New research released as part of DBM Consultants’ Business Financial Services Monitor (BFSM) highlights that the majority of Australian companies* admit to not systematically assessing or formally preparing for the future of their business, with a staggering 77 per cent admitting to having no business plan let alone a marketing plan (86 per cent).
“Considering it is a strict requirement for businesses to secure a bank loan with a formal plan, these latest results are indeed surprising” said DBM Director Maria Claridad. “The majority of Australian businesses are very small and quite a few of these don’t borrow money. Still, we are finding that it’s not just about size of the business, with many Small and Medium businesses in Australia admitting to not having a business or marketing plan.”
The State Government of Victoria’s Business Victoria website states: When applying for a business loan, it’s essential to prepare a detailed business plan and fully inform the lender about your proposed venture. This information helps the lender to provide you with the right type of finance and advice.
Only a Minority of Small businesses have a business plan. Micros even less likely.
Four in ten Small businesses (40 per cent) have a business plan, while only one in five Micro businesses (20 per cent) have one. Even more interestingly, these figures are well short of the proportions which currently have a loan product (other than a credit card) from a bank – Small 65 per cent, Micro 45 per cent.
“It is possible that businesses don’t see or use the document they prepare when they are seeking a loan is a business plan,” said Claridad. “Rather it’s just a means to an end at a given moment in time, a compliance document. It is not something they use to guide their business in the medium or long term. It seems a missed opportunity to utilise an important business tool that should have practical use.”
Few Construction, Agri and Electricity, Gas, Water and Waste Services have business plans
Well under a fifth of Construction, Agribusiness and Electricity, Gas, Water and Waste Services companies have business plans. In contrast, around four in ten Mining companies and Education and Training organisations have one, making these two sectors the best prepared in this regard.
|Incidence of Business Plans by Sector|
|Mining||43%||Professional, Scientific and Technical Services||26%|
|Education and Training||41%||Transport, Postal and Warehousing||23%|
|Financial and Insurance Services||35%||Retail Trade||22%|
|Arts and Recreation Services||33%||Manufacturing||20%|
|Information, Media and Telecomms||29%||Administrative and Support Services||19%|
|Health Care and Social Assistance||28%||Construction||14%|
|Wholesale Trade||28%||Agriculture, Forestry and Fishing||12%|
|Rental, Hiring and Real Estate Services||27%||Electricity, Gas, Water and Waste Services||11%|
|Accommodation and Food Services||27%|
6-month rolled average – July 2015
Even fewer businesses have a marketing pan
Even having a business plan seems popular when comparing it with the number of Australian companies who have a marketing plan.
“In a day and age where communications is at the forefront of business KPIs, to hear that only 14 per cent of Australian businesses* have a marketing plan is quite surprising,” says Claridad.
“Australia’s business landscape is becoming increasingly competitive given the prevalence of imports and off-shoring, so having a clearly defined plan of how your business is going to communicate with target markets and potential customers is vital. It is possible that businesses could benefit from the support in this area.”
Marketing plans are more prevalent among Small businesses (27 per cent) than Micros (12 per cent); by sector, Electricity, Gas, Water and Waste Services (3 per cent), Construction (7 per cent) and Agribusiness (8 per cent) organisations are least likely to have a marketing plan.
Award-winning independent PR Agency, Agent99, has hooked new clients in online seafood delivery service, FishMe!, as well as productivity specialist and author, Donna McGeorge (main photo). Since launching earlier this year, Sydney’s FishMe! has cut out the middleman and bricks-and-mortar overheads to ensure customers get great quality at competitive prices. The business was founded by […]
Menulog has teamed with creative agency, Poem, and social agency, Connecting Plots, to launch the ‘Menulogies’, a rebrand of its 10th annual restaurant awards. Building on the success of previous years, the awards have returned with updated categories to reflect the latest culinary and social media trends, as well as loads of glitz and glamour […]
Yahoo has announced it has promoted Julia Edwards to NSW sales director. Since joining Yahoo 18-months ago, Edwards (main photo) has been instrumental in building the commercial success of Yahoo Creative Studios (formerly RYOT Studios) in her role as head of strategic solutions. She has been behind a number of industry-first campaigns using cutting-edge technology, […]
Twitter CEO Jack Dorsey has stepped with immediate effect, replacing him, the company board unanimously appointed distinguished Chief Technology Officer (CTO) Parag Agrawal. After almost 16 years Jack Dorsey has decided it’s finally time to leave Twitter. Though, he will remain a member of the board until his term expires at the 2022 meeting of […]
ARN has announced that Bob Gallagher from Brisbane’s 97.3FM’s Robin, Terry & Bob, has resigned from the popular breakfast show. After an extraordinary 19 years of working breakfast radio hours, Gallagher will turn off his early morning mic this Friday. Gallagher said: “I leave the show in great shape and I’m looking forward to a sleep-in after so many years of early morning […]
