Peer-to-Peer: The Consumer Powered Revolution

Today, Ypulse staffer Phil Savarese continues our series on the evolving e-commerce landscape by profiling "ones to watch" in the evolving world of peer-to-peer business.

 

AirBNBThree E-Commerce P2P Innovations To Know Now

The economic crisis has Millennials, and many others, thinking of new ways to do business. Communal effort and the desire for a more sustainable and beneficial future are driving forces of the generation. With this spirit and an increasing distrust of old systems as a foundation, the peer-to-peer (P2P) business model is becoming more and more common. Rather than customers buying products from a site like Amazon, they purchase from other consumers, cutting out the big brands from the exchange process. Given the social, groupthink nature of Millennials and their inherent knowledge of the internet, it is no surprise that P2P has been growing, and evolving beyond goods exchange to revolutionize other business categories as well. The “gig economy,” a marketplace of micro-jobs born partly out of the recession, is also pushing the movement forward. Peer-to-peer services are providing their users with new and innovative ways to both make life easier and earn some extra cash: the peer-to-peer economy is estimated to have a revenue of $3.5 billion this year. Here we’ll take a look at three P2P e-commerce businesses to know now:

 

airbnbAirbnb:

Airbnb offers its users a new way to list and book traveling accommodations. Hosts list their own personal spaces on the site; users then book the space for a certain period of time at the price established by the hosts. It’s simple, fast, and most of all, different—a way for consumers to travel the world without ever having to pay for a night in a motel. Millennials are adventure seekers, looking for rich experiences but in an organic…

 
 

Want to talk to us about the article
or dive into a custom study?


Millennial News Feed

Quote of the Day: “Bojack Horseman was my favorite show last year because it was funny and real. Maybe too real, just beautiful.”–Male, 23, AZ

Binge drinking in college is common, and suggested reasons for the behaviors range from boredom to helicopter parenting—but it’s also possible they’re drinking to extremes to escape extreme stress. Today’s college students can have an “intense preoccupation with success” thanks to the competition it takes to get into schools, fear of the tough job market, and looming loan debt. In this context, “blacking out has become so normal that even if you don’t personally do it, you understand why others do. It’s a mutually recognized method of stress relief. To treat it as anything else would be judgmental." (NYTimes)

Once again, Millennials’ food preferences are “killing” a major product. Young consumers’ preoccupation with health have caused a yogurt problem for General Mills, where sales in the category have nosedived 15%. The downturn is likely due to the new perspective that sugar, not fat, is the real diet evil, a shift that has caused low-fat and low-cal foods to “fall out of vogue.”(As we predicted.) In more positive, related, news for the brand, organic and natural products have seen “immense growth.” (MediaPostMSN)

More teens are on YouTube than on the biggest social networks, according to research from the National Cyber Security Alliance and Microsoft. Their poll of 13-17-year-old internet users found that 91% say they use YouTube, compared to 66% who use Snapchat, 65% who use Instagram, and 61% who use Facebook. Their heavy use of the site is one of the reasons that YouTube creators have more influence over their purchase intent than traditional TV and movie celebs. Interestingly, the second most-used platform was actually Gmail, with 75% of teens reporting they use the email app. (eMarketer)

Millennials have been called out as a threat to the diamond industry, causing Twitter to offer their own blunt explanationsfor why the generation isn’t buying the “sparkly status symbols.” But hold up: De Beer’s annual report has declared, “Millennials spent nearly $26 billion on diamond jewelry [in 2015]…acquiring more than any other generation.” So why is everyone saying they aren’t buying diamonds when they reportedly purchased 45% of retail sales in four major markets? It might be another case of a narrative about the generation being more click-worthy than the reality. (Forbes)

This month, the Generation Beauty event brought together Instagram beauty influencers, beauty brands, and their loyal teen fans for a weekend of meet-and-greets and product samples. Young consumers are undoubtedly looking to their favorite digital personalities for product recommendations, and say it’s best “when they give their honest opinion,” trusting those posts more than those where copy is read directly off a package—“a dead giveaway that it’s sponsored.” Collaborations between brands and social influencers are reportedly especially popular with fans. (Racked)

Quote of the Day: “Jane the Virgin was my favorite show to watch last year because it was dramatic, yet relatable and hilarious. I also love the fact that it features many women actors and actors of color.” –Female, 17, Guam

Sign Up Now

Subscribe for premium access to our content, data, and tools.

Already a subscriber? Sign in.

Upgrade Now

Upgrade for full access to the best marketing tools for understanding the next generation.

View our Client Case Studies