Sharing & Gig Economy, Freelance Workers & On-Demand Delivery OVERVIEW
Plunkett Research estimates the size of the global sharing economy at $129.3 billion for 2019, and the Brookings Institution forecasts it to grow to $335 billion by 2025.
2020 had mixed results for this sector due to the Coronavirus pandemic.
Ride-sharing companies saw plummeting revenues because of the shelter-at-home, work-from home environment.
Likewise, accommodation-sharing platforms such as Airbnb and Vrbo saw large drops in revenues.
At the same time, meal and grocery delivery services like GrubHub and Instacart soared—they are the perfect answer to closed restaurants and COVID-conscious consumers. Closely intertwined with the sharing economy is the expansion of “gig” and freelance work.
While such short-term or one-time (“contingent”) work arrangements are not new, today's digital platforms enable a far greater number of people who desire gig or freelance work to connect with consumers and businesses that want to hire them.
These platforms allow increased access to services and workers in ways never seen before.
This segment is often referred to as the “gig economy.” The sharing and gig economy is a truly disruptive development that was enabled through the rapid, worldwide deployment of the smartphone and through the ease of development of massive web-based services via databases and other systems hosted in the cloud.
The nature of this industry is disruptive because the sharing economy offers very advanced solutions to everyday problems, saving time and effort for consumers, and often saving costs and creating efficiencies in the process, whether