We recently stumbled across a new sharing economy/pet hotel network business called ‘Petsodia’. Here’s a quick breakdown of their business model, to see how a business in the sharing economy could potentially work.
- Value proposition: An online platform for pet lovers that connects pet owners to pet sitters/pet hotels.
- Target market: Pet owners that do not have anyone to look after their pets while they are away and require/prefer personalized pet care services.
- Revenue model: Transaction fee based (% of total fee transacted)
- Business Sector: IT—Sharing economy
We tend to get excited about any new business idea that is built upon the sharing economy concept, because we believe that the sharing economy will continue to trend as more and more entrepreneurs discover innovative ways to unlock unused capital at the individual level and turn them into new value.
In addition, the continued digital development trends such as A.I, big data and the internet of things (IOT) will increasingly make the unlocking of such capital more efficient and accessible to all. However, the key challenge for such businesses is their ability to build up a sizable community quick enough to scale the business and attain/defend market leadership, which in turn is strongly dependent on the strength and creativeness of their marketing operations.
(Disclaimer: Not a sponsored post)