Co-Working Spaces & Innovating Consulting Firms

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Innovative Consulting Market Outlook- Germany

Information on the German innovation consulting market is limited, but a few sources suggest that the future of the German innovation consulting market will feature the creation of collaborative workspaces, the increased focus on megatrends such as digitalization and sustainability, and the emergence of new innovation programs that empower employees further. Small and medium enterprises will present opportunities for growth.

Creation of Collaborative Workspaces

  • It is likely that more innovative consultancies will create collaborative workspaces, as stakeholders in Germany believe these collaborative workspaces are necessary if German companies wish to remain among the world's top companies.
  • A new collaborative workspace, wavespace Berlin, was recently launched by etventure, a top innovation consulting firm that is based in Berlin and is a subsidiary of EY. etventure has a market-tested innovation process that is composed of the following steps: identifying the pain points of customers, suppliers, and partners, rapidly testing concepts and identifying the best approach, developing minimum viable products and conducting live tests, and quickly rolling out to market.
  • Launched in November 2018, wavespace Berlin provides the environment and infrastructure that startups and established companies need for innovation work. Its amenities include project offices, co-working spaces, a data laboratory, and a prototyping laboratory. The collaborative workspace has a floor area of 1,500 square meters.
  • According to Philipp Herrmann, managing director and founder of etventure, numerous companies want to find inspiration outside their business, and work in close collaboration with startups.

Opportunities Presented by SMEs

  • Statistics indicate that SMEs present an opportunity for the German innovation consulting market to grow further.
  • According to Urban, an innovation consulting firm based in Dosseldorf, Germany, SMEs take 110,000 innovations to market, but only 5% of these innovations become successful in the long term.
  • ZENIT GmbH, another innovation consulting firm headquartered in Germany, also highlights the importance of SMEs. In one of its posts, it talked about how the European Union is supporting SMEs that have promising market-driven innovation projects.

Focus on Megatrends

  • There will likely be an increased focus on megatrends such as digitalization and sustainability, as experts believe it is wise for organizations to deal with these megatrends as soon as possible.
  • Megatrends, particularly digitalization and sustainability, were discussed at the most recent DIALOG Innovation that was hosted by WFG, another firm in Germany providing innovation consulting services.
  • It was noted at said event that megatrends should be addressed in collaboration, not in competition, with other companies. Novel and innovative business models may emerge as companies deal with these megatrends.

Emergence of New Innovation Programs

  • It can be expected that new innovation programs will emerge in the near future, and that innovation consulting firms in Germany will draw inspiration from these programs.
  • Itonics, a Germany-based innovation consulting firm, notes that one of the emerging topics at the latest Innovation Roundtable Summit was kickboxing, an employee innovation program where employees get to be the CEOs of their own innovative ideas. In said program, resources and time for experiments are provided by the employer.
  • More than a thousand companies have already signed up to be a partner of Adobe, the company that has developed the program.

Research Strategy

Given that both IDEO and Innosight were provided as examples of players in the market, and both IDEO and Innosight are innovation consulting firms, we assumed that the exact market of interest is the German market for innovation consulting. It appears from the examples that were provided that innovation consulting firms are consulting firms that specialize in helping organizations achieve their innovation-related goals.

To determine if the desired information is readily available in the public domain, we first checked if there are articles or reports that directly cover the future or outlook of the innovation consulting market in Germany. There may be relevant sources that were published in German, so we researched both English-language and German-language sources. We quickly discovered, however, that the topic of innovation consulting is rarely covered by news or media outlets. We only came across lists of top innovation consulting firms, such as those published by the Board of Innovation, Teqsense, RocketSpace, and Forrester, and the websites of innovation consulting firms. Unfortunately, the firms in these lists are mostly based in the United States. We were unable to find any list specific to Germany.

Since the desired information is not pre-compiled, we changed tactics and looked for the top innovation consulting firms in Germany to check if these firms have anything to say about the future or outlook of the innovation consulting market. We checked as well the direction these top firms are taking. Rocketspace identifies etventure as a Berlin-based top innovation consulting firm, so we began with said company. We examined the websites and press coverage of Urban, FLYACTS, Tom Spike, RSW, Itonics, ZENIT, trendINNOVATION, and NOW! as well because they are Germany-based consulting firms that concentrate on innovation consulting. Innovation consulting is featured front and center on these firms' homepages. We understand too that large consulting firms such as EY, Deloitte, and Accenture with dedication innovation consulting practices are not of interest. With this strategy, we were able to gather a few insights about the German innovation consulting market.

To find additional information, we checked if there are related conferences, summits, or roundtables that were recently conducted in Germany. The topics covered at these types of events typically indicate what the future brings for an industry, so we thought this strategy might lead us to some relevant insights. True enough, this strategy led us to DIALOG Innovation, the BMWi, and the Innovation Roundtable Summit 2019, which are all events attended by innovation consultants or consulting firms. From the recaps of these events, we were able to gain a better understanding of the market.
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Co-Working Market Outlook- Germany

The future of Germany's coworking market is promising. The main drivers of growth in this market including the country's booming tech sector and its increasing freelancers. Enterprises are expected to increase their demand for coworking spaces in Germany.

The Big Six

  • Germany's coworking market is dominated by six companies: Wework, Regus, Spaces, Design Offices, Friends Factory, and rent24.
  • These companies have leased over 260,000m² of office space in the country. They focus on developing coworking centers in Frankfurt, Berlin, and Munich. Their growth in these cities is expected to increase exponentially.
  • Experts predict that new local players might have a hard time entering Germany's coworking market as Wework, Regus, Spaces, Design Offices, Friends Factory, and rent24 have fully gained traction and penetrated the market.

Demand for Coworking Spaces in Germany

  • Compared to Europe at large, the coworking market in Germany is still in its infancy.
  • Over 70% of coworking space providers expect to see an increase in demand over the next 2-5 years in Germany. On the other hand, 21% believe that the demand for co-working spaces in Germany will be stagnant/remain at the current level.
  • While start-ups and micro companies had the largest share in terms of the demand for co-working spaces in Germany, established corporate companies from different industries are expected to increase their demand for these spaces.

Largest City for Coworking

  • Currently, Berlin has almost 200 co-working centers. The city has made waves for its substantial coworking growth.
  • Filled with freelancers, it is known as Germany's "undisputed capital of co-working." Only 15% of office space in the city is used for coworking.
  • The city's booming tech startup scene is expected to be the main driver of growth in Germany.
  • While the co-working market is expected to grow rapidly in Berlin, it is said to be limited to "an urban tech start-up elite."

International Players

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Co-Working Market Outlook- Europe

Within the next few years, Europe's coworking market is expected to grow. This growth will mainly come from Eastern Europe. In addition, the demand for coworking spaces in this region will accelerate.

Growth of Coworking Market

  • Coworking in Europe is expected to grow slower than the overall global rate. This is because it is relatively mature already.
  • The coworking market in Eastern Europe is forecast to grow faster than other European regions.

Corporations Moving to Coworking

  • Currently, freelancers, startups, and small companies make up a large share of coworking tenants in Europe.
  • Due to the growing need for more workplace flexibility, large corporations are now flocking to coworking for some of their space needs.
  • This trend is expected to accelerate over the next five years. Corporations are expected to account for a larger percentage of coworking tenants in Europe.
  • Another reason for this trend is due to corporations trying to reduce their long term leases and their employees asking for more workplace options.

Forecast Coworking Space

Increase In Supply

  • To combat the increase in the demand for coworking spaces, experts predict that there will be a substantial increase in the supply of coworking spaces in Europe.
  • Secondary European cities like Frankfurt, Manchester, and Lille have already seen a growth of more than 15% in the supply of coworking spaces.

Rate of Leasing a Coworking Space

  • Currently, the cost of leasing a coworking desk in Europe ranges from as low as €318/month in non-mature markets like Moscow to €820 per month in mature markets like London.
  • This rate is expected to keep increasing in London and other mature markets due to the strong demand for coworking spaces in these markets.
  • Other mature markets include Paris (€725), Munich (€725), Berlin (€680), Milan (€650), and Rome (€600).

Workforce Changes

  • As the working population in Europe ages, self-employment is expected to accelerate among those over 45.
  • Part-time, self-employed, and contractual agile-working positions are expected to continue increasing.
  • This increase could match or even surpass the full-time employment levels in Europe, thus, driving a significant upward shift in the demand for coworking spaces in Europe.
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Innovative Consulting Firms Trends- Europe

Innovative consulting firms in Europe are embracing three important trends to help companies change processes, customer experience, and employee experience in service of ensuring successful innovation strategies. These three trends are design thinking, agile methodology, and disruptive innovation. Below is a description of each of these trends, why they have become important trends among European innovative consultancies, and examples of European companies integrating insights from these trends.

Innovative Consulting Firms in Europe

  • Innovative Leader--a media site dedicated to delivering news, analysis, and insights to companies/entrepreneurs interested in innovative strategies and trends--publishes a list of innovation strategy and consultancy firms, including those in Europe.
  • European innovative consulting firms included on this list--and embracing the three trends described below--are IDEO, Innosight, Hype, Lux Research, and DXC.technology.

Innovation Consulting Firms Trend #1: Design Thinking

Description

  • Design thinking as a strategy recommended by European innovative consulting firms to help companies deeply understand their customer experiences and redesign processes to improve those experiences. Design thinking emphasizes a human-centered approach by using ethnographic techniques (observing behavior, facial expressions, habits of consumers, focus groups, analyzing online reviews and responses).
  • Design thinking involves multiple factors--establishing a more personal relationship with the customer, developing greater empathy for the customer in employees, cultivating divergent thinking (asking the team to keep generating ideas rather than quickly narrow in on ideas that have a consensus), and embracing failure as crucial data in a redesign strategy.
  • Tim Brown, CEO of IDEO, a global innovation consulting firm, explains the crucial role of empathy insofar as it helps businesses redesign processes that will improve the customer experience of people very different from themselves.
  • To deepen employees' understanding of the customer experience, some companies may interview customers, simulate the customer experience for their employees, or video interactions with customers. The point is to help employees see what it is like to be a customer navigating an organization or company to secure services or products.
  • Crucial to design thinking as a strategy for innovation is creating prototypes, testing them with customers, and studying customer feedback--including failures--to effectively redesign products and services.

Why it is a Trend

  • One metric indicating that design thinking is a trend is the stock performance of companies who have implemented these principles. The Design Management Institute’s Design Value Index found that companies embracing design thinking outperformed the S&P 500 by 211 percent over the past 10 years.
  • Two of the most valuable brands in the world--Aston Martin and Burberry--have hired design leaders in company management to ensure these companies are always keeping the customer experience close at hand in their operations.

