The business centre market - France

from 2020 onwards, the market for third places, particularly business centers, is adapting to a changing landscape. These spaces are known for their comprehensive offerings, such as mail management, secretarial services and fully-equipped offices with flexible leases. They cater to a wide range of customers, from start-ups to large corporations, and have grown by 2-4% over the past decade. Despite competition from coworking spaces and the impact of increased telecommuting due to the COVID-19 pandemic, business centers have shown resilience by incorporating shared spaces and targeting new trends such as hybrid office solutions.

evolution and Expansion of Business Centers and Third-Places: Adaptation, Flexibility and Competition in a Dynamic Market

Market segmentation has intensified with the arrival of new entrants, notably real estate players and hotel groups. The importance of location, infrastructure quality and service innovation is paramount to differentiation in this mature but profitable market. Sales of combined administrative services grew steadily, although a slowdown was expected due to the pandemic. However, the total number of centers rose from 200 to almost 290, a sign of continued expansion despite the difficulties.

Regulations relating to commercial domiciliation and the SYNAPHE label continue to guarantee quality standards in the sector The country's third-venue market, particularly business centers, is demonstrating a dynamic approach to adaptation and resilience in response to various market pressures and customer needs. There is broad demand from a variety of customers, as evidenced by the statistics on the breakdown of business center customers in the Paris region, which reflect a diverse clientele including major groups, small and medium-sized businesses and entrepreneurs. Demand for business centers stems from the difficulties companies face in managing and anticipating office space and associated costs. Business centers offer fully-equipped premises, with services such as mail management, telephone permanence, Internet access, housekeeping and secretarial services.

This appeal stems from the advantage of a flexible, less expensive solution than conventional office rental. Companies can now choose an adaptable workspace with a range of services, thus converting fixed costs into variable costs, resulting in significant savings in time and space.

The market has expanded over the last decade, with a growth rate of between 2% and 4%. This growth can be attributed to the market's strategy of constant adaptation and the subsequent adoption of flexible, shared spaces. Les Echos points out that the average lease in a business center requires one to three months' notice, highlighting the flexibility of contractual terms. An important aspect of market segmentation concerns the real estate players, hotel groups, general investors and independent companies that have entered the fray, redefining the competitive landscape.

In this context, post-Covid-19 telecommuting seems to have paved the way for business centers as alternative workplaces. Scenarios foresee varying degrees of dependence on flexible office space, ranging from moderate to very high, depending on geographical distribution, need for assignment, cost savings, human resource benefits and risks. Innovation in service offerings is essential in this market, as evidenced by features such as green spaces, parking, coworking spaces and ancillary services offered by the industry giants.

Pricing also plays a crucial role. For example, in the Paris region, the average fully-equipped office rental costs between 600 and 800 euros per month, with flexible notice periods. The regulatory environment for business centers also shapes the market. Domiciliation companies must comply with strict criteria assessed by audits, which guarantee the quality of the services provided.

In addition, market segmentation reveals leading players such as Regus and Buro Club, with a considerable presence throughout the country. However, companies are not sufficiently aware of the benefits of third places and business centers. Only a small percentage of companies offer third-place working options.

Key market players shaping the future of flexible workspaces

The landscape of third places, and business centers in particular, has undergone a remarkable transformation, spurred on by changing demand and the competitive spirit instilled by the rise of coworking spaces. While many players have contributed to shaping this dynamic market, some have stood out for their significant influence and innovative approach to offering flexible workspaces. Here's a look at some of the organizations that are shaping the shared office space industry.

• Regus: A pioneering global workspace provider Regus is a household name in business centers and flexible workspaces. As a global titan, Regus has broadened its scope to meet the needs of an extensive customer base, covering the whole of France with around 120 centers. Its strategy is essentially to offer ultimate flexibility, providing turnkey solutions ranging from short-term office rentals to complete office spaces meeting all business needs. Renowned for its agility, Regus stays one step ahead by regularly incorporating shared space and even exploring franchising to expand its site offering.
• Buro Club: Extensive network of business centers Buro Club boasts a strong presence across France with 78 centers, creating a seamless network for businesses looking for convenient access to professional environments. Their offerings range from private office rentals to shared coworking spaces, their flexible formulas attracting a diverse mix of entrepreneurs, startups and large corporations looking for adaptable workspace solutions.
• Multiburo: Targeting transit locations Aimed at serving professionals on the move, Multiburo has carved out a niche for itself with 32 centers located in key transit zones such as railway stations. Its foresight in operating these busy areas offers a strategic advantage, providing easily accessible, high-quality workspaces for transient teams and mobile workers.
• Team Business Centers leverages local expertise while maintaining a national presence, resulting in a balanced approach to serving both local and relocated businesses. Their services are designed to meet the diverse demands of their customers, embodying the essence of the modern business center.
• Sofradom: Specializing in corporate domiciliation, Sofradom operates 47 centers, mainly in Paris, and specializes in the crucial service of corporate domiciliation. This service offers not only a prestigious address, but also activities such as mail management and tailor-made administrative support, essential for companies looking to establish themselves on the French market without the expense of a full office space.

Informations

• Nombre de pages : 30 pages
• Format : Version digitale et PDF
• Dernière mise à jour : 15/07/2022

Sommaire et extraits

Liste des graphiques

• Répartition des clients des centres d'affaires
• Évolution du chiffre d'affaires HT des services administratifs combinés de bureau
• Quelles actions avez-vous mis en place pour faciliter les déplacements domicile-travail de vos salariés?
• Évolution du nombre d'espaces de coworking et de centres d'affaires
• Evolution du nombre de tiers-lieux
• Evolution de la demande placée de bureaux en Ile-de-France