Coworking

Demand
Guide
03 07
How to Analyze Your Field Research Checklist
Competition

09 10
Social Media Poll How to Gauge the Local
Example Freelance Population

11 12
Tips From Expert Conclusion
Coworking Consultant:
Melissa Schilo
01

How to Analyze Your

Competition

B efore opening a coworking space, one of

the first steps you should take is a compet-
itor analysis. It can help you stay ahead of your
competitors and ensure that your coworking
space stands out in a crowded market. A recent
study by CoworkingResources found that the
coworking market is growing at a steady rate.
Some cities like London and New York see a new
coworking space opening up every five or seven
days! Because of the popularity of coworking
spaces, it has become more essential than ever
for coworking owners to understand the market
before opening a space.

The goal of many coworking owners is to create

a space that stands out from the other options
available. However, the only way you can under-
stand how your business compares is by looking
at the surrounding coworking spaces and con-
ducting a thorough competitive analysis.

The competitive analysis is an essential part of

your business plan because it can help you hone
in on what your customers want. Despite what
you might believe, there is a way to research
and learn from your competitors without being
sneaky or blatantly stealing customers. While
you might not have a big budget for conducting
market research or hiring a professional market
intelligence firm, you can still learn from your
competitors by doing some simple research in
a non-threatening way.
 Identify Your Competition

Your competitors will be anyone who targets the same market as you
and offers a similar coworking or flex workspace in your immediate
area. Start with a Google search. Look up “coworking spaces in [city]”
and compile a list of every business you can find. And since “cowork-
ing” is still a fairly new term in the mainstream market, try the words,
“flexible office”, “shared office”, or any commony-used synonym for
“coworking”. With some intelligent internet searches, you’ll quickly
see who is ranking high for some keywords or phrases that are similar
to your business goals.

Identify both the direct competition, which is someone who will offer
the same products or services, and the secondary or indirect competi-
tion, or someone who will offer slightly different products or services.

Gather Information

The advent of the Digital Age has required new businesses to become
experts in two essential disciplines: SEO and content strategy. These
fields are paramount for a new business that needs to reach potential
customers. Luckily the basics are easy enough for the average person
to pick up without getting another college degree.

Once you have identified who your major competitors are, you need to
learn as much information about them as possible. Ubersuggest is a
free tool that you can use to research the most important keywords in
the industry and to get a sense of your competitor’s marketing strat-
egies. With this tool you can easily see which keywords and links are
delivering the most online traffic for the coworking space in question.
It can help you gain insight into your competitor’s SEO practices and
also see which domains you might be competing against for the top
positions on Google. While some of the terms on the website may
be hard to understand at first, the learning curve is low enough that
anyone motivated enough to do some real research will learn quickly.

Read Everything

Visit the company’s website and keep notes on the data you find. What
are their pricing levels? How do they market themselves to their mem-
bers? Staying organized is vital here, especially if you have multiple
competitors. Make a spreadsheet and fill it with links to each business’
blog posts, videos, webinars, podcasts, flyers or brochures, websites,
feature articles, and any news releases. Press releases can be particu-
larly useful because it will highlight any changes or improvements the
business has made in recent years.
To create a useful competitive analysis, you need to read everything you
possibly can about each business. While this might be time-consuming,
it is a crucial step because it not only helps you to gain insight into the
market, but also helps you think about how to differentiate your space,
and puts you in the analytical mindset you need to have to sustain a
business. As you read, keep track of the quality of the posts, and take
the time to identify the style and tone that your competitors are using
to speak to their members. Are their videos and other content effec-
tively marketing the space? What do you think you could do better?

Follow Them On Social Media

Many established coworking spaces have active social media pages

because it is an effective way to build a community online. Take note
of how often they post, and the tone they use when posting. Do they
use Facebook, Instagram, Twitter, or LinkedIn to reach their target
market? Following social media traffic, whether it be paid ads or in-
dividual posts and conversations between followers, is an easy and
cost-effective way to gauge pain points and the general sentiment for
each space.

Analyzing your competitor’s social media pages also allows you to see
how they interact with their members. On your spreadsheet, track how
often they post and what types of things they post.

Read their Yelp or Google Review pages to find out what people like
(and don’t like!) about other coworking spaces. On these reviews, you
might find information that can help shape your business plan to what
your potential members want and stay ahead of the competition.

Even if your competitors don’t have social media pages, they might be
writing an online newsletter. Sign up for their mailing list so you can
stay informed of any upcoming changes, new software the coworking
space is introducing, or services they might begin to offer. However,
this is not recommended for every coworking space. It might not be
possible to sign up for their newsletter without becoming a member
yourself or making it seem like you are snooping for leads. In those
cases it’s better to just be direct and ask the owner for a tour or share
their experience as an owner.
 Areas for Improvement?

Even if you have compiled all the information, the work isn’t done yet.
The business plan is not complete until you have analyzed what the
data means. Absorb the information, and as you are reading each page,
ask yourself how you can compete against that company.

Remember, what works for your competitors might not work for you.
Be inspired by what your competitors are doing, but make sure you
are creating a coworking space that is unique and stands out. For
many small coworking spaces, a competitor analysis can identify a
niche market that allows you to capture a specific demographic or
community. This research can help you find an overlooked segment of
the market that you can attract and fill the gaps that the community
wants in a coworking space.

Once you open your doors, your analysis of your competitors and your
coworking space shouldn’t stop. As you gain more members, ask them
if they have used coworking spaces before and why they have decided
to use your space instead. If you do lose a member, do the same and
identify what you could have done better to keep their services with
you. Continue to adjust your business to fit the market’s changing
demands while staying true to your defining mission.

