A PRIVATE THINKING EXPERIENCE
THE 1% QUESTION

WHY THE GAP?

Flexible workspace is about 1% of South Africa’s office market. In London and New York, it is reportedly 7–9%.

The obvious question is why.

But perhaps that isn’t the most useful question.

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01 / 08

WHAT IF 1% ISN’T EVIDENCE OF AN UNDERSERVED MARKET?

The gap is striking. But a gap is not automatically an opportunity. Before trying to close it, what evidence would convince you that South Africa’s low flexible-workspace penetration reflects suppressed demand rather than genuinely different demand?
02 / 08

WHO ACTUALLY HAS THE PROBLEM FLEXIBILITY SOLVES?

A flexible workspace can create value for several people at once. But the person receiving the value may not be the person controlling the decision. Who has the strongest reason to change the status quo?

Now the harder question: is that also the person with the authority and incentive to change how workspace is bought?

03 / 08

WHAT IS WEWORK REALLY COMPETING AGAINST?

The obvious answer is other workspace providers. But that may not be the decision buyers are actually making.

If the biggest competitor is the status quo, what would have to make staying put more expensive than changing?

04 / 08

WHAT IF BUSINESSES UNDERSTAND FLEXIBILITY — BUT DON’T VALUE IT ENOUGH TO CHANGE?

Awareness and adoption are not the same thing. A buyer can agree that flexibility is useful and still renew a conventional lease. What would need to become materially more important before behaviour changes?
05 / 08

ARE BUYERS COMPARING THE WRONG NUMBERS?

If the decision is framed as rent per square metre, flexible workspace may be evaluated inside the traditional property model. What happens if the decision is reframed around the economics of work?

Which measure would most change the conversation with a sceptical CFO?

06 / 08

WHAT WOULD HAVE TO BE TRUE FOR SOUTH AFRICA TO REACH 3% — NOT 9%?

Forget London and New York for a moment. A move from roughly 1% to 3% would itself represent a significant shift. Which few conditions would have to change for that to happen?

Now ask: which of those conditions can WeWork influence directly, and which require the market itself to change?

07 / 08

WHICH ASSUMPTION COULD BE TESTED IN 30 DAYS?

Choose one belief behind the growth thesis and turn it into a behavioural experiment — not another opinion survey.
08 / 08

WHAT IF THE BIGGEST OPPORTUNITY ISN’T SELLING FLEXIBLE WORKSPACE?

Perhaps the category itself keeps the buyer inside the wrong decision. Instead of asking:
“Should we choose flexible workspace?”
what if the more valuable decision were:
“How much fixed workspace risk should this business carry?”

Would changing the decision change the market?

THE 1% QUESTION

THE ANSWER ISN’T THE POINT.

The useful outcome is identifying which assumption deserves to be tested next.

If one of these questions changed how you see the 1% gap, that is enough reason to investigate it.

Carlos Batista
AI Growth Advisor

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