Business booms: A rising number of start-ups has propelled demand and industry growth

Operators in the Serviced Offices industry rent or lease fully furnished and fully operational workspaces to businesses on a short- or long-term basis. Key industry products include private serviced offices, co-working spaces, office spaces that offer hot-desking facilities, virtual offices, and meeting and conference rooms. Clients range from start-ups to international corporations, particularly those in the professional, scientific and technical sectors. The industry is comprised of large global firms serving numerous regions around the country, as well as smaller operators that tend to operate from a single building or even a few floors of a building.Over the five years through 2018-19, IBISWorld expects the industry's revenue to increase at a compound annual rate of more.

Industry Statistics & Market Size
Annual Growth 14-19
Forecast Growth 19-24
Market Share of Companies

Industry Threats & Opportunities

  • An increasing number of start-ups, particularly in the technology sector, have driven growth
  • Government support for SMEs has been a major factor in the increasing number of start-ups
  • The government’s focus on expanding the UK technology sector is expected to boost industry demand
  • Industry Report - Industry Key Buyers Chapter

    The Serviced Offices industry is expected to have a medium level of market share concentration, with the top four players in the industry estimated to have a combined market share of 42.4% in 2018-19. However, only the two largest firms hold significant market shares. All other players are estimated to have market shares of less than 5%. The industry is comprised of many small businesses working alongside larger players. Small operators tend to operate from a single building or even a few floors of a building.The level of industry concentration has increased over the past five years as larger players have acquired rivals, while also expanding the number of properties within their portfolio. For...purchase to read more.

    Additional Insights for the Serviced Offices Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Serviced Offices Industry are

  • Ability to vary services to suit different needs
  • Proximity to key markets
  • Superior financial management and debt management
  • IBISWorld analysts also discuss how external factors such as Number of businesses and Business confidence index in the Serviced Offices industry impact industry performance..

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    What's in this report

    What is the Serviced Offices Industry?

    Firms in the industry rent or lease fully furnished and fully operational offices to businesses on a short- or long-term basis. The provision of virtual office services is also included in this industry.

    Industry Products
  • Serviced offices
  • Meeting and conference rooms
  • Virtual offices
  • Industry Activities
  • Renting out serviced offices
  • Renting out meeting and conference rooms
  • Providing virtual office services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Number of businesses
  • Business confidence index
  • Business profit
  • Demand from estate agents

  • Current Performance
  • Capturing niche markets
  • Starting up
  • Business profit
  • Market structure and competitive pressure
  • Chart: Revenue Growth

  • Industry Outlook
  • Downstream demand
  • Drivers of growth
  • Strategies for growth
  • Technological involvement
  • Table: Serviced Offices Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Serviced Offices Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Software Development
  • Investment Banking & Securities Brokerage
  • Legal Activities

  • Key Selling Industries
  • Estate Agents
  • Office & Shop Furniture Manufacturing
  • Office Equipment Rental & Leasing

  • Products & Services
  • Serviced offices
  • Virtual offices
  • Meeting and conference rooms
  • Chart: Serviced Offices Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Professional services firms
  • Financial services firms
  • Technology firms
  • Other
  • Chart: Major Market Segmentation for the Serviced Offices Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesDepreciationMarketing and advertisementRent, utilities and other
  • Chart: Cost Structure Benchmarking – Sector vs Serviced Offices

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Serviced Offices Industry

  • Industry Globalization
    IWG plc, WeWork UK Ltd,
  • Table: IWG plc - financial performance
  • Table: WeWork UK Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Serviced Offices Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Serviced Offices Industry
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Central Business Hubs
  • Areas of concentrated business activities such as the Square Mile.
  • Co-Working
  • The use of a shared work space among people from different organisations.
  • Hot-Desking
  • The temporary occupation of a work station or work area.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Serviced Offices market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Serviced Offices:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Serviced Offices market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Serviced Offices, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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