Value created for cities, property developers, 
companies and consumers
T H E  S U S TA I N A B I L I T Y  
I M P A C T  O F  C A R  S H A R I N G
i n  a s s o c i a t i o n  w i t h

Mobility planning is an essential activity if 
today’s cities want to be more sustainable                                              
•	 In this report, we have studied the sustainability 
effects of Volvo Car Mobility’s car sharing service M 
on four key stakeholder groups: the city, property 
developers, companies, and individual customers 
•	 Although the core of the report and its findings  
are focused on Stockholm, where the company’s 
service was first established, the perspectives  
and takeaways are most likely valid for similar 
metropolitan areas.
Each Volvo Car Mobility car removes up to 
8 privately owned ones from the streets of 
Stockholm, which implies that there are up 
to 4,515 fewer cars in total
We surveyed active customers and asked them about 
changes in their car ownership as a result of Volvo Car 
Mobility membership. 
Additionally,
•	 Active customers of a car sharing service tend to 
drive less in comparison with private car owners.
•	 Volvo Car Mobility increases the share of new cars 
on the streets. New cars are more fuel-efficient 
and yield lower emissions than older cars. 
The reduced number of cars on the 
streets of Stockholm bring tangible and 
meaningful impact on the environment 
During the last year, the service has contributed to up to:
up to 41,300 tons of CO2 emissions can potentially be 
avoided from fewer cars being produced, i.e. reduced 
consumption
26%
of cars owned by active 
customers were sold as 
a direct effect of their 
membership
of the customers avoid 
buying another car as 
a direct effect of their 
membership
51%
a reduction 
of 8,200 
tons of CO2 
from tailpipe 
emissions
3.2 M liter of 
reduction in  
fuel consumption
3.8 M liters in 
water savings 
due to fewer 
car washes 
As many customers avoid to buy a car over the coming 
year:
K E Y  TA K E A W AY S
2
The sustainability impact of car sharing

More than 56,000 m2 of the urban area can be freed up by removing up to 4,515 cars from 
the streets of Stockholm
The Volvo Car Mobility service has positive impacts on costs for property developers, 
society, as well as companies, and consumers
Volvo Car Mobility will be a 
cheaper option than owning a car 
up to a travelled distance of  
7,000 - 9,000 km/year for 
consumers and companies
area of land can be freed 
up due to a reduction in 
number of parking  
spots needed 
56,400
the freed up area could 
be replaced with green 
infrastructure or housing  
to increase potential value
Living spaces
Allowing an additional 
10,300 citizens in Stockholm 
would contribute to 
the region’s economic 
growth and international 
competitiveness 
or
In reduced construction 
costs as fewer parking 
spots need to be built
SEK
Improved human safety 
due to increased number 
of safe cars in traffic
430 M
m2
Additional value Volvo Car Mobility brings:
•	 More consumers and companies can access cars 
without having to invest a large amount of money. 
•	 A customer of the service does not need to spend 
time on car maintenance, which frees up time for 
consumers and companies. 
•	 Customers drive less, continue to use public 
transportation, and walk or cycle more, thus 
contributing to less traffic congestion.
1,000 trees planted 
would save 1,350 
tons of CO2 from the 
atmosphere
Green infrastructure
•	 The service allows consumers and business partners 
to be part of a sustainability movement that 
enhances living conditions in the city.
•	 Lastly, Volvo Car Mobility increases the 
electrification of the vehicle fleet in a city, which is 
considered key to achieving climate neutrality in 
thtransportation sector.
3

The UNFCCC (United Nations Framework Convention on 
Climate Change) recognizes the importance of building 
sustainable transportation to tackle the climate crisis.1 In 
particular, the transportation sector plays a crucial role 
in achieving the goals of the Paris Agreement, given the 
fact that 25% of energy-related global greenhouse gas 
emissions come from transportation.2 Shared mobility  
is essential in the shift to a low-carbon economy according 
to the EEA policy, “A European Strategy for Low-Emission 
Mobility”. The EEA policy encourages cities to undertake 
a multi modal shift in the mobility sector that includes 
shared mobility and car sharing in the quest to reduce 
congestion and pollution in cities.3
As several research papers already have acknowledged, 
the potential sustainability impact from shared mobility 
is high. However, we felt that there is a case to further 
examine the car sharing facet of shared mobility in greater 
detail. Therefore, this study aims to shed light on the 
sustainability effects and value derived from car sharing 
services. Our report looks into two areas: 
1.	 What are the sustainability effects of Volvo Car 
Mobility’s car sharing service M? 
2.	 What value does the car sharing service create 
towards cities, property developers, companies, and 
individual customers? 
Capgemini Invent was commissioned by Volvo Car Mobility, 
a wholly-owned, standalone venture of Volvo Car Group, 
to conduct a study on its sustainability impact. With their 
extensive database, the company was able to provide the 
data needed for the intended analysis. Their car sharing 
service M has been live for one year in Stockholm and 
is so far only present in Sweden, thus, we decided to 
conduct a case study on the company’s service within the 
geographical scope of Stockholm. As their service offers 
station-based car sharing, our report focuses on station-
based car sharing, in comparison with private  
car ownership. 
M's proprietary tech platform is central to Volvo Car 
Mobility’s business model; Capturing customer behaviors 
and allocating cars based on AI data-driven decisions, 
they have set a new standard for the development of 
shared mobility.
To attain an in-depth understanding of the impacts and 
value generated by Volvo Car Mobility compared to 
private car ownership in Stockholm, we researched the 
topic using internal, external and secondary sources. 
We rely on quantifiable data and qualitative analysis to 
support our argumentation. In addition, we conducted 
one-on-one interviews with several industry experts 
and surveyed more than 1,500 of the company’s active 
customer base (only B2C customers) by assessing: 
•	 Their car ownership before and after joining Volvo Car 
Mobility’s service M.
•	 Whether membership in the service influenced their 
decision to sell or avoid buying a car.
Whether their driving behavior, use of public 
transportation, and walking or cycling behavior, has 
changed since becoming a member of the service.
It is also important to note the limitations of this report. 
This report does not focus on the entire lifecycle of the 
cars, but rather the effects generated from Volvo Car 
Mobility’s service from the point the car enters the fleet 
until it is rotated out and remarketed. Additionally, we do 
not measure the company’s footprint related to internal 
operations, but only the effect directly connected to the 
operational running of the service. 
Finally, in this research, when referring to sustainability, 
we use one of the most common models to define 
sustainability, which consists of three pillars: economic, 
ecological/environmental, and social.
I N T R O D U C T I O N  T O  S T U D Y
4
The sustainability impact of car sharing

The transportation sector is the primary cause of air 
pollution in cities, and air pollution is, in turn, the principal 
environmental factor driving disease in the EU.4,5  
At the same time, the planet’s population is growing, 
and urbanization is continuing. Projections indicate 
that by 2050, 84% of Europe’s population will be living 
in cities, increasing traffic congestion and straining the 
infrastructure.6,7
This development is evident in Stockholm. The number 
of cars per person increased by almost 30% between 
1974 and 2000, and has remained at a relatively constant 
level ever since.8 As Stockholm is one of Europe’s fastest-
growing cities9, the total number of cars in the city will 
likely increase, bringing additional emissions, pollution, 
and congestion.
Furthermore, cars require space in terms of both road 
infrastructure and parking spots. The recent report 	
“Framtiden för parkering och nya bostäder” (“The future 
of parking and new housing”) indicates that there may 
be more space in Sweden allocated for parking than for 
living (50 m2 of parking space compared to 42 m2 of living 
space).10
Ambitious global and local level goals aim to address 
sustainability challenges, including those connected to 
transportation.
Global goals
2015 was a landmark year for multilateralism and 
international policy. Several major agreements, such as 
the 2030 Agenda for Sustainable Development, had at 
their core 17 Sustainable Development Goals (SDGs) that 
provided a blueprint for peace and prosperity for both 
people and the planet.11 
In addition to the SDGs, the European Commission has set 
goals to reach climate-neutrality. The “100 neutral cities 
by 2030” goals aim to support and promote 100 European 
cities in their transformation towards climate-neutrality 
by that date.  
 
