#Canvas workspace update update

Dedicated desks: More thought of for (small) businesses and their employees.

Hot desks: these are desks that are not dedicated to anyone and may be occupied by different people on different days (basically a first-come, first-serve).

These are typically on (at least) a monthly basis:

Open coworking spaces come in various forms and can be used by individuals and (small) groups (group size: 1-5, Start-up Lab: 1-10).

On-demand access to conference / meeting rooms priced on hourly usage rates.

Actual usage incurs an additional (daily) fee.

On-Demand access to a flexible workspace: The We Membership (monthly fee) provides access to on-demand workspace in their offices.

On-demand access to flexible workspaces for individuals and very small teams (<=5 concurrent users).

WeWorkвЂ™s core offerings are different types of workplaces: the business owners, but also make sure there is value and perks for the employees of the respective businesses.

They are not just addressing the decision makers, i.e. WeWork is making sure that there is something вЂњin itвЂќ for everyone. Their customers reach from individuals to small/medium-size firms to large enterprises (the latter use WeWork for only a portion of their real estate requirements).

It has different offerings for different types of customers and use cases. WeWork is a company renting out flexible workspaces. WeWork business model canvas ( click here for high res version) Value proposition Their leases are typically 15 years but they allow their members to use them for shorter durations (this duration mismatch was one of the key issues that investors didnвЂ™t like вЂ“ we will cover this in more detail in the valuation section).With this, letвЂ™s look at the business model canvas elements starting with the value proposition as to clearly understand what their offerings are. Their main business model is to lease real estate from the landlord, design it to their philosophies, partition it up into smaller workspaces and rent it out to individuals and firms (demand aggregation).

And WeWork is not the вЂњAirbnb of commercial real estateвЂќ.

WeWork is not the вЂњLinkedIn of the real-worldвЂќ.

Their WeWork Labs offer may be able to generate more significant network effects which we will discuss when we cover this offering. You may be able to spot some network effects but they are not significant. WeWork does not use the platform business model. Like their peers, they also have other business models which at this stage generate a minor portion of their revenue (вЂњother revenuesвЂќ). WeWork mainly uses a form of subscription business model that they call Space-as-a-Service.

828 locations (typically a number floors in a larger building, sometimes the entire building) with 604,000 workstations ( June вЂ19).

693k members (=customers / employees of customers).

#Canvas workspace update update

As per their latest update in March 2020, they had Since its founding in 2010, WeWork has been expanding fast as a flexible workspace provider. We will start with the business model using the business model canvas template to structure it. The customer segments have undergone quite a shift since. They entered long-term leases in the recession-struck commercial real estate space, renovated and divided up the spaces to rent it out to individuals and very small businesses. These were not the lavish, upscale offices that WeWork is known for now. While the link to the вЂњgig economyвЂќ may not be as obvious as in the case of many other players, it is there: WeWork hosted freelancers and laid-off workers in cheap space-on-demand offices. Like Airbnb and Uber, WeWork appeared at a crucial economic moment: After the GFC (or Great Recession).