Examples

  • The Switzerland-based company Nespresso integrated design thinking principles by encouraging employees to observe consumers both online and in brick and mortar stores to better grasp what customers wanted from this brand. This enabled Nespresso to innovate by, for example, creating two-hour delivery programs, loyalty programs, and an online magazine.
  • To cultivate greater empathy for customers, Deutsche Bank required that its workers utilize the same products and services as their customers.

Innovation Consulting Firms Trend #2: Agile Methodology

Description

  • Agile methodology is considered one of the hottest trends among European innovation consulting firms, such as Innosight, IDEO, and DXC.technology, because it helps a company become more responsive to changing dynamics, specifically the changing needs of customers. This methodology conceives of companies as organisms able to quickly adapt and respond to new, unpredictable, and sudden changes in their environments while, nonetheless, maintaining overall stability.
  • Agile companies are non-hierarchal, that is, rather than have top management drive all innovations, decisions, and responses to consumers, innovation is driven by autonomous teams (that is, entrusted to make decisions without consulting top management) of employees from different sectors and skill sets of the company. These teams collaborate, share and cross-train, and learn from frontline employees that are directly interacting with customers to adapt practices throughout the company.

Why it is a Trend

  • Forbes reports that agile management/methodology is not a mere "passing craze," but a paradigm shift that has persisted for two decades.
  • McKinsey, in a report focusing on customer-centric approaches that include agile methodology, claims it is "one of the hottest management trends" because it has important improved performance.
  • Many of the most profitable software/technology companies, such as Apple, Facebook, and Google, have implemented agile methodology.

Examples

  • In working with Innosight, Daimler AG implemented agile methodology that led to important innovations of its services, including a car-sharing service. Employees, who were asked for insight on how to better, pointed out the value of being able to act as more autonomous teams (not depend on consulting top management) to respond to customer feedback.
  • Bosch, in an effort to become a more agile company, abolished its seven-layer hierarchical structure and created 54 small teams of 5-11 members.


Innovation Consulting Firms Trend #3: Disruptive Innovation

Description

  • Clayton Christensen, one of the founders of the European innovative consulting firm Innosight, coined the phrase "disruptive innovation" to denote strategies to deliver services or products previously out of reach to many consumers with innovative business models.
  • One facet of deploying disruptive innovation is to clearly articulate the assumptions about customers (their needs, preferred interactions, most profitable business model) in order to more critically examine if these assumptions are still (or ever were) accurate.
  • Next, disruptive innovation involves taking an opposite or contrary view of those assumptions to test a different model (e.g., Apple rejected a business model that assumed customers wanted to buy computers online in order to open stores).
  • Disruptive innovation employs new technologies (AI, the cloud, IoT) to develop new solutions for delivering goods and services less expensively.

Why it is a Trend

  • Disruptive innovation is an important trend because it has ushered in revolutionary business models that have given far more consumer access to goods/services previously out of reach (e.g., education or airline travel).
  • Some of the most profitable companies in the world, for example Amazon, owe their success to disruptive innovation.

Examples

  • Two important European companies employing disruptive technologies that have led to disruptive innovation are Ayden, a global payment system, and Karma, a company that facilitates the buying of unused (and perfectly good) food from restaurants/retail/cafes to be sold a reduced price in the form of takeout.

Research Strategy

The research team first searched consulting industry reports and business periodicals (e.g., Harvard Business Review, McKinsey, Fast Company, Forbes, and Fortune) to search for emerging European trends in adapting companies to become more innovative and competitive. We identified three important trends: design thinking, agile methodology, and disruptive theory.

Based on previous research, the team was able to generate a list of European innovative consulting firms. We then searched the company websites on this list, as well as the same industry and business periodicals, to determine whether these firms were indeed promoting the three trends identified above. This enabled us to narrow our list to IDEO, Innosight, Lux Research, Hype, and DXC. technology.

Finally, we further researched industry reports and the company websites of European innovation consulting firms to locate examples of European companies that implemented one of these three tends.
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Co-Working Trends- Germany

Three trends in the coworking space in Germany are offering childcare, a shift to space as a service, and continued growth in the sector.

Offering Childcare

  • While only 2% of coworking spaces offered childcare in 2018, this is beginning to change.
  • JuggleHub opened in 2016, CoWork Play opened in 2017, and COWOKI opened in 2017. COWOKI had plans to open a second childcare space in August 2019, since all the childcare spaces at the first location were fully booked. The second space will double the number of childcare spots available.
  • Although currently only about 10 of the 450 coworking spaces in Germany offer childcare, there is a demand for the service. There is an issue with childcare availability in Germany and, in 2018, there were about 300,000 fewer childcare spots available for children under the age of 3 than were needed.
  • This was selected as a trend because the growth of coworking spaces with childcare was reported on by AllWork, an expert in the flexible workspace industry, and based on an interview with Peggy Wahrlich, the founder of COWOKI, who indicated that it was a general trend in the coworking space in Germany.

Shift to Space as a Service

  • Flexible workspace in Germany grew by 41% in 2018 as compared to 2017.
  • Part of the growth is from existing centers expanding their space to accommodate corporations that are looking for space to lease. This is one of the drivers that is shifting flexible workspaces from centers for entrepreneurs and freelancers to instead focus on space as a service.
  • Coworking spaces are targeting corporations that may need additional space for temporary projects or short term expansions.
  • Betahuas Hamburg has spaces that can accommodate up to 200 people which would seem to cater to a corporate market. Basislager has one space that can accommodate up to 300 people.
  • This was selected as a trend because it was reported on by both AllWork and JLL, a real estate company with expertise in flexible workspaces.

Growth

  • JLL reports that it is expected that the coworking space industry in Germany will continue to grow due to several factors including spaces being opened outside city centers, more interest from investors, and increased use of the spaces by corporations.
  • The top three players in the German coworking market are Regus, WeWork and Design Offices. As of 2018, the three companies had planned a bit less than 200,000 sqm of additional space (read from the graph on page 7 of the report).
  • Although 2017 growth in the coworking space market in Europe was about 25%, it was much higher in Hamburg, (60%), Berlin (50%), and Frankfurt (50%). Germany overall had growth of 41%.
  • One of the reasons that Germany is expected to have continued growth in the sector is due to the fact that there are international players that have not yet entered the German market. One example is the Australian company Servcorp.
  • This was selected as a trend due to reporting by JLL and by Bato Group, a real estate investment firm based in Berlin.
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Co-Working Trends- Europe

Trends in co-working spaces in Europe include widespread growth, medium-sized co-working units steadily gaining ground, and the opening of co-working spaces being driven by global players.

Widespread Growth

  • There has been a recent continuous growth in the average co-working space in Europe year over year, as the demand for flexible workspace solutions from corporate clients increases.
  • The demand comes from tenants looking for workspaces that offer the ability to be flexible on leasing, while cutting costs at the same time. This has led to both small and larger tenants that are considering less traditional space.
  • This is a trend because the amount of co-working space leased, and its share of total office space, has risen from the end of 2016 through mid-2018.

Medium-Sized Co-Working Units are Steadily Gaining Ground

Opening of co-working Spaces are Mainly Being Driven by Global Players

  • Large global players have arrived in the market who are comfortable with both the construction of large buildings and the improvement of standards in the co-working space sector.
  • WeWork and Regus are some examples of global companies that are the drivers to opening co-working spaces by international global players in the co-working sector.

Research Strategy:

To identify trends in co-working spaces in Europe, we searched for news articles, press releases, and media publications on related topics, while paying particular attention to those trends which are specific to Europe. The rationale behind this strategy was to try to identify any recent and repeated issue, event, action, activity that involves a change in how things are done or something that people or companies or other actors are doing more and more often (or less and less frequently), over time in the co-working space sector on the European continent.

After going through numerous news articles published in leading media outlets we were then able to identify three trends in co-working spaces in Europe and pull out the description of each trend and highlight the reasons for its consideration as a trend, as well as give examples of the trend.
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European Innovative Consulting Firms- Key Drivers

Information on the drivers of innovative consulting firms in Europe was not publicly available. The research team has, however, provided some useful insights below.

Helpful Findings

Information on Innovation Consulting in Various European Countries

Reasons why Clients Seek Innovation Consulting

  • According to REDINN, companies in Europe are being challenged on multiple fronts such as economic, societal, geopolitical, technological, and environmental and require consulting services to gain competitive advantage and anticipate growing demands from customers.
  • According to Rödl & Partner, the development and use of new products and technology are key factors for companies to secure and strengthen their market position.
  • According to IMP³rove, Europe’s diverse landscape is a key driver for successful innovation.
  • According to LGI, the innovation journey goes through the following phases, "Ideation, Validation, Startup, Scale-up and Market Player."

Other Useful Information:

Research Strategy:

The research team started with directly searching for any industry reports or market studies around innovative consulting firms in Europe published by leading market research firms since such reports usually provide information such as key drivers in the market. We came across numerous reports published by the European Federation of Management Consultancies Associations, Forrester, and Consultancy Europe that provided general information on consulting firms offering innovation consulting services. However, none of the reports provided any information on drivers of innovative consulting firms in Europe.
Further, we searched through the company websites, press releases, and publications for the Best Consulting Firms in Europe for Innovation published by Vault. The idea here was to find any articles or publications published by such companies that would provide any information on what factors are driving the demand for innovative consulting or why these companies started to offer innovative consulting services. However, after checking through numerous consulting firms including but not limited to REDINN, Rödl & Partner, IMP³rove, LGI, and Deloitte, no information could be found on what factors are driving the demand for innovative consulting or why have these companies started to offer innovative consulting services. Most of the information published by such consulting firms only provide information on why clients require innovation consulting for their organizations as opposed to drivers for innovative consulting services offered by these firms.

Lastly, we searched through various news and media articles published by websites specializing in consulting and business management sectors. The idea here was to find any articles that would contain any interviews or commentary provided by industry experts, market participants, and key opinion leaders around the drivers of innovative consulting firms in Europe. However, most of the articles found, such as the ones published by RocketSpace, Aston Carter, and Inc., again only provided information on why clients require innovation consulting for their organizations as opposed to drivers for innovative consulting services offered by these firms.
Thereby, after exhausting the above-mentioned strategies, we concluded that limited information is available on the drivers of innovative consulting firms in Europe. One of the probable reasons for the unavailability of such information could be that innovative consulting firms have not disclosed such information in the public domain due to competitive reasons. It could also be possible that such niche information specific to innovative consulting firms could be a part of the paid versions of some market research studies and has not been disclosed in the public domain .