The objectives for the mission are to help the cities in the 
systematic transformation, offer cities financial means, 
and to collaborate with European businesses to contribute 
to innovation and improve their global competitiveness.12
C I T Y  M O B I L I T Y  -  
A  S U S TA I N A B I L I T Y  C H A L L E N G E
5

No poverty
Zero hunger
Good health 
and well-being
Quality 
education
Gender  
equality
Clean water 
and sanitation
Affordable and  
clean energy
Decent work 
and economic  
growth
Industry, 
innovation, 
and 
infrastructure
Reduced 
inequalities
Sustainable 
cities and 
communities
Responsible 
consumption 
and 
production
Climate action Life below 
water
Life on land
Peace, justice, 
and strong 
institutions
Partnership 
for the goals
When investigating the effects that Volvo Car Mobility has, we identified a positive contribution to the 
following goals:
Goal 3: Good health 
and well-being
Goal 12: Responsible 
consumption and 
production
Goal 11: Sustainable 
cities and communities
The 17 Sustainable Development Goals are:
Goal 13: Climate 
action
Goal 8: Decent  
work and economic 
growth
Better public 
health from 
fewer and safer 
cars in traffic
More time 
efficiency and less 
traffic congestion
Better utilization 
of city area 
with greener 
infrastructure and 
more housing
More efficient use 
of resources
Lower CO2 
emissions
6
The sustainability impact of car sharing

Stockholm-specific goals
The city of Stockholm’s vision for growth is made up of 
three target areas: 1) a versatile city for all, 2) sustainable 
growth, and 3) a smart and innovative city. The city’s 
environmental program for 2020-2023 defined several 
goals related to climate impact, climate adaption, circular 
economy, biodiversity, and emissions. If met they will 
contribute to their overall vision.13 The prioritized  
targets are:14 
•	 A fossil-free and climate positive Stockholm by 2040:  
This involves limiting the environmental impact from 
consumption, and restricting the total greenhouse gas 
emissions to no more than 1.5 tons CO2e (carbon 
dioxide equivalent) per inhabitant. 
•	 A fossil-free organization by 2030:  
This includes two milestones - efficient energy 
consumption and restricting total greenhouse gas 
emissions to no more than 105,000 tons CO2e from the 
city’s operations.
•	 A climate-adapted Stockholm:  
Stockholm will need to strengthen its ability to limit 
the effects of heavy rain and heatwaves.
•	 A resource-efficient Stockholm:  
This includes smart consumption and resource use, 
increased recirculation of resources within the city, 
and increased resource efficiency in the  
building process.  
•	 A Stockholm with biodiversity in well-functioning 
ecosystems: To achieve this, Stockholm will need to 
implement more ecological compensation, maintain 
functions and make connections for biodiversity across 
the blue and green infrastructure while improving 
water quality and increasing the proportion of food 
and goods that foster biodiversity.
•	 A Stockholm with fresh air and regulated noise levels: 
The city will need to reduce noise pollution as well as 
citizens’ exposure to nitric oxide and particles.
•	 A Stockholm free from poisons: The city can achieve 
this by decreasing the levels of harmful substances in 
goods and chemical products.
In addition to the above targets, the Swedish government 
has decided on various transportation-related goals. The 
overall objective is to provide an efficient and sustainable 
provision of transportation for citizens and businesses 
across the country for all socio-economic groups. First, 
the functional goal implies that the design, use, and 
operational function of the transportation system should 
provide good availability and quality, as well as contribute 
to the overall development of the country. The second 
classification of goals is related to the security of the 
transportation system. It should ensure that no one is 
killed or seriously injured in traffic.15
7

Cars in a smart and sustainable city
Cars are unlikely to disappear from our cities anytime soon. 
However, they need to be used in a more purposeful way 
enabling citizens to move towards a multi-modal lifestyle, 
using the car as a complement to – rather than 
a substitute for –  public transportation, biking 
and walking. Cities can enable such multi-modal 
transportation behavior through smart city initiatives. 
These initiatives include shared mobility solutions, such as 
car sharing. A more efficient transportation allows for the 
reduction of privately-owned vehicles.17 Fewer cars would 
enable cities to not only address challenges related to 
emissions, pollution, and congestion but would also allow 
them to reclaim space that would otherwise be reserved 
for parking and roads. This space could be transformed 
into green infrastructure or be used for other purposes. 
Access-based consumption - a way to deliver  
on the sustainability goals
By now, the sharing economy is a widely recognized 
concept. A related concept is “access-based consumption,” 
similar to asset sharing, which is defined as “transactions 
that can be market mediated but where no transfer of 
ownership takes place.” Thanks to digitalization and 
improvements in the exchange of goods and services, 
access-based consumption has become an increasingly 
important phenomenon as companies find ways to 
monetize it.18
Interestingly, this concept can potentially improve the 
sustainability impact of a company’s business model. 
Companies that can respond to demand can increase the 
use of their assets or products. This implies that there will 
be less need for producing additional products, as the 
company already succeeds in increasing the use of existing 
assets. This has a positive impact on the environment by 
reducing waste and saving energy.
Access-based consumption will potentially become 
even more efficient through artificial intelligence and 
other future technological advances. This implies that 
the potential of a sustainability impact should not 
be overlooked. This is likely to be the reason for why 
asset sharing is part of the UN’s Global Compact list of 
breakthrough business models. Companies can use access-
based consumption to meet the SDGs.19 
A C C E S S  E C O N O M Y
The UNECE–ITU Smart Sustainable Cities 
Indicators
A smart sustainable city is an innovative 
city that uses information and 
communication technologies and other 
means to improve quality  
of life, efficiency of urban operation 
and services, and competitiveness while 
ensuring that it meets the needs of 
present and future generations with 
respect to economic, social, cultural,  
and environmental aspects.” 16
Car sharing - reducing the need for private  
car ownership
Car sharing gives customers access to a fleet of cars on an 
as-needed basis. It is a type of access-based consumption 
with several sustainability benefits. A privately-owned 
car is estimated to be used around 5% of its lifetime, 
meaning that it remains parked for the rest of the time.20 
By allowing others to access the car, its use should 
increase, and the number of privately-owned cars might 
be reduced.
8
The sustainability impact of car sharing

Free-floating
Station-based
The car can be parked anywhere within a designated  
service area22
Dedicated stations for parking
Often seen as an alternative to public transportation23, 24 
Often resulting in more use of public 
transportation, as it is seen as a complement 26, 27
Usually tend to increase the number of car trips25
Larger positive effects on car replacements and
kilometers driven28
Usually used for trips outside the city center29
Ownership
Consumption through ownership
"My car always"
Accessibility
Consumption through
accessibility
"My car sometimes"
Car sharing in Stockholm
Car sharing has grown to be a natural part of city mobility 
around the world and Stockholm is no exception. In 2010, 
there were 74 registered car sharing cars, a number that 
has grown to 2,049 in 2019. 
Out of these, 582 were station-based and 300 were free-
floating. A further 1,167 of the shared cars were  
privately owned.30 
In general, commercial car sharing is classified into two 
types*: station-based (roundtrip) car sharing (in which 
the vehicles are returned to their station locations) and 
free-floating car sharing (in which the vehicles can be left 
anywhere within a designated service area).21 
It is important to understand the differences between 
these two models when studying the sustainability 
effects of car sharing. International research suggests 
that households that use station-based car sharing 
services behave differently than households using 
free-floating services. Differences in behavior usually 
relate to the vehicle miles traveled, and the use of 
public transportation.
9
Table 1: Comparisons between free-floating and station-based car sharing models
*Note that definitions vary and that we in this 
report are focusing on commercial car sharing. 
We are therefore excluding e.g. cooperative 
carpools and peer-to-peer car sharing models 
from our study.

