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Sutherland Shire
Business Survey
Prepared by: Micromex Research
Date: January 2017
2
Contents
Background and Methodology……………………………………………………………………………… 3
Key Findings……………………………………………………………………………………………………… 5
Results……………………………………………………………………………………………………………... 8
Business Profile…………………………………………………………………………………………………… 9
Business Operations……………………………………………………………………………………………. 16
Business Performance…………………………………………………………………………………………. 23
Networks/Associations………………………………………………………………………………………… 30
Location………………………………………………………………………………………………………….. 33
Challenges………………………………………………………………………………………………………. 35
Support from Council………………………………………………………………………………………….. 39
Appendix A……………………………………………………………………………………………………… 45
Appendix B………………………………………………………………………………………………………. 49
Background & Methodology
4
Background & Methodology Objectives
This survey is part of a biennial local business survey, which began in 2012. Council undertakes the survey online with a sample of local
businesses.
Questionnaire
Sutherland Shire Council updated the 2014 questionnaire for 2016, a copy is in Appendix B.
The sample consisted of a total of 723 businesses. Previous reports in 2014 and 2012 consisted of 1,186 and 901 respondents, respectively.
For the survey under discussion the greatest margin of error is 3.6%. This means, for example that the answer ‘yes’ (50%) to a question could
vary from 46% to 54%.
Data collection
The online survey was available to local LGA business operators and owners via the Council’s public consultation website ‘Join the
Conversation’, from the 3rd October – 25th November 2016.
Reporting
As some respondents did not answer all questions, base sizes vary across questions.
All percentages are calculated to the nearest whole number and therefore the total may not exactly equal 100%.
Word Frequency Tagging
Verbatim responses for open questions were collated and entered into analytical software. This analysis ‘counts’ the number of times a
particular word or phrase appears and, based on the frequency of that word or phrase, a font size is generated. The larger the font, the
more frequently the word or sentiment is mentioned.
Key Findings
6
Key Findings
Work-life balance
The mean number of hours respondents work per week increased by an hour and 30minutes compared to 2014, averaging at 39hours a
week. 41% of respondents however stated that they work for more than 45hours a week.
The ability to ‘work from home’ (41%) or work ‘close to home’ (48%) were the predominant reasons why respondents located their business
within the Sutherland Shire, suggesting that maintaining a good work-life balance is an important factor under consideration for people
when deciding on the location of a business.
Performance of businesses
Annual turnover remained steady in 2016 compared to 2014, with 22% of businesses having a turnover of over $500,000 and 49% having a
turnover of less than $75,000. However increases in the Consumer Price Index (CPI) over the past 2 years means that no change in annual
turnover compared to 2014 actually represents a very slight decline.
Despite the ‘online market’ now being an important part in modern businesses, on average 82% of turnover still comes from ‘traditional
sales’ for businesses within the Sutherland Shire.
The proportion of full-time and part-time employees significantly decreased in 2016, a pattern that was predicted by past respondents in
2014. However 94% of respondents believe that ‘employment levels’ will be about the same or much/somewhat stronger in 12 months
time, and over half of respondents are optimistic that ‘total sales/revenue’ (55%) and ‘profitability’ (52%) will be much/somewhat stronger.
Challenges
A quarter of respondents (24%) stated that they have experienced skill shortages in their business/business dealings, with the greatest
shortage centring around trade skills.
The primary challenge of operating a business within the Sutherland Shire appears to be ‘location’, with respondents acknowledging that
their customer base is reduced compared to a Sydney CBD location. Respondents also highlighted the difficulty that ‘parking and traffic
control’ can create for their business, especially with increasing developments in the area.
Respondents believe that the methods by which council can best support their business is through ‘promotion/advertising’ and increasing
‘parking facilities’, and via events such as ‘markets’, ‘street fairs’, ‘workshops’ and ‘expos’.
7
Key Findings Time in operation
Key differences were highlighted between businesses based on the time that they have been in operation for. The below table identifies
the attributes that were significantly more likely to occur in businesses that have been operating for less than 3 years and businesses that
have been operating for more than 10 years:
Operating for <3 years Operating for >10 years
Location of business Occupy a ‘home office’ Occupy a ‘commercial’, ‘retail’ or
‘industrial’ premises/site
Hours worked per week Work less hours per week Work more hours per week
Annual turnover (total) <$75,000 >$500,000
Annual turnover derived from online sales >75% from online sales <25% from online sales
Annual turnover derived from the Sutherland Shire market No significant difference >75% from Sutherland Shire market
Member of a network/association Less likely to be a member of a
network/association
More likely to be a member of a
professional industry/association
and the Chamber of Commerce
Expectation of business performance in the next 12 months
(including sales, profits and employment levels) Believe it will be stronger Believe it will be about the same
Businesses that have been in operation for less than 3 years are potentially at greater risk, with lower turnovers and work hours invested
each week, and the owners/operators significantly less likely to be incorporated into industry networks and associations.
