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COLLABORATIVE ECONOMY
The Future of the Business Model
By Jeremiah Owyang, Chief Catalyst
COLLABORATIVE ECONOMY
Question: How can brands be resilient during times of
great change?
COLLABORATIVE ECONOMY
1. How have business models been
disrupted?
2. What are the changes companies
must make?
3. Which brands are leading with new
business models?
QUESTIONS WE’LL ASK AND ANSWER
COLLABORATIVE ECONOMY
BUSINESS IS CHANGING
COLLABORATIVE ECONOMY
DISRUPTION HAS BEGUN
Do you remember when Social Media meant that sharing ideas
disrupted the media and communications industry?
COLLABORATIVE ECONOMY
DISRUPTION CONTINUES
The next phase of sharing is taking place in the physical realm.
People are sharing goods, services, time, space and money.
COLLABORATIVE ECONOMY
ECONOMIC UNCERTAINTY GIVES US PAUSE
Governments and businesses struggle to find a clear economic path,
while people are learning to depend on each other to be self-sufficient.
COLLABORATIVE ECONOMY
TECHNOLOGY POWERS PEOPLE TO BE SELF-EMPOWERED
New startups are using powerful social data, mobile apps, and
smart phones to enable people to connect to each other.
COLLABORATIVE ECONOMY
PEOPLE ARE BECOMING LIKE COMPANIES –
BYPASSING TRADITIONAL CORPORATE MODELS
A COLLABORATIVE ECONOMY
Hotels
vs.
Taxis
vs.
Restaurants
vs.
COLLABORATIVE ECONOMY
EVEN “OCCUPY” HAS A BUSINESS MODEL
These new sharing startups enable people to get what they need
from each other instead of from big corporations.
Source: Digital Trends
COLLABORATIVE ECONOMY
BIG COMPANIES ARE SLOW TO CHANGE,
LEAVING THEM VULNERABLE
COLLABORATIVE ECONOMY
NEW MARKET DESIRES
CHANGE BUSINESS METHODS
COLLABORATIVE ECONOMY
THE OLD WAY THE NEW WAY
1. Maximize profit
2. Global Marketplaces
3. Standardize Offerings
4. Slow delivery of goods
5. Consumerism
6. Passive customers
1. Purposeful brands
2. Local (and Global)
3. Personalize
4. On-demand
5. People make & share
6. Empowered people
COLLABORATIVE ECONOMY
Deloitte studies show that “Millennials” seek companies
that have a purpose and social mission beyond just profit.
1) PEOPLE WANT A PURPOSE
They are about one-third of the
American workforce.
Boomers seek to retire soon.
They want companies
with a purpose.
They seek
sustainability.
COLLABORATIVE ECONOMY
Sharing startups, like Airbnb, Uber (funding over $260m by Google),
Google Shopping Express and Postmates, deliver goods and services
at the local level.
2) LOCAL MARKET DELIVERY TRUMPS GLOBAL
Uber moves idle goods at local
levels to be delivered to others
on demand.
Uber can start to
compete with
Amazon.
Local
merchants and
homes win.
COLLABORATIVE ECONOMY
People can now make and customize their own goods using
Shapeways 3D-Printing service. CustomMade is a network of “Makers”
that are ready to produce to scale.
3) PERSONALIZED GOODS AND SERVICES
More products will soon be
customized to your needs and
preferences, printed on demand.
Online marketplaces
like Etsy and
CustomMade scale.
One size no
longer needs
to fit all.
COLLABORATIVE ECONOMY
Location-based apps and mobile devices empower local delivery on-
demand. Uber, Google, eBay, Walmart, PostMates, Instacart and Deliv
power instant to hourly delivery.
4) ON-DEMAND MEANS THAT REAL TIME MATTERS
A battle over same day delivery is
happening between Google,
Walmart, eBay and others.
Amazon’s fulfillment
centers must compete
with local.
The crowd speeds
delivery,
enhancing service.
COLLABORATIVE ECONOMY
People are consuming less. Instead, they are using marketplaces to
re-use and recycle. Those that can make, will build and share.
5) DON’T CALL THEM CONSUMERS.
THEY MAKE AND SHARE.
People can now re-use goods
using Nextdoor.com and
Yerdle.com to gift to friends.
