Flexible workspace in the Asia-Pacific region - statistics & facts
Flexible offices have fast become a global trend, with a steadily increasing number of flexible workspaces operating around the world. Coworking spaces provide efficient, shared workspaces that can be rented by companies or individuals. The Asia-Pacific region has stood out globally as having displayed a strong enthusiasm for flexible workspaces spaces, as the region alone accounted for over one-third of all the available coworking spaces worldwide. Hong Kong ranked first in the leading cities providing flexible office spaces across the Asia-Pacific region, followed by Shanghai, Tokyo, and Melbourne.
The emerging trend of digital nomads has also created the need for more flexible workspaces, as people all over the world are choosing to travel while working remotely. While freelancers previously accounted for a bigger share of flexible workspace users, gradually, employers and employees have started to join this movement of working in shared office spaces. Figures have indicated that leading industries using coworking spaces in China were digital sectors. Overall, flexible workspaces have gained popularity among corporations for a variety of factors. The main reasons given for choosing coworking spaces in China were the convenient setup, low costs as well as good working environment.
The success of coworking spaces has, however, been interrupted by the unexpected outbreak of the coronavirus, which spread throughout the Asia-Pacific region. The implementation of home office has impacted the flexible office industry greatly, as many of these communal workspaces have been left abandoned. Despite the adverse effects the outbreak of COVID-19 has had on the coworking industry, it is probable that the market will recover once normality is reinstated and citizens are working in offices once more.
Leading service providers
Undeniably, flexible workspace operator IWG, formerly Regus, is among the most successful operators in the coworking space market. However, the European coworking provider shares the market with strong-performing domestic flexible workspace operators in the Asia-Pacific region. Major names include Ucommune, Kr Space, and My Dream Plus. While larger international operators try to stay competitive through mergers and acquisitions with coworking space providers in the region, domestic independent companies intend to increase their market share by teaming up with one another.Why are people choosing coworking spaces?
A vital factor that attracts many businesses to operate in coworking spaces are the economical prices. Flexible offices are known for their famously lower rental prices compared to conventional offices. Cities across the Asia-Pacific region, such as Tokyo, Hong Kong, and Singapore, who are famed for their astronomically high real estate markets have accommodated and provided space for flexible office centers. Flexible workspaces have also benefitted startup businesses greatly. Naturally, the uncertain nature of startups means that startup businesses are less enthusiastic to commit to long-term rental contracts for traditional office spaces. Thus, coworking spaces have adapted to the needs of startups and offer efficient workspaces without the pressure of a long-term, contractual agreement.The emerging trend of digital nomads has also created the need for more flexible workspaces, as people all over the world are choosing to travel while working remotely. While freelancers previously accounted for a bigger share of flexible workspace users, gradually, employers and employees have started to join this movement of working in shared office spaces. Figures have indicated that leading industries using coworking spaces in China were digital sectors. Overall, flexible workspaces have gained popularity among corporations for a variety of factors. The main reasons given for choosing coworking spaces in China were the convenient setup, low costs as well as good working environment.
The success of coworking spaces has, however, been interrupted by the unexpected outbreak of the coronavirus, which spread throughout the Asia-Pacific region. The implementation of home office has impacted the flexible office industry greatly, as many of these communal workspaces have been left abandoned. Despite the adverse effects the outbreak of COVID-19 has had on the coworking industry, it is probable that the market will recover once normality is reinstated and citizens are working in offices once more.
