Jason Tanz - Trust in the share economy
Much as the traditional Internet helped strangers meet and communicate online, they say, the modern Internet can link individuals and communities in the physical world. “The extent to which people are connected to each other is lower than what humans need”
So over several years, Chesnut’s team built its own trust infrastructure. It began monitoring the activity across the eBay marketplace, flagging potentially problematic sellers or buyers, providing its own payment options, and eventually guaranteeing every purchase. In so doing, eBay evolved from a passive host to an active participant in every transaction.
So, as of March 2012, RelayRides ditched the card reader. Instead, renters and owners began meeting in person to hand off keys and look over the vehicle.
The results, Haddad says, were striking. RelayRides was just looking for a more convenient, cost-effective way to expand its business. But it turned out that the face-to-face meeting caused renters to take better care of the cars—and it made the experience better for both parties.
“They really liked that human connection,” Haddad says. “People strike up a conversation and realize they have something in common, which boosts trust and makes people feel accountable. They’re going to have to return this car to that person and look them in the eye.”
Just like residents of pre-industrial America, sharing-economy participants know that every transaction contributes to a reputation that will follow them, potentially for the rest of their lives.
— Jason Tanz