Exploring co-operative options for the collaborative economy

What is the collaborative economy and why does it matter to co-ops?

The collaborative economy is a massive transformation in the way in which people are connected to the internet and digital platforms, which transforms the ways of working.

Nicole Alix, president of La Coop de Communs in France, explained how these changes brought opportunities for new forms of solidarity, to mobilise further resources like knowledge and force participation and empowerment.

In a session at the International Co-operative Alliance Global Conference in Malaysia, she explained how technology was changing the way in which goods were produced, delivered and chosen by customers. “The way we vote and participate in democracy, all these fields of living and working are influenced by the digital economy,” she said.

However, what is known as the “sharing economy” or the “collaborative economy” involves work that sometimes is not digital performed by freelancers who are not paid a fair wage and do not benefit from health and social security. “Sometimes trade bet individuals is enabled by huge platforms, which generate a large part of values and capturing data,” she added.

The session featured presentations from practitioners from this sector, who looked at the role co-ops can play in delivering a new model of the collaborative economy.

Melina Morrisson, CEO of Australia’s Business Council of Co-operatives and Mutuals, looked at some case studies of co-ops in her country involved in the sharing economy. She pointed out that co-ops across the country were yet to show support for already existing platforms run by other co-ops. “We have to innovate on our own, with our very own characteristics,” she added.

NRMA, one of the largest mutual in Australia has developed a website to connect older members of co-ops to engage around the challenges of ageing, including being unable to drive. The mutual provides a range of services, including roadside assistance, International Drivers Licences, car reviews, a diverse range of motoring, travel and lifestyle benefits.

In Belgium SMART, a Belgian enterprise converted into a co-op in 2016, after deciding the model was better suited to meet the needs of its users. SMART has grown into a network of 80,000 autonomous workers and freelancers from different sectors. Sandrino Graceffa, CEO of SMART explained how the co-op was the opposite of Uber and enabled workers to benefit from legal and administrative services, insurance for accidents at work, cash and financing services, co-working spaces as well as support and advice.

Another speaker, Danny Spitzberg from the Buy Twitter campaign also described his campaign to turn the platform into a co-operative. “There are many good ideas coming out of this campaign,” he said adding that another option would be for co-ops to build their alternative of Twitter with the aim to provide a real stake in the business and better terms of service for users.