Last Updated: May 20, 2021
Joey doesn’t share food…
Well, guess what:
Joey would not make a good participant in the sharing economy.
He wouldn’t use Uber, or Airbnb as many Americans do.
Collaborative economy is a modern phenomenon that is set to become a SUBSTANTIAL source of money for entire generations.
It has become so mainstream that we at SpendMeNot.com decided to research it extensively. We have gathered the most amazing sharing economy statistics especially for you.
Are you ready?
Sharing Economy Statistics (Editor’s Pick):
- The sharing economy is set to reach $335 billion by 2025.
- Companies working in the sharing economies will grow by 2,133% in 12 years.
- Over 86 million Americans will use the sharing economy by 2021.
- Crowdfunding will grow by $196.36 billion between 2021 and 2025.
- Airbnb bookings dropped 53% during the first three months of the Covid-19 pandemic.
- 28% of users are willing to share their electronics.
- Sharing homes is the least desired activity in the sharing economy.
- There are 1,400 islands listed on Airbnb.
Impressed? There’s much more where that came from!
(In case you’re still worried about Joey: Yes, there are actually apps for sharing food!)
But before we get into the details, let’s answer a basic question:
What is the Sharing Economy?
Also known as a gig economy or access economy, the sharing economy is a system where goods and services are shared between individuals free of charge or for a fee. A driver would share their ride with you in exchange for money. A homeowner would rent a room or an entire property when you’re traveling abroad.
People have been lending stuff for ages, but it is the new technologies, apps, and websites that make the sharing economy possible. Participants use them to find deals that are relevant to what they’re looking for.
Some experts argue that what has become popular as “the share economy” is not really sharing. Why? Because you have to pay to use the product.
Truth is, it has become a buzzword. Now, whenever you rent something through an app, it’s considered a sharing economy initiative.
Sharing Economy Market Size and Segments
So you know the basics. Now let’s dive into the numbers!
1. The sharing economy is set to reach $335 billion by 2025.
Companies that use the sharing economy model are forecast to grow their revenues exponentially. The sharing economy had just $15 billion in revenues back in 2013.
By 2025, the number is set to skyrocket to $335 billion. But keep in mind: this is not the total size of the economy. It only represents the revenue of sharing economy companies in the following sectors: lending, home sharing, ride sharing, music and video streaming, and online distance work.
2. Sharing economy businesses will grow by a staggering 2,133% in just 12 years.
What’s even more fascinating is that sharing economy firms grow much faster than the traditional operating companies.
Between 2013 and 2025, sharing economy revenue will increase by the mind-boggling 2,133%. By contrast, companies using the traditional operating model will grow their revenue by just 39.6%.
I bet now, all of a sudden, you want to share.
3. 46% of US consumers use diverse sharing economy platforms.
A 2020 research showed that 39% of the surveyed US consumers have engaged in one sharing category — typically mobility (car sharing and ride sharing). This group, whose mean age was 43, declared moderate levels of future sharing intention.
The other two segments outlined in the report (with a combined share of 46%) arguably serve as the sharing economy’s main growth driver.
Some 29% of the consumers, with an average age of 35, have engaged in three unique categories of sharing — typically mobility, tourism and retail. They had the highest levels of future sharing intention and perception that sharing reflects their social identity.
With a similar mean age (33 years) and attitude toward the sharing economy model, some 18% of consumers have used services in all of the sharing categories presented — mobility, tourism, retail, and finance.
Only 14% of the respondents said they haven’t participated in any sharing initiatives.
4. Over 86 million Americans will use the sharing economy by 2021.
According to Statista, the number of US citizens taking part in the sharing economy is expected to hit 86.5 million.
That’s more than the entire population of Germany!
As sharing economy statistics show, not only is the number mind-blowing, but it represents a huge increase in the course of just five years. Back in 2016, only 44.8 million Americans used the share economy.
5. China’s sharing economy is expected to grow 10-15% in 2021.
(Source: State Information Center)
If you think Americans are keen on the sharing economy, wait until you hear what’s happening in China!