ABOUT VOLVO C AR MOBILIT Y
This case study is an analysis of Volvo Car Mobility, a 
wholly owned, independent subsidiary of the Volvo Car 
Group. The organization was established in 2017 as a 
strategic investment to meet new consumer preferences. 
They launched their first service M in Stockholm during 
September 2019. The company is located in Stockholm 
with local offices in Gothenburg and Malmö and employs 
150 people. 
Volvo Car Mobility’s service M is a station-based car 
sharing service offering urban individuals and businesses 
on-demand access to a car, without having to own one, 
by using the power of the access economy. The company 
does not operate closed stations with restricted access to 
the cars, rather all customers can use all available cars at 
all stations. Customers pay for the time they use the cars, 
and the kilometres they drive. The service was initially 
launched in the Swedish cities of Stockholm, Uppsala, 
Gothenburg, Malmö, and is also live in Linköping, Borås, 
Lund, and Helsingborg. Operating with 614 stations/depos 
each with multiple cars (December, 2020). 
Volvo Car Mobility is focused on bringing disruptive 
change to traditional car sharing. Through their vertically 
integrated technology they leverage user and operational 
data to predict demand. Additionally, they continuously 
improve the availability of the fleet of cars through its 
dynamic scheduling system which is driven by machine 
learning. With this proprietary technology stack, they 
are able to effectively match a car with a customer’s 
reservation as close to the desired time as possible. 
This provides both an improved customer experience, 
through a faster and smoother booking experience, by 
automatically providing alternatives which enables Volvo 
Car Mobility to operate with both high utilisation and high 
availability. Reducing the cars in the city. This analysis  
was conducted after M had been live in Stockholm for  
one year.31
10
The sustainability impact of car sharing

E ACH VOLVO C AR MOBILIT Y C AR 
REMOVES UP TO 8 PRIVATE C ARS
Using car sharing services instead of owning your own 
car is an effective way to reduce your environmental 
impact and contribute to a more sustainable future. When 
discussing the sustainability effects of car sharing, one 
often refers to the number of private cars that can be 
removed from the streets by sharing instead of owning. 
According to previous local studies, each shared car 
removes 4-6 privately owned cars from the streets.32 
This study analyzed how many private cars one Volvo Car 
Mobility car has replaced in Stockholm to determine the 
sustainability impact of its service.
How we arrived at this number
We conducted a customer survey in which we asked 
active customers to think of specific changes in their lives 
stemming from access to Volvo Car Mobility’s service 
M. Key survey questions that formed the basis of the 
result were related to reduction and suppression effects. 
The reduction effect shows the share of cars owned by 
active customers that were sold due to their car sharing 
membership, while the suppression effect shows the 
share of respondents who avoid buying a car as a direct 
effect of the membership. A customer is defined as active 
if he or she has used the service at least 6 times in total 
over the last year.
The results show that access to a Volvo Car Mobility’s car 
sharing service allows multiple households to both get 
rid of a car and/or avoid acquiring one. The fact that one 
Volvo Car Mobility car removes up to 8 private cars from 
the streets is a key driver behind the sustainability impacts 
shown in this study. 
Our results show that up to 8 privately owned 
cars are removed from the streets for each 
Volvo Car Mobility car. This means a total of up 
to 4,515 fewer cars on the streets in Stockholm 
based on the company’s current vehicle  
fleet size. 
26%  
of cars owned by active customers were sold as a direct 
effect of their membership.
51%  
of the customers avoid purchasing another car as a direct 
effect of their membership.
11

Summary of  sustainability value created 
Table 2: Overview of value derived
Lower emissions, reduced  fuel 
consumption and water  savings
Freed up space
Reduced costs
Increased car access  and 
time efficiency
Positive impact on 
traffic  congestion
Sustainable movement
Increased electrification 
and  access to smart 
technology
From driving: A reduction of CO2 emissions and fuel consumption 
 due to fewer cars on the streets
From production: A reduction of CO2 emissions from reduced 
 consumption as fewer cars need to be produced
Water savings due to fewer and more environmentally  friendly car 
washes
Enabling transformation of reclaimed parking area into green 
 infrastructure, resulting in CO2 savings
Enabling transformation of reclaimed parking area into housing, 
 resulting in a possibility to accommodate more people in Stockholm
Allowing consumers and business partners to be part of  
a sustainable movement
Enhancing the living conditions in the city
Areas
Value    
Stakeholder
Reduction of costs for car ownership or leasing
Reduction of construction costs for property developers   
as fewer parking spots need to be built
Improvements of human safety and potential reduction of costs  
for medical treatment due to increased share of safe cars
Enabling increased car accessibility for more people
Enabling people to spend their time more efficiently as customers  
do not need to spend time on car maintenance
An increase in the electrification of the vehicle fleet  
in the city 
An increase in the share of smart cars in the city, implying 
a faster  uptake of newer technologies
Contribution to less traffic congestion as car sharing customers 
 drive less, continue to use public transportation, and walk or cycle 
 more since joining
Company
City
Consumer
Property
Developer
T H E  S U S TA I N A B I L I T Y 
E F F E C T S  O F  V O LV O  C A R 
M O B I L I T Y ’ S  S E R V I C E
The value that Volvo Car Mobility’s car sharing service 
creates for its key stakeholder groups relates to all 
three pillars of sustainability: economic, ecological/
environmental, and social.  
The positive sustainability effects are grouped into seven 
areas, which are summarized in the below table. The table 
also illustrates which stakeholder groups that are affected 
by each value.
 
