The freelance economy and the modern family - a syndicated exploration by your friends at
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the freelance economy and the modern family
a syndicated exploration by your friends at
© 2013 dig dig inc. all rights reserved.
when the number of freelancers
in the u.s. began growing,
many saw this as the impact of
companies reducing their
overhead during a recession
in 2005, the u.s. bureau of labor statistics estimated that over
10 million people were self-employed.
by 2009, the u.s. bureau of labor statistics put the number at
over 15 million.
© 2013 dig dig inc. all rights reserved.
yet with the economy
rebounding, the numbers
continue to grow
there is ample disagreement around the definition of an
independent or freelance worker, but regardless of definition
the numbers continue to go up.
in 2012, the u.s. dept of labor estimated 23 million workers
were self-employed; the u.s. general accounting office estimated
98 million independent workers that year. the freelancers union, an
advocacy and health insurance group, puts the estimate far higher,
at 43 million.
“the increase in freelancers isn’t a temporary phase. it’s a
systemic change,” says sara horowitz, founder of the
freelancers union. “the recession likely sped up a shift that
was happening already.”
© 2013 dig dig inc. all rights reserved.
contrary to the stereotype, most independent workers choose their
path rather than being forced upon it. in fact, 68% of freelancers in
freelance is becoming a gen x report having chosen to work independently, as compared
with just over half of other generational groups.*
necessary work-life choice for
gen x men and women are equally likely to choose freelance,
modern families generally over issues of control. when describing their rationale for
leaving traditional jobs, 57% listed better work-life balance, and
60% listed control over their career.
© 2013 dig dig inc. all rights reserved. * from “the state of independence in america”, september 2013, mbo partners
for many, leaving traditional work removes a source of stress. in
one poll, 61% of professional women said that work-life balance
was the biggest obstacle facing their career advancement*.
becoming a freelancer is a similarly, pew research found that over half of working mothers and
fathers found managing work and family roles difficult.
long-term choice they can women in male-dominated fields (such as finance and technology)
make without regret report that working outside the workplace removes workplace
barriers like unequal pay for women and the lack of female
colleagues and role models.
between 1/3 and 1/2 of full-time freelancers say they earn more
as independent workers than they did as full time employees.
© 2013 dig dig inc. all rights reserved. * from ipsos reid, 10.13
gen x workers report that traditional work experiences are
intrinsic to their freelance careers, notably their previously
created networks.
they are able continue building women become independent because they want control
over their lives; men want control over their work.
their careers while being
especially for workers with more experience, freelance work
present for their families is more interesting. the freedom to move from one project
to another, and to work for multiple clients, gives them
more variety. further, increasing the diversity of their
projects adds valuable depth to their skills.
© 2013 dig dig inc. all rights reserved.
self-employed people eat more healthy foods and exercise
more than other employed groups, but they also have far
more stress and are far less likely to have health
insurance.
financially they have to focus the robert wood johnson foundation predicts an 11%
increase in self-employment nationwide in 2014, as a
on the present result of the affordable care act.
“the thing that scares me the most is that we operate
without a safety net. but i guess that’s really the allure as
well, living on the edge and seeing if you can make it.” –
greg c. (one of our respondents)
© 2013 dig dig inc. all rights reserved.
28% of independent contractors and small business
owners say they regularly lose sleep over cash flow.
as a result, long term financial
planning is short term liquidity many large corporations have 120 day pay policies
on their invoices, leaving freelancers to cover the 4
months before they’re paid.
© 2013 dig dig inc. all rights reserved.
continued growth
despite continued economic growth, u.s. job growth has remained stagnant – a
paradox many attribute to freelance or contract work. a recent study by intuit
predicted that 40% of workers will be freelancers by 2020.
flexibility can be a win-win
the flexibility of hiring freelancers or independent contractors creates business
advantages. larger businesses can be more nimble, and smaller businesses
(even other freelancers) can compete on a larger scale without risking
everything. and, as more companies turn to freelance for their needs, there is
more work for freelancers.
summary of implications real passion produces real value
70% of freelancers are happier in their work than when they worked at full time
positions*, and nearly all the rest say they’re just as happy. happier people get
repeat business because they are pleasant to work with, and the back story of
passion and commitment to the product is an effective marketing tool in itself.
leaning out?
highly skilled women may be leaving traditional work as much out of frustration
as the desire to spend more time as parents. with boomers nearing retirement,
some of the most selective employers are reaching out to try to recapture their
lost talent.
