WeWork is a chain of Coworking environments (also known as a hot-desk) that offers the following tangible benefits to its members:
- Open floor arranged seating (or standing) desks with high-speed internet access
- Unlimited Coffee and Fruit Water
- Private rooms for phone calls
- Conference rooms
- Game rooms
- Weekly events (workshops, happy hours, etc)
- Discounts and other perks with 250+ partner companies
There are a few intangible benefits of Coworking, as well.
A Coworking space is a community of people.
They all have different skills, and are working on entirely different things. When you are stuck, you can go chat around the coffee machine or in the game room, or even stand up at your desk and say “Hey, does anyone know how to X?” and someone will be there to help.
Having a separate place to work than your home gives you a clear delineation of your work day.
If you are a solopreneur or a small team, it can be lonely working on your project. The act of getting up, going to an office every day and then going home has emotional health benefits that are difficult to quantify, but they do exist.
They legitimize your business
Having an office with a receptionist who answers the phone, signs for packages and shows people who are waiting to meet you to a conference room is much more impressive than meeting someone in a Starbucks, or your living room.
You can keep your own hours
Most Coworking spaces are 24/7. If you are a night owl, you can work then. If you are an early riser, go to it. And you won’t be the only one – chances are, no matter what time of day you want to work, there will be someone else toiling away.
They make you feel a part of something greater
Most of all, when walking into a Coworking space, you feel the entrepreneurial energy of everyone around you. You know that everyone is working on their own things, but they are all there, like you, trying to make the world better.
Their business model is to rent office space cheaply, in desirable business locations, via long-term lease contracts.
It then subleases that space incrementally at higher prices to small companies who don’t mind paying the per-unit premium because they need very little space, and may not have long-term requirements on that space.
This is a form of arbitrage – due to their long-term leases, they are protected from shifts and fluctuations in the real-estate market, and can pass on any other fees to members.
As long as there are business owners who need any of the services provided by WeWork (and there were over 500,000 new small businesses registered last year alone) tangible or intangible, they will be in a good space to create revenue.
Originally Posted: https://www.quora.com/Do-WeWork-customers-get-any-meaningful-value-beyond-office-space-Will-this-value-add-protect-WeWorks-revenues-when-if-real-estate-prices-drop
Originally Posted On: 2016-02-01