It’s good to share

x Sponsored content on Research Live and in Impact magazine is editorially independent.
Find out more about advertising and sponsorship.

Digital was the catalyst for the sharing economy, but what else has been important in establishing it as a viable business system?

Drummond Gilbert: The last recession was a massive driver for the sharing economy. It induced a very real cut to household disposable income and this – combined with the uncertainty about people’s future prospects – made them very creative about how they tried to make (and save) money.

The Stern Review of climate change in 2006, which largely disproved objections to climate change – and a millennial generation that demonstrably valued experiences over ownership, driven by the proliferation of social networks – meant that there was an audience in place to engage.

Technological developments also played a significant part. For the first time, sharing-economy platforms were able to leverage the social graph from networks such as Facebook, to create trust between users. What this means is that the idea of someone you don’t know being a ...