12
The sustainability impact of car sharing

Lower emissions
Car sharing services contribute to making Stockholm 
a more sustainable city. Removing up to 4,515 cars 
from the streets of Stockholm brings several positive 
environmental effects, such as reduced CO2 emissions, 
fuel consumption, and water waste. 
Volvo Car Mobility has reduced up to 8,200 tons of 
CO₂ tailpipe emissions
We have calculated the reduction of CO2 tailpipe 
emissions based on the removal of up to 4,515 cars from 
the streets of Stockholm. To get the results, we multiplied 
CO2 tailpipe emission data with the average distance 
driven by an average car, which is 12,240 kilometers per 
year in Stockholm.33 We have also taken into account the 
added emissions from the Volvo Car Mobility cars in the 
calculations. 
51% of the respondents in our survey claimed that they 
will not buy another car within the coming year due to 
their customership in Volvo Car Mobility. This implies that 
up to 2,671 fewer cars will be bought within the coming 
year. If we assume that all of these cars would have 
been new, the demand for new car production would 
decrease by up to 2,671 cars during the coming year. If the 
emissions from production of one average car amounts 
to around 15.5 tons CO2, this decrease yields a potential 
saving of 41,300 tons CO2.34  
When calculating the emissions in this report, 
reference is made only to CO2 emissions, and 
the rest of the greenhouse gas emissions 
(methane, nitrous oxide, and fluorinated 
gases) are not included.42 In this report, the 
CO2 emission data from driving is based on the 
“Worldwide Harmonized Light Vehicle Test 
Procedure” (WLTP) methodology using real-
driving data, gathered from around the world.43
Environmental impacts of Volvo Car Mobility’s  
service in Stockholm:
•	 Total reduction in CO2 tailpipe emissions:  
up to 8,200 tons.35 
•	 Potential CO2 car production emissions 
saved:  
up to 41,300 tons.36 
•	 Total reduction in fuel consumption: 
up to 3.2 million liters of gasoline and 
diesel.37, 38, 39 
•	 Total water saved:  
up to 3.8 million liters of water.40, 41
13

Up to 3.8 million liters of water saved due to fewer 
car washes
Fewer cars also means less water is wasted in total. 
The car sharing fleet is washed more frequently (19 
times per year) than privately owned cars (12 times per 
year). Despite this, the net amount of water waste has 
decreased. Our calculation for private cars is based on an 
assumption that 50% are washed in automatic car washes 
while 50% are washed manually.44 Volvo Car Mobility only 
uses high-pressure washing which consumes 40 liters, 
compared to approximately 65 liters in average automatic 
car washes, or 75 liters in manual car washes. (On average 
250-400 liters of water are used in automatic car washes; 
however, 80% of the water is reused, netting an average 
consumption of 65 liters). Although a higher frequency of 
washes, fewer cars means fewer washes in total.45
Increased share of new cars reduces emissions and 
fuel consumption
The age of privately owned cars in Stockholm also affects 
emissions and fuel consumption. The latest technology 
ensures that new cars gain more fuel-efficiency than older 
cars e.g. by turning off completely rather than idling.46, 47 In 
this report, we define a new car as less than 5 years old. All 
of the cars in Volvo Car Mobility’s fleet are new, while only 
30% of all privately-owned cars in Stockholm are new.48 
Based on this, one can assume that 70% of the private 
cars that the service removes from the streets are old, 
while all the cars added to the fleet by the service are new. 
This is an additional indication that the car sharing service 
reduces CO2 emissions and fuel consumption in Stockholm.
By using car sharing services, people tend to  
drive less
Additionally, researchers argue that when people use 
car sharing compared to privately owned cars, they tend 
to drive less.49, 50 Our customer survey results support 
this. When analyzing the results from all respondents, 
approximately one third answered that they have been 
driving less since joining the service. Of customers who 
had access to a car before using Volvo Car Mobility, 68%  
drive less. 
Furthermore, respondents who reduced their car 
ownership once joining the car sharing service reduced 
their distance travelled by 43%. This shows that a 
large share of customers change their driving behavior, 
which results in a positive impact on emissions and 
fuel consumption.
14
The sustainability impact of car sharing

About the Mandatory Parking Minimum:
The Mandatory Parking Minimum is a commonly 
used measure when new buildings are 
constructed to indicate how many parking spots 
are needed in a specific area. It is usually the 
relationship between the number of parking 
spots and the number of cars or living spaces.54
Freed up space
More than 56,000 m2 of parking spaces can be freed 
up by removing private cars from the streets
Today’s parking norms in Stockholm force property 
developers to build a certain amount of parking spots 
with new housing developments. This norm only vaguely 
correlates to the actual supply and demand dynamic for 
parking spots, thus the risk of over production of car 
parking spots is clear. These norms were formed at a time 
when the number of cars and car owners were expected 
to constantly grow. 
However, this is presumed to change. For example, Berlin 
has eliminated its parking norms while Helsinki and Oslo 
use a combination of maximum and minimum norms to 
successfully reduce the number of parking spots. Similarly, 
how parking is regulated in Sweden is in many ways now 
up to each municipality.51 
As parking spots take up a lot of space, changed 
Mandatory Parking Minimums are needed to release 
land for other purposes that will create value for cities, 
property developers, and consumers.52 
As up to 4,515 cars are removed from the streets of 
Stockholm and each car would have occupied parking 
space of some sort, we can assume that Volvo Car Mobility 
has enabled this space to be freed up. The average size 
of a parking spot is 12.5 m2, which corresponds to a total 
area of 56,440 m2 of freed space.53 If the reclaimed area 
were replaced with green infrastructure, housing, or 
office/commercial buildings, the area could be used to 
increase value.
Potential value created if the reclaimed 
area was transformed into:
•	 Green infrastructure and trees:  
circa 1,350 tons of CO₂ saved from the 
atmosphere.55, 56
•	 Housing:  
56,440 m2 could potentially accomodate up 
to 10,300 people in Stockholm municipality. 
This could provide a potential positive 
contribution to economic growth by 4.2 B 
SEK.57, 58 
15

Street view of today
Street view of tomorrow
16
The sustainability impact of car sharing
Transforming area into green infrastructure
Trees bind CO2 as they grow. With one cubic meter of 
logs, trees will on average bind 1.3 tons of CO2 from the 
atmosphere.59 Stockholm has a density of circa 0.02 trees 
per square meter. 60, 61 An average oak62 has a volume of 
circa 1.38 m3 and an average scots pine63 has a volume 
of circa 0.65 m3.64, 65 This means that an oak will bind 
1,790 kg of CO2 when fully grown and a scots pine will 
bind 850 kg of CO2. This would imply that a total of circa 
1,350 tons of CO2 would be saved from the atmosphere 
if the reclaimed space were transformed into green 
infrastructure, assuming that it consists of 50% oak and 
50% scots pine.* Moreover, this would increase the tree 
density in Stockholm.
Transforming area into housing
Another option is to transform the reclaimed area into 
housing. With an average living space of 33 m2 per 
inhabitant66 and 6 stories high buildings67 in Stockholm 
municipality, the reclaimed area has a potential to 
accommodate up to 10,300 people. Based on an average 
yearly salary in Stockholm and the assumption that all are 
working age adults, this would provide a potential positive 
contribution to economic growth by circa 4.2 B SEK.68 
If the reclaimed area is used for housing, offices, or stores, 
there is a further monetary contribution in terms of 
additional rentals and sales. This would have a meaningful 
impact on property developers and the city.
Note that the calculations show indicative 
values to illustrate the potential of alternative 
area use. In practice, the freed-up space would 
be used for a combination of purposes and it 
would not be possible to use all area exclusively 
for housing.
* Note that we have used oak trees and scots 
pine trees when calculating CO2 emissions saved 
from the atmosphere as these are two of the 
most common trees in Stockholm municipality.69