The greater percentage of sales that new businesses derive from the online market does however highlight the changing dynamics of
businesses. This suggests that ensuring new businesses have access to good telecommunication services and guidance on establishing an
online presence for a business, are key strategies to supporting new businesses within the Sutherland Shire.
Results
Business Profile
10
Suburb of Primary Operation
Q1. From which suburb in the Sutherland Shire do you primarily operate your business?
Almost two thirds of respondent businesses (64%) primarily operate in just eight suburbs: Caringbah, Cronulla, Sutherland, Gymea/Gymea Bay, Miranda, Kirrawee, Engadine and
Taren Point. This is very similar to results from 2014
Suburb % of respondents Suburb % of respondents Suburb % of respondents
Caringbah 12.8% Woolooware 1.7% Waterfall 0.3%
Cronulla 11.6% Bundeena 1.5% Yowie Bay 0.3%
Sutherland 7.8% Woronora/Woronora
Heights 1.5% Grays Point 0.2%
Gymea/Gymea Bay 7.7% Loftus 1.3% Kangaroo Point 0.2%
Miranda 7.7% Bangor 1.0% Maianbar 0.2%
Kirrawee 6.0% Burraneer 1.0% Royal National Park 0.2%
Engadine 5.8% Kurnell 1.0% Other 1.3%
Taren Point 4.8% Lilli Pilli 1.0%
Sylvania/Sylvania
Heights/Sylvania
Waters
4.0% Mobile Business 1.0%
Menai 3.8% Alfords Point 0.8% Other specified % of respondents
Heathcote 2.2% Barden Ridge 0.8% All suburbs 0.5%
Jannali 2.2% Como 0.8% Greenhills 0.3%
Oyster Bay 2.0% Kareela 0.8% Online only 0.2%
Bonnet Bay 1.8% Yarrawarrah 0.7% Port Hacking 0.2%
Illawong 1.7% Dolans Bay 0.5% Sandy Point 0.2%
Base: 2016 N=601
11
Business Type
‘Professional,
scientific &
technical
services’
continued to
be the most
common
type of
responding
business in
2016 – and
the category
that grew the
most relative
to 2014
(although
differences
are not
significant).
Whilst
several
categories
have
dropped in
2016, this
may reflect
the inclusion
of new
categories
Q2. What is the main type of business you operate?
Base: 2016 N=718, 2014: 1186
5.1%
0.9%
0.3%
1.6%
0.8%
1.2%
3.8%
3.3%
6.7%
4.6%
7.8%
6.7%
6.4%
9.9%
8.6%
7.7%
10.0%
14.3%
0.7%
0.3%
0.7%
0.7%
0.8%
1.4%
2.5%
2.6%
3.1%
3.2%
3.8%
4.6%
6.3%
6.5%
6.7%
6.8%
7.4%
7.5%
8.4%
10.2%
15.9%
0.0% 10.0% 20.0%
Other
Public administration & safety
Agriculture, forestry & fishing
Tourism
Transport, postal & warehousing
Electrical, gas, water & waste services
Rental, hiring & real estate services
Manufacturing
Household services
Wholesale trade
Administration & support services
Accommodation & food services
Arts and recreation services
Personal services
Construction
Financial & insurance services
Health care & social assistance
Education & training
Information, media & telecommunications
Retail trade
Professional, scientific & technical services
2016 2014
Note: Different categories were used to define businesses in 2012, so the data has not been included in the above chart.
‘Personal services’, ‘household services’ and ‘tourism’ were not categories in 2014
Other specified Count
Building and pest inspections 1
Bus Charter 1
Registered club 1
Security 1
12
Business Type Q2. What is the main type of business you operate?
‘Construction’ businesses account for 20.2% of businesses within the Sutherland Shire. As only 6.7% of
respondents in this survey represented construction businesses, this industry should be targeted in
future years to increase participation
Industry group Representation in the
Sutherland Shire**
Representation in the
2014 survey
Representation in the
2016 survey
Construction 20.2% 6.7% 6.7%
Professional, Scientific &
Technical Services 14.4% 14.3% 15.9%
Rental, Hiring & Real Estate
Services 12.9% 1.2% 2.5%
Financial & Insurance Services 10.0% 6.4% 6.8%
Total 57.5% 28.6% 31.9%
**Source: http://economy.id.com.au/sutherland/number-of-businesses-by-industry
Industry groups that form over half of businesses within the Sutherland Shire area are listed in the table below. ‘Construction’ and
‘rental, hiring & real estate services’ are slightly under-represented in this survey, however they are on-par with respondents from 2014.
These businesses could potentially be targeted in future surveys to increase participation.
13
Business Structure Q3. What is the structure of your business?
