This is the tenth report from our upcoming People's Insights Annual Report titled “Now & Next: Future of Engagement”, also available as a Kindle eBook and soon as an interactive iPad app. The report will highlight the ten most important frontiers that will define the future of engagement for marketers, entrepreneurs and changemakers: Crowdfunding, Behavior Change Games, Collaborative Social Innovation, Grassroots Change Movements, Co-creation Communities, Social Curation, Transmedia Storytelling, Collective Intelligence, Social Live Experiences and Collaborative Consumption.
In each of these reports, we start by describing why they are important, how they work, and how brands might benefit from them; we then examine web platforms and brand programs that point to the future (that is already here); then finish by identifying some of the most important features of that future, with our recommendations on how to benefit from them.
Do subscribe to our email newsletter to receive an invite to download a free copy of the interactive iPad app.
Find out more: http://peopleslab.mslgroup.com/peoplesinsights/future-of-engagement/
Get the Kindle eBook: http://www.amazon.com/dp/B00D8ZZMDY
2. We are delighted to share that we will be
publishing the People’s Insights Annual
Report titled “Now & Next: Future of
Engagement” as an interactive iPad app. The
report will highlight the ten most important
frontiers that will define the future of
engagement for marketers, entrepreneurs
and change makers: Crowdfunding, Behavior
Change Games, Collaborative Social
Innovation, Grassroots Change Movements,
Co-creation Communities, Social Curation,
Transmedia Storytelling, Collective
Intelligence, Social Live Experiences and
Collaborative Consumption.
Throughout 2012, 100+ planners on
MSLGROUP’s Insights Network have been
tracking inspiring web platforms and brand
programs at the intersection of social data,
citizenship, crowdsourcing and storytelling.
Every week, we pick up one project and
curate the conversations around it — on the
MSLGROUP Insights Network itself but also
on the broader social web — into a weekly
insights report. Every quarter, we compile
these insights, along with original research
and insights from the MSLGROUP global
network, into the People’s Insights Quarterly
Magazine. Now, we have synthesized the
insights from our year-long endeavor in future
scanning as foresights into the future of
engagement.
We believe, like William Gibson that, “the
future is already here; it’s just not very evenly
distributed.” So, innovative web platforms
in the areas of social data, citizenship,
crowdsourcing and storytelling point towards
interesting possibilities for brand programs
that leverage similar models to engage
people. In turn, the web platforms and brand
programs of today give us clues to the future
of engagement tomorrow.
In our reports on the ten frontiers that will
define the future of engagement, we start by
describing why they are important, how they
work, and how brands might benefit from
them; we then examine web platforms and
brand programs that point to the future
(that is already here); then finish by identifying
some of the most important features of that
future, with our recommendations on how to
benefit from them.
For the next ten weeks, we will publish
these reports one by one, then present them
together, in context, as an interactive iPad app.
Do subscribe to our email newsletter to receive
each report and also an invite to download a
free copy of the interactive iPad app.
People’s Insights Annual Report
3. 3
What is Collaborative Consumption ?
People use technology and
community to choose
access over ownership
and create a new sharing
economy.
cities has made it both possible and necessary
for people to save space and money by sharing
instead of owning. Third, the combination of the
continuing recession and the climate crisis has
made people more mindful of what they buy and
how they use what they own, prompting them
to save money and reduce their environmental
impact by sharing instead of owning.
As a result, people, especially millennials, are
becoming more value-conscious and using
online, mobile and social platforms to choose
products based on peer reviews, search for the
best deals, and win discounts and freebies.
More radically, they are prioritizing access over
ownership, and choosing sharing, renting,
swapping, bartering and gifting over buying.
Collaborative consumption is an important
groundswell which is changing the very nature of
ownership and consumption. People are sharing
the ownership and use of products, services
and spaces with others in their communities,
or around the world, using community-driven
marketplaces that facilitate sharing, renting,
swapping, bartering and gifting.
