Amazon, Lyft, and New Research: This Week’s Collaborative Economy Big 3
Welcome, this industry newsletter shares key market changes, in a twice-monthly publication, curated by Jeremiah Owyang, Founder of Catalyst Companies™, you can subscribe to the email newsletter on the footer of the homepage.
Amazon Launches “Amazon Flex” On-Demand Package Delivery Service
With the debut of Amazon Flex, Amazon offers its customers another delivery option for same-day service – one that uses the crowd to deliver packages in their own vehicles. If you’re thinking this sounds a lot like UberRUSH, you’re right. By partnering with the on-demand workforce, Amazon has created a competitive solution that proactively harnesses the power of the crowd (as a supplement to its existing same-day courier service), rather than reactively struggling to adapt. This comes at a crucial time in the contracting market, as a recent study commissioned by Upwork, the Freelancers Union, and Edelman reports that 53.7 million Americans are now freelancing. Amazon Flex drivers can make up to $25 per hour, set their own schedules, and make as many deliveries as they wish per week. Find details on the new service and driver requirements at Geekwire.
Lyft Announces New Perk Programs to Woo Drivers Away from Competitors
In early October, ridesharing company Lyft announced additional incentives for its drivers as an attempt to keep current contractors happy and attract new drivers from competition, like Uber. Although Lyft hasn’t yet announced plans to turn its freelancing drivers into employees, its recent perks package upgrade showcases the company’s commitment to increasing driver satisfaction. The announcement included discounted gas depending on amount driven, a way for drivers to get paid anytime they’ve earned more than $50, and a partnership with rental company Hertz to lure potential drivers who don’t currently own an acceptable car. These perks are in addition to existing competitive incentives, including optional tips that have topped $40 million this year. Read more from WTVR.
New Vision Critical Report Data Showcases the Rise of Sharing in 2015
Catalyst Companies recently partnered with Vision Critical, a customer intelligence platform provider, to release the 2015 report, “The New Rules of the Collaborative Economy.” The report maps the growth of sharing over the last year and the opportunities the movement offers for established global businesses, including competing on the three levels of price, brand, and convenience. It estimates that by 2017, eight in 10 Americans will participate in the Collaborative Economy. The report includes data from more than 50,000 respondents and strategic case examples from Ford, Home Depot, Whole Foods, and Farmers Insurance programs. Download the report here.
Image by Amazon Flex