The Covid-19 pandemic boosted China’s sharing economy by 2.9% in 2020. While accommodation, working and trips plummeted due to restrictions, sharing knowledge skills and medical care increased 30.9% and 27.8%, respectively.
Wondering what the transaction volume of China’s sharing economy is?
Over $522 billion dollars! This number highlights China as arguably the biggest sharing economy in the world.
As you can see, growth is one of China’s most prominent shared economy trends.
But wait, there’s more.
The sharing economy is projected to maintain an annual growth pace of 10% in the following five years, according to China Sharing Economy Development Report (2021), released by the State Information Center.
6. Crowdfunding will grow by $196.36 billion during 2021-2025.
Want some sharing economy examples?
The global crowdfunding market will increase by 13.86% year-on-year in 2021, according to Technavio market research.
With an increasing customer base, the Asia-Pacific region is poised to lead the crowdfunding market in 2021, followed by North America, Europe, South America, and the Middle East, respectively.
Crowdfunding gained popularity through sharing economy platforms like Kickstarter. It lets users fund projects they find interesting. Some of these projects (movies, gadgets, low-cost luxury watches, etc.) have managed to cash in millions in crowdfunding.
With crowdfunding gone mainstream, investors are now looking into equity crowdfunding. That’s the process of buying equity in startups – much like a venture capitalist would do – and wait until the value goes up.
7. Peer-to-peer lending and crowdfunding will grow at a 63% CAGR.
The peer to peer economy is moving up!
Between 2013 and 2025, online lending is forecast to expand at a CAGR (compound annual growth rate) of 63%. That makes it the fastest-growing sector of the sharing economy.
Online landing consists of crowdfunding (which is technically not lending) and peer-to-peer lending. The latter is the practice of users lending money to individuals or businesses through online platforms.
We all know money can’t buy us happiness. But we do need money to survive. Therefore, you can expect considerable interest in online lending… and all types of sharing economy services for that matter.
8. Online staffing will grow at a CAGR of 37%.
With a CAGR of 37% between 2013 and 2025, online staffing is the second-fastest-growing sector of the sharing economy. The labor market is becoming more versatile, with armies of young people choosing to be freelancers instead of jobbers.
There are many online platforms that connect freelancers to businesses. They provide a variety in the labor pool and earn a commission each time a freelancer is assigned a gig. Those platforms fit perfectly into the sharing economy definition.
9. Accommodation, ride sharing, and content streaming are all set to grow at a double-digit pace.
What brands pop in your head when you hear the words “sharing economy”? Unless you’ve lived under a rock, chances are you think about Uber, Airbnb, and to a lesser extent, Spotify.
Well, guess what – these kinds of sharing economy services are expected to grow in popularity (and monetization)!
Peer-to-peer accommodation should expand at a CAGR of 31% between 2013 and 2025. According to a Credit Suisse forecast, Airbnb alone will control about 5% of global hotel supply by then. This is huge!
10. The car-sharing market volume is set to reach $14.8 billion by 2025.
According to sharing economy statistics, revenue in the segment is set to reach $10.4 billion in 2021, with the US generating the biggest chunk of just over $2 billion.
Increasing environmental concerns are fuelling the global car sharing market growth at a fast rate. Governments all around the world are introducing stringent policies and regulations aiming to reduce the number of cars and thereby the carbon emissions.
For example, the US motor vehicle emission program shows good results in keeping private cars off the road, thus driving the car sharing service usage.
11. The global ride sharing market is set for a 50% annual rise in 2021.
Focusing on the other part of the mobility segment, the global ride sharing market is poised to rise from $75.4 billion in 2020 to $117.3 billion in 2021.
Key players in the industry are DiDi, Lyft, and Uber — the ride-sharing economy’s poster boy.
Uber’s 2019 IPO went fiasco after a sharp drop in the stock price. But that doesn’t change the fact that sharing a ride is still a popular way to add a few extra bucks in your wallet. Ride sharing statistics prove it.