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Co-Working Market Drivers- Germany

The coworking industry in Germany is driven by the expensive real estate in Berlin, expansion of the customer base to mid and large-sized businesses, the entry of international players in the market, and the booming tech startup scene in Berlin.

Berlin's Bullish Real Estate Market

  • Germany has roughly 350 coworking space, half of which are in Berlin.
  • Office vacancy rates in Berlin contracted from 5.4% in 2013 to 1.7% in 2018 and 1.5% in Q1 2019.
  • "Renting offices in Mitte has become almost impossible," says Björn Budack, the chief of Kiez Büro. In Mitte, the vacancy rates are as low as 0.3%.
  • The unavailability of space combined with the high cost of renting has benefited the coworking sector in Berlin as it offers short-term rentals that don't come with the inherent risk of signing expensive long-term lease contracts.
  • The real estate prices have also risen as a result of coworking companies gobbling up space.

Thriving Tech Startups

  • Berlin has a thriving tech startup scene. The short-term rentals and flexibility offered by coworking companies suit tech startups as they often employ freelancers and teams working remotely. Coworking spaces are also suited to tech startups with small teams.
  • The coworking spaces have a kitchen, 24x7 access, good ambiance, and provide networking opportunities for startups. They come with "state-of-the-art facilities, futuristic meeting rooms, and sleek interior design.
  • Modern work styles demand freedom and the opportunity to collaborate which coworking spaces offer.

Shift to Space-as-a-Service

  • Coworking spaces are now extending services beyond the startup community to corporates. Many coworking companies are now developing much larger spaces to cater to mid and large-sized businesses.
  • The larger setups offer more private offices, "community areas, and activity-based workstations" to suit enterprises.
  • Despite having its own office space, Amazon is renting coworking spaces temporarily to accommodate its growing staff in Berlin, currently over 2,300.

New Entrants in the Market

  • The coworking market in Germany exhibited strong growth for the second consecutive year in 2018. In 2018, the supply of office space grew by 41%; however, despite the increase in supply, the capacity rate increased by two percent to 93%, indicating a "great opportunity for growth".
  • As international companies enter the space to capitalize on this opportunity, there will be an increase in the supply of coworking spaces across different concepts and styles. It is forecasted that 2019 will see Europe add 255 million sq.ft. of flexible office space and Germany will be one of the key markets contributing to the growth.
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Co-Working Market Drivers- Europe

Three drivers of the coworking market in Europe are the aggregation of entrepreneurs and freelancers, startups, and cost. Details of these drivers are below.

The Aggregation of Entrepreneurs and Freelancers

  • According to Cushman & Wakefield's European Coworking Hotspot Index report, in Europe, "coworking has largely been driven by aggregating entrepreneurs and freelancers."
  • Entrepreneurs and freelancers who are in business for themselves are looking to share resources and foster a work-like community as an alternative to a solitary home office, which has increased demand for flexible workspaces.
  • This driver is supported by the 2018 Global Coworking Forecast, which states that a main driver of the coworking market in Europe (and globally) is the growing number of self-employed knowledge workers.
  • As these individuals seek space to gather together to share equipment, ideas, and knowledge, landlords have had to develop creative leasing arrangements to meet the demand for coworking environments.
  • The impact this aggregation has had on the market is to shift the power from landlords to tenants, thereby driving the growth of flexible leasing arrangements.

Startups

  • High-growth startups with many younger employees are also driving the coworking market in Europe.
  • The reason flexible workspaces are useful for fast-growing startups is that they can scale their staffs as they grow without moving offices.
  • The 2018 Global Coworking Forecast confirms this driver as it states, "Startups will continue to flock to coworking spaces: Startups understand the cost, flexibility and talent attraction advantages provided by coworking spaces. Because of these advantages, coworking spaces will continue to be the location of choice for most startups."
  • Young people working for these startups are used to flexible schedules and working remotely is often seen as a perk; however, they still desire community and social interaction.
  • As a result, the impact of startups on the coworking market is that more flexible workspace options are in demand for longer periods of time and cities such as Amsterdam and London, which have high numbers of startups, are projected to see more growth in the coworking market than cities with fewer startups.

Cost

  • The lower relative cost of renting coworking space compared to leasing a full office space is driving the coworking market in Europe.
  • For instance, even though rents in Berlin, Germany have steadily increased, the low cost of coworking spaces initially drove demand in this city.
  • Berlin is still a draw for companies and individuals who desire coworking arrangements and "tenants looking for low-cost options have a wide selection of suitable submarkets."
  • Cushman & Wakefield projects that coworking operators will continue to "fine-tune their offer as a cost-effective and flexible way to rent space."
  • A Collier's survey for its 2019 Flexible Workspace Outlook Report found that one of the main reasons for leasing space at coworking centers in Germany is "reducing costs." In Copenhagen, coworking is a fairly new phenomenon, but "one of the reasons they are becoming increasingly popular is the possibility for users to save costs."
  • Cost is impacting the coworking market in Europe in that as more people desire cheaper leasing arrangements, coworking environments are becoming more desirable.
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Germany Co-Working Spaces- User Journey

To find a co-working space in Germany, users can look through various directories of co-working spaces such as Coworker.com, Desk Wanted and Cowork Booking, as well as co-working companies such as WeWork and Regus. They can contact these spaces by calling, requesting a consultation or contacting the spaces directly through their respective pages. Leases are either hourly, daily, weekly, monthly, annual or biennial depending on the space type, website or membership plan.

How to Find Space

Contact Details

How Long Leases Are

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Europe Co-Working Spaces- User Journey

The typical user journey of a European potential coworking customer beings with the decision to look into coworking, a review of coworking options via internet search, narrowing down the number of options based on specific considerations, and finally making the final decision based on in-person trial days and community fit.

Motivations and Considerations

  • Customers are motivated to look for a coworking space due to the need of self-employed and freelance individuals to have better workspace options, the desire for a better work/life balance, the flexibility of short-term coworking leases and contracts, the sustainability of coworking spaces, and the additional attractions they offer like social interaction and amenities.
  • The top motivations for looking for a coworking space are the need for a space outside the home, the "vibrant and creative" atmosphere of coworking, how affordable the space is, social and networking opportunities with coworkers, the sense of community, and the flexibility coworking spaces provide.
  • When choosing a coworking space, consumers considered the accessibility, the interior and exterior aesthetics, the layout of the space, the type of contract, the diversity of other workers, the hospitality of the space, the events the community offered, and what types of office spaces the location offered.
  • Other surveys show similar considerations by consumers like convenience, accessibility, amenities, security, price, parking, pet friendly, and the design.
  • Different consumers have different motivations and considerations when choosing a coworking space, however. For example, freelancers value community much more than employees of established companies. Employed persons do, however, desire a good social atmosphere.

Finding

  • The typical customer journey for finding a coworking space starts with deciding to look into coworking based on the motivations noted above, looking for specific spaces on the internet (via social media and search), obtaining many results, sifting through the results based on the considerations noted above, and narrowing down the list and finally choosing a specific place and signing up.
  • When researching a coworking space, the majority of customers use social media to find spaces. The platforms used include Facebook, email newsletters, Twitter, Instagram, blogs, and LinkedIn.
  • Potential members also attend coworking events geared towards attracting new members and utilize search engines to research potential spaces. Most common keywords utilized include coworking, coworking + location, meeting, shared, flexible, affordable, and collaborative.
  • When asked how they found their specific coworking space, the most common answer is word of mouth, followed by internet search, directed by their company, and social media.
  • However, while directed by their company may be a common specific reason for choosing a coworking space, it is important to remember that the majority (80%) of Europeans choose their own coworking space without being directed by their employer.
  • Reviews from coworking members is also an important part of the decision-making process for potential members, with 97% of survey respondents noting that they were "review driven".
  • One pain point users experienced when reviewing potential coworking sights was not having all the information readily accessible to them, since some spaces do not publish everything on their website. This could potentially lead to abandonment of the search or of the review of that particular coworking space, and therefore a loss of potential customer.

Securing

  • After creating a small list of potential spaces based on internet research, most customers will visit the spaces in person to make the final decision. Many rely on trial days to get a better idea of the amenities and to find community fit.
  • Once a customer signs on to a coworking space, they tend to stay with that company.
  • Of members, around 75% intend to stay with their chosen company for a year or more, so the importance of obtaining new members cannot be understated.

Research Strategy

In order to compile this user journey, since a pre-compiled user journey was unavailable, the research team reviewed survey results from global and European coworking users as well as coworking companies. We also used guides published by European or global companies on choosing coworking spaces, as well as literature published by coworking space owners that illustrated their customer mapping exercises.

Part
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Part
12

Germany Innovative Consulting Firms Customer Profile

Based on the findings from the research team, it can be surmised that the typical companies seeking innovative consulting firm in Germany include manufacturing companies preparing for the fourth industrial revolution, companies that handle sensitive customer information, companies seeking digital transformation, businesses looking to implement past strategies, and companies at more risk of cyberattacks. In a 2016 survey by the Scientific Society for Management and Consulting (WGMB), 81% of medium-sized companies expect their consultants to develop bespoke solutions to their problems and not use standardized methods.

Typical Customers or Businesses That Use Innovative Consulting Firm in Germany

  • According to an article by Handelsblatt, companies in Germany have been slow in going digital. This has created a massive revenue opportunity in the high-tech strategy segment for consulting firms in the country.
  • Consulting firms are increasingly drafting large teams to help businesses "design and implement new digital strategies." PwC’s head of Germany, Norbert Winkeljohann noted that this segment of the industry alone may make up as much as 10% of the consulting revenues in the future.
  • PWC has long-established cybersecurity as a key area of focus in Germany owing to the increasing number of ransomware attacks.
  • Manufacturing companies are also seeking to transition their operations to fit into the fourth industrial revolution, in which big data and smart automation are key components.
  • This means there is also a "strong demand right now for support when it comes to analyzing how artificial intelligence and data processing are changing classical manufacturing processes."
  • There's also a case of companies correcting past mistakes and problems that exists due to old habits and ways of doing things.
  • Professor of Economics, Dietmar Fink, managing director of the Scientific Society for Management and Consulting in an interview reiterated the role digitization is playing in why companies are approaching innovative consulting firms. Dietmar Fink notes that in the past few years, a lot of companies have focused on developing a digital transformation strategy, however, they have not progressed into implementing those strategies.
  • These companies know where they ought to be based on past strategy sessions, but need help "implementing the strategy they have developed in recent years in their day-to-day business."
  • One of the hurdles in moving from strategy to implementation is cost. According to Dietmar Fink, "Strategy projects are exciting, but they do not cost so much in total because only a few people are involved. Implementation projects, on the other hand, are very budget-intensive."
  • Based on the aforementioned points, it can be surmised that the typical companies seeking innovative consulting firm in Germany include manufacturing companies preparing for the fourth industrial revolution, companies that handle sensitive customer information, companies seeking digital transformation, businesses looking to implement past strategies, and companies at more risk of cyberattacks.

