The on-demand economy is far from reaching its maturity stage. There are still areas of growth that will definitely bring in lots of changes in the future. Here are the things to expect from on-demand in the future.
- Changing spending habits:
- The world’s spending habits have been greatly impacted and altered by the on-demand economy.
- No longer are consumers spending more on intermediaries. In fact, the on-demand economy is working in such a way that the middleman is eliminated and the supply chain made shorter and simpler.
It’s quite challenging to start a successful on-demand business from the ground up. Although numerous on-demand companies are coming up all over the place, it takes more than just plain luck to make it in this sector. Anyone wishing to venture into this market should remember an important truth: people are increasingly looking for convenience and speed when buying products and services. And they require the same of every company that offers such services.
To succeed in the on-demand economy setup,
The overall tendency for anything that rises too fast is that it equally plummets as suddenly as it gained ground. But this won’t be the case with the On-Demand economy. Although a majority of businesses today are still operating on the traditional model that has been in operation since time immemorial, more and more owners are realizing that On-Demand and its advantages are here to stay. That’s why more and more industry leaders are embracing this model. Here are just a few of what these companies are doing to embrace the On-Demand Business concept.
The on-demand market model works across every sector of the economy. You only have to remember its basic principle of operation. Adopting these principles will guarantee that you enjoy the benefits that come with the On-Demand economy. This is how to get into the on-demand territory.
- Identify your industry
- The first stage in joining this economy is to identify your niche.
- Niche can be done through conducting a market survey.
For everyone involved in a business activity, there’s a reward in terms of payment. Every player along the supply chain of a particular product or service gets a share of the proceeds from the sale, regardless of where they are in the chain. Understanding this concept is crucial to ensuring the growth of your business. Once you get a grasp this, you will be able to understand your business’ role in the supply chain and how you can leverage this to increase revenues.
In On-demand, automation is the keyword. A larger part of the logistical and administrative tasks in a business can be automated. This is where technology (in terms of web and mobile applications) comes in. Through the the app platform, the customers are connected to the service providers they need. The service providers are freelancers or contractors in most cases.
The chief concern for the On-Demand business should be to make their clients happy as well as expanding their market reach.
There are millions of apps created on the various App stores to serve one purpose or another for the user. A simple search on App Store for any app category yield hundreds, if not thousands of results. A great many developers have dedicated their time and resources towards creating the very best mobile applications on the market. These apps have features that make them attractive to the users: seamless and intuitive integration with various platforms, a great user interface as well as visual appeal.
In this model, access, not ownership, is a key. The goal is to provide access to services the customer needs without ownership of the services provided, but the ownership of platform. Consider for instance, that you need a car for a particular business job. There are two ways of going about it: buy it from a car dealer (taking into consideration the tedious processes involved – insurance, registration, taxation maintenance and parking), or you can rent one and only pay for the time you use it and insurance.
According to the Pew Internet Fact file on mobile ownership, 77% of Americans possess a smartphone and have the capability to connect to the internet. Various app markets make it possible to download applications from different publishers and allow consumers to access their services by a simple touch of the button. The On-Demand Economy uses this as its principal platform of operation.
The principal tool for on-demand business operations is the app. A company develops an application that is then distributed to potential users.
Nine years ago, nobody had heard of Uber. And no one would have thought that a company that huge, as massive, as $72 billion would have started from a scratch as start-up and grown at the pace at which Uber has. Granted, there were apps and smartphones available, yet the framework to offer connectivity between consumers and the services they needed was pretty much non-existent. It is the advancement of innovative way of using technology that set the pace and prepared the ground for the emergence of Uber and the revolutionary idea of On-Demand Economy.