Exporting Pre-prepped Meal kits to Australia 

Where’s the opportunity?

Pre-prepped meal kits, an industry worth $1.5 billion, entails ready-made meals that require only heating for consumption. The concept while not new, has been gaining increasingly popularity in Australia over the last 5 years, particularly among time poor consumers. The industry is projected to experience a steady annual growth rate of around 1.7 percent. The industry has benefited from a rising workforce and desire for convenient lifestyles. There are moderate levels of market share concentration and currently the four largest operators account for around 60 percent of market share. We see some solid opportunities within the industry particularly for businesses that target niche markets, particularly health-conscious consumers, adventurous foodies and those that cater for a wider variety of dietary needs.

Product

Think about how you can cater for specific demographics of people. Fast growing brand, my muscle chef, caters specifically for fitness conscious and gym junkies. They offer high protein meals that fuel training and other options to assist with healthy weight loss. Other unique approaches include brands like Providoor that are challenging the preconceived ideas of pre-prepped meals being fast and cheap, by offering gourmet restaurant quality food. They partner with local restaurants and delivery quality meals that require only quick preparation. Rising health consciousness in Australia means that gluten-free, vegan, and non-diary recipes are projected to become more popular. It’s good to have diverse options that customers can choose from on rotation every week. Subscription models are rising in popularity and new entrants may consider this over traditional supermarket retailing.

Price

My muscle chef offers meals starting from $9.99 per serving while one of its largest competitors YouFoodz offers meals from $9.95. Note that firms that compete directly with these brands have limited price negotiation, particularly as competition in is highly saturated. More gourmet brands such as Deli door offer prices starting from $35. Providoor offers restaurant gourmet meal sets starting from $39.50 per person.

Promotion

Promo and referral codes are extremely popular and effective way of attracting new customers. For example, my muscle chef offers $20 off one’s first order.  Many brands also offer referral discounts, which is a good way to leverage word-of-mouth marketing. Think about creative ways to engage audiences on social media. For example, you may like to promote cooking challenges and use hashtags to gain widespread traction.

Place

Stringent inventory control systems must be in place, particularly as inventory are highly perishable. Recent extreme weather situations have resulted in supply chain shortages, and this reiterates the importance of having key contacts with local suppliers across Australia. Brands may consider having a completing online presence or selling in supermarket chains such as Coles and Woolworths.

Our Strategic Takeaways

Pre-prepped meal kit services are a promising industry to enter. Despite being a saturated industry, there are many opportunities for new market entrants to target niche demographics rather than competing with existing dominating brands.

Australia in one of the major economics in the Asia Pacific starting to reopen to double vaccinated tourists from February 21 this year.  COVID-19 restrictions have impacted travel to Australia since early 2020 and this will be the first time its borders will be open without significant restrictions and quarantine requirements.

This is big news for many exporting businesses who have been affected by the pandemic. There’s no doubt the tourism industry will experience positive growth, and at the same time there are wide number of implications for exporters seeking to expand to the Australian market.

Australia’s unique time zone position in between Europe and the Americas makes it a prime location to conduct business, both regionally and globally. Close relations between the Australian Government and European and American nations, as well as cultural and geographic affinities with Asian Pacific nations, also ensure that Australia is a strategic location for companies to be based or to establish their overseas offices.

What do borders re-opening mean for your exporting business?

Despite two years of border closures, the Australian economy has been remarkably resilient. Retail sector spending has surged, with a 4.9 percent rise in October 2021 as Australia emerged from a tough pandemic lockdown. Furthermore, the resources, energy and agriculture sector have experienced continual growth throughout the pandemic. With borders re-opening, GDP is expected to grow by 4.1% in 2022.

The upcoming border reopening represent a good chance for exporters to streamline their international expansion projects in Australia. Project managers will now be able to meet key distributors, clients or partners face to face rather than having a virtual meeting, which is always a plus when forming business relationships.

Companies are also now able to bring over their readily skilled or trained workers to Australia. This is a huge advantage especially for newly established businesses seeking to consolidate their operations overseas and don’t want to go through the costly and uncertain process of hiring new staff.

Being able to visit Australia to have first-hand experience its culture and local markets can offer expanding business more certainty in their exporting projects. It can also allow project managers to get more options about the market and how they can effectively enter.

Free Trade Agreement talks with countries like India as well as the Pacific and EU may also be back on the table with economic activity picking up and more incoming foreign visitors.

Overall borders reopening market a positive sign that Australian’s economy is to get back on track.