Reduced costs
Volvo Car Mobility and its service M, not only contributes 
to environmental sustainability, there are economic 
benefits to it as well. These advantages come from the 
removal of the cost of ownership for consumers and 
companies, decreasing construction costs for property 
developers, and reducing the costs of accidents within 
the City of Stockholm. In the following section, we will 
elaborate on these cost savings. 
Reduced costs from car ownership or leasing
Customers of Volvo Car Mobility get access to cars 
without making large up-front investments, required with 
ownership. Instead of being subject to the main costs of 
car ownership* they pay a subscription fee and a usage 
cost70. The latter depends on the time and distance that 
the service is used. With reference to these differences, 
we have compared the monthly cost of owning a car with 
the cost of a “lagom” membership in Volvo Car Mobility for 
consumers and a “medium” membership for companies. 
This allows us to identify a break-even distance one can 
drive before the cost of membership exceeds the cost of 
ownership or leasing. 
The results indicate that for consumers, the Volvo Car 
Mobility service is cheaper than owning a car if you drive 
equal to or less than approximately 7,000 km per year. 
For consumers who privately lease a car, the equivalent is 
9,000 km per year. Similarly, for companies, it is cheaper 
to use Volvo Car Mobility than to own a car up to a 
distance of 9,000 km per year per car.* 
Our calculation is based on the current price plan for Volvo 
Car Mobility, so the break-even points would change if the 
price plan was updated. However, this indicates that using 
Volvo Car Mobility is currently a less expensive option 
for consumers or companies who need access to cars for 
traveling short to medium-long annual distances. 
Cost transparency decreases the distance traveled
Results from our customer survey suggest that 
households that did reduce their car ownership after 
joining Volvo Car Mobility, decreased their distance 
traveled by approximately 43%.71 There might be several 
reasons behind such a behavioral change. One reason 
could be that, since you pay per use when using car 
sharing, a trip feels more expensive than it does when 
taking your own car.72 
This is supported by recent research published in “Nature,” 
where a group of researchers surveyed 6,000 citizens 
across Germany to investigate whether consumers 
grasp the total cost of car ownership. They found that 
car owners underestimate total vehicle costs by about 
50%. If consumers were given information on the cost 
of car ownership, it would encourage them to switch to 
cleaner transportation with lower emissions.73 At the same 
time, the perceived high costs impact how people drive, 
resulting in fewer unnecessary trips.74  
17
*Note that these calculations are based on a 
total of the main cost items associated with 
private consumer car ownership (fuel75, 76, 77, 
depreciation78, repairs79, 80, tax81, insurance82, 
service and maintenance83, 84, 85, 86, 87, and 
inspection88) and company car ownership89, as 
well as average distance traveled by Stockholm 
residents per car per year90.

Reduced construction costs for property developers
In the analysis, we have assumed that each removed car 
frees up the space of one parking spot, which equates 
around 56,000 m2. It is therefore reasonable to assume 
that fewer parking spots need to be built. Since the 
process of building parking areas is associated with high 
costs, there is potential gain for property developers 
and cities.
Today’s parking norms are based on an outdated form 
of ensuring that people have the right level of access 
to mobility. Mandatory Parking Minimums91 obligate 
property developers to build a minimum amount of 
parking spots with new housing developments, which 
do not necessarily match the actual demand for parking 
spaces. Local building standards that lower the Mandatory 
Parking Minimums will consequently lower construction 
costs for both buildings and parking spots. 
How to calculate the cost of building 
parking spots in a city: 
•	 Assumed distribution of parking spots: 
65% spots located on the street and 35% 
garage spots.95
•	  Construction cost per parking spot in 
Stockholm: 15,000 SEK on the street, and 
250,000 SEK in garage.96
•	 Number of parking spots that can be 
avoided: 4,515.
•	 Total costs potentially saved: 430 M SEK.
In practice, the people living in the connected houses 
pay for these parking space costs, regardless of whether 
they use a parking spot or not.92 Consequently, the 
construction of parking spots will have a direct impact 
on the possibility to build more living spaces at a lower 
cost. The Swedish Environmental Institute writes that 
low Mandatory Parking Minimums have helped make 
more small and affordable housing options available to its 
customers.93 
In the fall of 2020, the City of Malmö is expected to decide 
on a new policy for parking in which the city suggests that 
housing apartments that are built in public transportation 
dense areas, shall be allowed to build close to zero parking 
spots. They further claim that this initiative will keep 
housing prices down.94   
18
The sustainability impact of car sharing

Improved human safety - Why new cars are safer than 
old cars
In 2019, one of Sweden’s largest insurance companies, 
Folksam, released their yearly car safety report, in which 
they assessed the safety level of 324 car models, based on 
202,000 accidents in Sweden. 
The result from Folksam’s research shows that new cars 
are considered safer than old cars. In their list of tested 
vehicles, none of the 278 cars with the model year 
1990-2011 were classified as “good choices.” However, 
among the 46 cars with a model year 2012-2019, 37 were 
classified as “good choices.” 
The research shows that the risk of permanent medical 
impairment is reduced by 75% if car accidents where 
car models from the early ’80s have been involved are 
compared with models released during the past 5 years. 
Over the same period, the risk of death has been reduced 
by 85-90%. Overall, the research confirms that new cars 
are safer than old.97
About Volvo Cars and safety
Volvo cars stand out on Folksam’s list since all their new 
car models included in the report are more than 40% safer 
than the average car.
According to Volvo Cars Safety Vision, no people should 
be seriously injured or killed in a new Volvo car. To meet 
this vision, Volvo has developed several safety features 
throughout the years, such as Whiplash Protection System 
(WHIPS), Side Impact Protection System (SIPS), side airbag, 
run-off road protections, and auto-braking city safety 
systems. These features are installed in all new cars to 
reduce the risk of injuries.98 
19
To be classified as a “good choice”, the car 
must have:
•	 A safety score of 5 based on performance i 
n road accidents. 
•	 5 stars from Euro NCAP.
•	 Approved whiplash protection (60% of 
injuries from car crashes lead to whiplash).
•	 Autonomous emergency braking for cars and 
pedestrians (shown to have avoided 25% of 
all accidents).
•	 Electronic stability control (halves the risk  
of death and serious injury on slippery road 
surfaces).

Safer cars in traffic
Each year, 7% of vehicles in Sweden are renewed.99 Volvo 
Car Mobility contributes to this renewal of the vehicles 
in Stockholm by introducing new cars to both their fleet 
and the privately-owned fleet. This is because the cars 
are rotated out and remarketed after 2 years of use in the 
service. 
Since around 70% of the vehicles in Sweden consist of old 
cars (model year 2014 or earlier)100, one can assume that 
70% of the private cars that the service replaces are old. 
This means that the share of newer and safer cars within 
the secondhand market is increased. 
A reduction of accidents would have a positive effect on 
costs associated with medical health care. Overall, this 
indicates that the value to the city increases as costs lower, 
whereas having access to safer cars provides direct value 
to consumers and companies, as well as to the City of 
Stockholm.
About accidents in Stockholm County:
•	 In 2019, 20 people were killed and 348 were 
injured in car accidents in the Stockholm 
area.101 
•	 The average economic cost associated with 
 a killed person is 129,694 SEK, and the cost 
of treating a patient injured in an accident is 
57,391 SEK.102 
•	 This implies a total cost of medical 
treatment of 23 M SEK 2019.
20
The sustainability impact of car sharing

