Swapfiets is in the red: Is the subscription model for bicycles on the brink of collapse?

The idea of not buying a vehicle but only paying for its use is particularly popular in urban centres. And there is a large selection of vehicles to choose from, ranging from electric scooters to cars. A Pioneer in "Mobility as a Service" is the Dutch company founded in 2014 Swapfiets. Pon.Bike acquired a stake in the young company back in 2017 via the investment company Ponooc. The bikes with the distinctive blue front tyre are now available in Germany, Switzerland, Austria, Belgium, France, Spain, Italy, Denmark and the UK.

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High losses due to theft and damage

Expansion into other markets has not yet led the company out of the red, as last year's balance sheet shows. At 269,068, the number of users rose by a further 5 per cent compared to the previous year. Turnover rose much more strongly, namely by 37 per cent to 71.1 million euros. The reason for this is that the e-bikes with higher subscription costs introduced in 2020 are becoming increasingly popular. At the same time, the loss rose again by around 5.5 per cent to 30.9 million euros. One reason for this is the handling of the subscription bikes: they are often thrown into the water, stolen or wilfully damaged, which led to write-offs amounting to 18.2 million euros.

Outstanding subscription amounts

Another problem with Swapfiets is the poor payment behaviour of customers: Many continue to use their Swapfiets bike even though the subscription has expired, or do not pay their bills. In order to generate more revenue, Swapfiets wants to collect more outstanding amounts and take the bikes away from defaulting customers. The company is also withdrawing from Italy and removing electric scooters from its range. The fact that Swapfiets can afford the continuing losses is due to Ponooc's goodwill: since the takeover, the investor has invested a total of 109 million euros in the company, including 34.5 million euros in 2022 alone.