Executive Suite Success Features Martin SennExecutive Suite Success magazine is featuring a bylined article from Davinci Virtual COO Martin Senn. Executive Suite Success is a resource guide for office business center owners and operators. The magazine published its third-ever issue this month.
Senn’s article is entitled, “The New Virtual Office Market: Trends, Stats, and Needs.” In it, he discusses how virtual offices are ideal for many 21st century companies because they offer cost-savings, as well as flexibility and increased productivity. Senn didn’t just offer his opinion, though. He pointed to the 2008 OBCAI financial study, which showed virtual office revenues are about 7 percent of total revenues for highly profitable business centers. That number will probably rise in when the 2010 study is published.
“At some centers, virtual revenues even exceeded 10% of overall revenues without creating much additional overhead for the operation,” Senn wrote. “The study also showed a 7% increase in virtual revenues in 2008 compared to 2007 and identified virtual office revenues as one of the main factors that differentiate a high profit OBC (average 34% profit margin) from a middle profit OBC (average 11% profit margin). So statistically speaking, every OBC operator should embrace the virtual office business—yesterday!”
In his article, Senn also outlined a number of work trends and corresponded them to client needs. For example, one virtual work trend is to offer more flexible work schedules. The business center client need, in this case, is extended hours accessibility to facilities and communications. Another virtual work trend is heavy use of Internet, e-mail and chat. The business center client need in this instance is secure, wireless Internet access.
“Based on the rapid adoption rate of this new work trend, almost every business center operator should be able to attract a solid base of virtual office clients within their local market,” Senn wrote. “However, there are some approaches that may position a center location to grab market share quicker and at a lower cost.”
Senn shared plenty more wisdom in his Executive Suite Success magazine column. And his article was in good company. In the September 2010 issue, you’ll also find articles from Buddy Shaw, president and CEO of Shaw & Associates and Karen Condi, executive director of Alliance Office Strategies.