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Industry Hits Half a Billion – Manufacturers Survey Update

Aceta

ACETA

 

Industry Hits Half a Billion – Manufacturers Survey Update

In October 2017 we published a comprehensive survey revealing the size and nature of entertainment technology creation in Australia which offered many never-before known insights. We have taken the time to update this information and are please to advise, the manufacturing sector in Australia, and probably for the first time in its history, has exceeded over AUD half a billion in output.

 

The growth in just over 12 months can be attributed to the rapidly expanding local headphone producing sector. Using exactly the same criteria as the initial presentation:

1. National Composition

 

 

2. Regional Composition

 

3. Sector Composition

 

The survey revealed that the four largest organisations had established a strong export presence and a growing international market share. However, with a few exceptions the majority of the 92 listed organisations had either a sporadic or no export program, relying instead on the small Australian market (around 1.5% of the world total) to sustain their business.

A hypothetical analysis will lend perspective to the possibilities; given the same circumstances and market penetration a company turning over $100,000 in Australia would be turning over $1,316,000 if based in the USA. And a company turning over $999,999 in Australia would be turning over $13,160,000 if based in the USA.

These figures are in AUD, based on market similarities and a USA population 13.16 times the size of Australia, with enhanced opportunity of export due to a significantly higher sustaining income base.

The majority of Australian companies in the survey, 60 in total (or 65%) currently turn over $100,000 to $999,999, therefore the key indicators in this survey remain positive and present remarkable potential for financial output and employment growth, but we must export.

The manufacturing sector of our Western nation competitors, particularly the UK, Europe and the USA operate in well-established decentralised environments, benefiting from realistic manufacturing
and warehousing cost structures, not so Australia.

Our survey shows we are primarily centralised in the capital cities, in particular the two highest cost of all Melbourne and Sydney where real estate, services and employment costs are by far the highest
in the nation.

As the market place is also rapidly decentralising, thanks to the internet, many of our manufacturers would be wise to investigate re-location to a much lower operational-cost region, to ensure we can successfully compete on a more level playing field. This important issue is being addressed by ACETA on behalf of the membership.

In summary, the survey confirmed, Australia’s entertainment technology creative / manufacturing sector finds itself well positioned to substantially elevate its international influence and become
a significant source of entertainment technology supply in all its forms.

With only a few exceptions, the sector is conveniently compact, niche by nature, resilient, proven in the development of high-performance technology, and with very little baggage, a highly desirable international supply partner.

But most importantly it is now empowered with its own increasingly influential ‘peak body’.

With or without the participation of any particular organisation, ACETA is determined to prevail. In partnering with resourcing agencies and the establishment of development programmes, the current financial output of 511 million could become well in excess of a billion and 955 employed individuals could become 2,000 or more.

Obviously only bona-fide ACETA members receive the benefits and qualify for inclusion in programs, therefore it may be in your best interests to join the vision and secure the future.

Contact www.aceta.org.au or phone (03) 9254 1033.

 

ACETA Needs Your Input
ACETA constituents fall into three categories, manufacturers, manufacturers representatives and service providers. There is no priority delineation; all sectors have unique needs which are addressed on constituent consensus and as specific issues arise.

The second industry convention program is testament to this fact, where sector specific, along with general subject matter, will engage all industry participants, so make your convention bookings soon.

Many indicators suggest our industry has reached a point where it needs an injection of fresh and progressive thought to help address challenges and improve sustainability.

At the inaugural convention in 2018, delegates would have met seminar presenters Sheree Cross and Bernard Stapleton, who consult to SV Strategic Solutions. Individually and as a team, they have worked with many companies to bring about positive corporate change. They have worked with a number of industries, for example, successfully assisting the Australian agricultural industry manufacturers into the large and lucrative USA market. They know how to locate funding and how to develop strategies for successful export.

We have reached an agreement where they will work with ACETA to assist individual members institute necessary corporate change. However, their first mission is potentially a real game-changer. At the second industry convention Sheree and Bernard will facilitate a Manufacturers Summit where it is hoped that those wishing to succeed in export markets will unify under Sheree and Bernard’s leadership.

The plan is to access funding and develop a pro-active export program, initially focused on the most available market to Australian technology creators, the USA.

To begin the process Sheree and Bernard have authored a survey to assist their understanding of the current landscape and potential moving forward. The confidential information supplied in the survey will reside only with Sheree and Bernard, and form agenda points for the manufacturers summit at the second industry convention.

If you are a member in any sector wishing to change and improve your sustainability, if you are a manufacturer wanting to succeed in export, complete the survey and forward it as directed in the document.

There are no more excuses for failure, we have at our disposal, support, objectivity, experience, agents of change, use these resources to your benefit and prevail.

 

ACETA Convention 3rd to 5th May 2019

Contact www.aceta.org.au or phone (03) 9254 1033.

 

From CX Magazine – April 2019    CX Magazine is Australia and New Zealand’s only publication dedicated to entertainment technology news and issues – available in print and online. Read all editions for free or search our archive www.cxnetwork.com.au
© CX Media

 

Jan 2018 – ACETA: The Survey that had to be Done

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