The recently published results of the annual survey conducted by Deskmag again proves that Coworking is the way to work. A major spate in start-ups and in recruiting of freelancers has resulted in a spike in demand for coworking spaces. Apart from providing economy of space, they also aim at fulfilling certain necessary criteria associated with an office space. Team Kowrk elucidates some of the major findings provided by Deskmag in this article series.
1.Coworking market growing by leaps and bounds:
Hardly five years back in 2011, approximately 1,000 coworking places existed worldwide. In comparison there were ~11K spaces in 2016 and this year, as per the survey reports, one can expect to see opening of another 2,500 new places in current year, a straight 22% increase in the already existing scenario. This increased supply is an indication of ever growing demand of shared workspaces across the world.
As coworking is adopted by professionals from different fields and countries, there is a huge rise in the number of people using coworking spaces. Whereas, less than 50K people availed the facilities of coworking places in 2011, the survey predicts that a whopping 1.2M people will reap the benefits of coworking places in the year 2017 (41% YoY growth in number of people joining the coworking wagon).
2.Additional facilities that make a place popular:
When a coworking place offers something extra, rather than only working space, then its popularity quotient straightaway increases. As per the survey results, 4 out 5 felt that their coworking space was more than just a coworking place for them. Being able to use the work space as an event venue is seen as an additional benefit by 75% of the respondents. Around one-third users see that the ability to use the space’s address as their business address as a great value addition. For 25% of the users the coffee shop at the premises is what made their coworking space extra special. This explains the increasing number of coworking cafés sprouting in different cities.
Casual and trendy coworking spaces are blooming everywhere. When asked to describe the culture of their coworking space, 60% of the users found the atmosphere as casual and 24% found it to be hip and trendy. However, at some places people prefer a more professional culture. As close to 20% respondents say that their space has a business feel to it.
As coworking industry matures with increased demand, more and more coworking spaces are becoming profitable – 2 out of every 5 space is now able to generate profits (a 5% YoY increase from 2015). Demand and supply equation plays an important role in this. ~85% of the coworking spaces feel that there isn’t much competition in their region. Thus enabling them in trying out different price and amenities models.
The popularity as well as the profitability of coworking spaces can be further gauged by the fact that 2 out of every 3 coworking space owner is likely to add at least one more extension to their current space. Whereas ~40% intend to open additional locations, another ~40% intend to expand by moving to larger location or increasing their current capacity and offerings. A brighter outlook on the utilization and growth is forecast for coworking spaces with ~80% owners expecting to see a rise in their income. What the spaces are doing is definitely working well as almost two-third of existing users don’t have any intentions of moving to a new place.
The road ahead is definitely filled with myriad opportunities. The survey results of Deskmag lay credence to that fact. If you aren’t already a part of the coworking gamut then the time to be a part of this winning philosophy is now and if you need to find suitable coworking places near your location then let Kowrk.com do the work for you.
Continue with the Part 2 of the series.Team Kowrk's analysis of Global #coworking survey results #futureofwork Click To Tweet