Spin has launched its scooter sharing business to Germany, the first step in the U.S. company’s plans to expand to Europe.
The company, which was acquired by Ford in 2018 for about $100 million, has launched in Cologne and plans to open up in German cities Dortmund and Essen in the coming weeks. Spin said it’s also expanding its footprint in the U.S., starting with Atlanta. Other U.S. cities will follow, Spin said without providing more details.
Spin’s Europe expansion is part of a trend that was emerging in the beginning of the year before COVID-19 upended the economy. In early 2020, it looked like Europe would become a summertime battleground for e-scooter companies. European and U.S.-based companies, including Lime, Bird, Circ, Swedish startup Voi and German startup Tier, were vying for market share. Voi was in about 40 cities in Europe and Tier had expanded to roughly 56. Amsterdam-based Dott was also in the mix. Spin announced in February plans to expand to Europe.
COVID-19 spread throughout Europe and then North America soon after, putting the brakes on micromobility. The pandemic prompted a number of scooter and bike share companies to pause operations or even pull out of cities altogether.
E-scooter startups are now coming back to Europe, where adoption rates and unit economics have been rosier than in some U.S cities.
Spin is starting with Germany in part because a recent survey conducted by the company and YouGov suggests e-scooters are poised to become a favored mode of transit in the country. Nearly 50% of those surveyed in Germany indicated they are already using or planning to use a solo transportation option for commuting to and from work and for taking trips within their immediate vicinity, Spin said.
“We are seeing heavier adoption of micromobility all around the world especially as the need for people to commute in less crowded conditions increases,” CEO and co-founder Derrick Ko said in a statement.
Spin said it plans to expand beyond Germany. The company has applied for permits in Lyon and Paris in France and submitted a proposal for rental e-scooter pilot in several U.K. cities, including Birmingham, Liverpool, London and Manchester.
Spin continued operating in some U.S. cities where it was allowed and provided free rides for healthcare workers during the pandemic. The company has resumed operations in 14 cities this month. It is now operating in 25 U.S. cities.
“Spin scooters are being used now more than ever as a utility rather than for leisurely activities,” president and co-founder Euwyn Poon said in a statement. “As public transit is cutting services, Spin is stepping in to help.”
Since April, new daily active users have increased an average 34% week over week, according to Poon. Trip duration has also increased 44%, reaching a peak of 24 minutes per trip, in May, Poon added.