Investment Opportunities in the Sharing Economy 

Investment Opportunities in the Sharing Economy 

  • January 2016 •
  • 49 pages •
  • Report ID: 3603136 •
  • Format: PDF

Investment Opportunities in the Sharing Economy : Start-up Companies that Persevere in the Market Will Succeed

The sharing economy allows people to share assets, resources, time, and skills across Internet-based platforms. There has been immense growth in the sharing economy over the last decade and this is likely to grow even more steeply. While the sharing economy presents an avenue of vast opportunity, it also ushers in unprecedented challenges primarily related to the relevance of choices and the risks associated with collaborative consumption. Companies handling this successfully are likely to dominate the market in the next decade. This report analyses the investment opportunities in the sharing economy, assesses funding patterns and estimates the future outlook for this sector.

Key Findings

Frost & Sullivan has identified interesting trends and developments in the sharing economy

Sharing economy start-up companies have been funded nearly five times as much as social networks, indicating positive growth for the collaborative consumption economy.
Merger and Acquisition (M&A) prospects are probable even as technology and user bases become key differentiators.

The shared transportation and shared space sectors have seen the largest funding from investors.

In terms of valuation, the top few start-up companies have emerged from diverse industries indicating that the sharing economy has matured across multiple sectors.

Management of risk and regulation will play a key role in the development of the shared economy