1. Home
  2. »
  3. Industry Trends
  4. »
  5. The Gig Economy is Here To Stay

The Gig Economy is Here To Stay

Let’s start with some facts.

  • According to Statista, the projected gross volume of the gig economy is expected to reach 455.2 billion U.S. dollars in 2023.
  • According to Mastercard, 58% of global gig economy revenue comes from ride-sharing or transportation services like Uber or Lyft.
  • According to Mastercard, global gig workers are expected to rise from 43 million in 2018 to 78 million in 2023.

The list could go on for pages on end, but all these numbers would simply be different ways of saying the same thing: the gig economy is not a trend but a new reality. Before going deeper into what the gig economy is in 2022, let’s take a step back and track its origins.

The birth of the gig economy

There are a lot of different phases of our modern history that claim the birth of the gig economy, but the first resemblance of what we know as marketplaces, the likes of Upwork, has to go back to 1995 and the creation of Craigslist. This was the first time there was an accessible and alternate way for people to access the job market.

Fast-forward a few years, and apps like Uber and Airbnb, as well as freelance marketplaces and creator platforms such as Upwork, Onlyfans, and Patreon, have changed the entire work landscape.

People can earn income on their own terms, from the comfort of their houses. The gig economy gave birth to:

  • Uber drivers
  • Social media influencers
  • Podcasters
  • Professional gamers
  • Introducing brokers
  • Affiliates
  • And more

People are no longer bound by the norms of a 9-5 desk job. They are freelancers, independent contractors, project-based workers, and temporary or part-time hires. Their employment model is tailored to the location and lifestyle that makes them happier. According to a survey conducted by Statista, “about 15 to 16 percent of respondents stated their companies’ workforce worked remotely before the pandemic, and as of late 2020, 34% of respondents expected the workforce to be working remotely permanently. By June 2021, 42% of respondents expected to work in a hybrid model permanently.”

If we could see a ray of sunshine from the devastating Coronavirus epidemic, it was that remote work went from a luxury perk to an essential employee request.

While the change in the workforce landscape is fascinating, it brought about a set of challenges. The traditional banking system is having trouble digesting the unique nature of remote and part-time employment. You see, from applying to get a bank account to the verification process and operations, the system was built on the prerequisite of 9-5 desk jobs.

Enter Zazoo

Zazoo is a modern digital banking solution that addresses the needs and wants of the vastly growing gig economy. Spotting the gap in the market, the platform was put together to give financial freedom to digital nomads, freelancers, and all the people who relish this new way of life. Zazoo allows people and businesses alike to open a bank account, send and receive money and settle their salaries.

Share this

More Posts