Techshop enables people
to become Makers of their
own products.
The crowd
functions like a
company.
COLLABORATIVE ECONOMY
The people have become like a company, getting what they need
from each other and bypassing inefficient institutions.
6) THE CROWD IS EMPOWERED
Using social networks, they
connect with each other instantly.
They are becoming
like a powerful
company.
The crowd
functions like a
company.
COLLABORATIVE ECONOMY
WHAT COMPANIES ARE
LEADING THE CHARGE?
COLLABORATIVE ECONOMY
THESE BRANDS THAT
ENABLE SHARED VALUE:
COLLABORATIVE ECONOMY
PURPOSEFUL BRANDS PROVIDE SHARED VALUE
Millennials (and beyond) want companies to have a purpose.
Corporations must think more about community and environment.
COLLABORATIVE ECONOMY
GIVE PEOPLE PURPOSE
Toyota 100 Cars for Good Program –
The program awards 100 vehicles to 100 deserving nonprofit organizations
over the course of 100 days based on votes from the public.
COLLABORATIVE ECONOMY
MISSION-DRIVEN FUELS SOCIAL ADVOCACY
Pepsi Good is a community of people who have a purpose.
COLLABORATIVE ECONOMY
ENABLE THE CROWD TO CONTRIBUTE
The crowd chooses how funds are distributed to non-profits in
this example of Barclays.
COLLABORATIVE ECONOMY
ENABLE THE CROWD TO CONTRIBUTE
GE partners with Quirky for crowd innovation.
COLLABORATIVE ECONOMY
CROWD FUNDING MEANS SHARED RESULTS
– THE HIGHEST STATE OF LOYALTY
U-Notes are sold in increments of $100 over the Internet with
an asset-backed feature and make quarterly payments
(interest and principal).
COLLABORATIVE ECONOMY
RECYCLING HARNESSES NEW BRAND LOYALTY
H&M encourages recycling of old clothes to reduce the
environmental impact of the fashion industry.
COLLABORATIVE ECONOMY
PRODUCTS FOR RENT – NOT JUST FOR SALE
People can rent cars from BMW with the DriveNow program,
instead of buying a car.
COLLABORATIVE ECONOMY
EXPERIENCES ON-DEMAND
FUEL NEW BUSINESS MODELS
W Hotel and DesksNearMe partner for on-demand workspaces.
COLLABORATIVE ECONOMY
GENTLY WORN MARKETPLACES TAP MOVEMENT
Patagonia partners with eBay to encourage
second-hand usage of goods – beyond selling new.
COLLABORATIVE ECONOMY
LOCATION-BASED TECHNOLOGY
ENABLES SHARING
RelayRide enables people to share privately owned cards, using OnStar.
COLLABORATIVE ECONOMY
NBC SPONSORS GIFT ECONOMY
Yerdle.com is a place where thousands of people give and
obtain things for free from neighbors – avoiding retailers.
COLLABORATIVE ECONOMY
REAL TIME DELIVERY FROM LOCAL MERCHANTS
Google Shopping Express provides local delivery from merchants,
challenging Amazon. Rapid delivery, right to your home.
COLLABORATIVE ECONOMY
RETAILERS PARTNER WITH ETSY “MAKERS”
Etsy and West Elm have partnered to discover emerging artists.
COLLABORATIVE ECONOMY
MAKERS EXPAND PRODUCT EXPERIENCE
A community of Makers from CustomMade has partnered with
Lincoln Motors to build matching jewelry for new car owners.
COLLABORATIVE ECONOMY
CROWDS ARE BECOMING LIKE COMPANIES
Co-funding new products like Kickstarter.
COLLABORATIVE ECONOMY
NIKE CO-OPS PRODUCT DESIGN WITH CROWD
Nike offers co-design products, allowing you to customize the shape, color,
style, and fit, with thousands of options available, personalizing at scale.
COLLABORATIVE ECONOMY
BRANDS ENABLE 3D PRINTING FOR MASS
PERSONALIZATION
Nokia offers 3D files, enabling custom cases to be printed at Shapeways
COLLABORATIVE ECONOMY
THE OLD WAY THE NEW WAY
1. Maximize profit
2. Global Marketplaces
3. Standardize Offerings
4. Slow delivery of goods
5. Consumerism
6. Passive customers
1. Purposeful brands
2. Local (and Global)
3. Personalize
4. On demand
5. People share/make
6. Empowered people
ONCE AGAIN….