85% of respondents operate as a ‘sole trader’ or a ‘privately owned/publicly listed company’, consistent with results from 2014
6%
10%
45%
39%
5%
9%
37%
49%
3%
5%
7%
39%
46%
0 0.1 0.2 0.3 0.4 0.5
Federal/State owned corporation
Not for profit
Trust
Partnership
Privately owned/Publicly listed company
Sole trader
2016 2014 2012
<1%
Base: 2016 N=716, 2014 N=1186, 2012 N=901 Note: ‘not for profit’ and ‘Federal/State owned corporation’ were asked in the 2016 survey only
14
Time Business Has Been in Operation Q5. How long has your business been in operation?
The data suggests that since 2012, more new businesses have entered the local market – note how in 2014 and 2016 there are fewer ‘More than 10 years’ businesses and more of the younger
businesses, Overall, there appears to be close to a third of new (up to 2 years), medium (3-10 years) and well established (more than 10 years) businesses
Base: 2016 N=718, 2014 N=1186, 2012 N=901
41%
16%
17%
14%
11%
32%
14%
19%
17%
18%
34%
16%
18%
16%
16%
0% 10% 20% 30% 40% 50%
More than 10 years
6-10 years
3-5 years
1-2 years
Less than a year
2016 2014 2012
Note: one respondent stated that their business was ‘not yet operational’, and one stated it was ‘no longer in operation’
15
Business Premises Q4. What type of premises/space does your business occupy?
Consistent with the earlier finding that almost half of all businesses are sole traders, half (51%) of
businesses occupy a ‘home’ premises/space. Businesses that have been in operation for less than 3
years were significantly more likely to occupy a ‘home’ premises/space, and businesses that have been
in operation for more than 10 years were significantly more likely to occupy a ‘commercial’, ‘retail’ or
‘industrial’ premises/space
49% 54%
2%
1%
1%
1%
2%
6%
7%
8%
21%
51%
0 0.1 0.2 0.3 0.4 0.5 0.6
Other
Market/Pop-up
Educational
Co-working
Health
Industrial
Retail
Mobile
Commercial
Home
2016 2014 2012
Base: 2016 N=718, 2014 N=1186, 2012 N=901 Note: in previous years this question only asked if the respondent operated a home based business
Other specified Count
Community/Council hall 13
Church hall 2
School hall 1
Business Operations
17
Employees Q6-11. How many full time/part time/casual/contractors/trainee/volunteers (including yourself) are currently engaged in your business?
The percentage of ‘full-time’ employees has continued to significantly decrease, confirming the downward pattern that was predicted by respondents in the 2014 survey. The proportion of
‘contract/consultant’ employees has significantly increased compared to 2014 and the proportion of ‘part-time’ employees has significantly decreased
2%
5%
22%
10%
61%
7%
8%
22%
15%
49%
11%
7%
19%
23%
8%
33%
0 0.1 0.2 0.3 0.4 0.5 0.6 0.7
Volunteers (N=618)
Trainee/apprentice
(N=619)
Contract/consultant
(N=642)
Casual (N=630)
Part-time (N=632)
Full-time (N=709)
2016 2014 2012
▲▼ = A significantly higher/lower percentage
▲
▼
▼
Note: the number of ‘volunteers’ engaged was only asked in 2016. Percentages for each employment category
are calculated out of the total number of employees (9,219), in line with methods in previous reports
Mean number of
employees per business
4.3
1.1
3.4
2.7
1.0
1.6
18
Employees Q6-11. How many full time/part time/casual/contractors/trainee/volunteers (including yourself) are currently engaged in your business?
Examining employment across all respondents (counting a blank response as 0), shows that 72% of businesses have between 1-5 full-time employees. So although full-time employment is decreasing (as shown on the previous slide), it does still account for the greatest proportion of
employment
2%
0%
1%
1%
2%
1%
1%
4%
5%
3%
8%
10%
8%
30%
24%
37%
72%
88%
91%
66%
71%
60%
19%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Volunteers
Trainee/apprentice
Contract/consultant
Casual
Part-time
Full-time
0 employees 1-5 employees 6-20 employees 20+ employees
▲▼ = A significantly higher/lower percentage
Mean number of
employees per business
4.2
1.0
3.0
2.4
0.9
1.4
As a large proportion of respondents did not answer all employment categories in this question, the below chart represents
employment percentages within each category where a blank answer was counted as ‘0’. The base size for all categories is therefore
increased to the full N=723
<1%
Base: 2016 N=723, 2014 N=1186, 2012 N=901
19
Working Hours Q12. On average, how many hours per week do you work in your business?
41% of business owners/operators work more than 45 hours per week for their business, with the mean number of
hours worked per week increasing from 37hrs and 30min in 2014, to 39hrs in 2016.
Owners/operators for businesses that have been in operation for more than 10 years are significantly more likely to
work longer hours per week, whilst owners/operators for businesses that have been in operation for less than a year
are significantly less likely to work longer hours
41%
33%
13%
12%
1%
0% 10% 20% 30% 40% 50%
More than 45 hours
21-45 hours
11-20 hours
1-10 hours
0 hours
Base: 2016 N=706
Mean hours per week
2016: 39hrs
2014: 37hrs 30min
20
Annual Turnover Q13. What was the annual turnover of your business in the 2015/16 financial year?
