“Click here to subscribe and own less stuff!”
Not a tagline you usually see. But is it true that the increasingly popular subscription and sharing economy business models could help reduce consumption and excess consumerism?
As more products are treated as services, many people are finding they don’t need to own as many things, but can instead pay for the right to use what they need. We see this across a number of domains, including music streaming, car and bicycle sharing, tools, or even designer handbags. What people are willing to pay for is not a product in and of itself, but for a solution to their problem.
The common denominator is that many people are choosing to own fewer things, and electing to pay for use on an as-needed basis.
Whether a shift to this business model alone will be enough to curb consumerism remains to be seen, but I see the change as a positive one regardless. In general, there seems to be a trend towards buying solution and experiences, not things. When people no longer feel the need to accumulate shelves full of music albums, a garage full of seldom-used tools or a closet full of designer clothes and handbags, we may find ourselves producing and consuming less stuff.
There are some cases where that mentality will certainly be harder to change. For some people, buying their first car is a right of passage, and likewise owning an expensive car may be a status symbol that some are unwilling to give up.
There are also some couple counter-arguments against the ability of the sharing economy to slow consumption. Some argue that those using these services may be a different segment than those who might opt to buy these objects in the first place. For example, the rental of designer handbags opens up the market to those who would not have purchased one in the first place, and some people who take Ubers might have walked, had the option not been available. These scenarios demonstrate how the sharing economy has the potential to increases the size of the market as a whole, thus increasing consumption.
Nonetheless, I see reason to be optimistic about the new opportunities created by the sharing and subscription economies. The shift away from direct product/object ownership can be seen as positive, supporting the more efficient use of resources, and hopefully providing additional benefits in terms of impact on the environment and the planet.