A recent report published by
Infinium Global Research on flexible workspace market provides in-depth
analysis of segments and sub-segments in the global as well as regional
flexible workspace market. The study also highlights the impact of drivers,
restraints, and macro indicators on the global and regional flexible workspace
market over the short term as well as long term. The report is a comprehensive
presentation of trends, forecast and dollar values of the global flexible workspace
market. According to the report, the global flexible workspace market is
projected to grow at a CAGR of 16.4% over the forecast period of 2021-2027,
growing from nearly USD 7.7 billion in 2020 to about USD 22.17 billion in 2027.
The developments in technology and
rapid urbanization are transforming the way of living and working. Commercial
and personal real estate is booming, with the increasing prices of the spaces.
A flexible workspace is an alternative to traditional office space that allows
businesses to save on overheads. Flexible workspace involves a license
agreement instead of a lease. The license agreement is a contract between the
workspace provider and the occupier that offers plenty of options in terms of
committing on a monthly basis or for a fixed term. The workspace providers
offer various plans based on the amount of privacy, and frequency the occupier
requires to work in these spaces. Moreover, flexible workspace offers various
advantages over the traditional workspace, including flexible real estate
costs, wider work setting choices, and operational efficiencies. Several
start-ups are entering the market and developing innovative business models.
This multiplies the growth of the flexible workspace market.
The COVID-19 pandemic has had a
serious impact on many countries and their economies. The pandemic evolved as a
worse crisis than other critical economic, strategic, and political crises
around the world. The outbreak has emerged as one of the greatest risks to
businesses across the world. Government across several countries implemented
strict lockdown restrictions to contain the spread of the infection. Many
businesses had to close their offices and were compelled to adopt remote working
strategies. This, in turn, hampered the market growth of flexible workspace
over the pandemic period. Nevertheless, as the pandemic crisis got under
control, the restrictions were slowly lifted. However, the social distancing
and public hygiene norms were still in place. Several workspace providers
designed their office layout according to the preventive guidelines by the
government. This, in turn, augmented the market growth over the short period
post-pandemic as well as over the long term.
The growing trend of enterprise
mobility is majorly driving the demand for flexible workspace. Several
advertising and media agencies, technology companies, and startups have
generalized the use of mobile devices such as tablets, and laptops. Flexible
workspace offers freedom to enterprise and its employees to design the space
matching the mobility of devices. Furthermore, the wide number of choices
offered by the workspace providers are augmenting the growth of the flexible
workspace market. The workspace providers offer different choices to the
occupiers including memberships, subscriptions, and renting. Compared to the
traditional office space, the flexible workspace can be used for much shorter
durations. However, the growing trend of remote working is likely to hinder the
adoption of flexible workspace. Nevertheless, the emergence of innovative
technologies such as cloud computing, and Infrastructure as a Service (IaaS)
augment the demand for flexible workspace market over the forecast period.
In terms of region, the global
flexible workspace market is segmented into North America, Europe, Asia
Pacific, and RoW. North America accounted for the largest market share among
the region in the global flexible workspace market mainly due to the presence
of a large consumer base and the increasing adoption of cloud and enterprise
mobility in various organizations. Moreover, the presence of several major
market players in the North American region holding a huge share in the market
favors the growth of the flexible workspace market. On the other hand, Asia
Pacific is expected to grow with the highest CAGR over the forecasted period.
The growth is majorly attributed to the growing demand for cost-efficient
office spaces and the increasing presence of several market incumbents.
The report on global flexible
workspace market covers segments such as type, and end user. On the basis of
type, the sub-markets include dedicated desk, hot desk, private office, virtual
office, and others. On the basis of end user, the sub-markets include BFSI, IT and
telecommunications, media and entertainment, and others.
The report provides profiles of
the companies in the market such as Awfis Space Solutions Pvt Ltd, Bizspace
Limited, Alley NYC LLC, Croissant, Inc., Davinci Virtual, LLC, WeWork Companies
Inc, Servcorp Limited, JustCo Group, Garage Holdings Limited, and IWG plc.
The report provides deep insights
into the demand forecasts, market trends, and micro and macro indicators. In
addition, this report provides insights into the factors that are driving and
restraining the growth in this market. Moreover, The IGR-Growth Matrix analysis
given in the report brings an insight into the investment areas that existing
or new market players can consider. The report provides insights into the
market using analytical tools such as Porter's five forces analysis and DRO
analysis of flexible workspace market. Moreover, the study highlights current
market trends and provides forecast from 2021-2027. We also have highlighted
future trends in the market that will affect the demand during the forecast
period. Moreover, the competitive analysis given in each regional market brings
an insight into the market share of the leading players.