Right from the beginning you will have to follow up closely some key performance indicators. They will help you direct the center, fix improvement objectives and strengthen/diversify your activities. Assessing the center’s performance is a crucial task, indeed research proves that coworking centers develop and flourish slower than traditional companies.
The best indicator for a coworking center is its occupation rate
Sounds as evidence but still. You need to remember that renting out offices is your main activity. Even if coworking is way more than that. Renting out offices represents about 61% of a coworking center’s revenue (according to Deskmag). You need to follow up thoroughly the occupation rate of your premises and optimize it at best. A good performance monitoring will assist you in building corresponding offers to the targeted client base. For example, it will help you decide whether you should bet exclusively on long-term offers or hourly/daily options. Estimate the number of days/hours of potential occupation and evaluate the effective occupation rate of the overall site. Set yourself occupation goals, adjust the tariffs and develop a communication strategy according to your needs.
Key Performance Indicators (KPI) to watch if you want to improve your reports
In addition to the occupation rate of your premises, you need to follow up some other crucial indicators. First of all, the sales revenue (service/product) and coworkers’ average package. Check on the transformation rate on your website and identify the improvements you could put in place in your communication strategy.
You should target potential productivity gains of your daily work by analyzing the average answer delay to a quote request. Try to forecast the arrival of new clients, etc.
The booking rate of the meeting and conference room is to be closely watched because it represents about 10% of a coworking center’s revenue. Snacking/drinks and hosting events/conferences stand for around 10% as well.
Save time with efficient KPI
Observing three indicators is easy at first – while you are launching the coworking center. However, the task will become arduous along with the diversification of the provided services and the increase of your sales revenue. To keep up, you will need an automated look-up tool such as cowork.io because they will save you hours of decrypting Excel files!
Listen to your coworkers!
Keep in mind that your coworkers are the best of indicators! Give them the occasion to communicate and express their feelings towards their working conditions, what they wish existed and what can be improved.