What Businesses Desire of Their Consulting Firms

  • According to Stefan Lutz, Managing Director of IBM Germany GmbH, "Customer demand for concepts and paper-based results will dwindle." He further explained that "instead, more and more the desire for concrete results with high practical relevance is expressed, in the sense of 'show me, do not tell me'."
  • German customers who use SAP support providers do not want these providers to only support the product, but to also "advise on future SAP strategies and roadmaps." This has come to the fore as SAP has announced that it will no longer support old products until 2025.
  • In a 2016 survey by the Scientific Society for Management and Consulting (WGMB), 89% of medium-sized companies "expect consultants to speak the language of their own employees, that is, to communicate with them at eye level."
  • In the same survey referenced above, 81% of medium-sized companies expect their consultants to develop bespoke solutions to their problems and not use standardized methods.

Research Strategy

Kindly note that we had to resort to using the result of the 2016 survey by the Scientific Society for Management and Consulting (WGMB) due to a lack of more recent information on what businesses in Germany desire from consulting firms. To get more recent information, we searched for reports, surveys, and polls that would provide new insights into what companies want from consulting firms. Our findings indicate that most of the recent surveys and reports focused on the top consulting firms in Germany. We also looked through some top consulting firms to see what they are saying on the subject matter but found that most articles or publications about consulting in Germany were focused on the market opportunity. While we have provided newer insights on what customers want from consulting firms, we have augmented these insights with older information due to a lack of more recent information.



Part
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Part
13

Germany Co-Working Spaces Customer Profile

In Germany, startups and businesses with less than 250 employees are the typical users of coworking spaces. These companies actively seek amenities like high-speed internet connection and conference rooms while choosing a coworking space.

Businesses Using Coworking Spaces & their Size

  • About 37% of coworking space tenants in Germany are small and mid-size established companies that have low space requirements but high standards.
  • Around 35% of coworking space users in the country are sole proprietors requiring low space and startups/ micro companies looking to expand.
  • Only 28% of coworking space tenants are large companies with high standards and strict rules in terms of infrastructure, space, and services.
  • In Germany, micro companies have 0 to 9 employees. Small companies have 10 to 49 employees on average, while medium-sized firms have 50 to 249 employees on average.
  • Large firms in the country have 250 or more employees.

Average Rent

  • The average rent for a coworking station/desk in Germany ranges from €13 to €50 a month. This is mainly for freelancers and students.
  • Larger coworking spaces could cost €99 to €500 per month.
  • Private offices could cost up to €7,000 per month.
  • The cost of renting a coworking space in Germany is dependent on the amenities needed, space needed, and perks required.

What Businesses Desire

  • Based on a survey of 20 occupiers of coworking centers, their main motivation behind renting a coworking space is reducing their fixed costs when "space requirements fluctuate during certain project phases or while they are getting a company established."
  • Another reason these businesses lease coworking spaces is the limited available space at a location they desire due to the office real estate market situation in Germany.
  • In addition, a lot of customers rent co-working spaces for connections and to have a sense of community.
  • Over 60% of businesses flock to coworking centers to promote "innovation by interacting and communicating with other companies."
  • Companies in Germany consider coworking centers as a modern work environment that offers a way to recruit young skilled talents and retain employees.
  • Almost all coworking center tenants in Germany want technical infrastructure, such as a high-speed internet connection.
  • More than 80% of co-working tenants in Germany want a coworking space with conference rooms, while over 50% want coworking centers with a lounge/common area.
  • Other most wanted qualities in a coworking center include a production space/workshop, special equipment such as a smart board and 3D printer, events aimed at promoting cooperation, showroom, and general office services.
Part
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Part
14

Europe Co-Working Spaces Customer Profile

Typically, coworking spaces in Europe target tech startups with fewer than 10 employees. The average rent for a dedicated desk with 24/7 access is $357 in the eurozone and $324 in England. Social interactions, proximity to home, and coworking space infrastructure are the top reasons why customers desire a coworking space.

Typical Businesses

  • The growth in Europe's coworking spaces is driven by the booming tech industry. Coworking spaces in Europe are focusing on bringing entrepreneurs together and providing a support group in addition to the office space.
  • In the Netherlands, there are 1,052 tech companies that collectively employ 60,000 individuals, "representing 11% of the job market". Many of these tech companies operate from coworking spaces.
  • Over three-quarters (78%) of the European flexible workspace market can be attributed to WeWork and IWG (Regus).
  • In London, the typical flexible workspace is 20,000 sq. ft. However, WeWork has taken up spaces larger than 200,000 sq.ft. and is now targeting enterprises. For instance, in its Waterloo building (280,000 sq.ft.), HSBC has taken on lease 1,000 desks; Facebook has rented an entire building from WeWork in London.
  • Originally, WeWork only targeted freelancers and startups. Corporate clients now make up one-third of its members. Globally, 40% of its members are now enterprises--double of that in March 2017 (20%).
  • "Fortune 500 companies like GM, GE, IBM, Microsoft" are some of WeWorks clients globally.

Average Size

  • Coworking spaces in Europe target organizations with under 10 employees. Only 6% of coworking spaces target larger businesses. The majority of coworking space clients are still individuals.
  • With most businesses sizes being fewer than 10 employees and a relatively small fraction comprising enterprises, the average size will not reflect the typical size of a business using coworking spaces. For example, if there are 100 companies with 10 employees and one company with 5,000 employees. The average of 59.4 ((1000+5000)/101) will not correctly reflect the typical business size.

Average Rent

  • The average monthly rent for a dedicated desk with 24/7 access is €245 ($357) in the eurozone.
  • The average monthly rent for a flexible desk during office hours is €189 ($273) in the eurozone.
  • The average monthly rent for a dedicated desk with 24/7 access is £200 ($324) in England.
  • The average monthly rent for a flexible desk during office hours is £168 ($274) in England.

Reasons for Choosing a Coworking Space

  • The top reasons customers in Europe choose a particular coworking space are "social interactions", "proximity", and "office infrastructure."
  • The top reasons freelancers in Europe choose a particular coworking space:
    • A community (71%)
    • Proximity to home (68%)
    • Basic office infrastructure (54%)
  • The top reasons employees in Europe choose a particular coworking space:
    • A social atmosphere (79%)
    • Proximity to home (68%)
    • Access to Transportation (61%)
  • The top reasons employers in Europe choose a particular coworking space:
    • A social atmosphere (68%)
    • Office infrastructure (60-65%)
    • Good bang for one's buck (64%)

Additional Information

  • According to Cushman & Wakefield Research, London, Paris, Stockholm, Dublin, Copenhagen, Munich, Berlin, Helsinki, Amsterdam, and Madrid are key coworking cities in Europe.
  • There are 6,850 coworking spaces in Europe.



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Part
15

German Cities For Co-Working- Competitive Landscape 2

There are 32 co-working spaces in Frankfurt. These spaces are priced at about €260 to €350 per month. Co-working spaces in Frankfurt target corporate clients such as law firms, banks, and consulting firms.

Frankfurt

  • Co-working space in Frankfurt includes desk (both hot and fixed desk), meeting rooms, and private offices.
  • Frankfurt has 32 co-working spaces.
  • The pricing for co-working spaces in the city ranges from €260 to about €350 per month.
  • With the city of Frankfurt attracting large corporate clients, the co-working spaces in the city target these corporate clients such as law firms, banks, and consulting firms.
  • WeWork is the largest provider of working spaces in the city. This includes both existing and planned locations in the city as of 2018.
  • WeWork service offerings can be categorized under space, services, perks, and others.
    • Space: They offer common areas and lounges, high-speed Wi-Fi, conference rooms, phone booths, and kitchenettes.
    • Services: They offer front-desk and guest reception, business-class printing, mail and package handling, cleaning services, building operations, and streamlined billing process.
    • Perks: They offer microbrewed coffee and herbal tea, events and conferences, and desirable neighborhoods.
    • Others: They offer on-site support, flexible membership agreements, an option to add space, and others.

Cologne

Dusseldorf

Research Strategy

To provide an analysis of co-working spaces in Frankfurt, Cologne, and Dusseldorf, your research team search through co-working space aggregators such as Coworker. While relevant information from these sources was found, there was no unified information on the type of services offered by these operators in the listed cities. We searched through each of the operators identified on Coworker for each city and found that they offer similar services. Therefore, to provide information on services offered in each city, we identified the operators that are the largest providers in each city based on existing and planned square meters of co-working space available. We have assumed their service offerings to represent the services offered by most co-working spaces in the city since they have the largest share of the co-working space market in those states.


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Part
16

German Cities For Co-Working- Competitive Landscape

Munich has 40 co-working spaces priced at between €300 to €600 per month. Berlin has 93 co-working spaces that target businesses in the tech and creative industries.

Berlin

  • The pricing for co-working spaces in the city ranges from €175 to €500 per month.
  • Co-working spaces in Berlin target early-stage businesses in the tech and creative industries.
  • WeWork is the largest provider in Berlin. This includes both existing and planned locations in the city as of 2018.
  • WeWork service offerings can be categorized under space, services, perks, and others.
      • Space: They offer common areas and lounges, high-speed Wi-Fi, conference rooms, phone booths, and kitchenettes.
      • Services: They offer front-desk and guest reception, business-class printing, mail and package handling, cleaning services, building operations, and streamlined billing process.
      • Perks: They offer microbrewed coffee and herbal tea, events and conferences, and desirable neighborhoods.
      • Others: They offer on-site support, flexible membership agreements, an option to add space, and others.

Munich

Hamburg

Research Strategy

To provide an analysis of co-working spaces in Berlin, Munich, and Hamburg, your research team search through co-working space aggregator websites such as Coworker. While we relevant information from these sources, there was no unified information on the type of services offered by these operators in the listed cities. We searched through each of the operators identified on Coworker for each city and found that they offer similar services. Therefore, to provide information on services offered in each city, we identified the operators that are the largest providers in each city based on existing and planned square meters of co-working space available. We have assumed their service offerings to represent the services offered by most co-working spaces in the city since they have the largest share of the co-working space market in those states.
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Part
17

Europe Cities For Co-Working- Competitive Landscape 2

Coworker has listed 29 co-working spaces in Dublin, 26 co-working spaces in Copenhagen and 40 co-working spaces in Munich. The different types of co-working spaces offered in the three cities include desks, private offices, meeting rooms, event spaces and mobile offices. All three cities have startups as part of the target market for their co-working spaces.

