The ABS has just released their December business turnover report. Do your December sales reflect these trends?

The Australian Bureau of Statistics (ABS) has released its latest Monthly Business Turnover Indicator for December 2024, providing insights that are particularly relevant for small family business owners in Sydney. Understanding these trends can help you make informed decisions for your business.

Overall Business Turnover

In December 2024, there was a modest increase in business turnover across various industries, with a 0.4% rise in the 13-industry aggregate. This suggests a stable economic environment, which is encouraging for small businesses aiming for steady growth.

Industry-Specific Insights

The report highlights significant changes in turnover for specific industries:

• Electricity, Gas, Water, and Waste Services: This sector experienced a substantial increase of 12.9% in turnover. The surge was primarily due to higher electricity demand, influenced by coal power plant outages and elevated temperatures on the east coast. While this may not directly impact all small businesses, it's essential to be aware of potential increases in utility costs.
• Accommodation and Food Services: There was a 1.9% rise in turnover, indicating a positive trend for businesses in hospitality. This uptick suggests increased consumer spending during the holiday season, which could be beneficial for restaurants, cafes, and small hotels in Sydney.
• Information Media and Telecommunications: This industry saw a 1.4% increase in turnover. For small businesses involved in media, IT, or communications, this growth reflects a healthy demand for digital services and products.

Year-on-Year Performance

Comparing December 2023 to December 2024, turnover rose in 11 out of 13 industries. Notably:

• Electricity, Gas, Water, and Waste Services: A significant year-on-year increase of 21.6%.
• Information Media and Telecommunications: A 10.1% rise, highlighting the growing importance of digital and communication services.
• Transport, Postal, and Warehousing: A 7.7% increase, which could be relevant for businesses relying on logistics and delivery services.

These trends suggest a broad-based recovery and growth across multiple sectors, offering opportunities for diversification and expansion.

Implications for Small Business Owners in Sydney

As a small family business owner, it's crucial to stay informed about these industry trends:

• Utility Costs: With the rise in turnover for the Electricity and Gas sector, anticipate potential increases in utility expenses. Implement energy-efficient practices to manage costs effectively.
• Consumer Spending: The growth in Accommodation and Food Services indicates robust consumer spending. Consider strategies to attract customers, such as special promotions or enhancing customer experiences.
• Digital Presence: The uptick in the Information Media and Telecommunications sector underscores the importance of a strong online presence. Investing in digital marketing and online services could yield significant returns.

Staying updated with such economic indicators can help you navigate the business landscape more effectively, allowing you to capitalize on growth opportunities and mitigate potential challenges.

For a more detailed breakdown and additional insights, you can access the full ABS report HERE !