© 2013 dig dig inc. all rights reserved. * the state of the freelance market, elance, 2012
why we think it’s true:
depending on your source, anywhere from 70 to 90% of people with
traditional jobs would like to work independently.
millennials – who will soon be 75% of the work force – have always tended
toward an entrepreneurial mindset. as evidence, odesk, a leading freelance
marketplace, found that 21% of their freelancers were still enrolled in
college.
staffing industry analysts predict that off-site freelancing will grow to $5
billion by 2015
venture capital is betting big on the growth of freelance. high profile
investments have boosted numerous high end freelance marketplaces:
workmarket, skylbridge, hourlynerd, mba&co.
continued growth
despite continued economic growth, u.s. job growth has remained where this presents opportunities:
stagnant – a paradox many attribute to freelance or contract work.
a recent study by intuit predicted that 40% of workers will be • health insurance
freelancers by 2020. making transitions seamless – from one company to another, or
retaining individuals as they leave employer-sponsored plans – would be
a great way to get more of those young, healthy millennials on the rolls.
• finance
institutions willing to make loans to contractors or freelancers will gain
gratitude, loyalty and (invaluable) word of mouth praise.
• retail
irregular incomes can make purchase decisions, especially for high
ticket items, correspondingly irregular. strong brands who provide
flexibility or even facilitation will get the sale more quickly.
© 2013 dig dig inc. all rights reserved.why we think it’s true:
as older workers, boomers laid off during the recession faced an uphill
battle finding new jobs. today, elance says 58% of their boomer members
are working full-time; these jobs may be more stable since they aren’t
subject to the age-ism of the traditional workplace.
“it’s hard for start-ups and early-stage companies to hire great brain power.”
– mark cuban, explaining why he invested in hourlynerd, a marketplace
created by harvard business school students offering consulting on an
hourly basis. similar services have received similarly high profile funding at
wharton and london school of economics.
79% of working adults say flexibility is one of the most important factors
they consider when looking for a new job or deciding what company to work
for.*
flexibility can be a win-win where this presents opportunities:
hiring freelancers or independent contractors doesn’t just save
on overhead, it also provides business advantages. larger • home design & technology
businesses can be more nimble, and smaller businesses (or the need to create privacy while at home isn’t new, but workers trying
even other freelancers) can compete on a larger scale without to create a functional work space will feel this need acutely. brands and
risking everything. accordingly, as more companies turn to products that accomplish this feat stylishly will be much appreciated.
freelance for their needs, there is more work for freelancers. • software
keeping software up-to-date can get expensive for freelancers. allowing
them to update software at a reduced rate – perhaps in exchange for
feedback – would create a cycle of rejuvenation for both sides.
• finance
a fleet of new ‘make it simple’ apps intended to help freelancers
organize their finances(harpoon, pulse, harvest, wisecash) seem to
indicate that many see this as a problem, and no one has solved it.
© 2013 dig dig inc. all rights reserved. * momcorps, harris interactive survey, 9.13why we think it’s true:
futurists have predicted a shift toward locally produced, high quality
craftsmanship (the reaction to a globalized, computerized culture) for some
time now, but the freelance economy brings scale to the trend.
harvard economist larry katz has argued that many of the best paid jobs in
the new economy will reward a combination of skill and a personal touch.
“people will always need haircuts and health care, and you can do that with
low wage labor or with people who acquire a lot of skills and pride and bring
their imagination to do creative and customized things.” in essence,
passion adds value to any highly interactive position.
“sadly, average is over. we’re in the age of ‘extra’, and everyone has to
figure out what extra they can add to their work to justify being paid more
than a computer.” thomas friedman, explaining why workers (rather than
employers) are responsible for creating their own careers.
real passion produces real value
70% of freelancers say they are happier in their work than when where this presents opportunities:
they worked at full time positions*, and nearly all the rest say
they’re just as happy. happier people get repeat business because • community-oriented brands
they are pleasant to work with, and the back story of passion and this is a chance to make strong connections. for example, amalgamated
commitment to the product is an effective marketing tool in itself. bank (“america’s labor bank”) provided free short-term loans to federal
workers during the government shutdown.
• small business
with advances in technology, small businesses can finally competitively
leverage their stories and personalized approaches in business.
• technology / hardware
people who are passionate about what they do are also passionate
about the tools that help them do it. facilitating access to those tools
will tell them they’re appreciated and create lasting relationships.
© 2013 dig dig inc. all rights reserved.why we think it’s true:
only about 1/3 of employers allow some of their employees to work
from home regularly; just 2% allow all employees this option. 67% of
employers say that strict personnel policies often prevent flexibility.*
anticipating a gap in talent and leadership as boomers retire, top
consulting firms have begun actively recruiting mothers who left to raise
children, acknowledging for the first time that the industry is losing
talent to its lack of flexibility.
the “women & technology” commissioned by elance found that women
saw the online environment as an escape from the barriers they
leaning out? encountered in traditional workplaces; they didn’t need to apologize for
needing flexibility, and they didn’t have to take lesser pay because of it.
highly skilled women may be leaving traditional work as much out
of frustration as the desire to spend more time as parents. with
where this presents opportunities:
boomers nearing retirement, some of the most selective employers
are reaching out to try to recapture their lost talent.
