The Growth in Popularity of WeWork and Similar Coworking Formats

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The Growth in Popularity of WeWork and Similar Coworking Formats
In 2017, around 15,500 coworking spaces worldwide were developed, and by the end of 2018, the number is increased to 19,000. The Asia Pacific has the highest coworking spaces, with around 3975 spaces in India. WeWork is the most recognized name in coworking spaces with over $20 billion value. It has placed in over 18 countries, including top cities like New York City, London, Mumbai, Tokyo, and others (Bee Breeders). Currently, there are over 23,500 coworking spaces worldwide, with an average number of members of 185 and a total share of buildings of 20%.
Figure 1: Market Overview
[(Statista (a)]
The statistics of growth in popularity of WeWork and similar coworking formats are impressive. WeWork, founded in 2010, has more than 5,000 employees and a valuation of more than $20 billion. Worldwide, coworking spaces have grown from 1,000 in 2010 to almost 14,000 in 2017. The industry is expected to grow to $36 billion by 2022. So, what is driving this growth? There are several factors. One reason is that coworking spaces provide a unique environment for entrepreneurs and businesses to collaborate. They also offer an affordable, flexible workspace with the added benefit of access to resources and support from other community members (Molla). In addition, WeWork has developed an extensive network of partners that includes world-renowned brands such as Amazon, Google, and Starbucks.
Figure 2: Coworking Spaces
Source: [(Statista (b)]
Partnerships allow businesses like WeWork and other businesses to promote their services globally and provide their members with access to valuable resources and support. Overall, these statistics demonstrate the growth and popularity of coworking spaces. They offer a unique environment for entrepreneurs and businesses to collaborate, be affordable, and access resources and support from other community members (Perry). As the industry grows, WeWork will likely continue to lead the way in popularity and innovation.
The markets have an increased demand for a flexible workspace where the supply growth rate was increased over 21% in 2021. The rate has almost been doubled since 2017 to 86 million square feet. 67% of CRE decision-makers rely on mobility programs, a central element for agile working strategies. 86% of respondents rely on flexible office spaces for future real estate strategies. The projected lease flexibility is expected to be increased to over 90% in the coming future. It is expected that coworking spaces will be doubled in the next five years in the coming five years. 54.9% of the respondents said that they were not aware of the concept of coworking space and remote working before the pandemic (Jose).
40% of people prefer working in coffee shops and coworking spaces; the supply chain of coworking space is increased to 4% in the UK despite the increased pandemic. 90% of LATAM operators believe that they will start relying on coworking spaces in the coming 12 months. Inner cities are the most demanded increased demand for coworking space, i.e., 52% of the demand. 43% of people prefer working in a company-provided location near their homes (Jose). Figure 3 shows that most cowork...