Pandemic-era planning makes it clear: Micromobility companies brought a distraction, not a revolution

As the coronavirus crisis hit, the prospects for micromobility companies only went from bad to worse. (Joel Saget/AFP via Getty Images)

When micromobility companies like Lime and Bird rolled into cities around the world in 2018, they promised to revolutionise the way people move around. They dropped dockless bikes and e-scooters onto streets from the United States to New Zealand, asserting that the convenience offered by a shared vehicle that could be left anywhere would help usher people out of their cars and around their city centres.

But the system they vowed to disrupt has itself changed dramatically this year. People stopped moving around as the coronavirus spread, and their spending on transportation plummeted. Cars disappeared from streets virtually overnight, and support rose sharply for measures to keep it that way after cities reopen.

What’s playing out right now is nothing short of a transportation revolution – but somewhat unexpectedly, cities have a great deal of control over it. As they take urgent action to reshape their streets in an unusual moment, it’s clear that this change is possible without the micromobility industry that promised to make it happen.

Even modest changes to road use are usually difficult and controversial. For all the outcry that followed the sudden appearance of shareable bikes and scooters, it seemed like they at least had the potential to shift public opinion. They could get more people to consider taking more trips without a car, and those users could possibly even ask for road designs that made their journeys safer. It seemed reasonable to expect that flashy startups had a better chance at winning the public’s affection than transportation planners ever would.


It was an appealing gambit for many urbanists: embrace a little chaos from these newcomers if they’ll help demonstrate the need for slower, safer, maybe even car-free streets. The industry’s promises were alluring because they aligned with the ambitious goals spelled out by leaders in major cities around the world to calm the streets, clean the air, and support new ways for people to move around.

What nobody could have seen was how suddenly and dramatically the streets – and what people need from them – would change. Perhaps no transport mode has seen more support from local governments this year than the humble bicycle, with cities including Paris, Montreal, Seattle, Bogota, Mexico City, and Lima rapidly adding new bike lanes and committing to doing much more in the future.

Meanwhile, people have shown a remarkable interest in buying and riding bikes for themselves. Cycle shops around the world have reported shortages this year, especially for cheaper entry-level bicycles. Since the start of the crisis, 1.3 million people in the UK bought bikes, while US bike sales have seen their biggest spike since the 1970s oil crisis, with sales of adult leisure bikes tripling in April compared to the previous year. Similar stories have emerged in Australia and Canada, while Paris has recorded more bike than car traffic on one of its major streets.

Boom times for bikes could certainly be good news for shared mobility companies as well, but first, those companies have to survive the pandemic economy. It’s not even clear they were going to make it before a recession.

Micromobility companies followed Uber’s model for disrupting notions of personal transportation. That included mimicking Uber’s propensity to bleed money and, often, to enter a market without regard for regulators. Investors have allowed Uber to operate at a massive loss for over a decade on the promise of big returns after the company dominates the market it created. That idea was adapted to bike and scooter companies, but investors proved less willing to wait. Even Uber grew impatient, buying Jump Bikes for around $200 million in 2018 only to offload it to Lime this spring alongside an $85 million investment to keep Lime afloat. At the time, Uber’s CEO said it needed to get rid of its micromobility division to “preserve the strength of our balance sheet” because it was losing $60 million a quarter.

The losses should come as no surprise. Speaking to VICE journalist Aaron Gordon, former Jump employees described how the company changed after the Uber acquisition. It went from holding community meetings and working with regulators to dumping bikes in as many new cities as possible, VICE reported, while the bikes’ sturdy locks were replaced with weaker ones that caused theft to soar. As they scaled up quickly, they lost sight of the original mission to make cities better with bicycles.

These were symptoms of a broader problem with the micromobility model. The companies relied on cheaply made vehicles that sometimes lasted only a few weeks, which meant spending frequently on replacements, plus high levels of material waste. They also failed to serve communities equitably, with surveys finding they mainly serve young, well-paid men. That could be because the services are relatively pricey, often more expensive than public transit and sometimes comparable to an Uber or Lyft ride. At those prices, the services could be useful as an occasional convenience, but it wouldn’t take regular users long to save money by buying a bike for themselves.

As the coronavirus crisis hit, the prospects for micromobility companies only went from bad to worse. The companies began laying people off and pulling out of cities, in a continuation of a pre-pandemic trend. Instead of moving their bikes and scooters to new cities or donating them, many simply ended up at the landfill.

If the companies fail, it’s unlikely that cities would mourn them. Many already have their own public bike-share services and a great deal of control over designing and operating them to meet their mobility goals. That includes, crucially, the ability to ensure service to communities that have been ignored or avoided by providers in the private sector.

There’s already evidence that such control has been helpful during the coronavirus emergency. CityMetric’s Alexandra Kanick examined data from six US cities and found that some have fared better by adopting new policies like free passes for essential workers or by adding or expanding docking stations near essential businesses. Many of these systems also saw considerably less decline in ridership compared to their local transit networks.