Increased car access and time efficiency
Enabling more people to access cars
One of the many benefits of car sharing is that consumers 
and companies can access a car without having to invest 
a large amount of money. Since launching in Stockholm, 
Volvo Car Mobility offers the opportunity for people who 
previously were unable, to experience the brand and cars 
of Volvo Cars. 
Another important factor making car sharing services 
attractive and accessible for the customers is that the 
geographic distance between residence and parking is 
short.103 The distance to the nearest Volvo Car Mobility 
station in Stockholm is on average 380 meters for its 
customers, which is arguably quite close. This distance 
equals, or is in some cases shorter, than the average 
distance to where people have the ability to park their 
private cars in central Stockholm. 
In addition, the company does not operate closed stations 
with restricted access to the cars, but all customers 
can use all available cars at all stations. Thus, Volvo Car 
Mobility enables car accessibility to more people.
Time is money
People are becoming increasingly stressed.104 They value 
their time more and therefore want to spend as little 
time as possible on unnecessary and non-value-creating 
activities. 
As a customer of a car sharing service you do not have 
to spend time on maintenance or administrative tasks 
related to car ownership, as these are catered for by the 
service. This creates value for the customer and is one of 
the main reasons for using a car sharing service. This is 
substantiated in a customer survey conducted by Volvo 
Car Mobility asking 4,000 customers about the primary 
benefits of using their service. The results indicate that 
more than half of the respondents consider “Everything 
is taken care of e.g. maintenance, 24/7 customer support, 
etc.” as the primary benefit.105 
An additional benefit of using station-based car sharing 
is that there is always a parking spot available when 
returning the car. This saves time. The lack of balance 
between parking supply and demand creates varying 
levels of “search traffic,” i.e., drivers searching for a 
parking spot. A review of 22 studies showed that 8-74% of 
all traffic in cities in Europe and North America consists of 
search traffic. The average search time is between 3.5 and 
14 minutes. 
There are large differences between the cities, but the 
studies show searching to be a large part of the traffic.106 
Stockholm is no exception.107
21

Positive impact on traffic congestion
Stockholm, like many other cities, faces problems such 
as congestion, pollution, and accidents caused by 
transportation and traffic.108 Stockholm is constantly 
growing and by 2030, the population in Stockholm 
County is expected to reach 2.5 million inhabitants. More 
people living and working in Stockholm means increased 
transportation and an increase in congestion. 
A wide range of factors affect congestion levels in 
Stockholm, and in addition to a growing population, the 
business cycle and congestion taxes are two of them.109 
Strategies normally used to reduce traffic congestion 
include increasing the amount of public transportation, 
cycling and walking.110 
Our customer survey and other studies indicate that 
people tend to drive less after joining a car sharing 
service.111, 112, 113 68% of customers who had car access 
before joining Volvo Car Mobility drive less since starting 
their membership and 25% drive the same amount as 
before. This implies less traffic and less congestion. 
Secondly, our survey also shows that there is no decrease 
in using public transportation since joining the service, i.e. 
82% use public transportation the same amount or more 
as before. Therefore, one can argue that a station-based 
service is a complement to public transportation and not 
a substitute.
Thirdly, customer survey results showed that the 
company’s service has had a positive impact on their 
customers becoming physically more active. 25% of 
the customers walk or cycle more compared to before, 
whereas 73% walk or cycle the same compared to before. 
This also indicates a positive impact on congestion.114
The above underlines the intention of Volvo Car Mobility’s 
product and business model. It is not constructed to be a 
substitute for public transportation. 
How transportation habits have changed due to 
membership in Volvo Car Mobility’s service M
68% of customers who had car access before joining Volvo 
Car Mobility drive less.
25% walk or cycle more since joining Volvo Car Mobility.
82% of respondents use public transportation the same 
amount or more since joining Volvo Car Mobility.
As a Volvo Car Mobility customer:
•	 You need to return the car to the same 
parking spot from where you picked it up.
•	 The minimum booking time is 1 hour. This 
reduces the likelihood of customers using 
Volvo Car Mobility for short, spontaneous 
or one-way trips.115 
22
The sustainability impact of car sharing

Sustainable movement
The importance of making conscious choices  
for consumers
“Green is the new black” – consumers are increasingly 
calling for a more sustainable, environmentally friendly, 
socially responsible, and economically inclusive tomorrow. 
Recent research by Capgemini Research Institute shows 
that consumer preferences are strongly impacted by 
sustainability. In fact, eight out of ten consumers are 
already making conscious purchase choices based on 
social, economic, or environmental impact. 
The overall conclusion is that consumers feel an emotional 
connection to sustainable companies.116 By making 
conscious choices, consumers also develop their personal 
brand identities, which is becoming increasingly important 
in today’s society. Increased information sharing, ease of 
access to technology, and online tools are considered key 
drivers for personal branding.117, 118 Since the personal 
brand has emerged as a strategy for individuals to 
emphasize their distinctiveness, people tend to grow 
more aware of their existence and the footprints they 
leave behind by making conscious choices.119	
In a brand-tracking survey performed by Norstat in May 
2020, 43% of respondents claimed that environmental 
concerns were one of the top reasons they pursued a car 
sharing service.120 It is thus reasonable to assume that 
using Volvo Car Mobility’s service helps the customers to 
reflect their identity around sustainability.
Companies aim to strengthen their  
sustainable profile
Being a progressive company with high ESG 
(environmental and social governance) ambitions and 
performance, is advantageous as it may lead to higher 
profits and market value. Researchers that confirm 
this relationship argue that ESG practices will improve 
relationships with stakeholders, leading to a larger 
customer base and an enhanced corporate reputation.121 
Even the appeal of ESG performance has shown to drive 
up stock prices and consumer demand.122
We can see that sustainability is also one of the main 
motivators for companies choosing Volvo Car Mobility. 
For example, a consultancy company specializing in digital 
products said that their collaboration with Volvo Car 
Mobility is “in line with our values to take an active part in 
the transition towards more sustainable urban mobility”.123 
Moreover, a fast-growing apparel care company reported 
that they chose Volvo Car Mobility Business for its 
“enhanced availability and sustainable profile” and claims 
that more sustainable car utilization, combined with the 
flexibility it provides, have influenced their decision to 
partner with them.124 
23

Car sharing enhances the living conditions in the city
A working group of international NGOs (non-
governmental organizations) has designed ten principles 
to guide urban decision-makers toward shared mobility for 
livable cities. Among others, they express their support for 
shared and efficient use of vehicles and land, and suggest 
that autonomous vehicles in dense urban areas should 
be operated only in shared fleets. They argue for shared 
fleets to provide more affordable access to all, maximize 
emissions benefit, and realize the promise of fewer 
vehicles, parking, and congestion.125 This emphasizes 
Volvo Car Mobility’s role in realizing these principles and 
their ability to contribute to the sustainable movement 
of society.
Mobility services companies have a role to play in the 
development of the modern city by bringing new services 
and solutions to help overcome traditional challenges. 
For example, Volvo Car Mobility, together with property 
developers, actively engaged in developing and optimizing 
the range of mobility services in the Stockholm district of 
Haga Norra. 
Additionally, the company is involved in a project called 
“Street Moves” in Stockholm together with ArkDes Think 
Tank, Stockholm Stad, Vinnova, LundbergDesign, Swedish 
Transportation Agency, and Voi. The ambition of this 
project is to ensure that every street in Sweden is healthy, 
sustainable, and vibrant by 2030. This addresses priorities 
from the two collaboration programs “Nästa generations 
resor och transporter” (“Next Generation travel and 
transportation”) and “Smarta städer” (“Smart cities”). 
The project has designed and developed a prototype 
consisting of modular building blocks that are placed on 
different streets in Stockholm. The purpose was to create 
a shared mobility “hot spot”, where cars, e-scooters, 
delivery vehicles, and share bikes coexist. If successful, this 
will create a blueprint for all Swedish cities.126 
The sustainability impact of car sharing
24