Dublin, Ireland

  • The types of co-working spaces in Dublin include desks, private offices and meeting rooms.
  • Coworker has listed 29 co-working spaces in Dublin.
  • The daily pricing for Dublin's spaces on Coworker ranges from €10 to €55 per day. There is also a space that goes for €75 per week and another one that goes for €120 per month.
  • The top co-working spaces in Dublin include CoCreate, The Brickhouse and The Tara Building.
  • The services offered by CoCreate are as follows:
    • Dedicated desks, ideal for remote teams, freelancers, consultants and small business owners. They also come with office essentials, printers, WiFi and meeting rooms.
    • Hot desks, ideal for students, freelancers, remote workers and business travelers.
    • Private offices, ideal for small business owners, remote teams and startups. They come with office essentials, printers and meeting rooms.
    • Corporate workspaces, ideal for new and established businesses as well as branch offices.
  • The services offered by The Brickhouse are as follows:
    • Co-working, where users can choose between hot desk flexibility where they change their spots daily, or dedicated desks to act as a base for their teams.
    • Studios, which are small private office spaces ideal for one person.
    • Office suites, which are enclosed and lockable workspaces for teams.
    • Custom builds, where users can customize an office, floor or building.
  • The services offered by The Tara Building are as follows:
  • The target market for Dublin’s co-working spaces includes overseas visitors staying for longer periods, Dublin’s younger residents seeking work flexibility, remote workers and teams, freelancers, consultants, small business owners, students, business travelers, startups, established businesses and branch offices.

Copenhagen, Denmark

  • The types of co-working spaces in Copenhagen include desks, private offices and meeting rooms.
  • Coworker has listed 26 co-working spaces in Copenhagen.
  • The daily pricing for Copenhagen's spaces on Coworker ranges from DKK 75 to DKK 300 per day. The monthly pricing ranges from DKK 269 to DKK 3500 per month.
  • Copenhagen's top co-working spaces include Republikken, SOHO and Rainmaking Loft.
  • The services offered by Republikken are as follows:
      • Open workspaces with unlimited espresso or tea and food at a fair price.
      • Private offices with Wi-Fi, a coffee brewer and a printer, but with the user's own furniture.
      • Meeting rooms with tea, coffee and espresso, as well as different catering packages.
    • The services offered by SOHO are as follows:
    • The services offered by Rainmaking Loft are as follows:
      • Coworking, which includes lounges, private desks or closed offices in a shared workspace.
      • Innovation School, which teaches the most in-demand skills and tools required to tackle work challenges.
      • Event spaces where users can hold various events including conferences, meetings, workshops and receptions.
    • The target market for Copenhagen’s co-working spaces includes startups, entrepreneurs, designers, architects, product developers and programmers.

Munich, Germany

  • Coworker has listed 40 co-working spaces in Munich.
  • The daily pricing for Munich's spaces on Coworker ranges from €1 to €60 per day. The monthly pricing ranges from €250 to €499 per month.
  • Munich's top co-working spaces include Mindspace, Smart Village and Idea Kitchen.
  • The services offered by Mindspace are as follows:
      • Private offices which are either single, double, triple or larger; are fully furnished and include 24/7 access to the stocked kitchen and coffee bar, WiFi and VLAN.
      • An open space with dedicated seats, meeting room hours, fast internet, printers and scanners and 24/7 access.
      • Meeting rooms with a large LCD screen and Apple TV, and 24/7 access.
      • Locations for business events, launches, meetings or other events.
    • The services offered by Smart Village are as follows:
    • The services offered by Idea Kitchen are as follows:
    • The target market for Munich’s co-working spaces includes startups, entrepreneurs, freelancers, businesses, designers and consultants and home officers.

Research Strategy

In order to provide a competitive landscape of Dublin, Copenhagen and Munich, we got the information on space types, space numbers and pricing from Coworker.com, which is "the largest network of verified coworking spaces globally." We also looked through news sites and industry-related sites such as Travel Mags, Startup Guide, The Culture Trip, Tech Meetups and EU Startups, where we were able to identify the target market for the co-working spaces as well as the services offered by the top co-working spaces (those mentioned in several sources).
Part
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Part
18

Europe Cities For Co-Working- Competitive Landscape

London is the largest coworking market in Europe with over 1,023 coworking spaces. In comparison, there are over 400 coworking spaces in Paris, and more than 70 coworking spaces in Stockholm.

London, United Kingdom

  • On average, the price of a coworking desk/space in London is €820 monthly.
  • London has 1,023 coworking spaces.
  • WeWork is the largest coworking supplier in London. The company occupies more than 270,000 square meters in coworking spaces.
  • The types of coworking spaces in London are desks (hot desk, lab desk, and dedicated desk), office suites, and private offices.
  • Services offered include filing cabinets, speedy internet, printers and office supplies, common areas, kitchens, and phone booths.
  • Amenities like smart boards can be provided on demand. However, they cost more.
  • Coworking spaces in London target micro companies - companies with less than 10 employees.

Paris, France

Stockholm, Sweden


Part
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Part
19

European Innovative Consulting Firms- Competitive Landscape 2

Implement Consulting was founded in 1996, Bain & Company was founded in 1973, and Fjord was founded in 2001. For the last three companies identified in the "Innovative Consulting Firms- Europe Key Players" research, the requested details has been provided below.

(1) Implement Consulting

Overview

  • Implement Consulting's headquarters is located in Hellerup, Copenhagen. Their other offices are located in Aarhus, Stockholm, Malmo, Oslo, Zurich, and Munich.
  • They have over 900 employees working to accomplish the company's goals.
  • The company was founded in 1996.

Services offered

  • Strategy & Transformation: Implement Consulting helps organizations implement and make strategic decisions by offering strategy and transformation services such as mergers & acquisitions, organizational design, strategy development, and digital strategy.
  • Operations & Efficiency: They help organizations improve the efficiency of their processes in areas such as supply chain, manufacturing footprint, automation, maintenance, and service delivery.
  • Digitalization & IT: With this service, they help organizations improve their digital infrastructure using lean IT principles. The services they offer include IT management, system sourcing, and system procurement.
  • Leadership & change: For organizations looking to alter their mode of operations and thought processes, the company helps them optimize their cultures in preparation for restructuring and change. They focus on implementing a "human-centric approach" to change and "optimizing team performance".
  • Growth & Innovation: The company offers lean innovation, product modularisation, and user-centred design services to help organizations "innovate for growth".

Target Market

Competitive Advantage

  • The company states that they are genuinely committed to improving organizations, and helping them and their employees operate "in a better place".
  • They also state that their ability to embrace "opposing views" defines and sets them apart as real change-makers.

(2) Bain & Company

Overview

  • The headquarters of Bain & Company is located in Boston, Massachusetts.
  • The company has over 14,413 employees working together to serve their clients.
  • The company was established in 1973 and is still a privately-held company.

Services offered

  • Change Management: For change management, Bain & Company offers "Results360", an all-encompassing solution, that helps organizations continuously implement change without mistakes.
  • Corporate Finance: The company helps organizations increase their competitive advantages through "strategic corporate finance". They provide support in the areas of organizational design, M&A, and investor relations management.
  • M&A and Divestitures: They help organizations carry out M&A deals to improve their "odds for success", achieve high returns, and create sustainable value.
  • Customer Strategy & Marketing: Bain & Company helps organizations prioritize their customers, create unique customer experiences, and deliver high-level customer interactions every time.
  • Operations: The company helps organizations transform their operations from end-to-end, to enable them to accomplish their entire vision.
  • Performance Improvement: They help companies improve performance by eliminating unnecessary and ineffective spending, and redirecting those savings to growth investments.
  • Strategy: The company offers strategic solutions aimed at helping its clients "develop and execute winning strategies", that adds more value to their business.
  • Sustainability & Corporate Responsibility: They help organizations address sustainability strategy and sustainability growth issues, as well as cost opportunities.
  • Full Potential Transformation: They help organizations "identify, sequence, and implement" change that will spur them to attain their full potential.
  • Agile: The company helps organizations implement the agile project management methodology to improve their time-to-market, raise employee morale, and boost quality.
  • The company also offers digital delivery services, where they offer services such as advanced analytics, digital marketing, design and building service, new business innovation, and enterprise technology.

Target Market

  • The company targets organizations looking to "define the future". They work with global 500 companies, private equity funds, and non-profit organizations.

Competitive Advantage

  • The company lists its "insurgent mindset" to work with ambitious clients looking to define the future, its ability to deliver innovative integrated solutions, and its collaborative culture as the unique characteristics that set them apart from their competitors.

(3) Fjord

  • Fjord headquarters is located in London, England.
  • They employ over 1,000 people who work from 27 studios located globally.
  • Fjord was founded in 2001 and is a publicly listed company.

Services offered

  • Design-Led Strategy: They help businesses increase business value by pivoting their products, services, and/or the entire organization. With this service, they help organizations determine why change is necessary, beneficiaries of the change, and how it will generate income.
  • Service Design: They help organizations "envision and shape" services to simplify complex processes for employees and consumers. They "invent and re-invent" services and design how services interact with organizational ecosystems and users.
  • Product Creation: Fjord helps organizations "shape, build, and launch" connected and digital products. They manage the entire process from scope definition to delivering results.

Target Market

Competitive Advantage

  • The company lists simplicity, fun and collaborative approach to projects, its ability to work closely with users to proffer solutions to their challenges, as well as constant innovation and design as the characteristics that set them apart from their competitors, giving them a competitive edge.



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Part
20

European Innovative Consulting Firms- Competitive Landscape

IDEO was incorporated in 1991 and has over 700 employees. On the other hand, Innosight was founded in 2000 and has more than 90 employees. The competitive landscape for IDEO, Innosight, and HTS Consulting has been provided below.

IDEO

Overview

Services Offered

Target Market

  • IDEO works with organizations facing complex challenges in sectors, such as media, consumer goods, non-profit, education, energy, hospitality, retail, financial services, food and beverage, technology, transportation, and health and wellness.

Competitive Advantage

  • According to Tim Brown, IDEO's CEO, the company's competitive advantage is that its staff spends time working on projects instead of spending time in meetings. Therefore, projects are completed faster. The company is more project-oriented than process-oriented.


