A booming market emerges: The Freelancer Economy is predicted to be 40% of the American workforce in just five years, and the startups that power them have been funded over $10B – and a whole new class of organizations have emerged to support, empower, and connect freelancers.
Over the last decade, the Social Media industry birthed many groups to serve content providers. The birth of the social media industry resulted in many realizing that the audience gave way to participants. Nearly everyone is now creating, sharing, chatting, rating and ranking alongside the mainstream media. Just as we saw in the social media and blogging industry the rise of organizations to cater to these new influencers, such as BlogHer, Federated Media, Clever Girls, Glam and IZEA to offer events, gifts, sample products, services, and more, we’re beginning to see it repeat.
The Collaborative Economy industry is birthing many groups to help service providers. That same metaphor is now repeating in the Collaborative Economy. Individuals, called “micro-entrepreneurs” or “freelancers” or “Makers” or “hosts/drivers/taskrabbits” are now creating their own goods and experiences, alongside Fortune 500 companies. To help standardize the language being used in the Collaborative Economy, these folks are called Providers, who offer rides, homes, goods, and services to Partakers, learn more about the three Ps, on this definitive post.
Social Media vs Collaborative Economy: Reach and Intimacy
|Trusted Peer Cohort||Reach||Intimacy|
|Social Media Influencers, Bloggers, and YouTube celebs.||High, they can reach thousands to millions of eyeballs in a single tweet, and with engagement, a network effect.||Low, they’re unable to have meaningful converations with all of their following.|
|Providers, Freelancers, Airbnb Hosts, and RideShare Drivers.||Low, they can only reach those in proximity they’re working with.||High, since peers trust them for rides and experiences, they’ll trust them for recommendations of other offerings.|