Increased electrification and access to 
smart technology
Increased electrification
In an address to the Global e-Mobility Forum in Warsaw, 
November 2019, the Deputy Executive Secretary of UN 
Climate Change, Ovais Sarmad, said:  
Over 500 participants in the forum, representing 
administration, business, science, NGOs, experts, and 
market practitioners from all over the world, agree 
that the development of e-Mobility is a priority to 
come closer to the zero-emission targets for the 
transportation sector.128
We urgently need sustainable and clean 
transport systems. The good news is 
that the prospect for this is promising  
as innovation and technological progress 
in recent decades have led to significant 
advances in e-mobility.127
As electrification is necessary for the transportation 
industry to reduce its CO₂ footprint, cities around the 
world need to build the required infrastructure to support 
the shift to electrification and thereby stimulate the public 
demand for electric cars. 
Apart from political decisions, additional factors affecting 
the adoption of electric vehicles are technological 
developments such as the prices of batteries, and 
customer preferences.129 A recent survey conducted 
by Castrol targeting 10,000 customers, fleet managers, 
and industry specialists across eight of the world’s most 
important electric vehicle markets, showed that not only 
infrastructure but also the charging time, the driving 
range, and choice of vehicle affected adoption of electric 
vehicles. 38% of the consumers cited the price of the car 
as the single most important factor.130  
Additionally, the Swedish government aims to create 
the conditions for the development of the market, 
submitting a proposal in January 2020 that both new 
and certain existing car parks should be prepared for 
the installation of charging stations.131 In June, the 
Swedish Transportation Administration also received an 
additional 50 M SEK to increase the coverage of charging 
infrastructure.132  
25

How car sharing services contribute to the positive 
impact of electrification
A car sharing service can contribute to the electrification 
of the general vehicle fleet in several ways. One way is 
by providing electric vehicles as part of its fleet. Volvo 
Car Mobility’s fleet currently (October 2020) consists 
of 13% PHEVs (petrol hybrid electric vehicles), and 
the company has the ambition to constantly increase 
the share of electric cars following the development 
of the charging infrastructure in the cities where they 
are active. After two years in service, the car is rotated 
out and is remarketed, thereby increasing the share of 
electric vehicles in the second hand market. Additionally, 
by lowering the barriers for people to gain access to and 
use electric vehicles. It thus becomes easier for people 
to move from a petrol or diesel car to an electric one. 
Fleet mix
Current scenario
Future scenario: 50%
plugin hybrid vehicles, 50%
electric vehicles
Petrol vehicles133
4%
0%
Diesel vehicles (run on miles
diesel and miles diesel bio)134
83%
0% 
Plugin hybrid vehicles
(run on electric and petrol)135
13%
50%
Fully electric vehicles
(run on Swedish energy mix)136
0%
50%
Reduction in CO₂ emissions from  
the fleet
-79%
While the introduction of more electric cars will reduce 
CO2 emissions, the electricity consumption will increase. 
Due to differences in emissions depending on the 
energy source, electricity needs to be produced through 
renewable sources to lower the environmental impact.137 
Sweden has good conditions to use environmentally 
friendly electricity as the electricity production in Sweden 
is almost fossil-free.138 
It is widely known that electric cars usually generate less 
noise due to the absence of combustion engines.  
 
In fact, up to a speed of 30 km/h, electric cars and hybrids 
maintain an average of 3-10 DB lower noise levels than 
conventional vehicles.139 Consequently, a higher share of 
electric cars in traffic would contribute to lowering the 
noise levels in Stockholm. 
Volvo Car Mobility has and continues to offset all 
kilometers driven by all their customers in all cars since the 
beta period (pre-launch period) by 110%. 
As Volvo Car Mobility’s strategy is to further improve 
the sustainability of its service, the company has also 
set several targets for increasing the share of electric 
and hybrid cars. Therefore, this analysis also explores 
the effects of a future scenario. By increasing the share 
of fully electric cars and hybrid cars in the fleet, the CO2 
emissions and fuel consumption are reduced.
26
The sustainability impact of car sharing
Table 3: Scenario analysis of a changed vehicle mix and its impact on CO₂ emissions  
The emissions in the tables are only connected to driving, and not production or recycling of the cars. The emission data 
is based on the WLTP methodology.

To facilitate a transition towards increased car sharing 
and mobility, traffic planning should be done based 
on expected behavior and the desired society, which is 
referred to as goal-steering rather than forecast control. 
The idea is that low Mandatory Parking Minimums, if 
combined with greater access to shared mobility services, 
will reduce people’s need for private cars. As such, norms 
for high Mandatory Parking Minimums work as a barrier to 
more car sharing. To achieve the course of goal-steering, 
the entire chain of politicians, property developers, 
architects, and suppliers needs to be aligned.141   
The need for policy measures to enable full sharing was 
also brought up in a recent European study conducted 
by Europe’s leading NGO Transport & Environment. They 
identify policies that are required at the national and city 
levels to achieve “mobility heaven.” 
For example, they suggest that countries should support 
the installment of fast chargers, either dedicated to 
shared vehicles or allowing shared vehicles to charge for 
a lower cost. Moreover, a taxation policy that promotes 
mobility budgets for employees rather than incentivizing 
car ownership should be developed. 
At a local level, cities are recommended to introduce 
road pricing and congestion taxes to limit transportation 
flows and stimulate demand for shared mobility. Finally, 
parking policies that regulate the street design to take 
into account new forms of mobility and space allocated to 
private cars are also considered effective.142  
Volvo Car Mobility enables access to  
smart technology
Volvo Car Mobility is more accurately described as a tech 
company. Through their proprietary AI platform, they have 
positioned themselves at the forefront in the transition 
towards a more technology-driven society. This platform 
has helped project consumer behavior and efficiently plan 
the allocation and distribution of cars based on extensive 
data-driven decision making. This makes the proprietary AI 
platform a central feature of Volvo Car Mobility’s 
business model. 
By introducing smart solutions and new cars to the 
market, the company has enabled a faster uptake of 
newer technologies and set the standard for future 
development.140 Like the argument for increased vehicle 
fleet electrification, Volvo Car Mobility’s business, 
therefore, has contributed to a higher share of smart cars 
in traffic.
BARRIERS AND MEASURES FOR 
INCREASED CAR SHARING
27

F U R T H E R  C O M M E N T S  O N  
T H I S  A N A LY S I S 
We have so far mainly focused on the value and positive 
effects that the car sharing service has created towards 
cities, property developers, companies, and consumers. 
However, some potential critiques against car sharing, 
electric vehicles, and Volvo Car Mobility could also be 
raised. We wanted to address some of them in this section.
One may argue that since car sharing cars are used 
more frequently than private cars, this will speed up the 
turnover of resources, generated waste, and increased 
emissions derived from car manufacturing.143 As such, 
one may question the positive impact of reduced 
car ownership on lower production levels outlined in 
the report.144 However, in a study conducted by the 
International Transport Forum and OECD, they argue 
that despite much longer distances traveled and shorter 
lifecycles, car sharing services enable faster uptake of 
newer, cleaner technologies that will in turn contribute  
to a more rapid reduction of CO2 emissions from  
urban mobility.145 
Car sharing might increase the amount of driving among 
some groups. For example, our customer survey indicates 
that those that did not have a private car before using 
Volvo Car Mobility increased their amount of car driving 
on average by 17%. 
This finding is supported by other research that suggests 
that households that did not own a car before joining a 
car sharing service increase their driving due to higher car 
access.147 However, as substantiated by both our analysis 
and other research that people tend to drive less when 
joining a car sharing service. 
In addition, Volvo Car Mobility customers cannot book  
a car for less than one hour. This secures that customers 
do not use M over other mobility modes such as  
walking, cycling and public transport when traveling  
short distances. 
Additionally, critiques have been made on the 
sustainability effects regarding the use of electric vehicles 
in general. Increased production of electric vehicles 
implies increased use of lithium-ion batteries, which have 
been shown to be major contributors to greenhouse gas 
emissions. When producing electric vehicles, emissions 
are generated both from the sourcing of materials for 
the batteries (e.g. cobalt and nickel)148 and from the 
manufacturing process of the battery. This needs to be 
taken into consideration when comparing the emissions 
generated between producing electric vehicles and 
combustion engine vehicles.149 As electric cars generate 
high amounts of emissions in the manufacturing process, 
it is even more important that these cars are shared. Thus, 
potentially fewer cars need to be produced. 
28
The sustainability impact of car sharing