Several of these bike-share systems have even adapted to compete with the most appealing parts of their startup competitors. Portland, Oregon, and Metro Los Angeles already allow bikes to be locked to standard bike racks rather than docks, and Washington, DC, introduced e-bikes that can be locked to bike racks as well.

The fact is that cities already have options to transform mobility on their own terms. They’re seeing right now that people’s needs and attitudes can change, and that their own bike-share systems can be agile to fill a critical need. What’s more, there are already strong models for encouraging individual bicycle ownership even further: Sweden has had huge success with subsidies to promote e-bike ownership, and now Italy, Madrid, and others are following with subsidies of their own. France, in addition, offers a €50 rebate on bike repairs.

The pandemic has forced cities to rethink streets and public spaces with a new sense of urgency. After many reluctantly accepted a new wave of private companies that promised to deliver a future of active mobility, it’s clearer than ever that that vision can be achieved without them.

Paris Marx is a writer based in St. John's, Canada.

 
 
 
 

Coming soon: CityMetric will relaunch as City Monitor, a new publication dedicated to the future of cities

Coming soon!

Later this month, CityMetric will be relaunching with an entirely new look and identity, as well as an expanded editorial mission. We’ll become City Monitor, a name that reflects both a ramping up of our ambitions as well as our membership in a network of like-minded publications coming soon from New Statesman Media Group. We can’t wait to share the new website with you, but in the meantime, here’s what CityMetric readers should know about what to expect from this exciting transition.  

Regular CityMetric readers may have already noticed a few changes around here since the spring. CityMetric’s beloved founding editor, Jonn Elledge, has moved on to some new adventures, and a new team has formed to take the site into the future. It’s led by yours truly – I’m Sommer Mathis, the editor-in-chief of City Monitor. Hello!

My background includes having served as the founding editor of CityLab, editor-in-chief of Atlas Obscura, and editor-in-chief of DCist, a local news publication in the District of Columbia. I’ve been reporting on and writing about cities in one way or another for the past 15 years. To me, there is no more important story in the world right now than how cities are changing and adapting to an increasingly challenging global landscape. The majority of the world’s population lives in cities, and if we’re ever going to be able to tackle the most pressing issues currently facing our planet – the climate emergency, rising inequality, the Covid-19 pandemic ­­­– cities are going to have to lead the way.

That’s why City Monitor is going to be a global publication dedicated to the future of cities everywhere – not just in the UK (nor for that matter just in the US, where I live). Our mission will be to help our readers, many of whom are in leadership positions around the globe, navigate how cities are changing and discover what’s next in the world of urban policy. We’ll do that through original reporting, expert opinion and most crucially, a data-driven approach that emphasises evidence and rigorous analysis. We want to arm local decision-makers and those they work in concert with – whether that’s elected officials, bureaucratic leaders, policy advocates, neighbourhood activists, academics and researchers, entrepreneurs, or plain-old engaged citizens – with real insights and potential answers to tough problems. Subjects we’ll cover include transportation, infrastructure, housing, urban design, public safety, the environment, the economy, and much more.

The City Monitor team is made up of some of the most experienced urban policy journalists in the world. Our managing editor is Adam Sneed, also a CityLab alum where he served as a senior associate editor. Before that he was a technology reporter at Politico. Allison Arieff is City Monitor’s senior editor. She was previously editorial director of the urban planning and policy think tank SPUR, as well as a contributing columnist for The New York Times. Staff writer Jake Blumgart most recently covered development, housing, and politics for WHYY, the local public radio station in Philadelphia. And our data reporter is Alexandra Kanik, whose previous roles include data reporting for Louisville Public Media in Kentucky and PublicSource in Pittsburgh, Pennsylvania.

Our team will continue to grow in the coming weeks, and we’ll also be collaborating closely with our editorial colleagues across New Statesman Media Group. In fact, we’re launching a whole network of new publications this fall, covering topics such as the clean energy transition, foreign direct investment, technology, banks and more. Many of these sectors will frequently overlap with our cities coverage, and a key part of our plan is make the most of the expertise that all of these newsrooms combined will bring to bear on our journalism.

City Monitor will go live later this month. In the meantime, please visit citymonitor.ai to sign up for our forthcoming email newsletter.


As for CityMetric, some of its archives have already been moved over to the new website, and the rest will follow not long after. If you’re looking for a favourite piece from CityMetric’s past, for a time you’ll still be able to find it here, but before long the whole archive will move over to City Monitor.

On behalf of the City Monitor team, I’m thrilled to invite you to come along for the ride at our forthcoming digs. You can already follow City Monitor on LinkedIn, and on Twitter, sign up or keep following our existing account, which will switch over to our new name shortly. If you’re interested in learning more about the potential for a commercial partnership with City Monitor, please get in touch with our director of partnerships, Joe Maughan.

I want to thank and congratulate Jonn Elledge on a brilliant run. Everything we do from here on out will be building on the legacy of his work, and the community that he built here at CityMetric. Cheers, Jonn!

In the meantime, stay tuned, and thank you from all of us for being a loyal CityMetric reader. We couldn’t have done any of this without you.

Sommer Mathis is editor-in-chief of City Monitor.