Jeremiah Owyang Societal factors: Access
is more important than ownership • Younger generation, or saddled by debt, are realizing access to goods is better than owning them. • Population density and many global cultures are accustomed to sharing. • It means, people don’t need to buy and own things to get what they need.
Jeremiah Owyang Venture Investors fuel
this movement – these startups won’t go away in near time. Out of 200 collaborative economy startups, total funding was over $2 billion Of those funded, the average was $28 million (May 2013, Lyft raised $60m)
Jeremiah Owyang 1) Company as
a Service • Products become services • Customers want access to products, but may not want to own them • Companies must change the relationship and offer • Renting • subscribing • or event lending.
Jeremiah Owyang Reality: Toyota and
BMW rent cars, as a service • For companies that have high durable goods, unattainable luxuries, idle inventories, or high consideration purchases, allow them to now be a service. • Example: Toyota and BMW now rent cars from their dealership in SF bay area. • To get ahead of changing consumer needs, Toyota and BMW are now services.
Jeremiah Owyang 2) Motivate a
Markeplace • Shift services to become a marketplace • Motivating a marketplace is specific. You can’t own the marketplace, you can’t manage it, you simply must help usher them along. In this use case, the goal is to get the people to do these actions among themselves.
Jeremiah Owyang Shifting services to
become a marketplace • If your company offers services, like a hospitality company serves guests, then learn how to tap into the marketplaces that are already forming in the sharing economy. • There are a number of new activities that people can perform, including resell, co-own, swap goods, lend to each other, or gifting.
Jeremiah Owyang Motivate a Market
• People are bypassing hotels to stay at unique experiences, using websites like Airbnb. • Example: Rather than stand by the wayside, Lewis discovered a new market opportunity for his guest room to be certified as Marriott certified. • A large brand brings TRUST.
Jeremiah Owyang Motivate a Market
• Marriot would then funnel trusted guests, perhaps from a loyalty program, and even offer maid, food, or concierge services. • Everyone wins: Lewis gets a trusted guest, the guest gets a local experience at a certified home, and Marriot gets a cut of the transactions –that they would have missed out on completely.
Jeremiah Owyang 3) Collaborative Economy:
Value Chain • In this third phase, companies who have marketplaces, must activate them to build their future products. • We call this “provide a platform.” It means that companies must empower their crowds to build future products and services.
Jeremiah Owyang A crowd built
a car: Wikispeed Community led project that: Is crowd co-funded, co- designed, and co-built a working 100MPG car. The crowd designs components, 3D prints them, and mails them to central location for assembly. Car is being sold at $25K per auto.
Jeremiah Owyang Collaboration It may
be hard to tell the difference between employees and customers as new products are built from the crowd. But the costs of building are leveraged by the crowd, reducing the costs of the company.
Jeremiah Owyang Radical –but Efficient:
The Crowd Becomes the Company In this future state, the crowd will efficiently fulfill nearly all corporate functions. The only thing remaining,could be ecommerce software and a logo!
Jeremiah Owyang Opposing Market Forces
Abound 1. Corporate mindset wants to hold onto control –and revenue models 2. Many governments, lobbyists, and institutions oppose 3. Fragmented startup scene creates confusion 4. Excess of startups creates uncertainty on which will last
Jeremiah Owyang More efficient, as
the crowd helps you 1 2 A long-term relationship with your vested customers 3 New value created between people, means new revenues 4 If you act now, you will have first mover advantage Benefits to letting go
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