UKTI Australia - Creative Industries Webinar Presentation

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Australia - Opportunities for British Businesses in the Creative Industries sectors

Joanna OliveraTrade Development Manager, Creative Industries

Creative Industries Webinar March 2013

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Why Australia?

• You’ll feel at home immediately:

– Over 1,000 UK companies and more Brits than in any other country

– Very similar business, legal and regulatory culture

• Best performing OECD country economically, with good growth prospects

• Sophisticated, literate and multicultural market

• Strong Australian dollar making UK goods and services more affordable

• Closely linked to fast growing Asia-Pacific nations


An Overview of Australia

• Australia is an island continent and the world’s sixth largest country (7,682,300 sq km).

• Estimated resident population is 22.3 million

• All states/territories have separate governments, sitting under federal government with regulations varying between them

• Capital city – Canberra, ACT

• Largest and most populous cities are Sydney & Melbourne


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Creative Industries in Australia


• Creative sector in Australia worth AUD$31.1 billion a year (2008 figures)

• A 2.8% contribution towards the national GDP in 2007-08

• Expected to grow at 3.4% over the next three years

• Long-term growth rates of 5.8% over the past 20 years, roughly twice that of the economy as a whole

• World’s 5th largest spenders on arts, entertainment and media

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Australia’s Creative Workforce

• Highly skilled and diverse

• 531,000 people in creative employment

• Constitutes 5.3% of the Australian workforce (2011 figures)

• Between 84-89% of creative industries workers are employed in capital cities

– Mainly in Sydney, Melbourne and Brisbane

• 155,000 registered businesses, 60% of which are sole trader enterprises.


Opportunities in the Creative Industries


• Australia is a net importer of creative content:

– Earns AU$1.7 billion a year in creative exports and pays AU$3.8 billion in creative imports, leaving a trade deficit of AU$2.1 billion

• Key opportunities:

– Creative services: design, including product design (particularly residential & commercial furniture, lighting, packaging and home accessories)

– Film and television production

– Publishing

• Emerging sectors within the Australian creative industries:

– The number of mobile internet subscribers in Australia is estimated to increase from 280,000 in 2009 to 3.5 million in 2014

– New opportunities in digital media and advertising and e-commerce

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Opportunities in Creative Industries


DESIGN

• Particular areas of opportunity in product and packaging design, mainly in the consumer goods sector

• Continued economic growth looking to increase demand for marketing services.

DIGITAL MEDIA

• Australians rank sixth in the world in terms of total number of internet users.

• In 2010/2011, 73% of Australian households used broadband technology.

• Australian Government’s National Broadband Network

• Opportunity in the transference of print and broadcast media to digital media

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FASHION

• AU$14 billion industry (according to Australian Department of Foreign Affairs and Trade)

• Emphasis on high value, capital intensive and niche products

• Online fashion is also quickly gaining popularity with Australian consumers who a strong appetite for foreign brands.

E-COMMERCE

• Australians spent around £7 billion online in 2011

• Online sales grew 90% from 2010 to 2011

• Opportunities in sporting and outdoor goods, cosmetics and beauty products, books, media and fashion

• Goods under $1,000 bought overseas do not attract 10% GST


MUSIC

• Digital recorded music market is estimated to increase from AU$83 million in 2009 to AU$281 million in 2014.

– Fastest growing digital recorded music market in the Asia Pacific

• Digital music downloads account for an increasing share of recorded music sales, shifting the way consumers purchase music

GAMING

• Most of Australia's computer games development industry is based in Victoria, New South Wales and Queensland

• The industry is expected to grow at a rate of 4.1% in 2012.

• Annual Australian combined computer software and hardware sales were estimated to be around AU$825 million.


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TV and FILM

• Australians spent AU$21.8 billion on entertainment and media in 2009.

• In 2011-12, industry revenue is estimated to increase by 3.1% to AU$2.33 billion

• Film and TV production opportunities for UK companies due to tax incentives and co-production with Australian companies

• Online movie distribution is one of the fastest-growing creative markets in Australia

– Consumers spending an additional AU$49 million on filmed entertainment subscriptions over the past four years

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PUBLISHING

• The total industry revenue – AU$8.2 billion

– Newspaper, magazine, books and printed material publishing sector in 2011-12

• The level of industry concentration is very low

– Five largest firms in the industry accounting for about 18% of industry revenue

• Revenue is expected to decrease in the traditional publishing industry over the next five years

– Key growth is expected in the e-book market and digital printing services

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How can UKTI Australia help British companies?

• Find local contacts to help your business grow, through our Overseas Market Introduction Service (OMIS)

• Carry out in-depth research on the market to your specifications

• Product launches and PR and marketing support

• Help you attend trade fairs and missions


Keep in contact with UKTI Australia

• Ask questions at the end of this webinar or follow the conversation on LinkedIn

• Keep in touch with the latest Australian business opportunities

• Follow us on twitter @uktiaustralia


Joanna Olivera

Trade Development Manager

(Creative Industries, Fashion,

Giftware & Homewares)

[email protected]
