New data shows that the sharing economy is continuing to have a bigger impact on traditional industries such as hotels and transportation. In fact, revenues in those two segments – led by Airbnb and Uber – are forecast to more than double over the next five years.

According to Juniper Research:

  • Revenues in the residential property sharing market will climb to $6.1 billion by 2019. That’s nearly triple the $2.3 billion providers such as Airbnb and WewWork produced in 2015.
  • In fact, Juniper forecasts that the residential sharing segment will generate more dollars than transportation by 2019.
  • Led by Uber, the transportation segment is expected to nearly double to $6.5 billion in 2020 from some $3.3 billion last year.

Notes Juniper in its Sharing Economy: Opportunities, Impacts, and Disruptors 2016-2020: “[S]hared space platforms, such as Airbnb are allowing users to rent rooms in residential properties at rates often undercutting traditional hotel rooms, disrupting the leisure and tourism industry significantly.”

Why are consumers opting for shared residential services?

“[E]ase of use provided by Airbnb in terms of no-nonsense booking, as well as the financial rewards available to registered property owners.”

The hotel industry should “hold significant concern,” Juniper reports, noting that “in many cases shared space providers are not bound by the same rules and regulations as traditional establishments, leading them to undercut pricing and avoid restrictions.”

Juniper sees sharing services scooping up 6 percent of hotel bookings by 2020.

In transportation, Juniper forecasts that Uber will continue to expand its offerings with big attention focused on China where it faces tough competition from hailing service Didi.

“Uber has reportedly spent $1 billion per year on expansion in China alone. In addition, it has recently set its sights on disrupting the huge motorbike taxi industries of India and Thailand, displaying a willingness and drive to aggressively obtain market share,” Juniper notes.

“Uber’s February announcement that it is to launch its UberMOTO service in India, opens it to an enormous potential market – the city of Bangalore alone has 3.5 million registered motorbikes, and India already allows motorbike taxi bookings through applications in two states.”

For more about the report, see: