McDonalds: the next great 3rd Place. Hmm…

By Andrea Pirrotti Founder & CEO of Pirrotti Marketing Group LLC

30 million white-collar knowledge workers are conducting business from a third place (an environment separate from home and the workplace), and that number is expected to grow 10% annually (USA Today). In a 2010 study conducted by IDC, the IT research firm projected that by 2013 the total number of office-based, non-office-based and home-based mobile workers will grow to nearly 1.2 billion people representing more than a third of the world’s workforce.

Look around at the people who are sitting in your offices.  Are these folks really going to use McDonalds as a place to work?  Can anyone really conduct business while kids are running around and screaming in the McDonalds indoor playground?  Would any professional want to risk smelling like oil, burgers and fries for the rest of the day?

There are other 3^rd Place options out there.  Let’s consider Starbucks. Clearly this environment is much closer to enabling the mobile worker to get work done.  I work from Starbucks from time to time.  In fact the other day I was in-between meetings and stopped into Starbucks to work.  I pulled out my laptop (an iPAD is on my list of things to buy) and started to put the finishing touches on a marketing strategy that I needed to deliver to a client by the end of the week.  I confess, I was totally distracted by the two women who were sitting next to me chatting about their kids and weekend plans. Then my client called me on my cell phone, and at the very same time the barista started to foam milk.  I could not hear a word my client was saying.  And, I really couldn’t talk to him because of confidentially concerns.  Is Starbucks an environment that enables work?  Kind of.  Did it enhance my productivity?  No.

Another alternative is the co-working space that’s popping up all over the place.  Interesting space – indeed.  I have to tell you, this environment doesn’t work for me.  I’m 41 years old (though my husband believes that I’m 29 J).  I wear a suit (except when I’m working from my home office in which case I’m likely in sweats).   I just don’t feel comfortable walking in, sitting down and working next to talented people (I assume) who don’t share the same “business culture” as me.

My feeling is that the most viable 3rd Place option for the mobile, white-collar knowledge worker is a business center.  Business center operators and landlords have an extraordinary opportunity to provide this group with a professional environment that both supports the way they work while also providing the tools and environment that enhances performance.

There are a few things to consider however.  And this list is clearly not all inclusive:

1. Provide the accessibility and ease of use that Starbucks delivers, but provide it in a professional environment.
2. A word about accessibility: My feeling is that you do not have to have a retail environment to be accessible.  Go through every touch point that your customer goes through to access your space and make it “accessible” (Technology?  People + Technology?  Just People? ). With that said, if you can’t optimize accessibility, then a “third space” offering may not be viable for your business.
3. Utilization:  You may not get significant utilization initially.  So, consider additional ways to monetize your “third space” offering.   Obviously a membership fee + utilization feel package is a solution.  There are other options as well.
4. Drive Volume:  This could truly be a very powerful volume play – when you consider the numbers.  So, factor this in your marketing outreach (messaging, media, frequency and offers) and pricing strategy.
5. Think about offering additional products and services (Cloud Computing Services and others come to mind).
6. Use an expert to optimize your space plan.   I’ve been in many a business center where the lights are off and the “lounge area” door is closed.  Space planning is a science and an art.  Get expert support.
7. Marketing. Marketing. Marketing.  This too could be death by a thousand cuts from a marketing standpoint.  Create the right strategy.

Clearly the story continues.  There’s so much more to crack the “3^rd Place nut” than the 7 points above.  This entry is to spark thought.  I would love you input and I will post more on the topic.

In short, the opportunity to provide a 3^rd Place in a “space made for work” to mobile, white-collar knowledge workers is there.  Business Center operators are well positioned to seize the opportunity. No question. But, proceed with caution.

One Response to “McDonalds: the next great 3rd Place. Hmm…”

1. From Global Workspace Association blog: www.globalworkspace.org | palacebc says:

   January 3, 2012 at 5:53 pm

   [...]                     McDonalds: the next great 3rd Place. Hmm…         … Posted by                    obcadmin                    in                    Blog Posts, General                    on                    June 1st, 2011 [...]