This study examines the effects of on-demand mobility services on sustainability in terms of emissions and traffic volume. According to our simulations, implementing on-demand mobility services is recommendable only as a supplement to public transport in both urban and rural regions since there are positive effects in terms of CO2 emissions. However, in urban areas, there is a negative impact on the traffic volume in terms of additional vehicle kilometres since the bundled public transport demand is replaced by less bundled on-demand vehicles. In rural areas, the increase in vehicle kilometres plays less of a role due to generally low demand. The negative effects per vehicle kilometre are slightly higher in rural areas due to higher empty kilometres and lower bundling rates, but the negative effects per km2 in dense cities are much more serious. Authorities need to consider these effects according to the spatial context when implementing such services.