While the Shanghai Expo is on, providers of temporary and flexible office space for new business is the order of the day. Two serviced office providers tell us how it has affected their business.
1. What effect has the shanghai expo had on business in your centres?
Candi Yeung, Regional Marketing Manager - East Asia for Regus one of the bigger chains of business centres with several shanghai locations says “We have had various specific requests linked directly to the Expo. These related to office leases, meeting room bookings and video conferences. We also see that the general market in Shanghai is strengthening. It is very well possible that the Expo, as a ‘marketing tool’ for the city, has woken up a lot of interest and emphasised the great business potential and commercial infrastructure of Shanghai.”
Susie Zhang, Assistant Center Manager Oasis Serviced offices, a boutique office brand with new centres in Xin Tian Di and in a refurbished colonial building in the French Concession, says they see more entrepreneurs or small and medium size companies will enter the Chinese market during and after EXPO as their Green Office concept tends to be easily recognized by these foreign enterprises. With the flexible lease term and the low start-up cost, such as no upfront investment required for office renovation, furnishing etc. A serviced office allows those enterprises to have readymade space to kick off their business in China.
2. Do you think it would have risen if the expo had not happened?
Yeung: The Expo is a great medium to get a very positive attention for Shanghai. We are convinced of a long term positive effect.
Zhang: EXPO did help to increase the demand in the market.
3. If business has increased when did this start and what do you expect to happen over the course of the next few months?
Yeung: We can support various project teams with offices and meeting rooms. We expect that the Expo will create a variety of business opportunities. It will serve as a creative platform for many new ventures and expansion of foreign businesses into Shanghai. The effects could last much longer than the Expo duration itself.
Zhang: It started late last year when we had several office lease inquiries from Expo related organizations. Now there won’t be too many activities specifically regarding the Expo, as most of the organizations finalized their space requirement late last year and early this year. But there might be some occasional events as always.
4. If you have multiple sites have some improved more than others? Why?
Located in either Pudong or Puxi CBD - interest has been good for all 8 centres in Shanghai. The different locations offer different facilities and pricing and are attractive to differenct clients depending on proximity to other venues.
Oasis have not noticed any difference in demand between its centres.
5. Has the length of time that people will stay longer or shorter than previously?
Neither company has noticed a change in duration of stay.
6. If you are getting more expo related companies what is the general size of the space they are looking for or are they looking for meeting rooms only?
Yeung: Both offices and meeting rooms. Depending on their team size - we also didn’t see a difference in pattern from other clients.
Zhang: They are usually looking for 4-10 people offices and sometimes meeting space as well.
COST?
Regus: The price per desk can be from RMB 1200 to 6000 depending on the type of office.
Oasis: About RMB 4000/ per desk
AVAILABILITY
Regus: Varies per location.
Oasis: We just opened one brand new floor with 29 offices at Xintiandi centre in April this year, so we have enough new offices at this moment.