A PPENDIX
Methodology
About the survey
We surveyed 9,955 active private customers in Stockholm, 
Gothenburg, and Malmö that have used Volvo Car Mobility 
at least 6 times during the last year. The total number of 
responses was 1,573, which corresponds to a response 
rate of 15.8%. Respondents were asked questions on car 
ownership and driving behavior before and after using 
M, as well as whether they walk, cycle, or use public 
transportation more often. For questions related to 
their driving behavior, use of public transportation, and 
walking/cycling habits, answers were restricted to only 
respondents in Stockholm (926). 
100%
80%
60%
40%
20%
0%
Respondents that
use public transport
equal amount or
more than before
82%
Respondents that
drive less than 
before
30%
Respondents that
walk or cycle equal
amount or more
than before
98%
-50%     -40%      -30%      -20%      -10%       0% 
-43%
29
Figure 1: Behavioral changes due to membership
Figure 2: Total change in kilometers driven for 
customers that got rid of a private car

Methodology to calculate the number of private cars 
replaced per Volvo Car Mobility car
Respondents were asked questions whether they got 
rid of a vehicle due to their membership in M - Volvo 
Car Mobility, as well as whether they were planning to 
buy a car within the next year but avoid to do so. The 
respondents were also asked whether their membership 
contributed towards the decision to sell the car or not to 
buy another car. Respondents could also indicate if they 
had sold a car or changed their intentions to buy a car for 
reasons other than their membership. There were 411 
cars reduced in total. 802 were suppressed. The sum of 
these numbers (1,213) was then divided by 1,573, the total 
number of responses. This gave the average number  
of cars removed from the street per respondent (0.77). 
Variable
Number
Total survey base
9,955
Total number of responses
1,537
Number of cars owned by active members sold due to their membership
411
Respondents that avoid buying a car due to their membership
802
Cars reduced per respondent
0.77
Average number of cars in the fleet over the analysis time horizon
1,389
Share of booking time by private customers
0.711
Number of private cars replaced per Volvo Car Mobility car
up to 8 
We applied this factor to the survey base of 9,955 
customers, that were defined as active. This scaled factor 
was then divided by the size of the fleet to obtain the 
number of cars replaced by each car sharing car. Since the 
survey only includes private use of the service, the vehicle 
fleet was adjusted based on the share of booking time 
made by Volvo Car Mobility’s private customers (0.711). 
The suppression effect was included in our calculations 
since car sharing services also reduce the number of cars 
bought in the future. 
30
The sustainability impact of car sharing
Table 4 : Calculation of replacement number

Research methodology
The sourcing of the report has been done by conducting 
extensive research between July and October of 2020. We 
have combined external data, such as industry reports and 
national statistics, with internal data provided by Volvo 
Car Mobility, to obtain credible and nuanced results. Some 
data points have also been validated by relevant experts 
within the field of city planning, property development, 
and car accident research.
Some limitations exist in these findings. First, when 
calculating the number of cars reduced per respondent, 
we included both the number of cars reduced and the 
number of cars suppressed. However, potential double 
counting among respondents has not been taken 
into consideration. Double counting could potentially 
occur when respondents indicate that they both sell 
and suppress a vehicle purchase. Since we do not know 
whether the respondents would have both kept their 
current car and bought another one in the absence of 
Volvo Car Mobility, we decided not to consider this, but 
rather to see it as a limitation in the  
calculation methodology. 
However, it is important to mention that we, unlike other 
similar studies, did not apply the replacement factor to 
the entire customer base. To get an as reliable number as 
possible, we only applied the replacement factor to the 
active customer base. 
Second, the impacts of Volvo Car Mobility on respondents 
are self-reported. However, since the respondent is the 
most knowledgeable as to whether their membership 
decreased their car ownership or not, this limitation  
is unavoidable. 
Third, vehicle suppression was restricted to one vehicle per 
household to reduce complexity in the analysis. 
Fourth, results reflect the estimated impact on individuals 
who have used the service at least 6 times. This is due 
to the fact that active customers are more likely to 
change their car ownership relative to the general 
population. Finally, the survey was sent out in a period 
of COVID-19 which may have influenced the above 
results. Respondents were, however, asked to disregard 
this effect.
31

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A B O U T  T H E  A U T H O R S
PER HOLMBLAD | per.holmblad@capgemini.com
Vice President, Automotive & Manufacturing
Capgemini Invent, Sweden & Finland
Per has a deep passion for the Automotive and Manufacturing industries and has worked over the past 
22 years throughout the value chain in these industries. He has also worked closely with management 
boards and leaders in the transformation of their businesses. Per’s main focus nowadays is new business 
model design and implementation in mobility and sales channels in the Nordic Automotive markets.
DAVID MAGNUSSON | david.magnusson@capgemini.com
Senior Manager, Innovation & Strategy
Capgemini Invent, Sweden & Finland
David is a Senior Manager within Innovation and Strategy at Capgemini Invent. He has extensive 
experience in helping companies transform their operating models and is passionate about how digital 
technology can enable sustainable development.
REBECCA JOHANSSON | rebecca.johansson@capgemini.com
Senior Consultant, Brand & Experience
Capgemini Invent, Sweden & Finland
Rebecca is a Senior Consultant within Brand & Experience at Capgemini Invent. She is eager to 
understand the growing role of sustainability in business and society and is part of the team developing 
the sustainability offer within Capgemini Invent in Sweden and Finland. Recently, Rebecca’s main focus is 
analysis, strategic and offering development, and digital transformation projects.
PETER ALSTERBERG | peter.alsterberg@capgemini.com
Vice President | Head of Brand & Experience Sweden & Finland 
Capgemini Invent, Sweden & Finland
Peter has during the past 18 years advised and supported clients across industries on their commercial 
side of business – ranging from strategy, design, business model transformation to value realization 
projects. Peter’s expertise and passion is centered around brand and consumer experience to help 
businesses effectively bring new propositions to the market.
KIRI TRIER | kiri.trier@capgemini.com
Director Innovation & Strategy / Sustainability Lead DACH
Capgemini Invent, DACH
As a certified innovation & sustainability leader (Director, researcher rer.soc.oec), with over 10 years of 
international experience in Innovation Management, Kiri knows how to deliver digital & innovative products 
& services, focusing on sustainable transformation and sustainable development (ESG, GRI, etc.). As a 
sustainability lead for DACH, she investigates the right sustainability strategy for Capgemini’s clients and 
encourages all clients to drive sustainability from an end-to-end perspective with the right methods and 
measurements.
The authors would also like to especially thank Ida Ekelöf and Nike Müller-Brunotte for their contribution 
to this research.
35

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