20 Jan 2025

Livelihoods in a digital world


Coming iterations of the gig economy can be more secure, more inclusive more sustainable

Almost three billion people ordered groceries or meals last year from online food delivery platforms – orders delivered by the hard-working entrepreneurs of a burgeoning gig economy.

Asia is the dominant gig economy: the regional food delivery market last year spanned 1.84 billion users, well ahead of the closest runner-up, Europe, with 355 million. In India, the gig economy generates income for 1.5% of the workforce. The country expects 23.5 million gig workers by the end of this decade, treble the 2021 tally of 7.7 million.

The digital platforms that created this phenomenon are an important conduit for new entrants to the formal economy – a catalyst for opportunity and societal change. Since 2017, turnover in the global food delivery has trebled to more than US$ 150 billion.

In Davos this week, we will host some of the companies that created this new digital ecosystem. Moderated by Isabelle Leilaert from the World Economic Forum, our session will convene Yew Heng Lim from Grab, Lucas Pittioni of iFood, and Samuel Laurinkari from Wold/DoorDash to how work in the gig economy can be more secure, more inclusive and more sustainable.

Forecasts predict more brisk growth and a spate of industry consolidation ahead, as digital platforms transform how we consume, socialise and work. The convenience and connectivity that we now take for granted have radically extended access to goods and services. Their impact on labour markets is similarly huge.

Barriers to entry are often low. Gig workers typically are self-employed as independent contractors. Research shows that autonomy and flexibility are highly prized by workers – and not least by demographic groups routinely marginalised from conventional forms of work.

The emerging patterns of opportunity from the gig economy are clear from my own personal experience. As a student at Delhi University, I earned my first income from door-to-door marketing. Combining day work with academic study, I learned to be financially independent – to engage diverse groups of people, to understand, sell, plan, pivot, and deliver results.

While daily wage labour has been with us for centuries, these new digital concepts fit awkwardly into traditional labour frameworks. New forms of work pose a challenge to regulators and business alike.

Our new report, Livelihoods in a digital world, explores what the best digital platforms can do to roll out workers’ benefits such as insurance cover, education and training.

Now is the time for coordinated action: on pay, social protection, fair working conditions, while preserving the core competitive advantage of flexibility on which these new business models are built.

Read the report here.

Written by Prajna Khanna, Global Head of Sustainability, Prosus Group


About Prosus

Prosus is a global consumer internet group and one of the largest technology investors in the world.

Operating and investing globally in markets with long-term growth potential, Prosus builds leading consumer internet companies that empower people and enrich communities.

The group is focused on building meaningful businesses in the online classifieds, food delivery, payments and fintech, and education technology sectors.

Through the Prosus Ventures team, the group invests in new technology growth opportunities within logistics, fintech, health, blockchain, social and ecommerce platforms, agriculture and more.

The team actively backs exceptional entrepreneurs who are using technology to improve people’s everyday lives.

Each month, more than 2 billion customers across the globe use the products and services of companies that Prosus has invested in, acquired or built. To find out more, please visit www.prosus.com