The rise of collaborative consumption can
be attributed to three broad trends. First, the
widespread adoption of online social networks
like Facebook, Twitter, LinkedIn and Weibo
has deepened connection between people
and communities and created new types of
trust mechanisms based on friend-of-friend
relationships. Second, the increasing density of
Source: seyyed_mostafa_zamani on Flickr
4. In response, we have seen the emergence of a
wide range of platforms to enable collaborative
consumption, including renting services, peer-
to-peer marketplaces and sharing communities.
Some of the most popular categories for
collaborative consumption are mobility, spaces,
products and services.
Within mobility, the most popular sub-categories
are car sharing (Zipcar (video), BlaBlaCar (video),
GetAround (video),RelayRides (video)), bike
sharing (Velib, Bixi (video), B-cycle (video),
SpinLister), ride-sharing (Sidecar (video), Lyft
(video),Zimride (video)), and parking services
(ParkatmyHouse (video), ParkingPanda (video)).
Within spaces, the most popular sub-categories
are vacation homes (Couchsurfing (video),
Airbnb (video), Wimdu (video)), office spaces
(DeskWanted (video), OpenDesks), and gardens
(SharedEarth, Landshare (video)).
Click to watch: Zipcar
Click to watch: Airbnb
Click to watch: Uniiverse
Within products, the most popular sub-
categories are clothes and accessories (thredUP
(video), Rent the Runway (video), Bag Borrow
or Steal (video), PoshMark), books (Kindle
Owners’ Lending Library, Lendle, BookCrossing,
PaperbackSwap), and movies (Netflix).
Within services, the most popular sub-categories
are errands (TaskRabbit (video), dogsitting
(DogVacay (video), Rover (video), education
(Skillshare (video), WeTeachMe (video), italki
(video)), lending (Prosper, Zopa, Lending Club)
and crowdfunding (Kickstarter (video), Indiegogo,
Crowdrise, Razoo (video)).
Click to watch: Rent the Runway
Click to watch: TaskRabbit
In addition, several multi-purpose collaborative
consumption platforms enable people to sell
(Facebook Marketplace, eBay,Craigslist, Zaarly
(video)), rent (Zilok, Rentoid (video), Uniiverse
(video)) and donate (freegle (video), Zealous
Good (video), FreeCycle) all types of products,
services and experiences.
5. 5
Click to watch: TEDx Talk: Rachel Botsman: The case for
collaborative consumption
Some of these collaborative consumption
platforms have achieved significant scale and
success. Airbnb has 4 million people who have
shared 300,000 listings in 39,000 cities and
rented 10 million nights. Rent the Runway has 3
million members who have rented dresses from
170 designer brands.
The scale and success of these collaborative
consumption platforms demonstrates the shift
in consumption from ownership to access, and
signals the resurgence of trust-based peer-to-
peer marketplaces.
Rachel Botsman and Roo Rogers, authors of
What’s Mine Is Yours: The Rise of Collaborative
Consumption, said:
“Collaborative consumption is not a niche trend,
and it’s not a reactionary blip to the recession. It’s
a socioeconomic groundswell that will transform
the way companies think about their value
propositions—and the way people fulfill their
needs.”
How does Collaborative
Consumption work?
Collaborative consumption platforms can be
classified into renting services, peer-to-peer
marketplaces and sharing communities. Each of
these three models has distinctive characteristics
across four dimensions: the nature of ownership,
the type of transaction, the role of the platform
and the possibilities for community-building.
In the renting service model, an organization
owns the products and creates a platform to
rent them to people, instead of selling them
(Zipcar, Rent the Runway). This model is a direct
extension of the business model that hotel
rooms, vacation time shares, airplanes and taxis
have been built on, and sets a precedent for all
products to be converted into services over time.
These platforms use technology to make the
renting experience more user-friendly, and add a
community layer to drive viral growth (Rent the
Runway: Our Runway).
In the peer-to-peer marketplace model, an
organization creates a platform to enable
people to sell or rent spaces, products, services
or experiences to each other (eBay, Airbnb,
TaskRabbit, Skillshare). These platforms can
be particularly disruptive because they use
technology to directly connect people and
eliminate the need for service organizations like
hotels and universities. The platforms invest in
creating a community and build trust between
users through social connections (Airbnb Social
Connections), meetups (Airbnb meetups),
verified profiles and peer reviews, and typically
make a margin on the transactions between
users.
