Denis Opudo
Servcorp was launched in 1978 and it has its headquarters in Sydney Australia. The company is also listed on the Australian Securities Exchange (ASX: SRV). Moreover, it has employed 850 staff and 35,000 servicing members in 53 cities across 23 countries. Servcorp is one of the leading startups in the rollout of co-working facilities in the Middle East and GCC. The company has also directed investment worth $16 million in global product provision. The investment will have a great influence on the co-working market in the Middle East and GCC. Furthermore, Servcorp has used the investment to open new co-working spaces worldwide. Some of the new spaces include London, Jeddah, Abu Dhabi and Beirut. additionally, the company is planning to fully deploy the investment during the launch of new workspaces in June 2018.
The investment will distribute funds to create full-fledged co-working facilities. This will take place across 50 of Servcorp’s locations. This includes the high growing Middle East markets of Bahrain, Dubai, and Riyadh. In those markets, there is a low or no supply for the prospective customers. Servcorp has gained profit since its launch. It plans to use the investment to raise its profit margin in the regions. Servcorp took six months to carry out a piloting exercise on the advantages of co-working in premium office markets. Moreover, the company aims at becoming the leading workspace provider in Europe, the Middle East, India and Africa (EMEIA). This is seen through its initiative to invest in making their business template modern.
The investment in co-working space helps the company to move its members from traditional to modern office setup. The company’s main goal is to help businesses that aim to be successful in their all growth stages. It offers them support via leading innovations like the Servcorp Community platform. The platform helps entrepreneurs to connect with more than 35,000 members globally. Furthermore, the Servcorp’s services help the company to diversify their income channels. It also protects them from the risk that comes from real estate type of investments.
The global co-working went up by 22% in 2017 adding up to a total of 13,800 locations. This is according to Deskmag’s “2017 Global Co-Working Survey”. Furthermore, individual co-working space users grew to 1.8 million globally at a rate of 41% in 2016. According to the survey community building attracted 78% of new members. but an event for potential members attracted 62%. This showed the importance of the community element connected to co-working. It also showed that 71% co-working members have partnered with other members in a period of the last one year. The company has added $8 million in its investment to improve customer experience. This will be possible through technology improvement that will kick off before the end of 2018.
The flexible workplace market might go up to a valuation of $44 billion by 2021. There is a need for the companies to continue investing in their service improvement.