Here’s a great template to start with for your competitive analysis:

COMPETITOR 1 COMPETITOR 2 COMPETITOR 3 COMPETITOR 4

Direct Competitors Indirect Competitors

Company Profile Company Highlights

Key Competitive Advantage

Target Market Market Information

Market Share

Marketing Strategy

Products & Services Product Information

Pricing

Distribution Channels

Strengths SWOTT Information

Weaknesses

Opportunities

Threats

Trends
02
02

Field Research
Checklist

T his is before you start building your commu-

nity. These tactics are to help you identify the
gaps in the local workforce and assess the need
for a flexible work environment. Tip: Try to stick
to ethnographic research as much as possible.

This stage of research is also the perfect way to

start building your community. Garnering con-
tacts by asking a few simple questions will build
your network for the future. However, don’t rely
too much on face-to-face interviews to gauge
market demand. You run the risk of having peo-
ple say what they think you want to hear, rather
than what they would really do if a coworking
space was available to them. To get accurate
data it’s often more reliable to focus on people’s
actions and behavior rather than what they say.
That’s why observation and analysis of other
coworking spaces or popular business centers
is highly recommended. But casual conversation
is still a great way to gauge general interest,
build a network, and even pinpoint the type of
community you would like to target.
Field Research Checklist

Ask for tours of other nearby coworking spaces (get a sense of how
many members they have)
• Take note of what you like and don’t like about their space in terms
of pricing, decor, atmosphere, community events, etc..

Create Facebook and other social media groups and see who signs up
(ex. [your city] Coworking)
• Ex. “Calling all [city name] freelancers and remote workers!

Make flyers to hand out at churches, gyms, coffee shops, malls, beauty
salons and barber shops, college campuses (Be sure to ask for permis-
sion before distributing)
• Easy-to-use design tools: Canva, Adobe Spark, Google Draw, etc…

Go to local cafes and observe in just a few hours how many people
seem to be seriously working. If you feel comfortable doing so you
can approach them with these questions to gauge their willingness to
work in a coworking space:
• How much time do you spend on average working here (in the cafe)?
• What do you like or dislike about the space?
• Have you tried any coworking spaces before?
• Do you have any reason for not working in a coworking space?
• If there was a coworking space available, would you consider work-
ing there instead?
• (If they seem interested) Can I have your contact or business card?
03
03

Social Media Poll

Example

U se the following questions as a guide when

making inquiries on social media about the
demand for a coworking space:

1. Do you work from home or remotely?

2. Do you already work at a coworking space?

3. Would you work from a coworking space?

4. (If there are coworking spaces already available)

What do you look for in a coworking space?

5. Where do you feel most comfortable working?

6. What are the pros of working from home?

7. What are the cons?

04
04

Gauge the Local

Freelance Population

A s an early stage space, most of your clients

will probably be freelancers and remote
workers when you first open. So find a way to
gauge what percentage of your local community
are freelancers, digital nomads, remote workers,
or small startup teams.

You may also find some great demographic infor-

mation by visiting your local workforce agency.
As a local business owner, they may be happy
to give you valuable statistics and contact lists
for freelancers, remote workers and startups
looking for affordable office space.

• Upwork
• Fiverr
• AngelList (for startups)
• Freelancer
• Guru
• JournalismJobs
• Indeed
• ZipRecruiter
• Behance
• Dribble
05
05

Tips From an Expert

Coworking Consultant

M elissa Schilo, a coworking consultant at

Workspace Concierge with over 12 years
of experience in flexible workspace solutions,
has a few tips for those looking to research their
local market for interest in coworking.
• The average salary of your target
audience.
Melissa recommends using DataUSA.io for de-
mographic info in your local area. On this site,
• How many freelance workers are
you can find statistics on a plethora of industries
in your area?
and socioeconomic information that may give you
some guidance on the pricing and accessibility
• Major employers in the area. Are
you want your future coworking space to have.
there any startups or technolo-
gy companies that could lead to
memberships?

“The earning capacity in

your area is extremely
important to know. This
will determine the amount
you are able to charge for
memberships and inform
your vision for the space.” CoworkingResources has partnered with several
expert coworking consultants with years of ex-
– Melissa Schilo, Coworking Consultant perience in the industry all over the world. They
give professional advice for prospective owners
on everything from coworking space technology,
to designing your space, building a communi-
ty, and much more. Melissa says, “In terms of
technology, it’s important to find software that
automates your processes as much as possible.”
06
06

Conclusion

S ome of these things may be as simple as a

few Google searches, and some may involve
more proactive field research. As of right now
there is no exact formula for this type of research
in the coworking industry. Everything is still so
new! Either way, just remember that coworking
culture is built on friendly networking, commu-
nity building and having an open mind. We’ve
found that, generally, there is a high demand for
coworking almost everywhere. The number of
freelancers and remote workers will only increase
in the years to come, and statistics related to this
trend is what you should be paying attention to
within the scale of your local community.

It should also be reiterated that your research

does not have to be underhanded or sneaky
towards your future coworking competitors. By
its very nature, coworking is a concept that en-
courages collaboration, openness and healthy
competition. No matter how large a space may
be, there is no winner-take-all for one particular
region. This is why it’s important to cultivate your
community from the beginning and differentiate
your coworking concept so you present a unique
angle on the coworking experience.

We would love to hear from you!

content@coworkingresources.org

+1 646 663 4880