When Will Be Over About Bike Sharing

Ofo's investor Zhu Xiaohu a bit too optimistic. In September last year, he publicly claimed that 

the three months after the end of the shared bicycle "war". But so far, the "war" has been extended

for more than a month, seeing the scale of the expansion.

From that time after a few months time, millions of bicycles "squeeze into" the north and south, as

a different volume of different skin color of the hedge, entrenched in the market cage in each 

other.

At the beginning of this year, one of the leading beasts of the buzzing bicycles ushered in a huge 

sum of $ 1.5 billion, and theo also announced the "one day a city" speed attack ... ... all this 

shows that the bucket of the bucket will continue to be staged.

While we can not help but start thinking about how we will end the fight in the form of a sudden 

surge in the volume of the animals, is it either a one-off or a whole?

According to the current situation, the industry and users guess, three factors or will become the 

bucket of the bucket of the "stop character."


January 2017, Shenzhen, a large area of people to destroy the situation of sharing bicycles, 

hundreds of shared bicycles were stacked into a "hill"

        1, "parasite" eroded

Shared bicycles since the date of the popular, chaos stop, malicious damage, as they have and other 

events frequently, these events seem to be measuring the moral bottom line of the public, but in 

reality is considering the vitality of each shared bicycle company. Destroyer as a parasite, "eroded

" with the only animal body, the infirm or will be destroyed.

According to incomplete statistics, only 2016 there are more than 30 companies to enter the field of

shared bicycles, including the leader of the motorcycles and worship, and white, small blue, small 

Ming, worship, cool ride, riding chanting, Hellobike, fast rabbit travel and so on. As of February 

this year, the motorcycles have entered Beijing, Shanghai, Jinan, Wuhan and other 15 cities. While 

the sharing of bicycles also claims to cover the 33 major cities nationwide. At this point, the 

domestic share of bicycles has reached millions of vehicles.

These vehicles do solve the "last mile" problem, but other problems that follow are increasing 

dramatically. Malicious damage, private car lock, chaos stop and other behavior is not uncommon.

December 6 last year, Shanghai, a man will be moved to the residence of the horse, was sentenced to 

three months of local court detention, suspended for three months, a fine of 1,000 yuan to become 

the first case of domestic combat theft. With the same month in December, Beijing police found a 

middle-aged woman in a district near the Qinghe to share the bike plus a lock, the woman was 

sentenced to 14 days of administrative punishment.

Since January this year, Beijing, Guangzhou, Kunming and other places are still repeated times to 

share the theft of bicycles, a group of criminals have been investigated and dealt with according 

to law.

A motorcyclist operation and maintenance staff told reporters that the company through the 

observation that the destruction of bicycles in addition to some people, the more is the 

stakeholders. Such as some of the scenic tricycle personnel, black car drivers, etc., "they found a 

nearby shared bicycle, may be done hands and feet, the user can not ride, can only choose their car.

"

Mumbai bike public relations staff also calmly, since the bike on the line, has been a lot of 

damage to the police, some people have been handled by the police, but in the absence of 

surveillance video and other circumstances, illegal evidence of the existence of difficulty, deal 

with obstacles.

The founder of the bicycles, Hu Weiwei also said that despite the damage, occupation of bicycle 

behavior can not be completely avoided, but the damage rate is completely within the controllable 

range.

The industry believes that the amount of bicycles share a different, and some sitting on nearly one 

million, and some area only 100 vehicles. Damage to the body and other acts will be directly 

considered sharing the vitality of the cycling company, "in short, damage to a few pieces of a horse

or ofo, but no damage to the fur, but for some small amount of cycling company, damage 10 is 

thousands A few or even a few percent, can not afford the loss may accelerate the exit stage.


Motorcycle bike bike production workshop, public data show that the motorbike bicycles on January 4

this year to complete the D round of 215 million US dollars of equity financing; its rival ofo 

shared cycling in October 2016 was C round 1.3 $ 100 million in financing. The following are the 

same as the "

        2, "feed" supply is insufficient

2016 occurred in the shared bicycle industry investment behavior to reach more than 20 times. 

Capital side with huge sums of money for the feed, the various body of the bugs as much as possible

to feed. However, the end of the market is saturated, the feed given by the capital needs to be 

rewarded. When the profit can not be achieved, the feed is insufficient supply, some of the hedge 

will also be followed.

Have the site done a survey, for the shared bicycle field, you are most concerned about the topic?

More than five percent of users will vote for the "why 1 yuan business will be so sought after" 

option. Indeed, most people do not understand how little bike has the charm to attract the major 

capital to join.

According to public data, the motorcycles have completed a round of $ 215 million in equity 

financing on January 4 this year, after millions of dollars of A-round financing of pleasure 

capital in October 2015. The shared bicycles 2016 in October to obtain C round 130 million US 

dollars financing; Yukai cycling in December last year ushered in A + round 100 million yuan 

financing; Hangzhou riding chanting technology in January this year, completed a round of 100 

million yuan financing.