Finally, in the sharing community model,
an organization or changemaker creates a
community to connect people and enable
them to barter, swap or gift spaces, products,
services or experiences to each other (FreeCycle,
CouchSurfing, BookCrossing). These older
communities tap into people’s desire to do good
and connect with likeminded others, and build
trust through the same mechanisms as the peer-
to-peer marketplaces.
Collaborative Consumption for
Brands
Branded programs can be classified into three
models: collaborative consumption platforms
that connect people with products, social
commerce tools that empower people to create
their own catalogs or store fronts, and programs
that mobilize people to re-use & recycle their
products.
Auto companies have taken the lead in creating
their own car-sharing platforms, enabling people
to rent available vehicles online, via mobile
apps, or through local dealers. Daimler Car2Go
(video), BMW Drive Now (video), Volkswagen
Quicar (video) and Peugeot Mu (video) have
all created their own car-sharing service. Avis
has bought car-sharing services Zipcar, Ford
has partnered with German car-sharing service
Flinkster to launch its own service Ford2Go, while
Toyota Rent a Car has created a more traditional
car rental service. Dodge Dart Registry (video)
has taken a different approach to collaborative
consumption and has created a crowdfunding
platform to help customers request friends
and family to sponsor parts of the new car for
6. them. Auto companies are also partnering with
collaborative consumption platforms to promote
their own technology, provide additional services
to their customers, or create possibilities for
the future. For instance, GM partnered with
RelayRides (video) to enable customers to rent
out OnStar equipped cars easily, and BMW i
has partnered with collaborative consumption
platform Park at My House (video) to enable
users to rent their vacant parking spots.
This is an extension of a wider trend in which
auto companies are creating mobility services,
which go beyond selling, or even renting, cars.
BMW i, for instance, has entered into several
partnerships to provide mobility services to its
customers, inside and outside the car, including
electric vehicle charging network ChargePoint
(video), parking spot finding service Park Now
(video), urban experience discovery service My
City Way, location-based family network Life360
and mass transit app Embark. Daimler has
created transit planning service Moovel (video)
to help users plan their travel across shared cars,
taxis, shared bikes, buses and trains. Volkswagen
has partnered with Google to create Smileage
(video) to help VW customers record and
share their riding experiences with their social
networks.
Riding on the popularity of car-sharing and
bike-sharing services, other companies are also
beginning to create or sponsor such services,
to strengthen their brand (Barclays Cycle Hire
(video)).
Going beyond mobility, apparel brands have
created a number of collaborative consumption
tools and platforms.
Some tools enable customers to customize
products, create their own storefronts, and
sell products to their own networks. NIKEiD
(video) and Converse – Design your own enable
customers to customize and sell their own
shoes. Vancl Star in China created a Pinterest-
style network to enable customers to showcase
and sell their own styles to their social networks
and earn a commission. Magazine Voce (video)
in Brazil created a similar platform to enable
people to create social storefronts on Facebook
and Orkut to share tips and sell products to their
friends.
Other platforms enable customers to resell,
reuse or recycle their used products to reduce
their environmental impact. Marks and Spencer
Shwopping (video) encourages customer to
donate their used clothes to Oxfam, so that they
can be resold, reused, or recycled, and rewards
them with discounts. Aeropostale partnered with
Do Something to create the Teens for Jeans (video)
campaign and asked teens to donate their old
jeans for charity. Nike Reuse-A-Shoe encourages
people to donate their old athletic shoes so that
they can be recycled in the production of athletic
equipment or athletic facilities.
Patagonia and eBay Common Threads (video)
combined these two models by enabling
customers to sell their used Patagonia clothes
and gear to others on eBay.
Finally, other types of businesses are also
experimenting with collaborative consumption.
Google started renting out Chrome notebooks
to businesses, and Walmart is considering
incentivizing customers at its stores to deliver
online orders to other customers.
Collaborative Consumption Case
Studies
Branded program: Vancl Star
Source: star.vancl.com
In 2011, Chinese e-tailer Vancl launched the Vancl
Star platform, which enables people to create
their own personal stores online, featuring their
favorite Vancl styles and photos of themselves
wearing Vancl products.