Smart Mango is a Sydney based export marketing development agency. With borders reopening, we can help you scour the local market. One the other hand, if travelling to Australia isn’t in your 2022 agenda, don’t worry – Smart Mango can be your local business representative. 

Contact one of our specialists today

Phone: +61 2 7903 0543

Email: contact@smartmango.com.au

Taking your business into foreign markets requires a lot of commitment and is something one cannot do alone. If you want your business to succeed overseas you must first be able to demonstrate that your project is viable to internal and external stakeholders.

Scroll below for 5 ways market research can boost the success of your exporting project

1. Secure that Bank Loan

The more potential your project has, the more funding you will get. It’s important to note that the bank will have little interest in your business unless they know that there’s potential profit in for them. Banks operate on traditionalist models – they make decisions based on hard evidence and facts. An exporting project are seen by them as a risky business venture. There’s always that uncertainty as to whether the market is suitable and whether a business might face cash flow challenges. This is when market research can help. Getting market research done can help mitigate risks and give banks reassurance that you are taking the best route possible to maximise the success of your exporting project. It also gives them confidence that you are investing the necessary resources to follow through with your business project and helps boost your credibility in the eyes of the bank.

2. Boost Chances of Gaining Export Grants

How does getting all your prospection and marketing expenses refunded to you sound? The Export Market Development Grant in Australia allow you to claim 50 percent of total eligible expenses, and of maximum of up to $150,000.  Individual states also offer grants of up to $25,000 (check out our list of available grants here). One of the first eligibility criterias for applying for grants is to demonstrate evidence of market research and/or an export strategy. Getting market research done is really a no brainer here.

3. Business Visa and Sponsorship

While countries may be keen to accept your business overseas, they may be less keen to hire overseas staff. Preference is often given to the local labour force. However, hiring only local staff may not be the best way to go for your business. You will need some who already knows the ins and outs of your business to be on the ground and make sure all the operations transition smoothly. The current staff will become expatriates who will need a working visa to go overseas. Depending on the type of visa, a sponsorship may be required. The government will need evidence that your business will be profitable and has the potential to recruit local staff in the future. Smart Mango has helped business partners conduct market research to provide as evidence for business sponsorship.  This is crucial to ensure you can successfully kick-start your business in new markets.

4. Boost Organisation Morality

Venturing out to new markets is a big thing for any business. Market research isn’t just for you, but it’s for your staff and stakeholders as well. As a business leader you need to make sure that your organisation’s people are on board with you on the project before making any next moves. There’s no doubt your staff and stakeholders will have many questions. They make wonder why you are entering this new market. Australia from a European perspective may seem like a small and distant market. How will you convince your them that Australia is a good fit for your business? How will you convince existing staff to make the move to a new country? Market research will give you’re an overview of the market and the specific avenues of opportunities for your product or service. It can provide insight into the lifestyles, living costs and what the general culture of the country is like. That way you can ensure that the people around you have confidence in what you are doing.

5. Certainty

Exporting should not be a gut feeling. You must be sure of your decision and that the market you are entering offers the best opportunities for your product or service. Sometimes you may form perceptions about countries like Australia based on stereotypes and media generalisations. But in fact, Australia is a very diverse and multicultural country with boundless opportunities to pursue business ventures. Market research can offer insights into the ways customers think, their buying patterns and trends that is pinpointed to a certain demographic or location. Having that research-based backing to inform your decision making is crucial for any exporting project.

Smart Mango is a Sydney based export marketing development agency giving you access to 35 plus countries globally. 

Our experts can provide you with market research and distributor search as well as local representation to help your brand expand to global markets.  We tailor our services to your needs – looking closely at the demographics, trends and spending habits of markets specific to your product or service.

EXPORTING VITAMINS AND SUPPLEMENTS FROM AUSTRALIA

WHERE’S THE OPPORTUNITY?

Demand for Australian branded vitamin and supplements have been booming over the past years and one may be wondering if the industry is still worth entering. The short answer is yes – although new entrants will have to find innovative ways of being competitive in a changing landscape. Industry revenue is expected to rise by 2.7% annually over the next five years. Rising export earnings was initially driven by a surge in demand, particularly from China. Daigou sales have heavily influenced the industry’s performance over the past five years. Industry operators initially benefited from strong activity in downstream unofficial daigou channels. However, tightened regulatory controls in China over ecommerce sales and daigou trading have since changed buying patterns, meaning Australian companies must look for new ways to target key markets. The USA and China presents a reliable market while fast developing economies in Southeast Asia such as Thailand with a growing middle class are recognised as lucrative opportunities to capture new market share.  Around the world, the COVID-19 pandemic has changed consumer buying behaviours with digital platforms and new products with natural ingredients and boosting immunity likely to gain market traction over the next few years.

