Shared economy or collaborative consumption is not a new concept. Your ride in Uber or Lyft or maybe your stick with Airbnb is an illustration of this peer to peer collaborative consumption. The thing that makes this concept interesting is the ability of the shared economy based companies to offer simplified yet delightful experiences to consumers. This type of easy services driven concept is enabled by technology and is silently building a profound effect on society – leading a Social Change.
By definition Social change is really a procedure of major changes over a duration of time in pattern of behavior, cultural values and norms of society. These changes have long-term impact on the society. So, let’s know how these new age companies focusing on old type of Shared economy are helping bring a Social Change:
1. Socially we are moving from Ownership to Sharing: Should you closely examine these firms, they neither offer any technology for you to use nor they feature direct services. The delightful experiences are delivered by somebody who is sharing the products or services along with you. This can be helping individuals to move from full ownership to your sharing model thus opening to unknown group of people from across the globe. This mode of sharing can’t be seen as selling because the provider of services is letting you take part in something that they completely own & probably use as part of their daily lives. The better people share more they grow & more they grow the more they share. This way we have been moving from I & you to we & us ultimately causing a harmonized happy world. This is the basis of the newest direction and a paradigm shift which is leading a whole new way of life – a Social Change.
2.We have been trusting the unknown: Each time you eat a service from the shared economy model you trust the unknown. Yes you will find reviews concerning the services you are wanting to consume but you need to trust reviews from people who you don’t know and hence it really is trusting the unknown. Principes Communs from one part of the globe are trusting people from another part of the globe – which they might have never visited. Imagine this – you have planned a holiday trip in Chicago and will be travelling from your comforts of your property in Colombo. You may have booked an area through Airbnb and know nothing regarding your host in Chicago. The only source of information are some of the great reviews about the host. You will still proceed, finish a great stay with the host and provide them 5 star reviews. This is really happening and happening all around the world at a pace faster than your reading speed. Phenomenal. We as being a Society are able to trust more & take more risks to become global citizens. Looking more optimistically, this model of mutual respect & trust is succeeding greater than the traditional style of consumption. This ability to trust the unknown is challenging well established brands. It is which makes them innovate and win consumer’s trust based on improved services or value otherwise they clearly face extinction. Our company is sharing more, our company is also caring more so we are actually trusting more being a Society.
3. Our company is embracing change: Whenever you choose services through the Shared Economy model you happen to be moving from the traditional established to a totally new type of consumption. The existing models are definitely more mature and it’s easy to select the existing and trusted means of doing things however the world is embracing this modification. In the event the growth of brands like Uber or Airbnb is any indicator then it’s clear that world is moving almost in one direction and that is certainly to maneuver from traditional system to a new age model. When you examine leading surveys you will notice that Airbnb is booking more rooms than Hilton or Uber operates in additional than 250 cities and it has better market valuation in comparison with many leading Airlines on earth. This is not an unexpected in any way. With proliferation of mobile connectivity & internet we will have this modification being embraced by way of a larger population thus ensuring a deeper & more significant effect on the society.
4. Our company is supporting Social entrepreneurship: Imagine this – a classic lady in UK has a 3 room apartment near city center and she doesn’t want to put it on long-term (1 year or maybe more) rent as her distant family visits her one or two times each year. At the same time she would like to monetize the real estate investment. She loves to meet people and doesn’t want to be lonely. Using the shared economy model she can do all of this at the ease of few clicks. Everything that she has to do is to achieve the details uploaded on Airbnb or similar portals that she trusts. She can not merely monetize the investments but can also get the opportunity to meet people from diverse backgrounds. No requirement to go through the hassles of contracting with every tenant or hire staff to perform the show, no walking around authorities, no need for posting costly ads, no follow ups and no reason to engage real estate brokers. In this particular new model she could run her very own business in simple yet quite effective way. Once the society starts supporting its constituents the progress is inevitable. The complete world- well almost- is coming together to aid you in making you successful. That’s social entrepreneurship.
5. And that we are helping the Environment: This one is easy to understand but has the most important impact on our future. Whenever you choose car-sharing, bike-sharing or a ride-sharing you are actually assisting to reduce carbon footprints, you might be saving fuel and everything associated with it. Rather than buying new stuff our company is re-utilizing and monetizing existing assets by sweating them which can be always better than throwing and buying new. Shared economy model really helps to reuse stranded assets like cars, bikes to vacant rooms along with toys which otherwise sits idle occupying space and are seldom used. Underutilized goods turn into waste quickly which model helps eliminate that. Using this method our company is helping ease pressure on environment by lowering the quantity of old items that are discarded or thrown and also lowering the rising demands of the latest goods. Increase this reduced traffic congestion, savings because of lower consumption of energy hawiho resources and it will be possible to clearly see some great benefits of this new model on society as a whole. We are helping ourselves and the way forward for the society in general.
While you would have observed there is an inevitable change that people all are experiencing- we are sharing more, we have been accepting more, we have been embracing new, we are becoming diverse and our company is making tomorrow better. This is surely a big paradigm shift that will slowly result in a Social revolution with much more lasting impact than current technological advancements.