Due to the global economic slowdown triggered by the coronavirus pandemic, the coworking spaces market across the globe is anticipated to decline to $8.24 billion in 2020 from $9.27 billion in the previous year. However, all hope isn’t lost as the market is expected to recover and touch the $11.52-billion mark in 2023 at a CAGR of 11.8%. As COVID-19 is set to help the coworking spaces market emerge stronger, let’s take a look at the coworking spaces trends 2020 that will define today’s coworking industry and indicate what the future may hold for it.

Rise of multi-location operators

According to IWG, 42.5% of the worldwide workforce, or 1.87 billion people will be remote workers by 2022. Coworking space operators will try to meet this high demand by planning multi-location shared offices. Usually, people have a tendency to choose coworking spaces with more than one location within a city as it gives them more flexibility and choices to work at any of them depending on what suits them the best.

For businessmen and frequent travelers, coworking spaces with multi-city locations or global membership passes are preferable than one with a single location. Thus, the rise of coworking spaces having their presence across multiple locations – often in different cities within a country or across different parts of the world, would be one of the coworking spaces trends 2020 to look out for.

Growing popularity of environment-friendly and sustainable coworking spaces

To attract environment-conscious people, a growing number of eco-friendly measures will be implemented in 2020 and beyond to develop sustainable coworking spaces. Some coworking spaces have already implemented such measures that are economically feasible and bring certain benefits for the coworkers.  For instance, Hong Kong-based CoCoon uses LED lights, non-toxic paints, drought-resistant plants as part of its interior and exterior décor, and has a floor built of natural bamboo. Denver-based Green Spaces is another sustainable coworking space that has more than 160 solar panels on its roof to offset almost 100% energy use by its members. The development of eco-friendly and sustainable coworking spaces is one of the top trends of coworking spaces 2020. More and more shared offices would start going green with steps like shutting off the AC/lights/fans in unoccupied rooms, using reusable cups and plates, not printing/copying unnecessary documents, using natural cleaning supplies, etc. as greener working spaces emerge as the future of coworking. 

Focusing on delivering a positive overall humane and better experience

Humane experience at the workplace refers to how empowered, engaged, motivated, and fulfilled employees feel. Coworking spaces are increasingly blending small and big steps to ensure they deliver a positive human experience to their members, which is one of the key coworking spaces trends 2020. Some small steps focused on delivering a better human experience are a fully stocked pantry with microwave and fridge, running yoga/meditation/gym sessions to encourage health and well-being, or creating a welcoming setting with natural elements like plants and water. Some of the bigger steps like running startup accelerators and incubators or hosting educational webinars, mentorship programs, social and networking events, and fun activities, among others. The goal is to create coworking spaces where people are more productive and feel content, motivated, and happy.

Rise of niche coworking spaces

A rising trend is the emergence of niche coworking spaces that are designed to attract a particular segment of clients, who could be women, developers and coders, artists, photographers and film makers, or entrepreneurs working in the field of pet supplies, among others.

Based on who their target clientele is, these coworking spaces offer specific facilities that those targeted professionals may need. For instance, women may sometimes feel like outsiders in standard coworking spaces dominated by men. But they could feel more at ease in women-only coworking spaces where facilities like childcare, lactation rooms, beauty rooms, salon, kids’ play zone, etc. are on offer to meet their needs.

Use of IoT and modern technology

One of the significant trends of coworking spaces 2020 is the emphasis on using modern technology like IoT, automation, and others to reduce hassles and human interference while ensuring that things proceed smoothly. The focus on technology has encouraged the transformation of shared offices into more dynamic and interactive spaces that encourage flexibility, proper resource use, and enhanced productivity. For example, IoT-connected appliances such as LED lights and fans in a meeting room that get shut off as soon as the space becomes unoccupied can help in optimal resource utilization and energy conservation. Other uses of automation and modern technology include online booking system with synchronized booking calendars, automated invoices, access cards, coworking space management software, time trackers, and attendance system, among others.

Maximization of profit

Since the franchise model is a quick way to scale up a coworking space business, many players will be leveraging it in 2020 and even beyond to maximize their profit. Expanding the spectrum of services on offer by striking a partnership with digital marketing, legal, software, or accounting companies is another way to offer coworking space members such services at discounted prices and boost the revenue. Those looking to optimize their profit from coworking spaces would even increasingly start using the hybrid model. This trend refers to offering “drop-in” spaces in restaurants, hotels, entertainment zones, and stores. Thus, in case you have a restaurant with live entertainment facility at night, you could easily transform it into a shared office space in the daytime with membership benefits such as free unlimited tea/coffee, discounted prices for lunch and some special items, etc.

Conclusion

Since 2005, coworking spaces have been around. In a changing world where WFH (work from home) is becoming the norm and big organizations are predicting a decrease in office workers while encouraging remote workers in their ranks, coworking spaces are set to strengthen their market share. Though trends of coworking spaces 2020 may vary based on location or from time to time, the above-mentioned ones are those few that are shaping the industry’s future. So, look out for them!