How to make money from your spare space – the changing way we make a living
The advent of the Sharing Economy has created the rise of “micro-entrepreneurs”; individuals who make the most out of underutilised assets to generate supplementary income; up to thousands of dollars per annum. Entrepreneurs do not need to be tech savvy or even business minded – marketplace technology means that any owner can now make extra money, in a trusted, secure environment.
Supporting statistics (Forbes – Entrepreneur)
- 6% of Britons are currently generating income via sharing marketplace platforms
- 1/3 of these earn between £100-500 per week
- Provides flexibility and incremental income previously unavailable
With a communal culture and space shortage, Europe is leading the way in collaborative consumption with Amsterdam recently named the world’s first Shareable City. A shareable city engages all stakeholders (urban planners, regulators, and councils, insurers) to efficiently share all kinds of assets – from spaces to cars, skills and utilities – to create stronger, healthier and more connected communities. Australia and USA are beginning to embrace this concept with growing awareness and usage of shared services. This is consistent with the rhetoric coming out of Liberal and Labor leaders and thought leadership around creating a regulatory environment committed to community sharing for social benefit.
Supporting statistics (The Sharing Economy, PWC Report 2015)
Of US consumers familiar with sharing economy
- 81% of Americans agree it is less expensive to share goods rather than own individually
- 43% believe owning today feels like a burden
- 57% agree access is the new ownership
- Service providers cut across all age groups (18-34: 38%, 35-54: 38%, +55: 24%)
- 78% of consumers believe that sharing reduces waste
- With rising property prices, Generation Y / Millennials are giving away the Great Australian Dream of house ownership and embracing a model of collaborative sharing of assets when and where they need them: “I don’t need a drill, I need a hole in the wall”
Supporting statistics (The Emerging Collaborative Economy in Australia, CollaborativeLab)
- 61% of Australians are aware of sharing economy services such as AirBnB, Uber, GoGet and 53% of people used such service in 2015 – this is expected to grow substantially in 2016. +70% of users are repeat users
- Of these users 35% were providers of services, 76% were users and 18% were both
- 27% of users are using shared services in addition to traditional options (growing not replacing the pie)
- Financial benefit is the key driver to share, followed by social and environmental reasons
Your How to Guide: We all know about AirBnB and Uber, so here are three lesser known but equally innovative ways for you to make money in the Sharing Economy today.
- Rent out your Spare Space: Hiring out your empty garage, shed or car park is an easy and simple way to turn unused assets into cash, particularly once the kids have moved out. Spacer Marketplaces (www.spacer.com.au) is an online platform, where hosts (people with space) can rent out idle space to renters looking for self-storage. Demand comes in all shapes and sizes, ranging from boat and caravan parking, to furniture and document storage and winter clothes.
Similar to AirBnB, your listing is free and as host, you determine the rules of the rental and are free to accept or reject offers as you wish. Renters are typically neighbours in your local community, and all users are vetted and reviewed for you to select.
Depending on where you are, your single garage space can generate upward of $350 per month, which goes a long way to paying for your next holiday or road trip.