Innosight

Overview

Services Offered

  • The services provided by Innosight are creating growth strategies, developing innovation capabilities, and building new businesses.
  • When creating growth strategies, the company helps organizations to understand disruptive and fast-moving trends and their business impact. Also, Innosight identifies growth opportunities and defines the roles of mergers and acquisitions in the growth portfolio. Innosight exposes leadership misalignment, identifies game-changing ideas, and helps businesses understand the market place by creating a customer view or perspective of it.
  • Innosight develops innovation capabilities by benchmarking using best practices and evaluating whether a company is ready for innovation. A new innovation culture is also created for businesses with a shared vision of improving customer-centricity. Moreover, Innosight develops innovation leaders and establishes governing systems that result in smart and fast decision-making.
  • Innosight builds new businesses by identifying new opportunities and creating a structured process where market insight can be translated into useful ideas. The company designs and creates new client solutions and optimizes innovation portfolios. Furthermore, Innosight pilots new ventures and builds prototypes, implements emergent strategies, and helps businesses to scale.

Target Market

  • Innosight helps companies in industries where there are new markets, disruptive technologies, and new consumer trends. The industries Innosight targets are health care and life sciences, consumer and retail, media and telecom, financial and professional services, energy and resources, and industrial and technology solutions.

Competitive Advantage

  • Instead of looking at the past to strategize about the future like traditional consulting companies, Innosight reverse-engineers success using predictive market models.


HTS Consulting

Overview

Services Offered

  • The services offered by HTS Consulting are strategy and innovation, performance and customer experience, and transformation of organizations.
  • In strategy and innovation, HTS Consulting designs business models and builds growth strategies using a method that combines operational realities, internal creativity, and open innovation.
  • When it comes to performance and customer experience, HTS Consulting uses innovative methods from relational performance to strategic marketing. The company specializes in customer loyalty, experience, and multi-channel strategies.
  • HTS Consulting transforms organizations using innovative approaches to change management and takes into account social dynamics.

Target Market

Competitive Advantage

Part
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Part
21

German Innovative Consulting Firms- Competitive Landscape 2

Implement Consulting Group was founded in 1996. The company has over 900 employees and offer services such as strategy and transformation, operations and efficiency, digitalization and IT, leadership and change, and growth and innovation.

Implement Consulting Group

  • The company's headquarters are located in Hellerup. Implement Consulting Group has 900+ employees and was founded in 1996.
  • Its services include strategy and transformation, operations and efficiency, digitalization and IT, leadership and change, and growth and innovation.
  • As a Scandinavian organization, Implement Consulting Group focuses on helping organizations in Denmark, Norway, Sweden and Munich in creating sustainable changes and transformation.
  • Implement Consulting Group has over 20 years experience in consulting services and is defined by the DNA of a real change-maker such as being an activist, curious, and helpful.
  • The firm has a team of expert consultants drawn from the best and most recognized management thinkers in the world.

Bain & Company

Fjord

Part
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Part
22

German Innovative Consulting Firms- Competitive Landscape

Ming was founded in 2011 and has between 51 and 200 employees. LC Global's competitive advantage lies in strong partnerships and the ability to tailor their offer to businesses of all sizes. IDEO, founded in 1991, has the most recognizable brand.

MING

OVERVIEW
  • Headquarters: Berlin, Munich (Germany), New York City (US), Shanghai (China), Singapore (Singapore)
  • Number of employees: 51-200
  • Founding date: 2011
  • The target market: Digital transformation and innovation units of major companies like Lufthansa, BOSCH, BMW, Siemens, as well as fast-growing startups. Industry-wise, they are focused on IT, healthcare, and consumer products and services.
  • Competitive advantage: The company has a presence in the most important locations globally, which allows its teams to find solutions that are the most appropriate locally while working toward having a global impact. Also, they work fast, collaborating with their clients' teams to make the organizational change long-lasting, and finding personalized solutions.
SERVICES

a) Strategy
  • The process includes three elements: opportunity mapping, opportunity validation, and transformation program.
  • The first step involves identifying the most valuable goals from the perspectives of different stakeholders, with various time scopes. The company's design-led thinking allows to fit the process to individual needs.
  • The second step is testing the identified opportunities in a small group of experts, which helps discover both the risks and the success potential.
  • The third step helps to establish an organizational culture that is perpetually transformative and fosters innovative ideas and products.
  • Through this offering, Ming helps their clients' teams adapt to the transformation.
  • Firstly, the teams go through transformation training. Then, they form new habits during the second phase, which is the transformation practice. They learn and gain experience with new tools, vocabulary, and skills.
  • Lastly, there is team augmentation, which brings in experts from the outside with the most needed skillsets to supplement the teams.
  • While helping to bring the product to the market, Ming starts with a proof of concept, which allows them to test the product among real-life users and gain feedback to improve value proposition and user experience (UX).
  • Then, they help their clients with the first full release, adjusting its scale and form to leave room for improvements.
  • They also aid in managing the product's lifecycle, gathering feedback and implementing improvements, especially to its UX.

LC GLOBAL

OVERVIEW
  • Number of employees: 8-10
  • Founding date: 2013
  • The target market: "Businesses of all sizes across all industries," with their clients including Microsoft, IBM, Sony Mobile Communications, Deloitte, Bottega Veneta, Allianz Global Investors.
  • Competitive advantage: The company has tailored, methodical solutions for businesses of different sizes, with a wide range of coaching, consulting and educational services. Also, while their experts have experience and knowledge in innovation and transformation consulting, LC Global have many consulting partners, who can add industry expertise.
SERVICES

  • The company's consulting services are designed to help their clients go through transformation and innovation, ensuring that the growth is sustainable. LC Global also discovers the key strengths and works on developing them across the entire organization.
  • Through their consulting services, the company provides growth, change, and innovation strategies, as well as top executive coaching, organization design, organizational excellence, assessment design, and organizational storytelling and branding.
  • One of the unique sub-services offered within consulting is agile organization design, which helps to truly focus on consumer needs and dynamically incorporate any changes and opportunities.
  • Another sub-service is an adaptive organization design, which helps organizations adapt to abrupt growth or change using LC Global's 5-Phase Authentic Change Process.
b) Coaching
  • The company offers coaching for leaders who are guiding their organizations through changes and innovations, so they are able to lead with stability and inspire.
  • The consultations can take place in person, over the phone or at the video conference.
  • The areas in which LC Global provides coaching are organizational change and transformation, strategy and vision development, charismatic and visionary leadership, crisis management, growth/innovation strategies, communication leadership, personal leadership and well-being.
  • It is a cloud-based solution for organizational change.
  • The tools offered within it allow clients to make assessments, develop innovation skills, and improve corporate culture.
  • LC Global Academy follows cognitive and behavioral standards to provide learning and understanding, as well as to monitor progress and participation.

IDEO

OVERVIEW
  • Headquarters: Palo Alto, Cambridge, Chicago, New York, San Francisco (US); London (UK); Shanghai (China); Tokyo (Japan); Munich (Germany).
  • Number of employees: 700+
  • Founding date: 1991
  • The target market: B2B and B2C companies from a variety of industries, including education, environment, consumer goods, digital, experiences, financial services, food and beverage, non-profit, transportation, government, and hospitality.
  • Competitive advantage: IDEO has a recognizable and respected brand, as shown by the news section on their website. It includes links to mentions in major media sites, such as Forbes or The Atlantic, as well as press releases about honors and awards, for example in Fast Company’s Annual Innovation By Design Awards.
SERVICES
  • IDEO's services are highly personalized. The "services" section on their website only features a selection of uncategorized case studies to show their work. Most of those projects involve designing digital systems and platforms for a variety of uses, such as improving the banking experience, enhancing the quality of life for schizophrenic people, coming up with new digital payment methods, among others.
  • However, the website includes descriptions of some of the tools offered by the company.
  • For example, Shape is an open innovation and collaboration platform designed for small teams.
  • IDEO CoLab is another collaboration platform. However, it connects organizations instead of teams, allowing them to accelerate ideas, co-invest, and come up with new ownership, production and distribution models.
  • IDEO U, an online school, gives organizations and teams, as well as individuals, an opportunity to access their creativity and learn about design thinking.
  • There are also multiple educational resources in different forms, such as books or cards.

RESEARCH STRATEGY

Since the assigned companies are private and two of them are small, it was impossible to find the exact numbers of employees. Only IDEO is often mentioned in national and industry media sites. While we hoped that the figure would be mentioned, for example, as a part of the success story article, we didn't get any relevant results. Also, we didn't find them searching press releases by the companies, which were scarce. Therefore, we decided to provide LinkedIn estimates. In the case of LC Global, since they included their team on the website, we assumed that the minimum number of employees is eight. Also, IDEO published an estimated number, which is what we provided above.
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Part
23

Top Cities For Co-Working- Germany

The top six cities for co-working in Germany are Berlin, Munich, Hamburg, Frankfurt, Cologne, and Dusseldorf. The co-working options for these cities include co-working space providers that operate only one location, and global and regional co-working companies such as WeWork, Work Republic, SleevesUp! Spaces, and others.

Berlin

  • Berlin is the seventh-ranked city on Cushman & Wakefield Research’s European Coworking Hotspot Index.
  • According to AllOfficeCenters, the city is also one of the top cities for co-working in Germany.
  • Coworker has listed 93 co-working spaces in Berlin.
  • Co-working space providers that operate only one location in Berlin include Enklave, Weserland, be'kech, and others.
  • Global and regional co-working space providers in Berlin include WeWork, Unicorn Workspaces, and others.

Munich

Hamburg

Frankfurt

Cologne

Dusseldorf

  • According to AllOfficeCenters, Dusseldorf is one of the top cities for co-working in Germany.
  • Coworker has listed 21 co-working spaces in Dusseldorf.
  • Co-working space providers that operate only one location in Dusseldorf include Gewächshaus, Factory Campus, Super7000, and others.
  • Global and regional co-working space providers in Dusseldorf include Rent24, Tribes, and others.

Research Strategy

To identify the top cities for co-working in Germany, we first examined Cushman & Wakefield Research’s 2019 European Coworking Hotspot Index and AllOfficeCenters’ 2018 Germany Coworking & Office Center Market Report. The European Coworking Hotspot Index focused on “identifying ‘where next’ for coworking across Europe” and included German cities such as Munich and Berlin. The Germany Coworking & Office Center Market Report included the top seven cities for co-working in Germany such as Berlin, Cologne, Dusseldorf, Frankfurt, Hamburg, Munich, and Stuttgart based on demand and capacity rates.

To identify the top six cities for co-working in Germany, we examined the number of co-working spaces listed on the Coworker database for the seven cities mentioned above. We have determined that Coworker provides the most comprehensive list of active locations/providers in Germany as it features “13,000+ available coworking spaces in 170 countries.” Based on the number of listings, the top six cities are Berlin (93), Munich (40), Hamburg (34), Frankfurt (32), Cologne (22), and Dusseldorf (21). Stuttgart has been excluded from this research as it has only 12 listings on Coworker.
Part
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Part
24

Top Cities For Co-Working- Europe

Cushman & Wakefield, a large international real estate company, compiled the European Coworking Hotspot Index. The index covers over 40 key European cities and ranks the cities according to co-working popularity and opportunities for development. According to the index, the top six cities for co-working in Europe are London, Paris, Stockholm, Dublin, Copenhagen, and Munich.

