Clearly, co-working giant WeWork is a leader in co-working. They recently received a hefty $45 billion private market valuation. Many companies are trying to capture the essences of what WeWork has created. That is bringing the cost of office use down, for small- and medium-sized businesses and getting paid for doing so.

Office Depot (ODP) has been undergoing many changes since CEO Gerry Smith took over in February 2017. The company has pivoted to a service-oriented business that targets small businesses. Office Depot continues to open more co-working locations across the county.

Office Depot opened its first “Workonomy Hub” in 2018 in Los Gatos, California. For $40 a day, a person gains access to high-speed internet, free refreshments, business services such as printing, and quick access to office supplies. $750 a month gains access to private offices.

The model is being viewed by Office Depot as one way to drive productivity from stores battling weak foot traffic. Office Depot collects the fees, which in turn could be used for other company initiatives. The hubs also create a captive audience for office supplies and various other services.

It will take time for the three co-working spots to move any form of needle for Office Depot, however, the company has more than 1,300 physical stores where it can set up co-working spaces.

Office Depot rival Staples teamed up with Workbar in 2016 to roll out similar co-working services.

Source: YahooFinance