During the second half of the last decade the Sharing Economy boomed, driven largely by millennials’ desire for “experiences over things”. The advent of companies like Uber, Spotify, Netflix, Lime, Zipcar and WeWork meant consumers no longer needed to buy physical property to access vehicles, music, movies and even office space. Instead, they could use newly-available digital tools to simply use what they wanted, when they wanted it.
Fast forward to today and the sharing economy continues to grow at pace. The latest research from Proficient Market Insights’ Sharing Economy Report from October 2022 predicts the size of the global sharing economy market will grow from $113 billion USD in 2021 to $600 billion USD in 2027. Access over ownership remains a key driver for the trend as the changing priorities of the world make the resource-efficient and frugal elements of the sharing economy more appealing than ever. Indeed, last August French President Emmanuel Macron warned that we need to prepare for the “end of abundance”, suggesting that a more thoughtful approach to consumption was needed in the face of the dual threats of the climate and cost of living crises. The sharing economy certainly offers a solution there.
Interestingly, though, beyond access over ownership, we’re also seeing an explosion of new peer-to-peer offerings that put more emphasis on those who do invest in buying new products. These Airbnb-for-X solutions are giving owners new ways to monetize their possessions and their smart home infrastructure when they’re not in use, or when they have excess bandwidth.