The coworking market continues to grow and members are valuing the workspaces available to them based on how well they fit their needs. There are some key strategies for optimizing your coworking memberships and products to cater for a wide variety of members whilst ensuring financial growth for your workspace.
In this article:
Virtual Offices are one of the most resource-friendly sources of revenue for the shared workspace market.
The basics of a virtual office entail giving a member a professional business address that they can call their ‘basecamp,’ but one where they don’t often utilize the space. With 88% of coworking operators already offering virtual office products. it’s important to make sure that you’re also utilizing this pain-free and straightforward source of steady revenue.
Even in a coworking environment, some will still have times when they’ll require some peace and privacy to work on larger more demanding projects and so, a strong private office offering of varied office sizes for your members can be a key revenue generator throughout the year.
Additionally, as private offices will be leaning towards the more expensive products on offer at your workspace, it’s vital to ensure these spaces are being used as much as possible. Vacant space means money left on the table and an obstacle to financial growth.
Long-term Flexible Coworking Memberships
As the coworking market grows so does the variety of memberships available and the importance of offering variety to your customers.
The importance of these memberships is twofold. For one, it’s important to make sure that your customers can choose packages that work for them. Second, it’s vital to ensure that these memberships and products are high value and long lasting to provide a strong return on investment and financial growth from each customer that enters your workspace, particularly on your private office or dedicated desk packages.
Short-term Flexible Coworking Memberships
A way some industry leaders create flexibility in membership packages is to offer rolling contracts. For smaller companies and startups, a long-term contract won’t be a dynamic enough solution while they’re business growth and forecasts remain unpredictable.
It’s optimal to move members on these contracts to your hot-desk or dedicated desk areas, saving your best spaces for members on longer contracts. However, it would be practical to allow rolling contract members to scale up at a premium for short periods of time while you have vacant offices.
On-Demand Coworking Memberships
If you have pay-as-you-go products and packages, you open your workspace to even more potential customers. This allows even small startups to tailor a more modest membership in which they can purchase a desk for a day, individual day passes or meeting space for a few hours.
Though pay-as-you-go memberships might not be a large revenue generator, they should still be offered to deliver maximum flexibility and the opportunity to fill empty desks and workspaces. In this way, you minimize lost revenue and in time bring pay-as-you-go members in under longer contracts.
Hot-desks are a vital part of the coworking experience and should be included as a product. Don’t count on them raking in large amounts of revenue, but they will bring people in the door giving you the opportunity to up and cross-sell other services and spaces where possible. Hot-desks as a product should be available to members on pay-as-you-go schemes or those using day and community passes.
Unless you’re dealing with very high-value memberships and contracts, the majority of coworking memberships and packages will come with ‘tokens’ or ‘credits’ which can be spent on facilities or amenities within your workspace. Additionally, enabling members to purchase more credits via your member portal or at a point of sale system to suit their needs provides you with a steady source of income that bolsters financial growth.
In an increasingly competitive market, some of the most successful players in the coworking market are looking creatively at their spaces to identify desirable products for their members.
a. Monetize Large Common Spaces
If you have large areas, make sure they’re available to rent out for professional, training or social events. You can also open up your space to community events and invite tenants from other buildings. This also ties in nicely with offering community passes to your members which can allow them access to events happening in your different locations.
b. Customized Space for Corporates
Maximize the benefit of large spaces by appealing to corporate customers. With huge players such as Microsoft, IBM and Verizon making the move to coworking, having fully customizable floors and areas can allow for long lasting and high-value contracts. Enable these tenants with a workspace platform in which they can tailor their digital community and consume space and services such as meeting rooms or events.
Managing Products and Plans for Growth
Industry-leading developers are making the most of their space assets to deliver product plans and membership options that suit the needs of a dynamic workforce. The key takeaway is to ensure that you maintain a good balance between your long-term memberships and products and more flexible or on-demand membership and products offering. Ensure your workspace is appealing to as wide a membership base as possible to capture as much potential revenue and maintain the strong financial growth of your workspace.
Join the world's leading coworking spaces
Get free industry insights and resources delivered directly to your inbox.