobility, today announced the findings of a Swedish study examining the sustainability impact of its car sharing service, M, during 2021. Conducted in cooperation with Capgemini Invent for a second consecutive year, the study clearly demonstrates how M reduces emissions, frees up valuable street space, and saves costs associated with residential construction. The study also found that each shared M vehicle now replaces up to nine privately owned cars, which translates to up to 12,000 cars, the equivalent to four percent of new car sales in Sweden.
For the second consecutive year, Volvo Car Mobility and Capgemini Invent have studied the sustainability impact of the technology that powers the M car sharing service. Published today, “The Sustainability Impact of Car Sharing 2021” examines the impact development of M in the year since the previous report was published. Improvements can be seen across the board – and across the country.
Replaces up to nine cars – a 12.5% increase in just one year
Most notably, M continues to influence car-ownership decisions and preferences. In 2020, each shared M vehicle replaced eight privately owned cars; in 2021, this figure rose to approximately nine. This increased “replacement rate” can be seen in all major metropolitan markets. Further, Capgemeni Invent surveyed M customers across Sweden and found that 25 percent of respondents had sold their car as a direct result of M; over 50 percent reevaluated their decision to purchase a new vehicle.
“Since launching in September 2019, M has persistently and consistently demonstrated its contribution to making cities happier, healthier and more livable. Upping our replacement rate from eight to nine in just 12 months is a tremendous feat. I’d like to personally thank our dedicated people and devoted customers – the people who made this possible. And we’re just getting started,” says Erik Jivmark, CEO of Volvo Car Mobility.
The study also found a significant reduction in tailpipe emissions. In 2021, Volvo Car Mobility reduced Stockholm’s CO2 emissions by up to approximately 8,600 tons, as up to 6,250 private cars were removed from the streets as a direct effect of M membership. For context, 8,600 tons of CO2 is the equivalent of approximately the annual consumption-based CO2 emissions of 950 Swedes.
Compared to 2020, Volvo Car Mobility’s contribution to lowering CO2 emissions improved by five percent in Stockholm. This improvement is a result of an increase in the number of privately owned cars removed per shared car from Volvo Car Mobility, in combination with an increased shared Volvo Car Mobility fleet size in Stockholm.
In the Gothenburg region, the reduction in CO2 tailpipe emissions reached up to approximately 4,550 tons and in the Malmö region 2,850 tons. In turn, these reductions are the equivalent of approximately 500 Swedes’ annual consumption-based CO2 emissions in the Gothenburg region and approximately 300 Swedes in the Malmö Region.
“This year's report shows that we are changing customer’s car ownership preferences across all markets. By incrementally improving our algorithms and tweaking our fleet, we’re getting more people into fewer cars, freeing up valuable time, space and money – in both our cities and our customers’ lives,” says Steinar Danielsen, sustainability lead at Volvo Car Mobility.
More space and lower costs
Additionally, the study highlights the potential to reclaim street space. In the Stockholm, Gothenburg and Malmö regions combined, a total of about 128,000 square meters (approximately 18 football fields) could be reclaimed for other purposes, such as green infrastructure or living space.
Moreover, the study identified approximately SEK 985 million in potential construction-cost savings when adopting a shared mobility approach; fewer parking spots would be required if the total number of cars in the three cities decreased.
About the survey
Capgemini Invent surveyed 10,923 active private customers nationally. Active customers are defined as customers who have used Volvo Car Mobility at least six times during the past year. Respondents were asked questions on car ownership and driving behavior before and after joining M.
“Our research confirms that the positive impact identified in the 2020 report has accelerated in the past year and increased by 12.5%. This year’s report shows that up to 9 privately owned cars are removed from the streets per Volvo Car Mobility car. In addition, our report shows the relevance and impact of the M service in our major metropolitan Swedish cities. The AI platform, unique to Volvo Car Mobility, continues to fuel the ability to deliver a highly relevant and easy to use service for Volvo Car Mobility customers. This ease of use and relevance to how we live our daily lives is key to realizing sustainability impact at scale in mobility services,” says Per Holmblad, Vice President, Automotive & Manufacturing, Sustainability Leader, Capgemini Invent, Sweden & Finland.
Click here to read the full report: https://m.co/se/en-US/sustainability/
About Volvo Car Mobility
Volvo Car Mobility provides M, a smart mobility service offering urban individuals and businesses on-demand access to a car, without having to own one. Using the power of their propriety A.I. mobility platform, M is part of shaping a more sustainable city environment by enabling more people to move freely, meaningfully and sustainably.
M – Volvo Car Mobility is a wholly owned, independent subsidiary of the Volvo Car Group and a strategic investment to meet new consumer preferences. Volvo Car Mobility has 150 employees and the development company is located in Stockholm with local offices in Gothenburg and Malmö. M is available on the App Store and Google Play.