London, United Kingdom

  • London has a European Coworking Hotspot Index value of 183.
  • A new co-working space opens every 5 days in London. Some of the best co-working areas in London are King's Cross, Kensington, South Bank, Spitalfields, and Marylebone.

Paris, France

  • Paris has a European Coworking Hotspot Index value of 145.
  • A new co-working space opens every 28.5 days in Paris. Bliss is a unique co-working space in Paris that is great for networking and that doubles as a bar in the afternoon. Coworkshop offers its members a lot of flexibility by applying the pay as you work pricing model.

Stockholm, Sweden

  • Stockholm has a European Coworking Hotspot Index value of 139.
  • Some co-working options in Stockholm are Covendum, Cafe & Co, and Openlab. Covendum is easy to access from all parts of the city and has modern and elegant spaces. Cafe & Co is a great place for networking and it offers excellent coffee, while Openlab is unique in the fact that its members must be working to improve society in some way as a small business or entrepreneur.

Dublin, Ireland

Copenhagen, Denmark

  • Copenhagen has a European Coworking Hotspot Index value of 126.
  • Republikken, Rainmaking loft, and Rocket labs are some of the best co-working spaces in Copenhagen. Republikken offers non-stop access to the lounge and kitchen area for its members, while Rainmaking loft provides mentorship advice and investor matchmaking in the space that won an award for the best office space of 2016. Rocket labs offers the best technical amenities and is specifically catering to tech startups and digital entrepreneurs.

Munich, Germany

Part
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Part
25

Innovative Consulting Firms- Germany Key Players

Ideo, Implement, Bain and Company, Ming, LC Global, and Fjord have been identified as key players in innovative consulting in Germany. Each firm offers a variety of innovative competencies.

Ming

  • The website may be viewed here.
  • Ming focuses on insight driven design. They work in small teams to reduce the amount of management layers to get a higher impact per team member.
  • Ming has three focus layers: digital strategy, enablement of people, and production.
  • Their client lists boasts Lufthansa, BASF, Bosch, United Technologies, Diebold, and Siemens.
  • They have offices in Berlin and Munich.
  • Ming's client lists and their small, success focused teams make them a key player.

LC Global

  • The website may be viewed here.
  • LC Global is an international firm that specializes in growth, change, and innovation through tranformational change experiences. They have a three-fold method that is embedded in "fields of Organizational Behavior and Systemic Organization Development. We leverage the power of Appreciative Intelligence, Systems Theory and Collaborative Process Consulting to help your organization tap into its unique potential."
  • They have a growth and innovation factory that focuses on phases of unexpected growth, crisis opportunities, market and product innovation, going global, ideas and strategy development, and organization development.
  • They have had their consulting approaches published and in academic journals.
  • They have offices in Munich.
  • LC Global's client list, their experience, and being published makes them a key player in the industry.

Ideo

  • The website may be viewed here.
  • Ideo is a global design company the uses design to create positive change. Ideo is known for their innovation and being at the forefront of using design to create change. They have a human-centered approach that addresses the needs of people first, which leads to success. With over 700 employees in nine locations, they have design capabilities in over 23 different areas.
  • Ideo has CoLab, which is their platform for collaborative impact.
  • They also were the company to design the first Apple mouse for Steve Jobs.
  • Ideo has offices in Munich.
  • Their long history, coupled with being involved with multiple projects that have improved our lives, makes Ideo a key player.

Implement

  • The website may be viewed here.
  • Implement has in interesting tagline. "We help organizations become fit for humans and for the future".
  • Their expertise areas are strategies and transformations, growth and innovation, leadership and change, digitalization and IT, and operations and efficiency.
  • With innovation, they incorporate the latest in product modularization, strategy, end-user design, and lean innovation. Their process involves creating hypothesis and prototypes, testing them, taking them to market and then refining.
  • Their client list extends beyond typical companies and includes the Danish Ministry of Health and the Danish Prison Service.
  • They have the Implement Learning Institute to train and develop project managers in the private and public sector.
  • Implement has an office in Munich.
  • Implement's unique focus, training and strategy, coupled with their client list make them a key player in the industry.

Bain & Co

  • Bain is a global consultancy with 58 offices in 37 different countries.
  • Their expertise areas are "strategy, marketing, organization, operations, information technology, digital transformation and strategy, advanced analytics, transformations, sustainability, corporate finance and mergers and acquisitions, across all industries and geographies."
  • Bain has multiple trademarked strategies including Bain's Result360, a diagnostic tool that includes a Power Index, Delivery Office, a Co-creation approach, ARC management platform, Delta analytics, Brain Capability Accelerator, and a Results Talent Network. They also have BothBrain Innovation, which is a program to build teamwork by tapping into both sides of the brain to innovate.
  • Their clients have outperformed the S&P four to one.
  • Bain has offices in Frankfort, Munich, and Berlin.
  • Bain has been in existence since 1973. Their client's success along with their trademarked tools and philosophies make them a key player.

Fjord

  • The website may be viewed here.
  • Fjord centers around technology to design digital products and services. Their work tends to be socially and ethically focused. They have published a trends report that centers around their hopes to not only design for individuals, but to make the work a better place.
  • Fjord focuses on design-led strategies, service design, and product creation.
  • They have over 27 "studios" located around the world. They also have an office in Berlin.
  • Fjord's work towards making the world a better place, along with their 27 different studios makes them a key player.

Research Strategy

To be included as a key player in innovation consulting, multiple leaders lists were consulted. After compiling the lists, each firm was analyzed to see if they truly provided innovation services. To make the list, the firm had to be mentioned multiple times in the lists, except for Ideo and Innosight, which was selected by the client. One firm was included as honorable mention, as they were not mentioned by multiple lists, but did fit a profile similar to Ideo and Innosight, and were deemed of interest to the client. This firm is not included in the competitive landscapes to follow, but added for additional insight.
Part
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Part
26

Innovative Consulting Firms- Europe Key Players

Ideo, Innosight, HTS Consulting, Implement, Bain and Company, and Fjord have been identified as key players in innovative consulting. Method, although not included in the competitive landscapes to follow, was included as an honorable mention because they fit the service design profile and are a unique firm that might be of interest.

Ideo

  • The website may be viewed here.
  • Ideo is a global design company the uses design to create positive change. Ideo is known for their innovation and being at the forefront of using design to create change. They have a human-centered approach that addresses the needs of people first, which leads to success. With over 700 employees in nine locations, they have design capabilities in over 23 different areas.
  • Ideo has CoLab, which is their platform for collaborative impact.
  • They also were the company to design the first Apple mouse for Steve Jobs.
  • Their long history, coupled with being involved with multiple projects that have improved our lives, makes Ideo a key player.

Innosight

  • The website may be viewed here.
  • Innosight claims they are the "leading expert on disruptive innovation and strategic transformation". The company achieves success by developing insights around a need and then creating "organizational momentum". By using their "deep expertise, experience, judgment, and pattern recognition", they solve business problems of the future.
  • Their success comes from not being reactive, but by looking forward and taking a "future back" approach, and looking for opportunities to grow.
  • Their co-founder, Clay Christensen, has authored a book entitled "The Innovator's Dilemma".
  • Their experience along with co-founder Clay Christensen and their extensive client list with unique solutions, makes Innosight a key player.

HTS Consulting

  • The website may be viewed here.
  • HTS is a strategy consulting firm. Their areas of expertise are strategy and innovation, performance and customer experience, and transformation of organizations.
  • HTS puts a high priority on R&D investment in order to offer the most innovative methods. They state they have an expertise in datascience that allows them to integrate big data approaches into their solutions.
  • They have instituted a quality assurance system that is demanding, and are very selective in their recruitment process of employees. HTS also has implemented a pool of external experts they can call on in order to obtain the best recommendations.
  • Their experience and expertise along with a 75% growth in consulting in 2018, makes HTS a key player.

Implement

  • The website may be viewed here.
  • Implement has in interesting tagline. "We help organizations become fit for humans and for the future".
  • Their expertise areas are strategies and transformations, growth and innovation, leadership and change, digitalization and IT, and operations and efficiency.
  • With innovation, they incorporate the latest in product modularization, strategy, end-user design, and lean innovation. Their process involves creating hypothesis and prototypes, testing them, taking them to market and then refining.
  • Their client list extends beyond typical companies and includes the Danish Ministry of Health and the Danish Prison Service.
  • They have the Implement Learning Institute to train and develop project managers in the private and public sector.
  • Implement's unique focus, training and strategy, coupled with their client list make them a key player in the industry.

Bain & Co

  • Bain is a global consultancy with 58 offices in 37 different countries.
  • Their expertise areas are "strategy, marketing, organization, operations, information technology, digital transformation and strategy, advanced analytics, transformations, sustainability, corporate finance and mergers and acquisitions, across all industries and geographies."
  • Bain has multiple trademarked strategies including Bain's Result360, a diagnostic tool that includes a Power Index, Delivery Office, a Co-creation approach, ARC management platform, Delta analytics, Brain Capability Accelerator, and a Results Talent Network. They also have BothBrain Innovation, which is a program to build teamwork by tapping into both sides of the brain to innovate.
  • Their clients have outperformed the S&P four to one.
  • Bain has been in existence since 1973. Their client's success along with their trademarked tools and philosophies make them a key player.

Fjord

  • The website may be viewed here.
  • Fjord centers around technology to design digital products and services. Their work tends to be socially and ethically focused. They have published a trends report that centers around their hopes to not only design for individuals, but to make the work a better place.
  • Fjord focuses on design-led strategies, service design, and product creation.
  • They have over 27 "studios" located around the world.
  • Fjord's work towards making the world a better place, along with their 27 different studios makes them a key player.

Honorable Mention

Method

  • Method is a global design firm. Their website may be viewed here.
  • Method's expertise areas are product accelerators, service and product innovation, future business vision, and building employee capability. Their capability list is long and includes brand design, business design, data strategy, prototyping, service design, engineering, speculative design, and strategic design, amongst many others.

Research Strategy

To be included as a key player in innovation consulting, multiple leaders lists were consulted. After compiling the lists, each firm was analyzed to see if they truly provided innovation services. To make the list, the firm had to be mentioned multiple times in the lists, except for Ideo and Innosight, which was selected by the client. One firm was included as honorable mention, as they were not mentioned by multiple lists, but did fit a profile similar to Ideo and Innosight, and were deemed of interest to the client. This firm is not included in the competitive landscapes to follow, but added for additional insight.
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Part
27

Consulting Market Size- Germany

The market size for consultancy firms in Germany was 33.8 billion euros ($38.2 billion) in 2018. The market grew at a CAGR of 7.3%.

