From Guest Blogger Alec Holland: The Barter Economy Grows Globally to Include Astonishing Concepts

Bartering Gains Increasing Acceptance

Bartering, meaning the practice of people and companies trading goods, is a concept that has been around for centuries. Recently, Internet communications have added a new spin to the classic practice. Niche markets and large-scale bartering websites make it possible to find partners for the most unusual trading proposals. The materialistic nature of society generates lots of consumer goods, so many people want to upgrade to the latest models, exchange gifts and receive value for items that they might have outgrown.

The economic downturn of 2008 caused marketing experts to explore bartering possibilities. Average household incomes fell 4.8 percent between 2000 and 2009, so people began to look for new ways to get goods without spending cash. Bartering sites grew exponentially, and special sites help you trade real estate, vacations, office spaces, clothes, construction services and more. Here are some of the top bartering websites:

1. Bartercard brings the conveniences of credit and debit cards to bartering arrangements. Consumers who establish barter credit can use their Bartercards to pay for services at more than 75,000 businesses throughout the world.

2. Trade School New York has become a big hit because the project helps people trade their knowledge to reduce the high costs of getting educations. Three entrepreneurs from Manhattan developed the concept, and trade schools have started in many cities.

3. Craigslist, the free online classified-advertising website, has become so popular and effective that businesses and consumers no longer advertise in their local newspaper classified sections. Traffic on the site’s bartering boards increases steadily each month. People can make unusual offers, such as trading a painting service for a laptop computer, and find people who are willing to make the trade in real-time.

4. Home Exchange, a membership site, helps people find free places to stay when traveling or make long-term home or apartment trades while going to school, fulfilling temporary job assignments or taking extended vacations.

5. SwapStyle allows the worldwide community to swap fashions, accessories, shoes, cosmetics and gadgets.

6. BabysitterExchange, a cooperative site for members, helps parents to cut the costs of hiring sitters by providing babysitting services in trading arrangements.

7. IMS Barter, a business-based bartering service, helps companies buy and sell products through bartering deals. The membership roster includes more than 16,000 trade organizations, making the network the largest in North America for business bartering.

Bartering Systems Offer Sales and Marketing Advantages
The Internet has breathed new life into the concept of swap meets and neighborhood trading of goods, but businesses have adopted bartering in record numbers. Small businesses face reduced sales during slow economic periods, but bartering forums provide willing buyers to move your excess inventory. You can convert bartering clients into cash customers by offering accessories, upgrades, service agreements and complementary technologies.

• Spend bartering credit as quickly as possible because these companies could go out of business.
• Don’t tie up too many resources in bartering transactions because you still need to pay your rent and utility bills.
• Use your bartering efforts to increase marketing exposure so that you receive added benefits from your trades.
• Remember that the IRS makes no distinction between bartered dollars and cash or credit sales. The government requires that you pay taxes on barter income, so make your plans accordingly.

Bartering brings in new business opportunities that you would never have found in the course of normal operations, but you don’t want to make offers unless you have unsold goods or time to spare.
International Bartering Sites Become Increasingly Common
Business bartering sites have proliferated in all countries, and easy global marketing makes having credit with foreign companies attractive to many businesses and consumers. You can find local, regional, national and international bartering sites and niche markets and even trade for psychiatric services in the barter economy.

Try to exercise some restraint when bartering and avoid buying items that you don’t need. The best barters are for those items that you would normally buy with cash, but you could use it to get some luxury items. Use bartering as an economic, business and personal tool, like a credit card, and don’t get carried away by temptation.

Resources:

Bartercard:
http://www.time.com/time/magazine/article/0%2C9171%2C1931665%2C00.html

Trade School:
http://www.tradeschool.coop/newyork/classhttp://www.shareable.net/blog/barter-based-school-goes-global

Bartering and Swapping Websites:
http://www.moneycrashers.com/best-bartering-swapping-websites

Plan or Perish:
http://www.planorperish.com/?p=1374

The Socialcritic.net:
http://www.socialcritic.net/bartering-goods-and-services/

International Bartering:
https://www.imsbarter.com/about-ims-barter
http://www.barternews.com/worldtrade.htm

Guest Author Profile: Alec Holland writes for HealthyLawns.net, a lawn and garden resource for homeowners. He is also an avid gardening coach and enjoys helping new homeowners become confident gardeners.