Will Coworking Spaces survive the COVID-19 pandemic?
This is perhaps the most important question for startups, entrepreneurs, and most likely SME businesses to come, as most of them are greatly affected and barely surviving the pandemic diseases.
Following the implementation of movement restriction order or circuit breaker by respective countries and governments, any form of mass gathering, or in this case – gathering to work is strictly prohibited. As a result, coworking spaces are now “virtually empty” and it could last for months.
So, the million-dollar question, can they survive? Well, it turns out that coworking spaces will not falter after the crisis, and here are the reasons why.
Reason 1: Cost Saving
A common understanding of coworking spaces is mostly occupied by startup businesses, entrepreneurs, and remote workers. However, as the pandemic goes, most small & medium enterprise (SME) businesses are greatly affected by it, and possibly joining in the cause.
Not all businesses could provide solutions through work from home. Most of them facing cost reduction, or worst comes to worst – bankruptcy. The common phenomenon is that companies opt-out of renting offices for their businesses. However, they still need a workplace. Coworking spaces can be their solution.
Coworking spaces and co-sharing offices can help these SME businesses to continue running with a designated workplace. Though coworking spaces, SME business could achieve cost saving through utilizing funds on other necessary departments, other than office rentals.
Reason 2: Gathering Minds of The ‘New Normal’
Have you noticed the consumer behavioral change over the span of the pandemic disease? A significant example would be online purchasing. According to a special survey conducted by the Department of Statistics Malaysia from March 23 to 31, 2020, almost half (48%) of Malaysians say they buy things online more now compared to a month ago (32%).
Whether you like it or not, these changes are likely to maintain even after the pandemic ceased. This is what we referred to as the ‘New Normal’.
Businesses have to evolve and adapt to this ‘New Normal’ in order to survive, and most of these creative minds could be gathering in one place – coworking spaces. With plenty of brilliant brains that understand the market and its changes, business owners could easily adapt and thrive under the ‘New Normal‘.
Reason 3: A Community to Support
As the pandemic goes, more and more people would be jobless due to businesses unable to sustain over the cause. However, coworking places exist in the time of need by creating more job opportunities for them to fill the offices.
With the economic downfall that hits on the SME businesses will, they will need social network and local connections to regain their footing. Coworking space provides a perfect community that helps each other in business perspectives and hopefully, they will be able to go through the tough times together.
Nonetheless, with the help of coworking spaces by connecting these local businesses together in a community, it could be one of the key ingredients to bounce back from the crisis.
Interested in Coworking Spaces?
AP365 has a variety of coworking spaces and offices in Singapore, Bangkok, Johor Bahru, and Ho Chi Minh City available. Contact us now for more details!
Asia Property 365 or AP365 is an integrated property rental platform which helps overseas property owners to connect with agents and tenants, to manage properties from a single dashboard, and to track rentals and property-related stuff.
We provide language translation services, online contracts, and payment systems to help you simplify the whole rental experience.