The Edge - Volume One

s a society, we crave experiences. Our demands have shifted along the continuum from buying products, to receiving a service, and now to

gaining an experience that is exciting and memorable. For example, experiencing a new travel destination is now more desirable than a shiny new fashion accessory. Therefore, customer loyalty must be earned through consistent, positive experiences that keep customers coming back for more. As the impact of the experience economy deepens, commercial real estate’s role in creating environments that support unique experiences has become increasingly important. To get a better understanding, let’s start where it all began – with Walt Disney. According to Harvard Business Review, the experience economy represents the fourth economic shift, following commodities, goods and services. Walt Disney was a pioneer of this shift, transforming his company from a media service organization to a full-blown entertainment experience business, notably with the creation of Disneyland. The service economy currently dominates the developed world, making up almost 80 percent of all employment in the U.S. As the service economy has expanded and is becoming increasingly commoditized, our perception of economic value has progressed – we increasingly expect a more premium and differentiated economic offering. Our love affair with experiences is growing in every aspect of our lives. We seek out positive experiences daily through our favorite coffee shop, cocktail bar or specialized workout class. This desire for uplifting experiences pervades our working lives, and real estate becomes the stage for new experiential offerings. PERFECTING PLACEMAKING At the macro scale, real estate investors and developers around the world now recognize the importance and value of ensuring their buildings provide a more interactive, diverse and bespoke experience. Forward-looking developers no longer consider a building on a standalone basis – instead, they seek out mixed-use sites that provide an integrated space for working, living and playing. In the UK, Cushman & Wakefield and one of its long-time property development partners redeveloped London’s Kings Cross, creating a landmark district that attracts top talent and has significantly increased demand for commercial property in the area. These placemaking initiatives reflect a heightened awareness that user experience is an important component to the success of attracting top talent and providing an inspiring environment for staff. EMBRACING THE FOURTH ECONOMIC SHIFT

SUZANNE MEHTA Chief Experience Officer, Global Occupier Services suzanne.mehta@cushwake.com ASAEL AKKERMAN Head of Workplace, Benelux EMEA asael.akkerman@cushwake.com

PAUL KLINK Executive Managing Director Investor Services paul.klink@cushwake.com

ROB PARKER Associate Director

Global Occupier Services rob.parker@cushwake.com

PATRICK SYMES Senior Associate, Workplace Strategy & Change Management patrick.symes@cushwake.com

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