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Vélib` 2.0: Paris`s Bike-Sharing System Hits a Bumpy Road |
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| In 2017, Smovengo was formed as a consortium by Smoove, a self-service bicycle specialist; Indigo Infra, a direct subsidiary of car parking and urban mobility services company, Indigo Group (previously known as Infra Park); Moventia, a Spanish transport company, which installed and managed self-service bicycle projects; and Mobivia, the European leader in automotive services and first seller of electric bikes in France. As of May 2017, Smovengo employed more than 40,000 employees and recorded sales of €4 billion. The Smovengo consortium was led by its CEO, Jorge Azevedo (Azevedo)... |
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| Since Smovengo planned to offer new features for Vélib’, it had to set up new docking stations. For this, SOMUPI had to dismantle the existing docking stations by the end of 2017. However, this did not go as planned as employees of JCDecaux went on strike in November 2017 demanding jobs from Smovengo. In November 2017, the High Court of Nanterre in France passed a ruling that transfer of 276 employees of JCDecaux to Smovengo was essential. Soon after, SOMUPI continued with removing the existing docking stations.... |
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| The new Vélib’ system comprised intelligent bikes that came equipped with a Smoove Box or V-Box, wireless passive bike docking posts, and solar-powered subscription and information kiosks (See Exhibit II for components of Vélib’ 2.0)... |
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| Smovengo used the same sites used by JCDecaux for setting up the Vélib’ system. These sites had been earlier approved by the Departmental Architecture and Heritage Service of Paris. When Smovengo won the Vélib’ contract in February 2017, JCDecaux had 8,700 bikes, 41,101 docks, and 1,263 stations. By March 2018, Smovengo had to offer 1,400 stations and 20,000 operational bikes.. |
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| In March 2019, Marion reported that there had been 163,000 Vélib’ riders with 60,000 daily borrowings for the month February 2019. The figures were low compared to those under JCDecaux in 2017 – 300,000 riders and 100,000 daily borrowings.. |
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| By June 2019, Smovengo had provided 1,297 active stations and recorded 60,000 daily borrowings of Vélib’. Even as the company was grappling with the issue of stagnant ridership from Vélib’ users, it had to tackle the challenge of theft and vandalism. In July 2019, Smovengo reported that it lost around 600 to 1,000 Vélib’s every week. Pierre Heyraud (Heyraud), director of operations for Smovengo, stated that around 400 employees of Smovengo worked day and night to repair more than 700 bicycles per day. Going forward, their goal was to repair 850 bikes per day... |
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Exhibit I: Some of World’s Top Bike Sharing Programs (2017)
Exhibit II: Components of the New Vélib’
Exhibit III: Smovengo’s Fork Lock
Exhibit IV: Smovengo’s Park+ Feature
Exhibit V: Velib’ Passes and User Fees
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