The on-demand economy has radically altered our lifestyles. It promises instant gratification, convenience and surprisingly low costs – all at the touch of a button. This package has made it possible for the on-demand consumer to make savings both in costs and time. How do these savings factor into an average on-demand day?
Here’s a look at a hypothetical day in the life of Mark, an average resident of California.
Mark is a data scientist, whose day is typically spent developing new algorithms and does not like wasting time on daily chores and activities that don’t add value. In the end, who doesn’t like to get an extra hour of nap?
Mark wakes up in the morning at 7.30 a.m. and orders his favorite breakfast using Caviar. He saves money on gas that he would have had to spend to get there, and approximately 20 minutes of either cooking himself or eating out at the nearest diner.
He receives his laundered and folded clothes, ready to wear from Rinse. He saves the time and gas to go to a Laundromat.
He calls an Uber to get to work – which surprisingly can be cheaper than owning a car in the long run! With his office located in SF down town next to Union Square, he has to travel more than 5 miles every day one way. Had he owned a car , he would be paying installments of $400 per month with an average insurance cover of $250, which comes to about $22/day + $1.5 for gas, meaning $23.5/day. Add to the cost of ownership, the average daily cost of maintenance, repair,car-wash etc – $5-6/day. An UberX or Lyft for the same distance, would roughly cost about $10. Return trip included it would cost him about $20… Mark saves $10/day by commuting by On Demand Taxi Services . And we hadn’t even mentioned the nuisance and overheads of parking yet.
He orders lunch from Munchery, again saving time and fuel costs on a round trip to a diner.
He won’t have time to pick up groceries tomorrow, so he orders them on Instacart. He gets to pick from a wide selection of products and doesn’t have to browse through aisles to do it. (saves at least 1 hour of shopping and at least $2 on fuel)
For dinner, he has time to cook for himself. He orders fresh ingredients from Blue Apron and saves another half hour and gas money.
All in all, the on-demand model enables him to save 2 Hours and $22 in one day (3 hours and $25, if we include savings on grocery shopping). Through the same model, he can make use of the saved hours by offering lessons on Udemy, or simply competing basic tasks on TaskRabbit! The saved money is essentially earned money, adding up to $660 for a month!
This emerging consumer behaviour is what makes on-demand so attractive to the consumer. We, at Juggernaut have recognized this trend. We have helped more than 300 businesses be a part of the on-demand revolution. We provide technical expertise, making the transition as fast and cost-effective as possible!