More and more companies are flocking to the new “connecting” business model, according to a recent post by The Wall Street Journal. The model, made popular by well-known companies Uber and Airbnb, is a relatively recent addition to the business world. Thanks to the technology of apps, these businesses connect millions of users with industries that had often been overlooked in the past.
A prime example of this is Uber, an app which connects its user with a ride within seconds. Just tap a button and the app automatically sends a driver to you. It even shows you the fare ahead of time if you enter the address of your drop-off location. Simple, easy, and connects users with the previously underused private transportation companies.
Airbnb (Air Bed & Breakfast), on the other hand, has the market share on alternative housing. And while more and more startups are trying to get in on the “connecting” action, not every market works. Tutorspree, a company following suit, attempted to connect users with private tutors in the area to no avail. These companies give most of the profit to the tutor/driver/homeowner, and are usually strapped for cash. Without a huge demand, they are bound to fail.
Regardless, it seems these “connecting” businesses are growing and here to stay. Who knows what we’ll see spring up next?
For the full article from the Wall Street Journal entitled 'Startups Want to Be the Next Airbnb, Uber' click here. Or click here for more Front Street news...