COLLABORATIVE ECONOMY
Companies that meet these
new market needs, become
Resilient Brands
They are: innovative, agile,
empowering, built to last,
and profitable.
COLLABORATIVE ECONOMY
• The market seeks purposeful brands,
local, personalized, on-demand models.
• The crowd is becoming like a company –
bypassing inefficient corporations.
• Corporations must use these same
strategies and tools to regain relevancy.
• To do this, companies must embrace a
business model change.
• Corporations that partner with the
empowered people become resilient.
FINAL TAKEAWAYS
COLLABORATIVE ECONOMY
Takeaway: Brands achieve Resiliency by collaborating
with the empowered people for shared value.
COLLABORATIVE ECONOMY
Crowd Companies
Empowered People & Resilient Brands
for Shared Value
Jeremiah Owyang
Chief Catalyst, Founder
@jowyang
Jeremiah@crowdcompanies.com
COLLABORATIVE ECONOMY

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The Future of Business Models #FutureOf

  • 1. COLLABORATIVE ECONOMY The Future of the Business Model By Jeremiah Owyang, Chief Catalyst
  • 2. COLLABORATIVE ECONOMY Question: How can brands be resilient during times of great change?
  • 3. COLLABORATIVE ECONOMY 1. How have business models been disrupted? 2. What are the changes companies must make? 3. Which brands are leading with new business models? QUESTIONS WE’LL ASK AND ANSWER
  • 5. COLLABORATIVE ECONOMY DISRUPTION HAS BEGUN Do you remember when Social Media meant that sharing ideas disrupted the media and communications industry?
  • 6. COLLABORATIVE ECONOMY DISRUPTION CONTINUES The next phase of sharing is taking place in the physical realm. People are sharing goods, services, time, space and money.
  • 7. COLLABORATIVE ECONOMY ECONOMIC UNCERTAINTY GIVES US PAUSE Governments and businesses struggle to find a clear economic path, while people are learning to depend on each other to be self-sufficient.
  • 8. COLLABORATIVE ECONOMY TECHNOLOGY POWERS PEOPLE TO BE SELF-EMPOWERED New startups are using powerful social data, mobile apps, and smart phones to enable people to connect to each other.
  • 9. COLLABORATIVE ECONOMY PEOPLE ARE BECOMING LIKE COMPANIES – BYPASSING TRADITIONAL CORPORATE MODELS A COLLABORATIVE ECONOMY Hotels vs. Taxis vs. Restaurants vs.
  • 10. COLLABORATIVE ECONOMY EVEN “OCCUPY” HAS A BUSINESS MODEL These new sharing startups enable people to get what they need from each other instead of from big corporations. Source: Digital Trends
  • 11. COLLABORATIVE ECONOMY BIG COMPANIES ARE SLOW TO CHANGE, LEAVING THEM VULNERABLE
  • 12. COLLABORATIVE ECONOMY NEW MARKET DESIRES CHANGE BUSINESS METHODS
  • 13. COLLABORATIVE ECONOMY THE OLD WAY THE NEW WAY 1. Maximize profit 2. Global Marketplaces 3. Standardize Offerings 4. Slow delivery of goods 5. Consumerism 6. Passive customers 1. Purposeful brands 2. Local (and Global) 3. Personalize 4. On-demand 5. People make & share 6. Empowered people
  • 14. COLLABORATIVE ECONOMY Deloitte studies show that “Millennials” seek companies that have a purpose and social mission beyond just profit. 1) PEOPLE WANT A PURPOSE They are about one-third of the American workforce. Boomers seek to retire soon. They want companies with a purpose. They seek sustainability.
  • 15. COLLABORATIVE ECONOMY Sharing startups, like Airbnb, Uber (funding over $260m by Google), Google Shopping Express and Postmates, deliver goods and services at the local level. 2) LOCAL MARKET DELIVERY TRUMPS GLOBAL Uber moves idle goods at local levels to be delivered to others on demand. Uber can start to compete with Amazon. Local merchants and homes win.