From 2016 to 2017 at the beginning of the year, the total shared bicycle industry financing has 

more than 4 billion yuan, and investors are mostly star institutions, such as Sequoia, Gao Ling, 

Jinsha River, innovation workshop, Tencent, drops and so on.

In this regard, industry analysts believe that sharing the cycling is not accidental, a year ago, 

some entrepreneurs and capital in the winter, the entrepreneur, the "Internet +" mode of thinking 

and business projects may encounter bottlenecks, the market On the good items are rare, new things 

to repeat and plagiarism mostly. For the capital side, they like the new model, repeat the higher 

business model can not be brought to interest. At this moment, the concept of sharing bicycles 

appeared to make up for the gaps in the investment market, and many investors have the reasons for 

the entry is reluctant to give up the "outlet."

After the crazy investment, how to profit to become a topic of concern. In terms of profit points, 

different people's point of view is very different.

Mo Bai cycling CEO Wang Xiaofeng in the January 23 Beijing media communication meeting said that 

the current Ma Bai is not anxious to make money. He also publicly said that sharing a bicycle is a 

social significance greater than the economic value of things, if the real sense of success in the 

community, with tens of millions or hundreds of billion users, and finally want to make money is 

difficult.

And know friends do not think so. Some people for the budget, although the official did not give 

specific costs and other figures, but Beijing put 50,000 bike calculation, remove a lot of 

variables, the view that the motorcycle has been realized profitability.

Another netizen that the motorcycles received a 299 yuan / person and ofo bicycles charged 99 

yuan / person deposit, through these deposits can form a huge "pool of funds", and "money pool" 

can bring huge gains , This kind of financial relationship may also be one of the reasons for the 

success of most manufacturers.

Analysis of the industry, the operation of the business model requires a lot of money to support 

the money or from the financing, or from the deposit, or from the profit, but the market always 

have the date of saturation, there are always bottlenecks when the user approaches saturation , The

deposit will be reduced, the capital support will also be weakened. By then, more users will be 

sitting in the game to win. And for small and medium-sized cycling companies, there is no 

sufficient market share, the capital side can not see the profit point, no longer invest, these 

companies will follow the death. As the co-founder of the co-founder Zhang Barting in the January 

Geek Park Innovation Conference said, the first phase of the competition will be the end of this 

year, the outcome, the result is basically twenty-eight principle.


November 2016, Chengdu, a street office of the Urban Management Office of the area of more than 100

shared bicycles were cleaned up, Urban Management Office that the sharing of bicycles in violation

of the "Chengdu City Appearance and Environmental Health Management Regulations" in the "prohibit 

the occupation of urban roads to carry out business Activities "clause.

3, the government "narcotic gun"

Network bus with a 5-year time ushered in the regulatory mechanism, dripping excellent step between

the fight immediately stopped, and shared bicycle supervision is clearly not so long It is 

reported that government departments are working to develop relevant management practices. Once the

system is introduced, will be like a needle powerful narcotic gun, all the beast beast will be hit,

war or will be suspended.

In January 2017 held around the two sessions, sharing the bike to become a hot topic on behalf of 

members. Most NPC deputies in the shared bicycle "green low-carbon, environmental travel" at the 

same time, its standardized management also put forward relevant views.

Reporters statistics found that the local people's congress deputies in the proposal to "encourage" 

to "support" and "protection" and other words majority, it is worth noting that almost all of the 

proposals referred to the "norm" word. This shows that the introduction of shared bicycle management

 rules is imminent.

In addition, the Chinese Internet Association Secretary-General Lu Wei also made three suggestions,

 should be the government, business and users to promote the development of shared bicycles. 

Including the establishment of credit management system to encourage users to standardize the riding

 and reporting irregularities, etc .; users to enhance the use of civilization, such as the use of 

the United States and the United States, the United States, the United States, the United States, 

the United States, Consciousness at the same time on the side of the uncivilized behavior 

supervision report.

At present, all around is also actively explore the management approach. Recently, Chengdu in the 

central city of a unified set of non-motor vehicle parking area, requiring bicycles parked in the 

region; and Shenzhen also set up a parking area, and violators were punishable by 20 yuan fine; 

Shanghai is a unified draw a white Wireframe, bicycle need to stop in the box. Beijing traffic 

authorities have repeatedly traveled to the shared bicycle business, investigate the existence of 

the rental bikes to stop the release, will study the introduction of pilot areas and measures.

Another media revealed that government departments are brewing shared bicycle industry, the national

management approach, or introduced in the first half of this year. The approach may be specific to 

each city in the bike, the main operation, technical standards and other aspects of the specific 

requirements. For example, according to a bicycle 80 to 100 people to use the configuration, in 

addition to the tender form will choose the main operation, each city may only allow two or three 

companies operating at the same time.

Although there is no exact news, but it is foreseeable that the government will not let the current 

share of the endless sharing of cycling endless development trend, once the total amount of the 

main, the standard requirements, sharing the whole industry will face a re-"shuffle", then , This 

war of beast war may also end early.