There’s no escaping the fact that we live in a world where on-demand services are king. So, it should be no surprise to learn that it has infiltrated the business arena too. Right now, the influence of the gig economygig economy is at an all-time high. Its popularity is only heading in one direction.
The global gig economy is already worth around $347 billion while a CAGR of 17.4% shows it is one of the fastest-growing areas of business. Here are five reasons why it is enjoying an extended wave of success.
#1. Employers Can Tap Into A Global Network
The world feels smaller than ever before. Aside from living in a multicultural society, companies are now more likely to complete international trades than ever before. The flexible workforce is something 59% of companies now actively seek for many reasons. An ability to tap into a global network of talent allows them to fill gaps in skills and experience. Moreover, it can be a way to deliver 24/7 services and establish stronger connections to resonate with customers from different target audiences.
#2. Firms Fill Temporary Roles While Contractors Get Paid Well
Many of the jobs that are deemed suitable for freelancers are temporary positions and ad-hoc roles. The on-demand nature of the gig economy allows companies to fill roles quickly and without the costs ($4,000 on average) associated with finding permanent staff members. As far as contracts are concerned, employers can afford to pay higher hourly rates because the durations are far shorter. In turn, 56% of freelancers feel that they are more financially secure.
#3. The Platforms Have Greatly Improved
It’s easy to forget that the gig economy has only been operating for a little over a decade. However, 90% of American workers would now consider this approach to finding work. One of the big reasons is that modern platforms like beBee.com are creating a far better digital environment for contractors. CEO Javier Camara states: “We are a person-centric platform, which encourages positive working relationships underpinned by clear and improved communication between contractors and clients”. Moreover, the tools make it easier for freelancers to promote themselves and find relevant projects.
#4. It Opens The Door To Flexible Working Hours
While companies often want to provide a 24/7 service, they aren’t the only ones who care about flexible work hours. Over 71% of contractors state that this is the main reason for choosing this path. Whether they want to travel with their work or fit their workload around life commitments doesn’t matter. Franziska Alesso-Bendisch of Forbes explains: “Tangibly impactful benefits are at the top of Millennials’ desires in a job, and these benefits must support a healthy work-life balance.” Working as a freelancer delivers this regardless of the industry.
#5. The Gig Economy Is Pandemic Friendly
Finally, people are still fearful of the pandemic and its impact on the business world. As such, the gig economy offers a perfect outlet for contractors and companies alike. Businesses can add to their workforces without long-term commitments while also maintaining social distancing. Freelancers can remove the risk of having just one revenue stream, which is very rewarding because 9.6 million Americans lost their jobs during the pandemic. The added stability – along with convenience and financial rewards – for both parties ensure that the popularity is set to last.