South Africans are increasingly turning to ride-hailing services, as convenience, shifting economics and changing mobility habits reshape urban transport behaviour.
This is according to the latest edition of the SpendTrend26 report, compiled by Discovery Bank and Visa, which analyses consumer spending behaviour, looking at spend nationally.
The study combines Visa’s dataset insights with Discovery Bank’s analytics, incorporating analysis on 2.6 billion credit card transactions across 12 million cards in 2025.
It included a consumer survey of 1 000 South Africans earning R100 000 or more per year, alongside transaction data analysis.
The report found that ride-hailing growth is now outpacing fuel spend growth, particularly among younger consumers and residents in major metropolitan areas – some of whom are vehicle owners.
According to the report, fuel still accounts for the majority of mobility spend, representing approximately 82% of total combined spend. However, ride-hailing spending grew faster month-on-month, particularly during the second half of the year.
The findings point to a broader shift in how South Africans approach everyday transport, with consumers increasingly combining traditional vehicle use with app-based mobility services, it points out.
The report states: “Electric vehicle adoption remains gradual, and petrol and diesel continue to dominate. Together, these trends suggest consumers are adopting a broader mix of mobility options.”
The report found that 58% of surveyed South Africans said they use ride-hailing services more than they did 12 months earlier. Among consumers aged between 18 and 30, usage growth was even more pronounced, with 70% reporting increased use of ride-hailing platforms during the year.
Johannesburg emerged as one of the strongest markets for the sector, with 67% of residents saying they had increased their ride-hailing usage compared to the previous year.
The report attributes the rise primarily to convenience, lifestyle changes and shifting economics.
“Among those using ride-hailing more, convenience and time saving are the leading drivers, followed by going out or alcohol-related travel, and the rising cost of fuel. This suggests that ride-hailing is not simply replacing private driving on price alone, but is becoming a practical solution for urban routines, social occasions and time-pressured lifestyles.”
According to the report, ride-hailing spend rises sharply towards year-end, while fuel spend grows more moderately over the same period, indicating steadier and more cyclical demand.
Flexibility versus debt
Responding to a question from ITWeb, Discovery Bank CEO Hylton Kallner pointed out that the shifting economics are being driven by how people now weigh the real cost of owning a car versus simply accessing transport when needed, especially as ride-hailing becomes more embedded in urban life.
“The kind of the trade-offs and the cost benefit of owning a car is often being traded off against the cost of ride-hailing.
“And we see that they can be very cost-effective solutions. Affordability pressures and lifestyle differences, particularly among younger commuters, are accelerating the move away from ownership toward on-demand mobility options,” notes Kallner.
While ride-hailing platforms continue to gain momentum, fuel remains the dominant transport expense for most South Africans.
The report states that fuel payment volumes increased 14% year-on-year in 2025, although average spend per active card declined by 7% as fuel prices stabilised and transaction sizes became smaller.
The research found that mobility spending patterns are becoming increasingly diversified as consumers balance private vehicle use, ride-hailing convenience and emerging transport technologies.
The transactional data reinforces what surveys are already showing: customers are increasingly choosing flexibility over long-term financial commitments, with e-hailing emerging as a practical alternative to traditional vehicle ownership in South African cities, Kallner adds.
South Africa’s ride-hailing economy is increasingly functioning as a financial safety net for workers navigating a constrained labour market, according to research conducted by research firm Ipsos, commissioned by e-hailing firm Bolt South Africa.
The report reveals that 70% of South African gig workers turn to ride-hailing for flexible earning opportunities – as a secondary income – while the other 30% depend on it as their primary livelihood.
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