WeWork, American coworking giant, provides workspaces and corporate services to freelancers, startups, self-employed workers and businesses all over the word.
Its success secret can be explained by its positioning and its added value. Contrary to its competitors, WeWork doesn’t define itself as a service company, but much more as a Tech’ one. Indeed, it doesn’t just rent shared workspaces, but has also developed a community platform whereby entrepreneurs are “connected”. Hence, Wework tend to be a global network of workspaces where companies and people grow together.
Since few years, coworking has become a global phenomenon. Born about 15 years ago in the United States with the emergence of teleworking and nomadism, this solution has become trendy. In this context, Wework creates a new work ecosystem that stimulates creativity, focus and encounters. The company transforms buildings into pleasant, functional and collaborative workspaces in which people and companies benefit of services designed to improve their comfort at work.
With a high density of tenants (one station for 5 square meters), the interior of a WeWork building looks like a large hive. High-speed WiFi, meeting rooms, free drinks, printers and free office supplies — everything is designed to allow members to focus on their business. Here, unlike what happens in a regular office, the focus is on events: during the same day, you can participate in a hackathon, then attend to a media conference before, in the evening, to sip cocktails offered by a trendy bar with other residents. WeWork is as much a workspace as a networking place to meet partners and customers.
Members of WeWork Collaborative Spaces pay a monthly subscription that gives them access to all WeWork physical spaces in the world, network events and services included internet, printers, office supplies, reception, etc.. But if this solution has allured consumers is mainly because it offers a cost saving as compared to traditional offices. This tariff advantage responds to a double problem: the increase of the price per square meter and the rigidity of leases.
A impressive growth … that is not about to subside
Since WeWork has been launched in 2010 in Ney York with the ambition to revolutionize the way of working, it has known a phenomenal growth.
Last year its value was estimated at 17 billion of dollars and it hosted 100 000 members. Now the company accounts more than 200 workspaces in 22 different countries and approximately 250 000 members. The last valuation was set at 20 billion of dollar.
The US giant of coworking seeks to raise funds to boost its international expansion, especially in China and Southeast Asia. According to an executive of SoftBank, Wework valuation could reach $ 35 billion. Such a valuation would place the company above unicorns like Airbnb and SpaceX, respectively valued at $ 29.3 billion and $ 21.5 billion.
This impressive growth is not likely to subside in the coming years if we look at the prospect for the business development.
In the calendar of 2019, WeWork plans to inaugurate 200 new spaces and reach the total amount of 400 offices in 83 cities and 27 countries. Thus, they forecast to double the number of members.
But that is not all… In addition to expend considerably its main activity, WeWork is also diversifying its field of intervention. Last year, WeWork expanded into co-living with WeLive.
The concept is to offer “all inclusive” flats sharing providing several services such as internet connection or cleaning services. The company target a specific consumers segment: the coworkers already present in Wework co-working.
Moreover, it also proposes to businesses wishing to be accompanied in the organization of their space, to integrate in their own premise the WeWork operation system and its community managers.
The sharing economy have the wind in its sails and more and more of new forms of work and shared spaces are emerging. Just as WeWork has changed the way people work through its philosophy of shared space, WeLive offers an alternative to the way people live. We are eager to see what’s next and how our way of life is susceptible to evolve …