WHAT is it like being in the sharing economy?
Mike Hagbeck of Space Next Door talks about starting up business as part of this collaborative economy, while Vikram Kumar of Yuwee looks at how to get more start ups communicating more efficiently at the recent Keep It Going: By Design — The Biz Behind The Sharing Economy.
Asst Prof Ben Choi of Nanyang Business School, NTU, takes a big-picture perspective of the sharing economy.
Are We Ready For Change?
The panellists spoke about the challenges of setting up their businesses, why they ventured into it and some of the predicaments they found themselves in.
Prof Choi took a hard look at where the sharing economy is headed and what his students need to be mindful of when venturing into a dynamic environment with strong currents.
The number of companies joining the sharing economy is growing. They pursue data religiously.
In 2014 the sharing economy was valued at $14 billion. By 2025 it is estimated to be worth $335 billion. Most have not shown a profit, so why the fascination to be in this space?
It’s essentially a technology play, enabling traditional businesses like banking, taxis and accommodation to be elevated into a new level where artificial intelligence, deep learning and trending issues are connecting them rapidly into a global audience.
They want to rise quickly and become part of the new wave of change. Where Airbnb took 4 years to build an inventory of 600,000 rooms, Hilton took 93 years to get this number of keys.
Uber is now larger than many of the S&P500 companies, despite bleeding millions of dollars daily. In 2017 it lost $4.5 billion.
But this is the shiny new toy, and once they’ve locked onto a platform, the opportunities to scale are greater as they make use of data to create more personalised solutions. Many are finding new avenues to grow their business. Uber ventured into food delivery, Airbnb is looking at transportation.
For the audience at W.Atelier, it proved an insightful session that raised real-world issues.
More reports to follow.