Blogger Alia wrote:
“Star.vancl.com is a photo blog + brand advocate
community site for VANCL fans. Fans of the
brand can register to open a “store”, which is
more like a photo blog, and then they can
showcase their VANCL purchases and upload
photos of how they mix and match.”
7. 7
Source: dodgedartregistry.com
Click to watch: Magazine Você
According to AdAdge:
“Visitors can buy featured items by clicking on
the photos; Vancl handles the sale and shipping.
Account holders get a 10% commission, with
some Stars reportedly earning thousands of
dollars.”
trendwatching points out the convergence of
curation and co-creation in this model of social
commerce, which it calls (M)etailing:
“Driving the (M)ETAIL trend is a shift towards
more personal recommendations (from real
people if not other consumers), along with ever
more personalized products and services.”
Branded program: Magazine Você
Source: apps.facebook.com/magazinevoce
Voce, which enables people to create their own
store fronts on Facebook and Orkut. People
feature their favorite products from the Magazine
Luiza catalog along with personal opinions and
recommendations. Then they promote their store
within their networks and earn a commission on
each sale.
Marketer Eric Smith points out the power of
social influencers in the world of collaborative
marketing:
“Social influencers are generally powerhouses
online. They’ve successfully built a core group of
dedicated followers of their posts, updates, stories,
etc. By partnering with these influencers, brands
gain access to the influencers’ avid followers. This
access allows brands to reach a larger audience
while developing deeper relationships. Fostering
the relationship between brands and social
influencers enables brands to gain advocates with
enormous social reach and stay connected to their
target consumers.”
In 2012, Brazilian retailer Magazine Luiza
launched social commerce platform Magazine
Branded program: Dodge Dart Registry
8. Source: campaigns.ebay.com/patagonia
Click to watch: Dodge: How to change buying cars forever
Branded program: Patagonia and eBay Common Threads
Forbes contributor Matthew de Paula notes that
the program should help get the Dodge Dart “on
the radar of potential buyers”:
“The way the Dodge Dart Registry ties in social
media could prove helpful in that regard. As
would-be car buyers post updates on their
fundraising, they’ll be helping to boost awareness
of the compact sedan.”
In January 2013, Dodge launched the Dart
Registry, a platform which enables people to
request friends and family members to help
fund their new car. The process is similar to
crowdfunding – people share their story, set
funding tiers and recruit support from their social
networks – while generating word of mouth
around the Dodge Dart and drawing attention to
the car’s parts.
Adweek’s Tim Nudd explains the process:
“You sign up for the program, configure and
customize a Dodge Dart (choosing from 12
exterior colors, 14 interior color and trim options,
three fuel-efficient engines, three transmission
choices, safety features, aerodynamics, etc.), and
set a goal for the amount of money you want to
raise to fund it. The site then itemizes
components of the car—like a steering wheel,
shifter, seat or engine—and allows friends, family
or anyone to sponsor the parts.”
In 2011, Patagonia and eBay partnered to launch the Common Threads store on eBay, encouraging
Patagonia customers to use the eBay platform to buy and sell used products, and thereby maximize the
value of their goods while helping reduce their environmental impact.
Here’s how it works:
“A customer who lists a used Patagonia product on eBay will be asked to take the Common Threads
Initiative pledge and become a partner. Membership will make the customer's listing eligible for inclusion
in the Common Threads Initiative store on eBay and on Patagonia.com. Patagonia will not receive any of
the profits associated with the Common Threads Initiative storefront.”
9. 9
The Common Threads initiative has achieved
quite some scale, and has expanded to the UK in
2013. Fast Company’s Christina Chaey shares:
“Patagonia got 24,000 people to pledge to buy
less and buy used; it also partnered with eBay
to make it easy for people to take the pledge
and then buy and sell gear from one another.
Customers have resold 15,000 Patagonia pieces
for $500,000 so far.”