  • 16. COLLABORATIVE ECONOMY People can now make and customize their own goods using Shapeways 3D-Printing service. CustomMade is a network of “Makers” that are ready to produce to scale. 3) PERSONALIZED GOODS AND SERVICES More products will soon be customized to your needs and preferences, printed on demand. Online marketplaces like Etsy and CustomMade scale. One size no longer needs to fit all.
  • 17. COLLABORATIVE ECONOMY Location-based apps and mobile devices empower local delivery on- demand. Uber, Google, eBay, Walmart, PostMates, Instacart and Deliv power instant to hourly delivery. 4) ON-DEMAND MEANS THAT REAL TIME MATTERS A battle over same day delivery is happening between Google, Walmart, eBay and others. Amazon’s fulfillment centers must compete with local. The crowd speeds delivery, enhancing service.
  • 18. COLLABORATIVE ECONOMY People are consuming less. Instead, they are using marketplaces to re-use and recycle. Those that can make, will build and share. 5) DON’T CALL THEM CONSUMERS. THEY MAKE AND SHARE. People can now re-use goods using Nextdoor.com and Yerdle.com to gift to friends. Techshop enables people to become Makers of their own products. The crowd functions like a company.
  • 19. COLLABORATIVE ECONOMY The people have become like a company, getting what they need from each other and bypassing inefficient institutions. 6) THE CROWD IS EMPOWERED Using social networks, they connect with each other instantly. They are becoming like a powerful company. The crowd functions like a company.
  • 20. COLLABORATIVE ECONOMY WHAT COMPANIES ARE LEADING THE CHARGE?
  • 21. COLLABORATIVE ECONOMY THESE BRANDS THAT ENABLE SHARED VALUE:
  • 22. COLLABORATIVE ECONOMY PURPOSEFUL BRANDS PROVIDE SHARED VALUE Millennials (and beyond) want companies to have a purpose. Corporations must think more about community and environment.
  • 23. COLLABORATIVE ECONOMY GIVE PEOPLE PURPOSE Toyota 100 Cars for Good Program – The program awards 100 vehicles to 100 deserving nonprofit organizations over the course of 100 days based on votes from the public.
  • 24. COLLABORATIVE ECONOMY MISSION-DRIVEN FUELS SOCIAL ADVOCACY Pepsi Good is a community of people who have a purpose.
  • 25. COLLABORATIVE ECONOMY ENABLE THE CROWD TO CONTRIBUTE The crowd chooses how funds are distributed to non-profits in this example of Barclays.
  • 26. COLLABORATIVE ECONOMY ENABLE THE CROWD TO CONTRIBUTE GE partners with Quirky for crowd innovation.
  • 27. COLLABORATIVE ECONOMY CROWD FUNDING MEANS SHARED RESULTS – THE HIGHEST STATE OF LOYALTY U-Notes are sold in increments of $100 over the Internet with an asset-backed feature and make quarterly payments (interest and principal).
  • 28. COLLABORATIVE ECONOMY RECYCLING HARNESSES NEW BRAND LOYALTY H&M encourages recycling of old clothes to reduce the environmental impact of the fashion industry.
  • 29. COLLABORATIVE ECONOMY PRODUCTS FOR RENT – NOT JUST FOR SALE People can rent cars from BMW with the DriveNow program, instead of buying a car.
  • 30. COLLABORATIVE ECONOMY EXPERIENCES ON-DEMAND FUEL NEW BUSINESS MODELS W Hotel and DesksNearMe partner for on-demand workspaces.
  • 31. COLLABORATIVE ECONOMY GENTLY WORN MARKETPLACES TAP MOVEMENT Patagonia partners with eBay to encourage second-hand usage of goods – beyond selling new.
  • 32. COLLABORATIVE ECONOMY LOCATION-BASED TECHNOLOGY ENABLES SHARING RelayRide enables people to share privately owned cards, using OnStar.
  • 33. COLLABORATIVE ECONOMY NBC SPONSORS GIFT ECONOMY Yerdle.com is a place where thousands of people give and obtain things for free from neighbors – avoiding retailers.
  • 34. COLLABORATIVE ECONOMY REAL TIME DELIVERY FROM LOCAL MERCHANTS Google Shopping Express provides local delivery from merchants, challenging Amazon. Rapid delivery, right to your home.
