StateofIndependence ResearchBrief DigitalNomads

A State Of Independence In America Research Brief
Digital Nomadism: A Rising Trend

The MBO Partners 2018 State of Independence in America “Digital nomads are people
research finds 4.8 million independent workers currently
describe themselves as digital nomads.
who choose to embrace a
In this State of Independence Research Brief, we explore the
rising trend of and interest in digital nomadism, as well as location-independent,
some reasons for its growing popularity.
What are Digital Nomads? technology-enabled lifestyle

Much like independent workers, digital nomads defy a
single definition, choosing to combine working remotely
that allows them to travel and
and travel for various reasons and lengths of time. While
they tend to be younger and male (see Who are the Digital work remotely, anywhere
Nomads? below), all age groups are represented and almost
one-third are female. Most are Full or Part-Time Indepen- in the world.”
dent workers (freelancers, independent contractors, selfem-
ployed, etc.), but some have traditional jobs.
include online video and chat services to connect with
There are digital nomads who travel for years, regularly customers and partners, content creation tools and cloud
moving across countries and continents. Others are storage to build and deliver products, and online services
nomadic for shorter periods, taking “workcations” and such as Airbnb and Google’s ITA Matrix flight finding
working sabbaticals lasting from several weeks to many programs that they turn to for logistical support.
months. Many also never cross a border, choosing instead
In many ways, digital nomads are the leading edge of the
to live and work while exploring a single location or
shift to mobile and distributed work. Workers in general are
country. United by a passion for travel and new adventures,
increasingly working remotely and spending more of their
digital nomads enjoy the ability to work anywhere they can
time away from the office. According to Gallup, 43 percent
connect to the Internet.
of Americans work remotely at least some of the time, and
Technology Enablement and the Growth the share of these workers who work remotely 4-5 days per
week increased from 24 percent in 2012 to 31 percent in
of Remote Work
2017. This broader shift to remote work also means hiring
Digital nomads harness the Internet and a wide variety of firms are familiar with and comfortable hiring remote
digital, cloud-based telework tools to do their work. These workers, even if they’re halfway around the world.
1 © 2018 MBO Partners, Inc. | mbopartners.com

Supported by a Growing Array of Who are the Digital Nomads?
Services Digital nomads are a diverse group in terms of age, gender,
To help digital nomads with their journeys, a growing and income. While they skew young and male, almost
industry is creating products and services to help them one-third (31 percent) are female and over half (54 percent)
navigate the challenges of their work and lifestyle. are older than 38 years old.
These include: Because digital nomads are a mix of full-timers (54 percent)
and part-timers (46 percent) and many only do it for part
• Coworking and co-living spaces of a year, their income from their digital nomad work varies
widely. Over a third (38 percent) report earning less than
catering to digital nomads:
$10,000 per year. But 16 percent, or about 790,000, say they
These spaces provide a place to work, professional earn $75,000 or more.
business infrastructure (including highspeed
Digital nomads work a variety of fields, with the most
Internet), temporary housing, and access to a local
common professions being creative professionals (writers,
community of like-minded people. Roam, for designers, editors, content creators, etc.), IT professionals
example, provides co-living and coworking spaces (programmers, developers, etc.), marketing and commu-
specially designed for digital nomads in a growing nication professionals, and those involved in ecommerce.
number of global locations. The unifying theme of these professions is they can be done
remotely using digital tools and the Internet.
• Online talent marketplaces and
Most digital nomads keep their costs down by working
remote job sites: from places with relatively low costs of living. Yet often
The general online talent marketplaces make it they are serving customers in higher wage labor markets.
easier for digital nomads to find remote work. Combining low-cost living with earning income at the wage
There are also specialized marketplaces, such as rates of higher cost locations, they’re able to take advantage
Estonia’s Jobbatical, that match workers with of “geoartbitrage.” Popularized by the best-selling book The
short-term, global job opportunities. 4-Hour Workweek, geoarbitrage means digital nomads
are better able to fund their travels and, potentially, spend
• Digital nomad tour services: less time working to support themselves and more time
enjoying their adventure.
Companies such as Remote Year and Nomad Cruise
bring together groups of professionals who travel, Independents and Traditional Workers
work, and live remotely for a few weeks to as long
Alike Aspire to be Digital Nomads
as a year. These firms handle all the logistics,
allowing the digital nomad to focus on work and The digital nomad trend has attracted a lot of media
exploring new places. attention as well as a strong following in social media.
Popular digital nomad and #vanlife blogs, videos, and
• Online information sites: Instagram accounts have created a spectator sport inspired
by pictures and stories of faraway places, exotic locations,
These sites provide a wide range of useful data and
and yoga retreats—often with dogs—along a seashore.
information that help digital nomads with their
travels. For example, Nomad List has data on the Most people who follow these sites aspire to become
cost of living, internet speeds, city safety, digital nomads. This is reflected in the survey data. We
walkability, weather, taxes, visas, and a variety of asked Americans with traditional jobs if they planned on
other information of interest to nomads for over becoming digital nomads over the next 2-3 years and 11
1,200 cities around the world. percent said yes, and 27 percent said maybe. This translates
to roughly 17 million people saying yes, and 42 million
Even the auto industry is adding products targeted at people saying maybe.
digital nomads. Both Volkswagen and Nissan have recently
announced new vans targeted at “VanLifers,” the term used Despite their aspirations, most of these people will not
to describe digital nomads who tour around in camper become digital nomads. Instead, they will continue to be
vans. what we call armchair digital nomads, those who follow
the exploits of others instead of becoming digital nomads

themselves. But this data shows the extent of the interest in to do this nomadically, either within the U.S. or by traveling
this work and lifestyle. It also shows the number of digital abroad. Millennials will also continue to flock to this
nomads will likely grow substantially over the next few lifestyle, inspired by the opportunity to pursue their travel
years. interests while working. And older Gen Xers are reaching
the life stage where traveling while working has become
Digital Nomadism Will Continue to more viable.
Expand Changing views towards work will also help drive the
The outlook for digital nomadism is quite positive digital nomad trend. People are looking for more work/life
Continued improvements in mobile and cloud computing balance, and are increasingly valuing experiences, espe-
tools and technologies will lead to greater levels of remote cially travel. At the same time, companies are recognizing
work. An expanding number of specialized services and the need to offer greater levels of work flexibility to attract,
products are making it easier to become and operate as retain, and engage employees.
a digital nomad, and corporations large and small are
This combination of trends leads to an increase in both the
expected to hire more remote workers—both independent
supply and demand for digital nomads, which means more
and traditional—in the coming years.
opportunities for the millions of Americans aspiring to
Demographic trends also support increases in digital become one.
nomadism. Aging Baby Boomers will continue to “unretire”
and work past the traditional retirement age. Many choose

StateofIndependence ResearchBrief DigitalNomads

Uploaded by

Copyright:

Available Formats

StateofIndependence ResearchBrief DigitalNomads

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

StateofIndependence ResearchBrief DigitalNomads

Uploaded by

Copyright:

Available Formats

A State Of Independence In America Research Brief

Digital Nomadism: A Rising Trend

What are Digital Nomads? technology-enabled lifestyle

1 © 2018 MBO Partners, Inc. | mbopartners.com

2 © 2018 MBO Partners, Inc. | mbopartners.com

3 © 2018 MBO Partners, Inc. | mbopartners.com

You might also like