Independent communications agency History Will Be Kind (HWBK) is taking its tech portfolio to the next level following a competitive pitch which has seen it win new client partner and leading business software provider, The Access Group. A significant global player in business software technology with a track record of impressive growth including the acquisition […]
CUB has launched a new “Woody & Cola” campaign via TBWA\Melbourne. Set to the well-known Escape (The Pina Colada Song), the campaign introduces characters ‘Woody’ and ‘Cola’, who are completely different, yet completely complimentary at the same time – much like Woodstock’s smooth oak-aged, blended Kentucky bourbon with sweet refreshing cola. Following their journey, Woody […]
Local businesses communication and payments platform, Podium, and Council of Small Businesses Organisations of Australia (COSBOA) has today announced the winners of Australia’s Most Loved Local Businesses, which includes a specialised biking store and a stigma-busting dental practice. The campaign aimed to shine the spotlight on a handful of vibrant, dynamic and innovative Australian businesses following an […]
Nine’s Snackmasters wins the night in entertainment pulling in 603,000 viewers – if you can watch this without snacking, as far as I’m concerned you are superhuman! In news, news – Seven News hit 949,000 viewers while Nine News had 872,000 viewers. Nine’s A Current Affair snagged the second entertainment spot with 696,000 viewers – Do you […]
Lorraine Jokovic (main photo) is the CEO of LOUD Communications, ACA board member and chair of ACA’s diversity and inclusion committee. Ahead of the launch of ACA’s Create Space diversity and inclusion census, Jokovic says adland often talks a good diversity and inclusion talk but its actions not words that are required… As an industry […]
Departed Triple M star Lawrence ‘Moonman’ Mooney would have lawyers salivating as he chases after a $1million-plus damages claim against his former employers. Mooney still had over a year remaining on his contract with SCA before an internal issue led to the popular personality’s abrupt departure from the airwaves. It’s believed his salary for 2021 […]
Spikes Asia talks with chief creative officer at Performance Art, Ian Mackenzie (main photo), about his Spike award winning campaign, ‘Publicly Traded’… When creativity is effective and effective work is creative, it has even greater power to positively impact people, brands and the world. Spikes Asia brings weekly insights from award winning creators of inspiring […]
People are at the centre of Twitter’s brand safety policies. By putting people first, Twitter is creating a safer space for brands to engage with the right audiences, at the right time, with the right conversations. As a platform where people come to participate in conversations, connect with others, and get information they can trust, […]
Media agency members of the Media Federation of Australia (MFA) have completed the industry’s second annual DE&I survey, providing a holistic view of progress in the area of diversity, equity and inclusion. The aim of the survey – conducted in partnership with Mediai and completed by 2,203 individuals working in Australian media agencies – is […]
Ethical cosmetics chain Lush has boycotted social media over concerns it is having a negative impact on teenagers’ mental health. The cosmetics company closed down all it’s social media accounts last week, consisting of Instagram, Facebook and Snapchat. It’s a pretty big deal considering The Guardian, reported that Lush has amassed over 10 million followers […]
UnLtd and Yahoo’s inaugural Ambassador for Good program has come to a close for 2021, with the call for applications being sent out for next year. From over 80 applicants, 16 individuals from across the industry were selected into the launch initiative to use their skills and networks for good. Over the past year, the […]
Comedian and social media star, Celeste Barber has collaborated with lingerie brand Bras N Things for a relatable and wearable lingerie collection. Barber’s collaboration with Bras N Things is bright, vibrant and fun. It’s relaxed and comfortable but there is also plenty of drama and sass. Barber worked closely with the Bras N Things team […]
Global creator company Jellysmack has announced its latest Australia and New Zealand team members as the company accelerates its growth plans in the region. Last month, Jellysmack launched its popular creator program in Australia and New Zealand and prioritised the region as a key growth market within the $US100 billion creator economy. The VC-backed technology […]
Bega’s flavoured milk brand, Masters, saw the return of its iconic Western Australian event over the weekend, with locals taking to the water at Hillary’s Boat Harbour in Perth, to race watercrafts made from Masters milk cartons. The ‘Masters Milk Regatta’ this year partnered with SCA’s Mix 94.5 station – with Starcom overseeing media strategy, […]
Three dumped islanders from the Love Island Australia Villa will be joining Tinder for an exclusive in-app experience, ‘Swipe Island’, looking for another chance to find their lucky match. Between 6pm-11pm tonight, Aussie Tinder members will have the final chance to participate in the virtual ‘Swipe Island’ experience and match with ex Villa babes including […]
Nestlé Australia has announced it is switching to renewable energy, meaning Aussie favourites, KitKat, Milo, Allen’s, Uncle Toby’s and Purina will now be made at 100 per cent renewable energy-powered factories. Nestlé Australia’s announcement comes four years ahead of its original global target of 2025. The company partnered with CWP Renewables to make its first renewable power […]