  • 35. COLLABORATIVE ECONOMY RETAILERS PARTNER WITH ETSY “MAKERS” Etsy and West Elm have partnered to discover emerging artists.
  • 36. COLLABORATIVE ECONOMY MAKERS EXPAND PRODUCT EXPERIENCE A community of Makers from CustomMade has partnered with Lincoln Motors to build matching jewelry for new car owners.
  • 37. COLLABORATIVE ECONOMY CROWDS ARE BECOMING LIKE COMPANIES Co-funding new products like Kickstarter.
  • 38. COLLABORATIVE ECONOMY NIKE CO-OPS PRODUCT DESIGN WITH CROWD Nike offers co-design products, allowing you to customize the shape, color, style, and fit, with thousands of options available, personalizing at scale.
  • 39. COLLABORATIVE ECONOMY BRANDS ENABLE 3D PRINTING FOR MASS PERSONALIZATION Nokia offers 3D files, enabling custom cases to be printed at Shapeways
  • 40. COLLABORATIVE ECONOMY THE OLD WAY THE NEW WAY 1. Maximize profit 2. Global Marketplaces 3. Standardize Offerings 4. Slow delivery of goods 5. Consumerism 6. Passive customers 1. Purposeful brands 2. Local (and Global) 3. Personalize 4. On demand 5. People share/make 6. Empowered people ONCE AGAIN….
  • 41. COLLABORATIVE ECONOMY Companies that meet these new market needs, become Resilient Brands They are: innovative, agile, empowering, built to last, and profitable.
  • 42. COLLABORATIVE ECONOMY • The market seeks purposeful brands, local, personalized, on-demand models. • The crowd is becoming like a company – bypassing inefficient corporations. • Corporations must use these same strategies and tools to regain relevancy. • To do this, companies must embrace a business model change. • Corporations that partner with the empowered people become resilient. FINAL TAKEAWAYS
  • 43. COLLABORATIVE ECONOMY Takeaway: Brands achieve Resiliency by collaborating with the empowered people for shared value.
  • 44. COLLABORATIVE ECONOMY Crowd Companies Empowered People & Resilient Brands for Shared Value Jeremiah Owyang Chief Catalyst, Founder @jowyang Jeremiah@crowdcompanies.com

Editor's Notes

  1. The people are empowered!  (to get what they need from each other --phasing companies) Now they turn homes into hotels with airbnb, cars into taxis with lyft, kitchens into restaurants with cooking, spare money into banks with lending club.
  2. Occupy finally has a business mode (they now have the tech, from FB, Google, Apple, and wealthy VCs) Before, people felt they were not getting shared value. Some were getting wealthy while others were falling into poverty. Now, they have new technologies that enable them to get what they need from each other, bypassing big organizations.
  3. http://www.deloitte.com/assets/Dcom-CostaRica/Local%20Assets/Documents/Estudios/2012/120124-cr_Millennial_Survey_2011.pdf
  4. Companies are shifting to mission or impact driven. People want companies to have a purpose and mission. H&M has a recycling program http://about.hm.com/AboutSection/en/About/Sustainability/Commitments/Reduce-Reuse-Recycle/Garment-Collecting.html
  5. This is a powerful example. http://www.barclaycardring.com Barclay’s let’s the crowd choose how profits are distributed to non profits.
  6. U-Haul, being true to their DIY nature, allowed the crowd to fund their own trucks, http://www.uhaulinvestorsclub.com/AboutUs/ “U-Notes are sold in increments of $100 over the Internet with an asset-backed feature and make quarterly payments (interest and principal). These are SEC registered securities with full recourse to the issuer AMERCO, and US Bank as the third party indenture trust” http://seekingalpha.com/article/1625112-u-hauls-crowdfunding-model-for-diy-investing-interview-with-amercos-jim-shoen?source=google_news
  7. Companies are shifting to mission or impact driven. People want companies to have a purpose and mission. H&M has a recycling program http://about.hm.com/AboutSection/en/About/Sustainability/Commitments/Reduce-Reuse-Recycle/Garment-Collecting.html
  8. http://greenstart.com/blog/2013/05/23/share-and-tell-yerdle-teams-with-nbc/
  9. Please format.