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Indian mobility market to double by 2030; Google + BCG Think Mobility Report
Industry News- Jan 20,25
The report highlights the need for industry players to recognise the unique and rapidly evolving preferences of India’s diverse mobility consumer cohorts.
The Indian mobility industry is charting its unique course, poised to double and cross $600 billion by 2030, according to the Think Mobility Report by Google and Boston Consulting Group (BCG). Unveiled at the Bharat Mobility Global Expo 2025, the report reveals that growth in the sector will be driven by both traditional and emerging revenue pools, marking a departure from global trends. Notably, emerging revenue pools such as electric, shared, and connected mobility are poised to contribute a staggering $100billion, signalling a strong push toward cleaner, sustainable mobility.
The report highlights the need for industry players to recognise the unique and rapidly evolving preferences of India’s diverse mobility consumer cohorts. By emphasising the growing role of digital models in reshaping engagement, it serves as a thought-starter for stakeholders to unlock the immense potential of India’s mobility sector.
Natarajan Sankar, Managing Director and Partner, BCG, emphasised the importance of harnessing global advancements. “Already the third-largest automobile industry, India is on the cusp of transformative change over the next few years. Effectively harnessing global innovations in EVs, digital, and AI is more critical than ever for OEMs. To succeed, they must align their offerings with the distinct demands of Indian consumers.”
Bhaskar Ramesh, Director - Omni-Channel Businesses, Google India, said, “The industry is undergoing a major transformation, reimagining the entire ecosystem. With new ways to drive profits and shifting customer preferences—led by Gen Z and women—digital purchase journeys are outpacing traditional ones, driven by the growing demand for personalisation. From pre-purchase to in-vehicle experiences and after-sales services, we see immense potential for AI to deliver meaningful experiences and create real value for consumers. We’re excited to collaborate with the industry to drive innovation and growth in this space."
Vikram Janakiraman, Managing Director and Senior Partner, BCG highlighted the significance of the pace of change in consumer needs. “EVs are moving rapidly to mainstream consumer consideration across both E2W and E4Ws. Addressing these emerging value pools will be both imperative for incumbents and incredibly valuable for successful players. However, the needs of the Indian consumer are not just different but also likely to rapidly evolve as they are exposed to increasing choice. Successful players will need to study and frequently adapt their product, solutions and experiences to suit these unique needs; Integrating Digital, Tech and AI will be critical to doing that.”
Key findings from the report
India's electric vehicle penetration to grow multi-fold
As electric vehicles (EVs) gain momentum, one in three consumers is considering them for their next purchase, with distinct preferences emerging between electric four-wheelers (E4W) and electric two-wheelers (E2W). E4W buyers prioritise sophistication, advanced technology, and exclusivity. In contrast, E2W consumers focus more on practicality, comfort, and affordability.
Notably, women now influence 52% of decision-making in the EV space, surpassing the 38% for internal combustion engine (ICE) vehicles.
These shifts highlight the need for tailored marketing strategies, presenting a significant opportunity for brands to refine their messaging and better connect with these evolving consumer segments.
Utility and functionality powers India’s demand for connectivity
Indian consumers' needs and willingness to pay for connected features diverge significantly from global trends. There is strong demand in India—approximately 80%—for features like infotainment, real-time parking assistance, and anti-theft features, while the demand for globally popular connected features such as remote controls remains relatively low. As the market evolves, high-tech solutions should be viewed as tools for personal expression, designed to cater to the diverse preferences of different consumer segments.
Self-drive rentals gain popularity
Self-drive rentals and subscriptions are poised to grow and show potential to become an additional channel to induce trial for final purchase. 85% of users are willing to buy the car they rented. Interestingly, Gen Z is 2.7 times more likely than older generations to opt for self-drive rentals
Pre-owned car market is gaining momentum
One in four first-time car buyers are considering used cars, signalling a shift in consumer perceptions. Second-hand vehicles are no longer solely about cost savings—one in three consumers are seeking pre-owned cars as lifestyle upgrades. As the market continues to grow, the digitisation of the car-buying journey, along with transparency and trust, are emerging as key drivers in boosting consumer confidence in pre-owned car purchases.
AI to transform the mobility value chain
From precision targeting and content creation to sales strategies, advanced driving features, and real-time, data-driven insights, AI is transforming the automotive ecosystem. It is enabling hyper-personalisation across the entire consumer journey—from pre-purchase touch points to seamless in-vehicle experiences and post-purchase services—helping businesses unify customer data, drive smarter decisions, and foster deeper engagement throughout the value chain.
By leveraging new business models and the power of AI, India can strategically transform its mobility sector, driving innovation, enhancing operational efficiency, and delivering personalised, seamless experiences that meet every consumer's needs.
The Think Mobility report draws from extensive research spanning four-wheeler and two-wheeler segments - including a survey of over 4,500 Indian consumers, one-on-one engagements with CXOs from leading OEMs and Tier 1 suppliers, and more than five years of proprietary data synthesis.
Google
Boston Consulting Group
Bharat Mobility
Vikram Janakiraman
Bhaskar Ramesh
Natarajan Sankar
mobility
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