With the lingering effects of the Covid pandemic and the recovering global economy, the co-working space model is getting more and more popular and is now filling the needs of many companies across the whole region.
Because of the Covid pandemic, co-working space has become a favorite choice of many businesses in Vietnam. According to the recent IDC report, “The future of the office: shared spaces for large corporations (from a Southeast Asian perspective)”, up to 80% of Vietnamese enterprises have decided on co-working space in the next 1-3 years. This is reasonable, as 90% of the Vietnamese market consists of small and medium enterprises (SMEs), and the number of youths (under 34 years old) accounts for 30% to the total population. This is a group of customers who will choose co-working space over long-term office rental.
Not only startups or small and medium enterprises, large businesses are gradually turning to co-working spaces. FPT Software is currently hiring co-working space offices to meet the needs of the company’s staff development with more than 15,000 employees (by the end of 2018). Government agencies such as ProChile (Trade Commission of the Ministry of Foreign Affairs of Chile ) also choose to rent co-working offices.
We live in a world where work-life-balance plays an important role. The shared workspace model is preferred and includes many features that we seek as workers and employers.
Cost optimization with many available utilities: Co-working space provides enterprises with a fully managed office at reasonable cost. Operational cost, cost of setting up a new office, or stationary costs are significantly reduced.
Centralized location: Offices are normally centrally located and easy to reach customers.
Networking opportunities – Promoting business: Create a network among companies. People from different backgrounds and industries meet, exchange, support each other more and expand the network easier. This connection helps us come up with many ideas as well as helps to expand business and research the market.
Spacious and modernly designed office with opening views: In recent years, the design and furniture for the office world have been gaining great attention, especially for the Z Millennials gen generation. According to a survey conducted by IDC, 93% of businesses recognize the importance of workspaces for young people. Modern design, open working space with broader view, is one of the important factors to attract young and talented human resources. Above all, the dynamic workspace helps increase productivity.
Interior design of Regus shared office in Ho Chi Minh City, Vietnam
The model of shared office space is set to increase by 30% per annum for the next five years, according to property company Jones Lang LaSalle (JLL). Vietnam’s co-working space playground is therefore full of competition and attracts international investors. However, most Vietnamese businesses currently focus on “space” rather than “co-working”, which only provides enterprises with workspace for rent. The “standard” co-working space model in Vietnam is mainly under the management of international businesses such as IWG, an international co-working space corporation with over 30 years of experience in this industry.
To increase the competitiveness and meet the increasingly demanding market, international corporations have entered the race to “upgrade” their products and associated services:
The true “co-working” space: not only a workplace, but also a working space. Services include private offices, flexible / fixed workplaces for enterprises, co-working places, etc. Corporations have upgraded the “co-working” criterion by designing a modern, airy working space, creating opportunities for cooperation as well as expanding networking among businesses.
Chain of attached services: Many businesses and corporations provide bundled service packages such as office design, management consulting, and finance. In Vietnam, Regus, a subsidiary of IWG Group, is a perfect solution for businesses looking for both a workspace and meeting space in the same building.
“Virtual” office: The Covid pandemic has driven a new era – digitalization. The “virtual” office is a part of that trend. High-end services from co-working space such as “business lounge” or 24/7 customer service system help businesses operate optimally as well as recover quickly from the crisis.
“During times of economic hardships, it is not unusual for the masses to invest their time and money into concepts that are known to be tried and true,” says Darin Harris, the CEO of IWG brand Regus in America. The co-working space market will still develop and become a priority choice for enterprises.
Here are some photos of IWG co-working space offices:
VF Franchise Consulting