12. Music and video streaming will swell at a CAGR of 17%.
Does anyone remember Napster? Back in the 2000s, this file sharing software lost the battle with the music industry and was panned as a piracy tool. But the file sharing model did not die. Instead, it evolved into streaming where a provider legally distributes the content to the end user.
Many streaming companies emerged, with Spotify being the most famous one for music. The model seems to be profitable for certain providers. Experts forecast it will bolster at a CAGR of 17% between 2013 and 2025.
(If you want to spice things up, why don’t you check out some Netflix revenue statistics? You’re in for a treat!)
Covid-19 Pandemic Effect on the Sharing Economy
Since the Covid-19 outbreak occurred, many sectors have suffered. Let’s see how the sharing economy business model evolves to adjust to the changing market landscape.
13. Airbnb bookings dropped 53% during the first three months of the pandemic.
The tourism sector was among the hardest hit by the Covid-19 pandemic. Since the novel coronavirus outbreak, booking cancellations have racked up across the world.
AirDNA, an organization that tracks Airbnb bookings, found a 53% fall in US bookings between February and April 2020.
But don’t worry, the sharing economy businesses prove to be curbing the consequences of the pandemic. Check the next entry to see how.
14. Airbnb’s supply diversifies away from urban areas in the US.
Urban areas made up 40% of Airbnb’s supply in 2016. Amid the ongoing health concerns and the social distancing measures, more people have been turning to rural areas for their vacation. Thus, urban reservations accounted for just 20% in 2021.
And what does that mean for hosts?
Hosts in rural areas of the US earned over $200 million in June 2020, an increase of more than 25% year-on-year.
15. Uber and Airbnb reduced their workforces by 14% and 25%, respectively.
(Source: The Guardian)
By May 2020, Uber and Airbnb had laid off 3,700 and 1,900 employees, respectively. Uber’s biggest rival, Lyft, also cut 17% of its workforce.
Other collaborative consumption companies also slashed employees. The scooter-sharing startup Lime laid off 27% of its workers, while peer Bird freed 30% of its total workforce in March 2020.
16. Food delivery apps have doubled sales.
(Source: Edison Trends)
On the bright side, the COVID-19 pandemic has created some new opportunities for the collaborative economy.
With countries in lockdown and social distancing measures, food deliveries have enjoyed a spur in demand. According to Edison Trends data, sales in the sector jumped 51% from March to May 2020.
Door Dash remains an industry leader, with a 45% market share. Uber Eats follows with 28% of all transactions, compensating for the decline in its pivot ride sharing segment.
17. US consumers pay 24% more for video streaming services.
(Source: J.D. Power)
The ‘stay at home’ safety guidelines have also boosted the usage of streaming services. A J.D. Power survey showed that Americans subscribed to four content on-demand channels in December 2020, compared to three in April 2020.
About 81% of respondents said they subscribe to Netflix. Amazon Prime Video came second at 65%, followed by Hulu at 56%, Disney Plus at 47%, HBO Max at 22%, Peacock at 18%, and Apple TV Plus at 14%.
Sharing Economy Apps: What Do People Like to Share?
These fascinating numbers are all fine and dandy, but are users really willing to share? Here’s what survey data has to say about this:
18. 28% of users around the world are willing to share their electronics.
(Source: Credit Suisse)
Sharing economy statistics show that people are most prone to share electronics.
May it be a computer, a smartwatch, or a refrigerator, renting any of these could be a better deal than buying them. So why not make some extra cash lending your electronics to someone who needs them?
There are already apps that let you share sports electronics like smartwatches. Or you can use platforms like Quupe. It connects you to locals who own the item you need and are ready to lend it to you.
19. 26% enjoy sharing economy services.
(Source: Credit Suisse)
About a quarter of users would gladly share services or online lessons they own or are paying for. Actually, you may have already done this if you gave friend access to your Netflix account.
There are also apps like Fon, that let you share your internet connection at home. In exchange, you get access to millions of WiFi networks around the world.
Or you can simply share services you offer yourself: like gardening or painting, and get a fee for that.
