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Differentiation: the development trend of joint office space

Differentiation: the development trend of joint office space

2022-09-09

 

 

 

Operators of joint office space always claim that their offices are very distinctive, pointing out that

the office is not only a workplace but also a space for community and culture. In fact, for a variety

of reasons, joint offices give people the same impression in terms of space planning and operation

management.

 

                                                   Why are the joint offices space always the same?

At present, less than 5% of the world's office space is used for joint offices, and others are either

traditional leasing or fully owned by owners. Office space users can only compare and choose

between traditional office space leasing and joint office space settlement.

 

For this reason, the major joint office operators tend to focus their marketing on functions that cannot

be provided by traditional leasing, such as flexible terms, sharing modes and different office experiences.

It seems inconceivable that every  operator publicizes the same function with the same words, but this

is a necessary step in the initial stage of joint office. After all, operators should first guide the market

to distinguish the difference between joint office and traditional leasing, and attract them to choose

joint office.

 

 

 

 

Since 2010, the average annual growth rate of joint office has reached 23%, and the market is in

explosive growth. In this case, we all think that operators will strengthen their differences, but

until now, most of them have not done so.

 

When the demand is strong, everyone's business is good. In this case, the differences between

them are not so important. As a result, it is easy for operators to forget the immaturity and

challenges of the joint office industry and immerse themselves in their "good days".

 

In addition, this is a low-threshold industry, with many small companies and no more than 10 large

operators worldwide. Many small companies do not even have a complete management team, let

alone a professional marketing team. The marketing of these companies is accomplished through

agents. A senior manager may be responsible for marketing, sales, finance, and other businesses.

Therefore, it is not surprising that many small companies lack marketing innovation.

 

Large companies lead the market trend, while small companies follow the trend. As a result, all

kinds of joint offices are similar. It is difficult for consumers to find out their differences. Without

an in-depth understanding, it is impossible to distinguish the fields and cultures involved in a company. 

 

 

Joint office space needs innovation and change

 

 

 

At present, the main competitor of joint office space is still traditional leasing. However, we have

seen that in London, New York, Berlin, even Thailand, and other places, the competition for joint

office has become very fierce. Operators began to make efforts towards differentiation, many of

which are very distinctive. For example, Riveter in Seattle, the United States, provides services for

women' s rights and women' s health; The Naplab joint office space in Thailand provides users with

space to take a nap.  

 

More operators try to shift their marketing focus from the common space characteristics of joint

office to interests and value propositions. They no longer focus on studying WiFi, communities,

shared facilities, etc., but focus on how to serve target customers, improve their satisfaction, and

let them work in the joint office space with ease.

 

 

 

 

Over time, operators have also put forward more distinctive value propositions. They have added

some new functions that can bring value, including nanny and childcare services, on-site company

registration services, and cooperation with banks to provide small business loans. As a part of

differentiated services, the new space design concept continuously improves workplace conditions

and is popular with young consumers.

 

With the development of the industry, it is believed that some operators will achieve vigorous development

by building strong brand assets, and can attract new users with their own popularity. But constant

innovation and change are still required. Basically, The value of real differentiation of joint office is

reflected not only in the competition with the traditional rental market, but also in the competition

with peers.