In supermarkets… for customers to rent at any time,

In
December 2015, Beijing issued red alert over air pollution for the first time
(BBC News, 2015). And in 2016, China issued first national smog red alert. It
warned millions of people in 24 cities in the north-east, including Beijing,
limiting going out due to air pollution. Many schools closed down, on-road
traffic was restricted and flights were cancelled (Newsweek, 2017).

In
order to reduce traffic congestion and encourage people to use public
transport, Beijing government offered a number of different solutions,
including the arrangement of private lanes for bicycles. However, many people
were not keen on cycling to the bus or subway station, as there is no parking
near these locations and the risk of losing bicycles was high.

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Due
to this fact, many Chinese technology companies have launched bike sharing
services like Mobike, Ofo or BlueGogo. These companies bought bicycles with a
modern design, installed locking and GPS systems, and placed them in parking
lots along the sidewalk in front of the train station, bus station, schools,
supermarkets… for customers to rent at any time, anywhere at a reasonable
cost.

In
2008, first bike-sharing program was launched in Hangzhou with 2800 bikes. This
soon wide spreaded all over China and became one of largest bike sharing system
in the world (Citylab, 2017). At the end of 2014, there were 235 cities which
operated bike sharing programs with nearly 750000 bikes in 28000 stations in
China. Beijing (first launched in 2012) had 16,000 bikes and 508 stations
(Meddin, 2014). In 2015, the number of shared bikes hit one million, and nearly
900 bike sharing systems operated worldwide (CityLab, 2017).

Although
the number of bike sharing companies and the number of bicycles on the streets
has increased, the number of users remains low, leading to a serie of smaller
companies failing. Beginning with small players such as Wukong, 3vBike, Ding
Ding Bike, Kala Bike and Kuqi Bike, as of October, Bluegogo – China’s number
three bike sharing company with two most important markets in Beijing and
Chengdu, has dropped out of the bike sharing market (Medium, 2017).

Therefore,
it is crucial to understand the factors that affect user’s usage. Determining
which factors are essential when customers choose to ride shared bike and their
satisfaction level for those factors will help bike sharing companies improve
their bikes’ usage by adjusting their services and bikes according to the
research’ s results. (Guo et al. 2017)

The
objective of this research is to understand factors that lead users to decide
to ride shared bikes and their satisfaction levels for existing bike sharing
services. More specifically, this research focuses on how quality and variety
of the bikes, price (deposit amount and price/time amount) and promotion
programs, application platform, and customer service affect user’s decision and
their satisfaction levels on those factors. Questionare surveys are designed
and a grading system on Likert scale is given for each question. The surveys
will be filled in by 500 frequent user of bike sharing services in Beijing.