Annual turnover in the 2015/16 financial year was very consistent with 2013/2014, with 22% of respondents
stating that their business had a turnover greater than $500,000 and half (49%) stating they had a turnover
of less than $75,000. However, as inflation has increased in the past 2 years, no change in annual turnover
potentially represents a slight decline in 2016
28%
10%
12%
14%
36%
20%
7%
11%
13%
49%
22%
7%
9%
13%
49%
0% 10% 20% 30% 40% 50% 60%
More than $500,000
$300,001 - $500,000
$150,001 - $300,000
$75,001 - $150,000
$0 - $75,000
2016 2014 2012
Base: 2016 N=641, 2014 N=1186, 2012 N=901
Businesses that have been in operation for more
than 10 years were significantly more likely to have
an annual turnover of over $500,000, whilst
businesses that have been operating for less than 3
years were significantly more likely to have an
annual turnover of less than $75,000
21
Traditional and Online Sales Turnover Q14. What percentage of your turnover is derived from the following sales?
‘Traditional sales’ continues to be the dominant method by which turnover is derived. The proportion of businesses
that derive more than 75% of their turnover from online sales significantly decreased in 2016, whilst the proportion
that derive less than 25% significantly increased. Businesses that have been in operation for less than a year were
significantly more likely to have at least 75% turnover from online sales, and businesses that have been in
operation for more than 10 years were significantly more likely to have less than 25% from online sales
73%
7%
7%
13%
68%
6%
6%
20%
67%
8%
5%
20%
0% 20% 40% 60% 80%
More than 75%
(87.5%)
50-75%
(62.5%)
25-50%
(37.5%)
Less than 25%
(12.5%)
2016 2014 2012
Traditional Sales
Note: base sizes differ for traditional and online sales, as some respondents did not answer both parts of the question
14%
7%
12%
66%
20%
6%
9%
65%
12%
4%
7%
77%
0% 20% 40% 60% 80%
More than 75%
(87.5%)
50-75%
(62.5%)
25-50%
(37.5%)
Less than 25%
(12.5%)
2016 2014 2012
Online Sales
▲▼ = A significantly higher/lower percentage
▼
▲
Base: 2016 N=709, 2014 N=1186, 2012 N=901 Base: 2016 N=683, 2014 N=1186, 2012 N=901
2016 Mean: 78% from
‘traditional sales’
12% of businesses
had 0% turnover from
‘traditional sales’
2016 Mean: 13%
from ‘online sales’
58% of businesses
had 0% turnover
from ‘online sales’
22
Market Turnover Q15. What percentage of your turnover is derived from the following markets?
The ‘Sutherland Shire market’ is responsible for the largest percentage of turnover for businesses. Significantly
more respondents stated that over 75% of their turnover is derived from the ‘rest of Australia’ compared to
2014, and significantly less respondents stated that more than 75% of their turnover is derived from the
‘overseas’ market. Businesses that have been in operation for more than 10 years were significantly more
likely to have over 75% of their turnover derived from the ‘Sutherland Shire market’
32%
13%
15%
41%
32%
11%
15%
42%
36%
15%
11%
38%
0% 20% 40% 60% 80% 100%
More than 75%
(82.5%)
50-75%
(62.5%)
25-50%
(37.5%)
Less than 25%
(12.5%)
2016 2014 2012
Note: base sizes differ and means do not total 100% as some respondents did not answer all parts of the question ▲▼ = A significantly higher/lower percentage
11%
8%
12%
69%
12%
5%
13%
70%
26%
13%
15%
45%
0% 20% 40% 60% 80% 100%
More than 75%
(82.5%)
50-75%
(62.5%)
25-50%
(37.5%)
Less than 25%
(12.5%)
2016 2014 2012
14%
6%
10%
70%
13%
7%
7%
74%
2%
2%
2%
94%
0% 20% 40% 60% 80% 100%
More than 75%
(82.5%)
50-75%
(62.5%)
25-50%
(37.5%)
Less than 25%
(12.5%)
2016 2014 2012
Sutherland Shire market Overseas market Rest of Australia market
▼
▼
Base: 2016 N=710, 2014 N=1186, 2012 N=901 Base: 2016 N=669, 2014 N=1186, 2012 N=901 Base: 2016 N=633, 2014 N=1186, 2012 N=901
▲
▲
2016 Mean: 50% from the ‘Sutherland
Shire market’
17% of businesses
had 0% turnover
from the ‘Sutherland
Shire market’
2016 Mean: 40% from
the ‘rest of Australia
market’
20% of businesses
had 0% turnover from
the ‘rest of Australia
market’
2016 Mean: 4%
from the ‘overseas
market’
79% of businesses
had 0% turnover
from the ‘overseas
market’
Business Performance
24
Current Business Performance Q16. How does your business perform today compared to 12 months ago, in the following areas?