Future of Collaborative
Consumption
We believe that collaborative consumption
is a social movement that will become even
stronger in the coming years. We expect renting
services, peer-to-peer marketplaces and sharing
communities to proliferate as smaller niches
attain critical mass. At the same time, we expect
to see consolidation in the larger niches, with city-
focused players being acquired by other players
or product companies.
We expect that new services like TrustCloud will
aggregate users’ trust scores across collaborative
consumption platforms, just like PeerIndex,
Klout and Kred aggregate social influence across
social networking and content sharing platforms.
These trust networks will be context-specific and
enable users to quickly establish trust for specific
verticals and tasks.
We expect that sensor-enabled products
and spaces will dramatically improve the
collaborative consumption experience, by
making the service experience more seamless,
making social sharing more easy, and making
trust mechanisms more robust, driving the
growth of platforms which first adopt them.
We expect players like Social Bicycles (video)
to create such sensor-based solutions for each
collaborative consumption vertical.
We believe that all companies will need to
respond to the collaborative consumption
groundswell, by converting their product-focused
selling-oriented business models into service-
focused renting-oriented business models,
building peer-to-peer secondhand marketplaces
for their products, and providing additional
services to their customers through peer-to-peer
service marketplaces.
After mobility and spaces, we expect many
product brands to create renting services and
peer-to-peer secondhand product marketplaces,
or see third-party platforms disrupt their
industries. Luxury fashion and home electronics
brands, which have high price tags, high idle
times and short planned obsolescence cycles will
be the most impacted, but we expect this trend to
cut across product categories.
Similarly, we expect many service brands to
create peer-to-peer service marketplaces, or see
third-party platforms disrupt their industries.
We expect consumer-focused industries like
hospitality, education, professional services
and financial services to be most impacted
(platforms like Skillshare (video) have already
begun disrupting the education industry), but
also expect to see more B2B oriented service
marketplaces.
Therefore, we expect that many large product or
service companies across will partner with, invest
in, or create their own collaborative consumption
platforms, and use these to provide unique value
to their customers and differentiate themselves
from smaller players.
Click to watch: Patagonia + eBay Green - Common Threads
Initiative
10. People’s Lab is MSLGROUP’s proprietary
crowdsourcing platform and approach that
helps organizations tap into people’s insights for
innovation, storytelling and change.
The People’s Lab crowdsourcing platform
helps organizations build and nurture public
or private, web or mobile, hosted or white
label communities around four pre-configured
application areas: Expertise Request Network,
Innovation Challenge Network, Research &
Insights Network and Contest & Activation
Network. Our community and gaming features
encourage people to share rich content, vote/
comment on other people’s content and
collaborate to find innovative solutions.
The People’s Lab crowdsourcing platform
and approach forms the core of our distinctive
insights and foresight approach, which consists
of four elements: organic conversation analysis,
MSLGROUP’s own insight communities, client-
specific insights communities, and ethnographic
deep dives into these communities. The People’s
Insights Quarterly Magazines showcase our
capability in crowdsourcing and analyzing
insights from conversations and communities.
People’s Lab:
Crowdsourcing
Innovation & Insights
Learn more about us at:
peopleslab.mslgroup.com | twitter.com/peopleslab
11. MSLGROUP is Publicis Groupe's strategic
communications and engagement group,
advisors in all aspects of communication
strategy: from consumer PR to financial
communications, from public affairs to
reputation management and from crisis
communications to event management.
With more than 3,700 people, its offices span
22 countries. Adding affiliates and partners
into the equation, MSLGROUP's reach
increases to 4,000 employees in 83 countries.
Today the largest 'PR and Engagement'
network in Europe, Greater China and India, the
group offers strategic planning and counsel,
insight-guided thinking and big, compelling
ideas – followed by thorough execution.
mslgroup.com | twitter.com/msl_group
Write to us to start a conversation on the future of engagement.:
Pascal Beucler,
SVP & Chief Strategy Officer
(pascal.beucler@mslgroup.com)
Janelle Dixon,
North America Head of Insights
(janelle.dixon@mslgroup.com)
Dominic Payling,
Europe Head of Insights
(dominic.payling@mslgroup.com)
Gaurav Mishra,
Asia Head of Insights
(gaurav.mishra@mslgroup.com)