A Coworking space operates under its own mission. They have their own mission as well as their own goal. Some of them aim to be profitable, whereas others focus on providing the best possible service for their members, or the community rather. Some Coworking spaces were built for providing an innovative, competitive space for startups to thrive, and some were built to serve a significant need within the community. Some spaces are capitally-funded, some must rely on what they can to make ends meet. Regardless of where the Coworking space falls within that paradigm, there are several steps and practices to take to maximize sales revenue. Here are ways to increase your sales revenue within your Coworking center.
Rent You Space to Members and Non-Members
Some operators don’t see their Coworking center as space, as they do a “hub”. While you may not agree with the semantics, using your workspace as a location to incubate big ideas and ventures could prove beneficial to maximizing revenue. By allowing local, city-based groups to rent out a whole section or part of a space, you can establish yourself as a place for other communities to come together. This widens your audience and keeps your space in use without having to extend your resources.
The most lucrative way to do this is to rent out your space to bigger companies. Coworking spaces have been bought out by firms and corporations looking to conduct business and social gatherings on neutral, yet creatively inspired areas. These groups could also look to your space to boost collaboration and, most importantly, networking.
Create a Credit System
Whereas your membership fees may be your primary source of income, creating membership packages for using conference rooms as well as other services can pay dividends overall. Not to mention, selling credits and packages in advance can give you a forecast for the demand for your space.
You could also make the credits transferable from one member to another, or as an opportunity to invite a guest to have time to work within the shared space. Using a workspace management platform will allow you to track usage in real time.
Get a Head Start on Selling Memberships
Even if you don’t have the space open, it’s still a great practice to sell before the doors open. According to our ebook, The Five Essentials to Opening a Coworking Space. We interviewed Grant Barnhill from Shift Workspaces who likes to sign leases prior to opening. In one case he found up to 35% of spaces leased out before opening day. On an unrelated note, this also helps build community prior to opening a space which can prove more profitable as well.
Provide Low-Risk Services
According to the ebook, we also interviewed GWA President Jamie Russo who said that operators are having a bias against virtual memberships, and need to stop doing so. Virtual memberships are low-risk, all reward. You can create a new revenue source that doesn’t involve using your space. If you can scope out a need for your members, assess the costs and risks associated with providing it and, once you weigh it out with the demand, you can find a way to make it something beneficial to the growth of your space. There are several other low-cost, low-risk services you can incorporate, we highly recommend them.
Regardless of the end goal of your space and how much you want it to be profitable, these practices to increase the sales revenue of your Coworking Center can help you meet that goal. By applying these strategies you can build for sustainability and gain a clearer forecast for the future of your space. For more information on how WUN can transform your Coworking center towards more profitability, please click the button below.
Yardi Kube is a coworking management platform delivering all the tools needed to grow a smart and connected workspace. The Kube platform enables your technology to work intellligently together from managing leads and monthly billing, to accounting, and on-demand Internet and Voice services. With all the hardware, software, and essentials for building a thriving workspace, Yardi Kube helps you increase revenue, maximize productivity, and build community.