• communication
connecting with mothers may require balancing their other roles,
and the desires and ambitions associated with them.
• apparel
mothers who freelance don’t necessarily want to look like they’re
coming from yoga all the time (although surely it would be nice if
the clothes felt that way).
* families and work institute, 2012 national study of employers
© 2013 dig dig inc. all rights reserved.
** women & technology, elance, 2012sources
2012 national study of employers, families and work institute
“a clouded future”, the economist, 5.13.10
“forget the jobs report – focus on the freelance economy”, forbes, 7.3.13
freelance industry report, international freelancers’ union, 2012
“freelance jobs: half of all jobs in recovery?”, christian science monitor, 6.13.11
intuit 2020 report: twenty trends that will reshape the next decade, intuit, 2010
“job for life is dead - long live fractional working”, wharton entrepreneurship blog, 6.13
“mark cuban invests in start-up to connect companies to m.b.a.’s”, new york times, 9.12.13
“mckinsey tries to recruit mothers who left the fold”, wall street journal, 2.19.13
millenials & the future of work, odesk, spring 2013
“modern parenthood”, pew research center, 3.14.13
“more than a quarter of entrepreneurs lose sleep over cash flow”, yahoo finance, 9.30.13
“remote workers log more hours and are slightly more engaged”, gallup blog, 7.12.13
“state of the american workplace”, gallup, 2013
© 2013 dig dig inc. all rights reserved.sources
state of independence in america, mbo partners, spring 2013
state of the freelance market, elance, 2012
“strategic alternatives to opting out”, forbes, 10.10.13
“the affordable care act: improving incentives for entrepreneurship and self-employment”, robert wood johnson foundation, may 2013
“the election that wasn’t”, thomas friedman, new york times, 10.23.10
“the freelance economy is booming”, entrepreneur, 10.10.13
“the freelance surge is the industrial revolution of our time”, the atlantic, 9.1.11
“the healthy trade-offs of entrepreneurship”, new york times, 8.8.13
“the ‘leisure gap’ between mothers and fathers”, fact tank, pew research center, 10.13.13
“the unemployment numbers are wrong”, freelancer’s union, 5.3.13
“why we still ask whether women can have it all”, wall street journal, 2.20.13
“why you need to discover your inner artisan”, fast company, 9.19.12
“women in technology”, elance, april 2013
“women managers and execs believe ‘image’ is more than twice as likely to be a factor for women (90%) than men (37%) in career progression”, ipsos reid, 10.15.13
“women, work & the ‘girl scout’ tax”, wall street journal, 10.29.13
© 2013 dig dig inc. all rights reserved.about dig
across the corporate landscape, many have discovered the benefits of qualitative research in understanding how and why consumers do
what they do. however, the insights gained from market research often fail to take hold within organizations. at dig we believe that for
emotional and contextual insights to fulfill their potential, they need to be collected and presented in such a way as to maximize their
impact.
therefore, we’ve united our skills as strategists, psychologists, filmmakers, and creative communicators to create a unique
approach to generating and communicating insights, inspiring innovative and relevant ideation and enthusiastic reception
and adoption of those insights and/or ideas.
we see everything we come across while in the field as an insight asset – be it a living room, a respondent driving, a leisure activity,
etc. capturing all of this in a thoughtful way on film gives us the opportunity to not only carefully analyze what we’ve observed, but
also to share the insights with and inspire as wide and global an audience as possible.
when communicating insights, presentation matters. in order to convey the full richness of insights and inspire meaningful ideation
insights need to be presented in an engaging and thoughtful way. it is our belief that presenting consumer insights in formats
originally designed for communication of data often prevents organizations from truly understanding their consumers and innovating
to better serve them.
in fact, our tools are designed to be able to inspire a broad range of executives and continue to jump-start new thinking for an
organization long after the project is completed. moreover, this thoughtful and complete approach will enable you to see the
maximum return on your investment. the quality of our deliverables is such that many clients are eager to repurpose their footage for
multiple audiences and initiatives beyond the original objective — from long-term strategic planning, sales presentations, to
employee training, to ideation sessions, to corporate conferences.
this approach allows us to create insight communication tools that not only bring insights to life but also ensure their enthusiastic
reception and long-term incorporation across all departments and global markets. in the end, our approach will make consumer
intuition, cross-functional alignment and meaningful ideation inevitable.
© 2013 dig dig inc. all rights reserved.contact info
headquarters:
1128 florence
evanston, il 60202
847.866.0450
website: digprojects.com
adam wadsworth - principal
adam@digprojects.com
© 2013 dig dig inc. all rights reserved.thank you! © 2013 dig dig inc. all rights reserved.
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