Consultancy Services Market Size — Germany

  • The size of the consulting market in Germany was 33.8 billion euros ($38.2 billion) in 2018, according to official data published by the Association of German Consultants (BDU).
  • There are 19,250 consulting companies in the country.
  • The consulting market in Germany grew at a CAGR of 7.3% in 2018.
  • The 2018 CAGR represents a slight decrease from 2017, when the market grew 8.5%. However, the industry grew by more than 7% annually over the last five years.
  • BDU expects that the market will see almost unchanged growth in 2019, even with rising "economic uncertainties" that are mostly related to global trade conflicts and the finalization of Brexit.
  • Consultancy Europe estimates that the 2019 market size of the consulting market in Germany will reach about 36 million euros.
  • 2018 was the first year in which the largest consulting companies (with a turnover of more than 50 million euros) registered faster growth than the overall market. Large consulting companies grew at 7.5% year-over-year.
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Part
28

Consulting Market Size- Europe

Consultancy firms in Europe generated a total combined revenue of $93.23 billion in 2017. The European consultancy market is expected to grow at a CAGR of 3.4% over the next six years. The 2019 market size for consultancy firms in Europe is, therefore, calculated to be $99.68 billion.

European Consulting Services Market Size

  • The size of the European consulting market was $93.23 billion in 2017, according to a 2019 report by Adroit Market Research.
  • The report estimates that the European consultancy market will grow at a CAGR of 3.4% until 2025.
  • Other reports estimate a similar CAGR for the industry. For example, the report from Mordor Intelligence forecasts that the market will grow at a CAGR of 4.93% from 2018 to 2024.
  • The 2019 market size for consultancy firms in Europe can be calculated from the available data points. By applying the CAGR of 3.4% to the 2017 market size of $93.23 billion two times, the 2019 market size is calculated to be $99.68 billion ($93.23 billion * 1.034 *1.034 = $99.65 billion)

Research Strategy

While the main report used to determine the 2019 market size of consultancy services in Europe is actually about management consulting services, the two terms are often used interchangeably. For example, Clairfied International equates consultancy services with management consulting. The Adroit Market Research report takes into account all consulting service lines, including Strategy/Operations, Transactions, General Business Consulting, and Financial Advisory. It also analyzes companies in the Technology Consulting segment like Affiliated Computer Services (ACS), CA Technologies, Computer Sciences Corporation (CSC). Therefore, it is safe to assume that the presented market size is the market size of all consultancy services in Europe.
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Part
29

Co-Working Market Size- Germany

There are more than 500 coworking spaces in Germany occupying over 250,000 square metres of space. WeWork, Design Office, Spaces, Regus, Friends Factory, and rent24 are the largest coworking providers in the country.

Germany's Coworking Market

Part
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Part
30

Co-Working Market Size- Europe

There were 3,070 co-working spaces in Europe, as of October 2019. The market grew by 20% in 2018. As much as 9.9% of all office space in Europe is taken up by flexible office spaces.

European Co-Working Space Market Size

  • The co-working office space market in Europe is a leading driver of the changes in the broader office space market. Traditional office spaces are trying to adapt to the fast-frowing trend of flexible offices.
  • At the start of 2017, there were 3,070 co-working office spaces in Europe, according to the Global Coworking Unconference Conference (GCUC).
  • The co-working office space market in Europe grew by 20% in 2018, measured as the increase in the share of total office space taken up by flexible offices.
  • As of October 2019, there were 6,850 co-working spaces in Europe, the Middle East, and Africa (EMEA), according to Smallbizgenius's summary of (GCUC) data.
Sources
Sources

From Part 01
From Part 04
Quotes
  • "“Design thinking” can mean different things, but it usually describes processes, methods, and tools for creating human-centered products, services, solutions, and experiences. It involves establishing a personal connection with the people—or users—for whom a solution is being developed. Designers seek a deep understanding of users’ conditions, situations, and needs by endeavoring to see the world through their eyes and capture the essence of their experiences. The focus is on achieving connection, even intimacy, with users."
  • "divergent thinking. They ask employees to not race to the finish line or converge on an answer as quickly as possible but to expand the number of options—to go sideways for a while rather than forward. That can be difficult for people accustomed to valuing a clear direction, cost savings, efficiency, and so on. It can feel like “spinning wheels”—which in a way it is."
  • "failure. The iterative prototyping and testing involved in these methods work best when they produce lots of negative results—outcomes that show what doesn’t work."
  • "Leveraging Empathy Leaders can help them do this by endorsing the process, which uses information about customers to evoke empathy in employees and get them to question how their actions affect customers"
  • "What if the patient’s time were viewed as more important than the doctor’s?” This shift in perspective"
  • "Leaders need to push employees to open up but then be supportive about how they feel afterward—to help them get on a positive path and not brood or act defensive when confronted with deficiencies in existing practices. They need to frame the findings as opportunities for redesign and improvement rather than as performance problems."
  • "ethnographic methods used in design thinking. Leaders had to de-emphasize traditional consulting studies and instead arrange circumstances—guided by design-thinking experts—that put employees into user situations. "
  • "Encouraging Divergence and Navigating Ambiguity After viewing the clip, Gadsdon asked frontline employees, “What might we do to address this kind of problem?” The designers used the films to open up people’s minds, he said, adding, “They had lots of ideas.”"
  • "The aim of divergent thinking is to get beyond easy answers and find options that might be truly innovative. Extreme options are rarely chosen, but they can be stepping-stones to more-practical solutions."
  • " fundamental element of design thinking is testing possible solutions with end users, staffers, and other stakeholders in quick-and-dirty ways. Boeing calls this try storming—it’s like brainstorming, but it goes beyond thinking up ideas to actually carrying them out in some fashion."
  • "“failed” prototypes represent progress"
Quotes
  • "First, for these firms, design is more than a department. Design-led companies are structured in ways that encourage all functions to focus on their customers. This generally means that design is not a single department; rather, design experts are everywhere, working within small, cross-functional teams with shared incentives and regular customer interaction."
  • "Second, design is more than a phase. Good design-led companies use quantitative and qualitative research during early product development, combining techniques such as warranty-data analysis, social-media scraping, focus groups, and ethnographic research to better understand their customers’ needs. However, the best companies continue listening and iterating long after the initial conceptual phase, remaining invested in improving customer experiences postlaunch."
  • "One major European furniture manufacturer experimented by setting up both a central design department and smaller, independent design teams, embedded within different product groups. It found that the distributed teams were much more successful: they had clearer focus on their customers; better cross-functional partnerships, resulting in 10 percent faster time to launch; and a 30 percent higher success rate for getting concepts to market."
  • "Nespresso, for example, involves designers throughout its products’ life cycles and throughout the business system. Designers observe customer reactions both in store and online and have evolved a museum-like retail experience, mobile ordering and two-hour delivery, a loyalty club, an online magazine, and much more."
  • "Aston Martin and Burberry are widely regarded as two of the most valuable brands in the world and are regularly featured in rankings of top brands. Both have placed design leaders as company directors, to ensure that the voice of the customer and the importance of product quality are never far from the top management team."
From Part 05
Quotes
  • "Nearly two-thirds of all coworking spaces are still a side business for their founders and owners. A coworking space can pay off for them in many ways, for example, it can lower the rent costs for the main business, strengthen competitiveness as work is done in collaborative workspaces, or create a more representative and productive work environment that would otherwise not be possible for the parent company."
Quotes
  • "Most European flexible workspaces are considered unfit for working parents with children. In fact, kids are ‘welcome’ at a just a quarter of coworking locations and only 2% offer childcare."
Quotes
  • "Though London is Europe’s largest coworking market in terms of volume of flexible workspace stock, there are other major European cities that boast over 100,000 square meters (1,076,391 square feet) of flexible workspace, according to Cushman & Wakefield. These cities include Berlin, Brussels, Milan, Moscow, Munich, Paris, and Stockholm."
Quotes
  • " The coworking sector in Germany´s largest seven cities grew to a share of 5% of the total office space take-up and Berlin is leading the way with 8%. The German capital saw one of the fastest growth rate of 50% last year (next to Frankfurt) and is presented in the European top five and the global top ten markets."
From Part 06
Quotes
  • "The number of co-working spaces and their average size has increased in Europe. London still has the densest network, boosting its supply with over 180,000 m2 of new co-working space (+13% vs. 2017). Nevertheless, out of the 18 European cities analysed, Vienna, Milan, Cologne and Dublin have enjoyed particularly brisk markets with rapid expansion."
Quotes
  • "Outside of the UK, coworking statistics in Europe are trending upward in Berlin and Paris, with 21.9 and 28.5 days between new coworking hub openings respectively"
  • "A new coworking office space opens up roughly once every five days in London"
Quotes
  • "Cushman & Wakefield’s Hotspot Index predicts the path of growth of co-working in Europe by analysing 40 key cities based on the weighting of four factors: scale, business environment, people and catalyst. London comes out on top, with a ranking of 183, followed by Paris at 145. Stockholm, Dublin and Copenhagen follow Paris with respective index rankings of 139, 132 and 126. Despite the variable dynamics in each market, it is clear that co-working in Europe isn’t slowing down anytime soon."
From Part 14
Quotes
  • "According to global coworking statistics there are 11,592 flexible workspaces in the Asia-Pacific region, followed by 6,850 in Europe, the Middle East, and Africa, while there are 6,293 in the US."
Quotes
  • "Europe is forecast to see 255 million square feet of flexible space in 2019, which represents a 12% increase."
  • "Coworking in Asia-Pacific has the highest share of the overall office stock at 2.1%, comparatively in Europe and North America, the share is around 1.0%."
Quotes
  • "WeWork and IWG account for about 78 percent of the European market for flexible work-space, Colliers data show. WeWork had about 600,000 square meters (6.5 million square feet) of office space in Europe at the end of 2018."
  • "While WeWork initially rose with the advent of the gig economy and an explosion of startups, big companies are increasingly seeking more flexible offices, too. Corporate clients now make up about a third of WeWork’s customers."
  • "The lion’s share of flexible office space in Europe is concentrated in a few cities, particularly Amsterdam and London, which is the world’s biggest city for co-working."
  • " Across Europe, nearly half of workers are self-employed, on temporary contracts or part-time -- perfect conditions that have fueled the flexible work-space boom, Sleigh said."
From Part 17
From Part 19