Collaborative consumption is the next transumer trend

Piers Brown takes a brief look at the next transumer trend

Whether you’ve been affected as a transumer or not, the majority of the airline and travel industry continues to suffer with what some would argue are outdated and draconian business models in these challenging economic times.

The number of European travellers taking overseas trips and the amount they spend has decreased in the past 12 months.

Outbound trips taken by Europeans dropped by seven per cent, while their spending when away was down by 15 per cent, according to the newly published ITB World Travel Trends Report. Long-haul travel fell by 12 per cent and short-haul trips by six per cent.

This, despite the popularity of budget airlines for the ever more cost-conscious consumer and business traveller obliged to justify every expense.

But will this changing environment affect the transumer long term and how will companies adapt to this new market in the future?

Emerging consumer purchasing patterns abound with start-up companies exploring dynamic and re-engineered business models based around the new market rules and formulae. One example is Private Fly, which operates an online booking network that makes it quicker and easier to charter private jets all over the world.

A few months back I met with Rachel Botsman, co-author of the forthcoming book “What’s Mine is Yours: A new economy of collaborative consumption” (www.collaborativeconsumption.com)

It’s her view that we will see a major paradigm shift in the consumer's mindset towards “collaborative consumption” made possible by the ever increasing speed with which one is actively embracing advances in new technology, communication and social media networks, driven by the cost conscious consumer and environmental necessity.

The transumer already enthuses about the benefits of organized sharing, renting and swapping throughout many market sectors – examples include those categories highlighted on websites like my fractional ownership brand Fractional Life.

All offer value, delivering the same benefits and pleasures of ownership with less associated costs and hassles, whilst reducing the environmental footprint. This ‘sharing economy’ makes even more sense in tough economic conditions, promoting self-fulfillment whilst offering new personal and collective discoveries and experiences.

Rachel predicts collaborative consumption will grow into an international movement and fully fledged economy within the next five years. With recent economic woes affecting consumer purchasing mindsets and their inevitable need to increase environmental awareness, I tend to agree.

14/12/09