Coworking was first introduced in the year 2005 by Brad Neuberg in San Francisco.
The idea was to help startups achieve entrepreneurial success by optimizing their resources.
Even though coworking culture offered tremendous benefits to SMBs, it took several years for companies to transition into this way of working. Today, there is a massive demand for coworking spaces as it not just contributes to improved work productivity but also boosts profits. They also offer cost-effective amenities and a whole world of networking opportunities.
In this blog post, we will be exploring businesses that realized the value of coworking spaces. Their remarkable success over the years depicts how coworking can support businesses in achieving long-term goals.
Here is a list of the six most successful companies that flourished in coworking culture.
Instagram is one of the most popular social media applications today.
Two visionaries Kevin Systrom and Mike Krieger created Instagram in 2010. Their entrepreneurial journey started in a coworking space named Dogpatch Labs in San Francisco.
Instagram was a one-of-its-kind social media application that allowed people to share images. The concept was unique and needed extensive marketing. Networking opportunities in coworking space allowed Insta’s team to reach massive people.
Work flexibility, networking opportunities, and cost-efficient amenities in coworking helped their business thrive.
Spotify needs no introduction today.
The Swedish Audio streaming and media services provider began as a startup in the coworking space. But now, Spotify has achieved the mark of the leading music application across the globe.
Daniel Ek established this music streaming site in 2006 in Stockholm, Sweden. He started operating this audio content venture at a coworking space called RocketSpace in San Francisco in 2008.
From a few thousand users to more than 207 million monthly users, the success it has attained is impeccable. Backed by a solid coworking community, Spotify has come a long way. The low-cost amenities and pleasant working environment boosted its growth. The estimated valuation of Spotify is $8 billion, which says a lot about how the coworking culture worked for them.
Garrett Camp and Travis Kalanick couldn’t find a taxi one night in Paris.
That’s when they decided to invent a solution for helping travellers commute comfortably.
And this is how Uber came into existence.
They started working in a shared workspace, Yard, in New York, to develop this transport service. A few years later, they moved to another coworking space, RocketSpace, in San Francisco.
Coworking space provided the then startup with top-notch amenities and a fun environment. Further, the collaboration with skilled coworkers helped them boost their profits.
Soon, in 2011, they expanded their business and shifted to Tech Space with a team of eight members. Today, Uber is present in 80 countries. They have further expanded their operations in the food industry called Uber Eats. Their market capitalization is around $78 billion.
Indiegogo is a crowdfunding portal to encourage budding entrepreneurs.
Danae Ringelmann, Eric Schell, and Slava Rubin established the firm in 2008. The crowdfunding company’s headquarters are in California, San Francisco.
The Indiegogo app allows users to collect funds for their business ideas and charity. The portal charges nominal fees of five percent on the gathered fund amount.
Indiegogo is one of the oldest companies in San Francisco that adopted the idea of coworking. Their well-equipped coworking space helped them save money by curtailing the overhead costs. Their growth was exceptional. By far, the team of Indiegogo has managed to collect a crowdfund of around $1.5 billion.
Almost every business, small or big, has a solid social media presence.
Social media marketing is the key strategy that helps businesses improve their online visibility and boost sales and ROI. No wonder, countless social media platforms are floating in the digital world. But managing all these platforms becomes challenging for small business owners who need to focus on several other business priorities.
A visionary, Ryan Holmes, recognized the power of social media platforms. In 2008, he created Hootsuite software to integrate multiple social media accounts. Hootsuite can link all the leading platforms, such as LinkedIn, Instagram, YouTube, and Twitter.
Though the concept of Hootsuite’s offerings was unique and valuable for businesses, like all startups they faced limited funds in the initial stages.
One of the decisions they made for optimizing their resources was to work from the shared spaces at RocketSpace, in San Francisco. The coworking culture encouraged the Hootsuite team to work efficiently and accelerated their growth. Further, the networking opportunities present there helped them build strong connections and thrive. Today, the platform has more than 15 million users.
Now acquired by TripAdvisor, Wanderfly became a massive success within no time.
Christy Liu founded Wanderfly in 2011 to bridge the market gap for people who love travelling.
She created a travel website to help people explore places of interest within their budget. Soon, the idea gained popularity, and she collaborated with three other co-founders and a few employees. They started working in a coworking space called Projective Space in New York.
Their main reason for choosing coworking space was to enhance their networking as the travel niche was not popular then. The decision proved favourable. Within a year, the biggest travel company TripAdvisor bought Wanderfly.
The origins of these successful companies are rooted in a coworking space. Here are the top five reasons that fueled their growth in coworking culture.
The dominant reason is cost savings.
Compared to traditional offices, startups don’t need to pay a hefty amount for rent and other facilities.
The expenses get shared between coworking companies. It helps entrepreneurs to grow their businesses without stressing over financial burdens.
Coworking spaces offer ergonomic work zones with top-notch amenities.
From customized interiors to high-speed internet, cafeteria, and well-equipped meeting rooms, coworking spaces offer everything at scalable rates. These amenities foster a great environment and encourage professionals to work effectively.
Coworking promotes work-life balance by helping startups create customized and distraction-free workspaces.
Employees managing operations that need laser-focus can choose private and dedicated desks. Besides, team members that need to collaborate with seniors and managers can opt for shared desks.
This practice creates happy workspaces that lead to better work productivity.
Networking is one of the prime reasons why companies seek coworking communities.
In coworking culture, businesses come across professionals from other organizations and freelancers. The community can ask for professional advice and even build partnerships.
Furthermore, working with like-minded professionals keeps everyone motivated. The synergistic culture inspires them to give their best.
Startups aspire to work at prime locations.
Apart from connectivity, it enhances their professional image and attracts better business opportunities. But they need to make a considerable investment to avail office in a prime location.
Coworking spaces allow new businesses to choose a suitable location in any city or country. They get access to world-class facilities and centrally-located offices at affordable rentals.
The journey of the specified six companies is an inspiration for every entrepreneur.
Coworking spaces eased their journey by cutting overheads and providing a collaborative culture.
As an SMB owner, you too can take your venture to the next level by being a part of the hybrid working ecosystem.
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Get in touch with the team of The Address. Our community has helped thousands of clients achieve their goals. You could be the next!