New research suggests that we may be at the beginning of a new business model paradigm for industrial equipment.
Back in 2010, few people foresaw that the 2010s would see a major shift in business models towards what is now widely known as the “subscription economy”.
There is one underlying reason why these as a service business models thrive: consumers want outcomes, not ownership. And in the 2010s, subscriptions became the dominant model of choice to get rid of that ownership.
We believe that we are at the cusp of a new business model innovation that would disrupt enterprise equipment ownership: equipment as a service – where companies pay for outcomes, not equipment.