The cab market - France

The cab sector falls into the category of Transport public particulier de personnes (TPPP or T3P), governed by NAF code 49.32Z, which covers the activities of both cabs and VTCs. Unlike VTCs, cabs have a parking authorization (ADS ) which allows them to pick up customers on the public highway, without prior reservation, at a regulated fare. Long structured along traditional lines, the sector has undergone a profound transformation with the rise of digitalization. Today, over 70% of urban users use a mobile app to order a cab, reflecting a major shift in urban usage. In major conurbations, cabs make an average of 10 to 15 journeys a day, reflecting a high intensity of use and a growing dependence on on-demand mobility. At the same time, between 2018 and 2023, the number of cab companies in France rose from 9,455 to 10,557, an increase of almost 12%, with a clear upturn after the slowdown caused by the health crisis. This recovery has led to an increase in activity, particularly in the Paris region, which accounts for almost a third of all establishments. Demand remains highly concentrated in metropolitan and tourist areas. This dynamic can also be seen in the number of applications for the Taxi exam, which rose from 7,200 in 2018 to 11,600 in 2023, an increase of over 60%. However, growth in the VTC segment, which also falls under NAF code 49.32Z, is even more pronounced, increasing competitive pressure on traditional cab players.

Finally, according to a report by the French Ministry of Transport, 40% of French people say that they could use an automated cab or VTC service, i.e. one without a driver on board , at least once in a while, over the next ten years. This anticipation reflects a growing interest in autonomous transport innovations, particularly among the under-35s (51%) and residents of the Paris metropolitan area (47%).