On face value, net improvement (ie: stronger score minus weaker score) is most pronounced for ‘total sales/revenue’ and ‘general business conditions’, whilst there is less of a net gain for
‘profitability’. ‘Employment levels’ and ‘capital expenditure’ have largely remained unchanged – note the 70% of ‘about the same’ mentions for both.
13%
12%
21%
14%
18%
70%
70%
49%
57%
47%
17%
18%
30%
29%
35%
0% 25% 50% 75% 100%
Capital expenditure
Employment levels
Profitability
General business conditions
Total sales/revenue
Much/somewhat weaker (1) About the same (2) Much/somewhat stronger (3)
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger
Mean
rating
2.17
N=689
2.15
N=696
2.09
N=685
2.07
N=679
2.04
N=681
25
Current Business Performance Q16. How does your business perform today compared to 12 months ago, in the following areas?
Respondents from businesses that have been in operation for less than 3 years were significantly more likely to state that all 5 aspects of their business performance were
‘much/somewhat stronger’ compared to 12 months ago. Respondents from businesses that have been in operation for more than 10 years were significantly less likely to state this
1.95
1.97
1.88
1.96
1.99
2.06
2.10
2.14
2.17
2.17
2.13
2.16
2.31
2.33
2.38
0.00 0.50 1.00 1.50 2.00 2.50
Capital expenditure
Employment levels
Profitability
General business
conditions
Total sales/revenue
Less than 3 years in operation 3-10 years in operation More than 10 years in operation
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger
Mean
rating –
Total
2.17
N=689
2.15
N=696
2.09
N=685
2.07
N=679
2.04
N=681
▲▼ = A significantly higher/lower rating
Time in Operation
▲
▲
▲
▲
▲
▼
▼
▼
▼
▼
26
Current Business Performance Q16. How does your business perform today compared to 12 months ago, in the following areas?
Business performance today, compared to 12 months, did not significantly differ between businesses that are sole traders and businesses that have more than one employee
2.01
2.08
2.07
2.11
2.17
2.08
2.05
2.13
2.18
2.18
0.00 0.50 1.00 1.50 2.00 2.50
Capital expenditure
Employment levels
Profitability
General business
conditions
Total sales/revenue
Sole trader Business with more than one employee
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger
Mean
rating –
Total
2.17
N=689
2.15
N=696
2.09
N=685
2.07
N=679
2.04
N=681
Sole trader Vs Employees
27
Future Business Performance Q17. How do you see your business performing in the next 12 months compared to the last 12 months, in the following areas?
Encouragingly, future ratings for all five business metrics are higher than past ratings– particularly in terms of ‘total sales revenue’ and ‘profitability’
9%
6%
8%
10%
9%
66%
69%
47%
38%
36%
25%
25%
45%
52%
55%
0% 25% 50% 75% 100%
Capital expenditure
Employment levels
General business conditions
Profitability
Total sales/revenue
Much/somewhat weaker (1) About the same (2) Much/somewhat stronger (3)
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger. Mean scores in italics are results from the previous slide (about past 12 months)
Mean rating:
future
performance
Mean rating:
past
performance
2.46
N=709
2.17
N=689
2.42
N=703
2.15
N=696
2.36
N=717
2.09
N=685
2.19
N=705
2.07
N=679
2.16
N=707
2.04
N=681
28
Future Business Performance Q17. How do you see your business performing in the next 12 months compared to the last 12 months, in the following areas?
Businesses that have been in operation for less than 3 years were significantly more likely to believe that business performance across all 5 aspects will be ‘much/somewhat stronger’ in
the next 12 months, whilst businesses that have been in operation for more than 10 years were significantly less likely
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger.
Mean
rating –
Total
2.46
N=709
2.42
N=703
2.36
N=717
2.19
N=705
2.16
N=707 2.03
2.05
2.17
2.10
2.22
2.13
2.20
2.38
2.36
2.44
2.33
2.34
2.72
2.64
2.75
0.00 0.50 1.00 1.50 2.00 2.50 3.00
Capital expenditure
Employment levels
Profitability
General business
conditions
Total sales/revenue
Less than 3 years in operation 3-10 years in operation More than 10 years in operation
Time in Operation
▲▼ = A significantly higher/lower rating
▲
▼
▲
▼
▲
▼
▲
▼
▲
▼
29
Future Business Performance Q17. How do you see your business performing in the next 12 months compared to the last 12 months, in the following areas?
Sole traders were significantly more likely to believe that ‘general business conditions’ will be much/somewhat stronger in the next 12 months. Businesses did not differ by sole trader status
for the other four aspects of future business performance
Scale: 1=much/somewhat weaker, 3=much/somewhat stronger.
