Sharing Economy Set To Grow By Over 300% By 2020

Sharing economy revenues are expected to increase by more than three times in the next few years from US$6.4 billion to US$20 billion by 2020, according to a new study from Juniper Research.   These forecasts, released last week, predict that companies like Uber, Airbnb and our very own Expert360 will benefit from the huge uptake of sharing economy platforms by the end of the decade.  

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The author of the paper, Lauren Foye, points directly to Uber already taking advantage of the sharing economy to continue to disrupt established markets. She specifically uses the example of UberRUSH and UberEATS disrupting the highly lucrative logistics sector.   Foye argues that this disruption is set to continue beyond the already technologically altered markets, which include the professional services industry, the hotel industry, the taxi industry and unskilled labour among others. The study highlights that a number of other smaller sharing economy services are primed for significant growth within the next 10 years.   “As such we have already witnessed large players in both the technology industry and the sharing economy itself, branch into these emerging sectors," the report said.  

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The continued supply for these platforms will stem from people seeking better work-life balances, according to the paper.   The study forecasts that industries like manufacturing will be the most likely for big companies to use the sharing economy to their advantage.   “GM already operates its FirstBuild platform, utilizing the concept of collaborative innovation, with a number of projects already completed and shipped to consumers. Other providers, such as TechShop, enable access to technologically advanced workshops, reducing the production times for prototypes and concepts, whilst aiding in the scaling-up of production projects designed by young start-up businesses.”  

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To view Juniper’s full report on the sharing economy, click here.