How the consumer orchestration works creates value in the sharing economy

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Researchers from the University of Melbourne and RMIT University Marketing review Identify the main challenges that consumers in the sharing economy will encounter and explain how they can overcome these challenges and co-create value in the sharing economy.

Sharing economy platforms (Uber, Airbnb, Tinder, etc.) are common and are growing rapidly across the industry. These platforms act as digital marketplaces. platform Consumers (both peer service providers and service users) work together to create value for each other. However, these collaborations are not always transparent. While major issues in the sharing economy, such as crime, often grab the headlines, platform consumers face many other challenges when co-creating experiences with strangers.

The researchers identify the main challenges faced by consumers in the sharing economy, which stem from the hybrid sharing principle of the sharing economy. It also describes how consumers can overcome these challenges and co-create value in the sharing economy. To develop this knowledge, the research team conducted a qualitative study on Couchsurfing, a sharing economy platform launched in 2004. Consumers (hosts and guests) will use this platform to share their cultural experience with free accommodation and hospitality. The case of couchsurfing, which has a low level of platform control over consumer co-creation, allows us to better understand what consumers are doing to overcome the challenges of co-creation in the sharing economy.

The researchers discovered four key challenges for co-creating consumers in the sharing economy. First, consumers of the platform need to co-create experiences despite differences in goals and values ​​(for example, Airbnb owners and guests have a different understanding of what it means to be comfortable or convenient. to have some). Second, platform consumers need to coordinate their desire for impersonal transactions and meaningful social interactions when co-creating (e.g. Uber drivers and passengers have silent driving). It may be different if you prefer a funny conversation or a funny conversation). Third, platform consumers need to manage the risk of co-creation with strangers (for example, couchsurfing hosts and guests need to assess whether they are sleeping near the person they just met). Fourth, platform consumers need to personalize their experiences, but rely on the will of strangers to meet that need (eg, TaskRabbit’s “tasks” are specific to those seeking help. You need to understand how to provide your own skills while meeting your needs.).

Platform users face these challenges by engaging in orchestration work. Four mechanisms and a series of 14 actions that help consumers overcome obstacles to co-creation. This study reveals what platform companies can do to help consumers overcome these challenges and maximize the value of their voluntary orchestration work in the sharing economy.

The first group of orchestration actions is supported by a mechanism called consumer alignment. These actions (filtering, queuing, flexing, buffering) address the challenge platform consumers need to collaborate with other users with heterogeneous values ​​and goals. These actions help consumers adjust their expectations, interactions and responses to co-creation partners. The second group of orchestration actions is supported by a mechanism called rewiring relationships.

These actions (grouping of interests, lifestyle signaling, enclave, coordination) allow consumers to use the platform’s functionalities to navigate and integrate aspects of relational collaboration and transactions. In other words, these actions help consumers reshape the relationships within the platform to better meet their individual goals. A third group of orchestrating actions is supported by a mechanism called fiduciary investing. These actions (publication, promotion of reviews, scaffolding) allow platform consumers to manage platform resources and reduce the risk of engaging in one-off interactions with strangers in the sharing economy. These actions are specifically designed to overcome the challenge of building interpersonal trust with strangers within the platform. Finally, the fourth group of actions is supported by a mechanism called network experimentation.

Three actions (Creative Resources, Role Improvisation, and Diversion) allow platform users to experiment with new resources, roles, and goals while collaborating on experiences. These actions expand the areas of expectations, interactions and potential responses between the network’s co-creation partners, and the potential for co-creating unique, personalized and valuable experiences among platform consumers. Spread. “Explain how these actions and mechanisms lead to known sources of value creation for platform companies, such as complementarity, efficiency and consumer foreclosure. The platform’s business leaders are telling consumers that. We need to identify common barriers to co-creation and provide consumers with ways to overcome them. Obstacles ”, explains Scaraboto.

For example, Airbnb consumers value platform diversity, but user heterogeneity can lead to co-creation misalignment. Using our findings, Airbnb can help consumers address heterogeneous challenges by facilitating collaboration between consumers. Action .. For example, Airbnb can facilitate filtering with additional filters that further explain preferred waiting and co-creation methods (for example, the number of contacts / conversations a traveler wants with a host) . to augment). Figueiredo adds: Business platforms can make co-creation more efficient for consumers And this time it brings value to the business. “


Trust Strangers: Details Matter for Millennials Using Uber, Airbnb


For more information:
Daiane Scaraboto et al, EXPRESS: How the work of orchestrating consumers creates value in the sharing economy, Marketing review (2021). DOI: 10.1177 / 00222429211027777

Provided by
American Marketing Association

Quote: How Consumer Orchestration Creates Value in the Sharing Economy (August 13, 2021) can be viewed at https://phys.org/news/2021-08-consumer-orchestration-economy.html Acquired August 13, 2021.

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