Mean
rating –
Total
2.46
N=709
2.42
N=703
2.36
N=717
2.19
N=705
2.16
N=707 2.15
2.20
2.39
2.32
2.45
2.18
2.19
2.45
2.42
2.48
0.00 0.50 1.00 1.50 2.00 2.50 3.00
Capital expenditure
Employment levels
Profitability
General business
conditions
Total sales/revenue
Sole trader More than one employee
▲▼ = A significantly higher/lower rating
▲
▼
Sole trader Vs Employees
Networks/Associations
31
Membership to Networks and Associations Q19a. Is your business a member of any of the following networks/associations?
59% of respondents stated that they were a member of a network/association, however this value may be inflated
by the lower proportion of respondents that answered this question – if we re-percentage the ‘Yes’ responses to all
723 respondents, the result is 44%. The higher percentage of respondents that stated they are a member of a
network/association may also be due to the change in methodology/wording of the question compared to
previous years
73%
27%
80%
20%
41%
59%
0% 20% 40% 60% 80%
No
Yes
2016 2014 2012
Base: 2016 N=534, 2014 N=1186, 2012 N=901
Note: 189 respondents did not answer this question, potentially suggesting that the percentage listed in
the above chart as ‘a member of any networks/associations’ is greater than the true value ▲▼ = A significantly higher/lower percentage
▲
▼
Q19b. If you are not a business member of any networks/associations,
please specify why not.
Why not? Count
Unnecessary/no benefit to business 69
Time poor 39
Have not yet looked into it 29
Unaware of any Networks/Associations 29
Cost 12
Tried to join but received no response 1
Don’t know 3
Businesses that have been in operation for more
than 10 years were significantly more likely to be a
member of a network/association, businesses that
have been in operation for less than 3 years were
significantly less likely
32
Membership to Networks and Associations Q19a. Is your business a member of any of the following networks/associations?
Of those respondents that stated they are a member of a network/association, there was a significant increase in membership to an unspecified ‘professional industry association’, but a significant decrease in membership to ‘Chamber of Commerce’,
‘BEC Southern Sydney’ and ‘Business Networking International (BNI)’ – these changes are likely linked – at least in part – to the question change noted on the previous slide. Businesses that have been in operation for more than 10 years were significantly
more likely to be a member of the ‘Chamber of Commerce’ or of a ‘professional industry/association’
19%
9%
16%
19%
38%
48%
35%
21%
1%
3%
4%
4%
5%
5%
6%
7%
14%
20%
24%
47%
0% 10% 20% 30% 40% 50% 60%
Other
Toastmasters
Liquor Accord
Rotary
Probus or Lions
Success Women's Network
Flying Solo
Shire Biz
Business Networking International (BNI)
Shire Woman
BEC Southern Sydney
Chamber of Commerce
Professional industry/association
Base: 2016 N=317, 2014 N=1186
Note: see Appendix A for list of ‘other’ networks/associations
Of those that are members (59% of total respondents)
▲▼ = A significantly higher/lower percentage
▲
▼
▼
▼
Location
34
Reason for Location of Business Q21. What is the main reason for locating your business in the Sutherland Shire?
The predominant reasons why respondents located their business within the Sutherland Shire is because it is ‘close to home’ (48%) and they ‘work from home’ (41%), with 94% stating that
they live within the Sutherland Shire
Base: 2016 N=718
1%
3%
3%
5%
6%
7%
8%
9%
12%
13%
16%
23%
41%
48%
0% 10% 20% 30% 40% 50%
Other
Street exposure/foot traffic
Lack of competition
Local services
Growth area
Central locality
Opportunities
Target market/client base
Like the suburb
Lifestyle
Local community
Already established
Work from home
Close to home
Other specified Count
Bound by government funding contract 1
Cost of office space 1
Q22. Do you also live in the Sutherland Shire?
Yes, 94%
No, 6%
Base: 2016 N=715
Challenges
36
Skill Shortages Q18a. Have you experienced skill shortages in your business or
business dealings?
Almost a quarter of respondents (24%) stated that they have experienced skill shortages in their business/business dealings. The greatest shortage of skills centres around ‘trade’ skills, including mechanics, plumbers and tilers. Given the range of industries represented in the
sample, it is not surprising that the skills shortages cover a range of trades
Yes, 24%
No, 76%
Base: 2016 N=703
Skill shortages 2016
N=703
2014
N=1186
2012
N=901
Yes 24% 23% 26%
No 76% 77% 74%
Skill Count Skill Count
General tradesman 20 Hospitality 5
Mechanics/detailers 7 Management skills 5
Plumbers 6 Building planners 4
Tilers 5 Education/teaching 4
Bricklaying 4 Labourers 4
Electrician 3 Health professionals 3
Carpenters 2 Use of machinery 3
Total trade skills 47 Medical equipment specialists 2
Engineers 11 Qualified chefs 2
Accounting/financial services 12 Skilled volunteers 2
Trained professionals/staff 12 Butchers 1
IT support/programmers 11 Calligraphic skills 1
Sales professionals 8 Disability support workers 1
Administration staff 6 Floor installers 1
Marketing skills 6 Honesty and empathy 1
Quality of employees 6 HR 1
Sewing and patternmaking 6 Knowledge of local councils 1
Beauty therapists 5 Photographers 1
Coaching 5 Printers 1
Drivers 5 Unspecified 8
Q18b. If yes, please specify which skills.