20. Need a power tool? 23% are ready to share one with you, sharing economy statistics show.
(Source: Credit Suisse)
Have you ever been in a situation where you need to drill a hole in the wall but you lack the proper tool?
What do you do?
You could always go to the store and buy a drill. But that may turn out to be a senseless expense if you never use it again.
Why not rent it instead? According to statistics, 23% of users will gladly provide you with one.
21. 21% of people are ready to share their cars.
(Source: Credit Suisse)
Sharing a car is one of the most popular examples of the sharing economy. Uber is now extremely popular. There are all sorts of carpooling apps out there that make it easy to travel at a fraction of the expense.
Some people like to lend trucks or vans, so that’s another niche where the sharing economy can work out.
Check out our selection of the latest Uber revenue statistics to see how profitable car sharing is.
22. 17% of people are ready to share their furniture.
(Source: Credit Suisse)
The future of sharing economy might rely on your sofa.
I might be exaggerating a little, but lending one’s furniture is a trend. True, it seems to be less popular than sharing other household items. It may have something to do with the fact that a bed or kitchen table is harder to move than a laptop.
23. About 15% of users will share their home with you.
(Source: Credit Suisse)
Home sharing seems to be the least popular in the sharing economy.
This may sound surprising as one of the most popular sharing economy startups is property lending app Airbnb. But keep in mind that a substantial part of Airbnb listings is owned and managed by companies and not individuals.
A lot of people don’t feel safe letting a stranger in their homes. So it makes sense that home sharing is the least desired option.
Fun Facts about the Sharing Economy
This is where sharing economy statistics get wacky!
24. About 1,400 islands are being rented on Airbnb.
According to Airbnb revenue statistics, hotels all around the world lose about $450 million per year because of Airbnb.
This is a great way to persuade you about the benefits of sharing economy.
If you’ve ever dreamt about being a king on an island, you can now make your wish come true! You can rent one of the 1,400 islands offered through Airbnb.
For example, you can rent Private Heaven, a small mansion located on the Lark Caye island near Belize. The host swears there will be no one else on the island, so you could spend some time completely isolated from the world.
Or perhaps you need to spend a night or two in a castle? Airbnb has that too. Over 3000 castles are being rented through the platform, as well as 2000 yurts, and 10,000 recreational vehicles.
25. The Mushroom Dome Cabin is the most booked property on Airbnb.
This small cabin is located in the woods of Aptos, California. It is one of the most successful examples of sharing economy.
The Mushroom Dome is arguably the most popular Airbnb on Earth. You can rent it for about $130 a night. Be patient though – it’s usually booked for months in advance.
Kitty and Michael Mrache listed their cabin on Airbnb back in 2009. Ever since then, it has grown in popularity, earning the Mraches $130 of passive income every day.
Who says the sharing economy doesn’t work?
26. Uber operates in 63 countries around the world.
The Uber sharing economy is even more impressive. The company is sometimes referred to as the biggest taxi services firm in the world. While this is disputable, it does have a presence in 63 countries and over 700 cities.
Traditional taxi companies are not happy with Uber’s popularity as it leads to a decrease in clients. In some countries, the taxi lobby has been powerful enough to push for a ban on Uber’s services.
27. 18% of participants in the sharing economy are over 55.
The definition of sharing economy does not rely on age. However, one would think that the trend appeals mostly to young people.
That’s not the case!
About 18% of people participating in the sharing economy are over 55 years old. What they most like about on-demand gigs is the flexible work schedule and the opportunity to add a little extra to their retirement income.
As smartphones become more popular more and more people at the age of 55 and over will join the gig economy.
Each one of us has things to share, so everyone can make some money out of the sharing economy. While most certainly it won’t make you rich, it can prove to be a very useful side hustle when you need to fill in the family budget.
I hope these sharing economy statistics have laid the ground for your entrepreneurial spirit to take over. It’s never too late to try and you have all the possibilities in the world! All you need is a smartphone with an internet connection. Off you go!
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See you around on SpendMeNot.com, guys!