It is not news that our behavior concerning consumption has changed dramatically in the past few years where, in the beginning, the normative and social context dictated that the more you had, the happier and successful you were. Despite the fact we are not 100% in common sense about this yet, it is notable the number of individuals making the Minimalism their way of life, due to a wide spectrum of reasons. Most popular reasons for that pivot, includes environmental concerns, financial concerns, and the desire to have more time and freedom enjoying life.
Over this context, the founder of Smart City Investments and Blockchain Solution Architect, Rafael Presa, develops a new type of relationship for the real estate stakeholders, called Housing-as-a-Service. The first step understanding the definition of HaaS and how technology will make it happens it’s to get inside the mind of the new customer and then explaining the Sharing Economy, the Internet of Things, the IOTA Tangle and how all this can work together in a new way of trade real estate assets.
New housing mindset
From the Minimalism movement, we have that it is simply getting rid of things you do not use or need, leaving an uncluttered, simple environment and an uncluttered, simple life. It’s living without an obsession with material things or an obsession with doing everything and doing too much. It’s using simple tools, having a simple wardrobe, carrying little and living lightly. The movement’s website has something around 20M followers and it isn’t the only one that goes in this direction.
From that, we can make a bridge to another movement which is growing worldwide, the Tiny House Movement which is a social movement where people are choosing to downsize the space they live in. The typical American home is around 2,600 square feet, whereas the typical small or tiny house is between 100 and 400 square feet. Tiny houses come in all shapes, sizes, and forms, but they enable simpler living in a smaller, more efficient space.
Another trend that shows a change in our way of life is the exponential growth of a new category of workers, that were made possible thanks to the evolution of telecommunications and Internet: the Digital Nomads. Nowadays the total population with nomad potential is around 99 million, and only in the US is estimated between 21 – 33 million, 20% of its labor force.
To make a statement regarding the changing in the customer behavior of this generation we don’t have to make too much effort. What we see happening with exponential businesses is more than enough to prove the point. Airbnb, Uber, OpenDoor, Netflix, and others, have the kind of business model that will be the majority in upcoming years: the duality between ownership and usage. One can argue that in order to exist usage we have to have owners and that is what divides the previous economy from this new perspective, the Sharing Economy.