37
Primary Challenges of Operating Business Q23. What is the primary challenge of operating your business in the Sutherland Shire?
‘Location’ (15%), followed by ‘parking and traffic control’ (14%) were the primary challenges respondents stated they encounter by operating their business within the Sutherland Shire
Challenge % of
responses
Location (travel time to the city) 15%
Parking and traffic control 14%
Marketing strategies (knowledge and cost),
advertising, traditional media and online 12%
Competition 11%
Attracting/maintaining customers 8%
Suitable/affordable work space 5%
Internet/Mobile coverage 4%
Recruiting and retaining good staff 4%
No challenges/don’t know 10%
Base: N=626 Note: responses of less than 4% are listed in Appendix A
38
Total Challenges of Operating Business Q23. What is the primary challenge of operating your business in the Sutherland Shire?
‘Parking and traffic control’ (21%), followed by ‘location’ (17%) were the main challenges respondents stated they encounter by operating their business within the Sutherland Shire
when ask about all of the challenges that they face. 10% of those who answered this question did not list a challenge that they encounter
Challenge % of
responses
Parking and traffic control 24%
Location (travel time to the city) 20%
Marketing strategies (knowledge and
cost), advertising, traditional media and
online. 18%
Competition 17%
Attracting/maintaining customers 11%
Suitable/affordable work space 10%
Internet/Mobile coverage 7%
Recruiting and retaining good staff 7%
No challenges/don’t know 10%
Base: 2016 N=626 Note: responses of less than 7% are listed in Appendix A
Q24. What are the other challenges of operating your business in the Sutherland Shire?
Support from Council
40
Sponsorship Events and Programs Q25. Council hosts a range of events and programs providing local businesses with unique sponsorship opportunities to profile and build awareness for their
business, in addition to building strong communities. What types of sponsorship events and programs would your business be interested in?
166 of the 723 total sample (23%) did not answer this question, which should not be ignored. Of those who did respond, 60% stated they would be interested in ‘business’ sponsorship
events and programs, with a third of respondents (36%) also indicating interest in ‘community’ sponsorship events and programs
7%
11%
12%
14%
36%
60%
0% 10% 20% 30% 40% 50% 60% 70%
Other
Civic (eg. Australia Day, Debutantes' Ball)
Cultural
Senior
Youth
Community (eg. Christmas, health & lifestyle, markets)
Business (eg. expos, seminars, workshops)
<1%
Other specified Count
People with disabilities 2
Base: 2016 N=557
Note: 166 respondents did not answer this question, so percentages may be greater than the true value
41
Activities to Support Businesses Q26. Council facilitate the activation of public spaces and welcomes third party applications to enable this. Please tick the activities which you think best
support local business and increase visitation.
148 of the 723 total sample (20%) did not answer this question, which should not be ignored.
‘Markets’ dominate, with 80% of businesses mentioning one or more of ‘markets (general)’, ‘food and wine markets’ and ‘night markets’. However, there is also support for a range of
other activities, such as ‘street fairs’, ‘expos’ and ‘seasonal festivals’
1%
11%
12%
15%
16%
28%
32%
36%
39%
40%
43%
46%
46%
0% 10% 20% 30% 40% 50%
Other
Car displays/shows
Boat displays/shows
Product sampling
School/community performances
Live music
Beach & surf activities
Night markets
Food & wine markets
Seasonal festivals
Expos
Street fairs
Markets (general)
Other specified Count
Sporting events 3
Dog shows 2
Community Gardens 1
Education events 1
Train and locomotive shows 1
Workshop presentation 1
Base: 2016 N=575
Note: 148 respondents did not answer this question, so percentages may be greater than the true value
42
Support for Local Businesses Q27. As a business operator, how do you suggest council can best support local businesses?
Respondents believe that the best way council can support their businesses is by ‘promoting/advertising them to the local community’ (15%) – note also the 5% of mentions regarding ‘provide platform for businesses to advertise on’. Adequate ‘parking facilities’ for
their customers and staff was also mentioned (8%)
Challenge % of responses
Promote/advertise local businesses to the community 15%
Parking facilities 8%
Support/establish business networks 7%
Run workshops/programs on running a business 6%
Provide platform for businesses to advertise on (i.e. online) 5%
Don’t know/nothing 5%
Base: 2016 N=535 Note: responses of less than 5% are listed in Appendix A
43
Communication with Council
75% of respondents stated that they consent to receiving communications from the Sutherland Shire Council, however only 41% are interested in being notified about future
sponsorship opportunities
Q28. I consent to receive periodic Sutherland Shire Council
communications?
