While this figure is encouraging, in examining some of the recent reasons cited by Australian businesses as holding them back from growth, and what industries and support they can turn to in order to expand and prosper, the opportunity for the Parramatta district could be even greater.
We delved into these questions with Servcorp’s recent bi-annual Servcorp Australian Business Growth Monitor, a national study of 464 Executive Managers and business owners of Australian companies.
Initially, we discovered that that 56 per cent had failed to realise revenue in the past year, largely due to issues such as difficult market conditions, a reduction in consumer spending and customer budget constraints.
Interestingly, we also found that businesses are working harder to win new clients who have smaller budgets, as a 49 per cent growth in client base is not translating into comparative revenue growth.
Luckily though, it’s not all doom and gloom for Australia’s local businesses, with many moving ahead with their own plans for success.
End of the old world?
Our report revealed that industries traditionally seen as cornerstones of Australia’s economy are slowing down. Looking ahead, more than half (54%) of those surveyed believe that manufacturing is now on the decline, followed by mining (34%) and agriculture (30%).
Rather than focusing on an ever-dwindling supply of jobs in these traditional industries, businesses need to be looking to new sectors for a chance at success.
The industries most expected to grow this year include healthcare (40%), professional services (36%) and construction (32%).
Looking specifically at Parramatta, these statistics are particularly encouraging. Following an additional report by the Parramatta City Council, which showed that Financial & Insurance Services accounted for 19.7% of the total GRP for the City of Parramatta, followed by Public Administration (10.4%) and Health Care & Social Assistance (8.7%). The district is in sync with national business opinion.
Now is the time that companies in these areas need to be bullish and look at how they can grow their business – whether that’s through expanding with new offices at home or abroad, investing in new technology or hiring great talent.
Investing in technology
When it comes to ways of supporting growth, technology continues to dominate as the key focus for businesses looking to expand over the next year.
We found that 64 per cent of business owners are planning to invest in technology over the next 12 months – including an upgraded website (33%), social media (26%) and cloud services (16%).
Technology is one of the easiest ways to create a consistent brand presence and to increase efficiency, making it easier for customers to reach you while keeping costs to a minimum.
Pairing first class virtual and cloud services with an outstanding office location, for example, offers a range of real business benefits such as reductions in cost, and increases in flexibility and productivity.
When you combine investments in new technology, and the green shoots shown by some of Australia’s industries, we’re seeing the early signs of an economy ready to move up a gear and to drive stronger growth. And in Parramatta, the opportunity to take the lead is clear.
Servcorp is a WSABE sponsor.
