Boosting Good Behavior In The Sharing Economy

More and more, people are choosing to rent stuff like clothes from companies such as Rent the Runway, stream shows on Netflix, stay in someone else’s home through Airbnb, or get a ride with Uber. This has led to a new kind of industry where you pay for access to things temporarily, and it’s expected to be worth $335 billion by 2025. But, while these services are usually cheaper, they can cost you time and effort.

Sometimes, people don’t follow the rules on these platforms. They might not clean up after themselves in an Airbnb, scratch up Netflix DVDs, or keep luxury clothes they’ve rented for too long or forever. This kind of behavior can be selfish and hurt the experiences of other users.

Encouraging good behavior

So, how can companies encourage people to behave better? A recent study from UNLV Lee Business School has some suggestions.

“To remain agile and avoid systemic problems as seen in (popular designer clothing rental platform) Rent the Runway’s 2019 major service disruption, access-based platforms must incentivize consumers to keep their motivation to cooperate and care for the consequences of their actions on other consumer journeys,” the researchers explain.

The study looked closely at Rent the Runway and analyzed nearly 2,000 social media posts, 1,168 news articles, Rent the Runway’s ads, and interviews with bloggers and customers.

Expecting a lot

What the researchers found is that these platforms expect a lot from customers. They want customers to be very careful and not make mistakes or damage things, all to keep prices low and products in good shape. But the researchers think these expectations are too high.

“It is not realistic for platforms to expect consumers to cooperate so that all consumers can have a seamless journey. Platforms can better emphasize the collaborative nature of their business models, enforce social accountability, and realize consumer actions are not easy to substitute,” the authors continue.

To regain control over their platforms, the authors provide practical guidance on how to raise awareness among consumers about behaviors that can disrupt others’ experiences. For instance, platforms can:

  1. Streamline logistics and operations to encourage consumers to act as collaborative partners.
  2. Keep an eye on and appreciate the valuable input of experienced consumers.
  3. Motivate consumers to cooperate and show social responsibility towards fellow consumers.
  4. Provide a wider range of alternative products to reduce dissatisfaction with a particular product.
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