Yes, 75%
No, 25%
Base: 2016 N=723
Q30. I would like to be notified of future sponsorship opportunities?
Yes, 41% No, 59%
Base: 2016 N=723
44
Communication with Council Q29. What is your preferred method of communication to receive local business information and news?
Receiving communications on local business information and news via an ‘e-newsletter/email’ was overwhelmingly the most preferred option (94%)
1%
1%
7%
8%
9%
13%
14%
94%
0% 20% 40% 60% 80% 100%
Other
Local publications
Linked In
Local publications
Messenger
Our Shire (Council Newsletter)
E-newsletter/email
Other specified Count
Home phone 1
Post 1
<1%
Base: 2016 N=539
Appendix A
46
Membership to Networks and Associations
Network/association Count Network/association Count Network/association Count
Business Chicks 3 Australian Marketing Institute 1 International Society of Arboriculture 1
BX Business Networking 3 Australian Psychological Society 1 Kitchen and Bathroom Designers
Institute of Australia 1
Arboriculture Australia 2 Australian Sewing Guild 1 Label & Tag Manufacturers of Australia 1
Australian Computer Society 2 Australian Traditional Medicine Society 1 Master Builders Australia 1
Fitness Australia 2 Bookkeepers Hub 1 Master Landscapers Association 1
Institute of Certified Bookkeepers 2 Business Enterprise Centre 1 Motor Traders' Association of NSW 1
Institute of Public Accountants 2 Chartered Accountants Australia and
New Zealand 1
National Electrical Contractors
Association 1
Mortgage and Finance Association of
Australia 2 Community Child Care Co-Operative 1
National Utility Locating Contractors
Association 1
Pet Industry Association of Australia 2 Dry-cleaning Institute of Australia 1 NSW Business Chamber 1
Assistive Technology Suppliers
Australasia 1 Family Business Australia 1 Project Management Institute 1
Association for Tertiary Education
Management 1 Fire Protection Association Australia 1 Real Estate Institute of NSW 1
Ausindustry 1 Firewood Association 1 Real Estate Results Network 1
Australasian Lymphology Association 1 Fishermen & Scientists Research
Society 1 Road Freight NSW 1
Australasian Sonagraphs Association 1 Foodservice Consultants International
Society 1 Society of Petroleum Engineers 1
Australia Glass & Glazing Association 1 Furniture Industry Association Australia 1 Southern Strength 1
Australian Association of Massage
Therapists 1 Hardware & Building Traders 1 Super Yacht Group Great Barrier Reef 1
Australian Automotive Aftermarket Association
1 Housing Industry Association 1 The National Tax and Accountants'
Association 1
Australian Automotive Service Dealers
Network 1 Industry Capability Network 1 Timber and Building Association 1
Australian Driver Trainer Association 1 Institute of Automotive Mechanical
Engineers 1 Urban Land Institute 1
Australian Fitness Network 1 International Association of Travel and
Tourism Professionals 1
Australian Human Resources Institute 1 International Institute of
Complementary Therapies 1
Q19. Is your business a member of any of the following networks/associations?
47
Challenges Count Challenges Count
Economy including AU$, interest rates 34 Administration 1
No support from council 31 Changes to the industry 1
Limited networking opportunities 11 Changes to the PBS 1
Maintaining sales 10 Cost of further education 1
Customers wanting lower prices 8 Cost of waste services 1
DA approval process 8 Council's Local Environmental Plan 1
Freight costs 7 Delivery systems 1
Finding good suppliers 6 Financial Advice reforms 1
Expanding the business 4 Fitness businesses using parks for free 1
Public transport 4 Flooding 1
Council regulations 3 Fluctuating client demand 1
Customers paying bills on time 3 Health 1
Infrastructure 3 Lack of childcare 1
Working with small businesses 3 Lack of street signage for advertising 1
Work-life balance 3 Larger presence in the Shire of the University of Wollongong 1
Keeping up to date on new trends/businesses 2 Level of government funding opportunities 1
Lack of educational programs 2 Motivation 1
Power failures 2 Noise pollution from developments 1
Small local market 2 Office closures 1
Technology 2 OHS requirements 1
Too much government intervention 2 Outdoor fitness equipment 1
Waste collection/disposal services 2 Quality living accommodation 1
Meeting demand 2 Time 1
Access to community halls and facilities 1 Wanting to introduce changes to the business 1
Challenges of Operating Business Q23. What is the primary challenge of operating your business in the Sutherland Shire? Q24. What are the other challenges of operating your business in the Sutherland Shire?
48
Support Count
Council to engage personally with businesses 17
Council should use local businesses 16
Upgrade and tidy retail/business precincts 15
Host more business events 13
Develop local infrastructure 12
Increase communications on what resources are available to businesses 12
Simplify and speed up DA approval process 12
Reduce traffic congestion 11
Support for Local Businesses Q27. As a business operator, how do you suggest council can best support local businesses?
Appendix B The questionnaire
50
51
52
53
54
55