OUR EXPERT TIPS

PRODUCT

Australian branded vitamin products are very reputable in global markets. It’s well-established farming industry along with high quality ingredient sourcing give it a natural competitive advantage in marketing a clean and healthy image. The COVID-19 pandemic has spurred demand for vitamins designed to boost immunity, including high dose vitamin C and D products. Many consumers have also been seeking out energy boosting supplements and superfoods during lockdown.  Innovation is one of the driving forces of competitiveness. Australian brand Vitable for instance has online quizzes which allow consumers to decide what types of vitamins they should be taking. Subscription-based models are hitting off particularly with the trend of young people moving away from ‘quick fix’ solutions to more holistic and long term approaches to managing health.  Such models work well with young consumers who value convenience and personalisation.

PRICE

It is important to note that vitamin products generally have low product differentiation, hence brands in Australia generally compete on price, as well as value added services such as free nutritional consultations. . For example, Swisse’s popular high strengthen cranberry supplements which sell for $29.99 in Australia are approximately 98 RMB (approx. $17 AUD) in China, 610 Thai Baht (approx. $26 AUD). USA prices are much higher $35 USD to ($48.84 AUD). Consumers will likely focus on price and value add in their purchasing decisions. Price competition among operators is likely to force less competitive players out of the industry. It is anticipated that as more players enter the industry over the next five years, there will be an increasing trend of downward prices.

PROMOTION

Brands should strive to be more than just a vitamin company. Social media channels such as Instagram provides new opportunities for brands to build relationships with consumers.  It is a good idea for companies to position themselves as a holistic wellbeing brand that advocate for positive body and health messages. Running interactive and fun social media campaigns that get consumers involved is another good way of building market awareness. At the same time, when operating in overseas markets it is important to have the right promotion strategy for your target market.For instance, live streamers in China on sites such as Weibo, Little Red Book and Douyin are an invaluable channel for gaining access to wider markets. Brands should consider collaborating with Instagram or YouTube influencers in other European and/or Western markets. Understanding social media in local markets is key for success.

PLACE

Australian brands should consider establishing distribution facilities in key markets. Having inventory on hand to meet fluctuations in demand is an important determiner of competitive success.  It is also importance for new or smaller operators to have a strong online presence to compete with more established players.  Those that operate brick and mortar stores must ensure that have proximity to key markets including in large shopping malls or inner-city locations which can drive higher impulse shopping.

OUR STRATEGIC TAKEAWAYS

Brands considering exporting must tread carefully. The vitamin and supplement industry is highly saturated with existing brands well positioned to be price competitive. New market entrants may find themselves needing to cut prices to compete which means profits may be constrained. Nevertheless, for those brands that are strategically innovative in their business model and promotion have strong chances of success. Don’t underestimate the regulatory process in your target markets. Some countries are stricter than others, with variable review time and submission requirements as well as application cost

Being strategic with your international marketing not only helps businesses reach a larger number of audiences, but a lesser-known fact is that it can also be a way to maximise the amount of money that you can claim in export grants.

Export Marketing Grants (EMDG) is a lucrative scheme that all businesses who are exporting overseas should consider applying for.  Under the scheme business can reimburse applicants for up to 50 percent of marketing expenditure for eligible costs and depending on the nature of your claim the total amount reimbursed can amount to $150,000. Under the EMDG scheme, businesses can claim marketing costs incurred from location hiring, design, editing, filming and more. This article serves as a guide for any business looking to apply for the EMDG grant and wants to know how they can strategically position their digital marketing and advertising activities to maximise returns under the EMDG scheme.

When applying for an EMDG grant it is important to keep in mind that Austrade will only reimburse businesses based on apportioned costs. This means that costs that are reimbursed will only apply to those expenses that reach overseas audiences while excluding costs targeted at the Australian market. Businesses wanting to claim back as much expense as possible, must have methods to measure and maximise their international marketing audience reach to strengthen their EMDG applications. This entails taking several strategies into account.

1.     Manage marketing activities with a CRM

CRM platforms are a crucial way to substantiate your international marketing strategy and maximise your ROI. It provides a means for business to quantify and finetune marketing campaigns while getting a better understanding of existing customers. 

2.     Utilise automation and analytical tools 

These tools are cheap and accessible. Automation and scheduling platforms like Hootsuite can also be used to better manage marketing campaigns across different time zones. Facebook and Instagram’s geo-targeting tool to get a better understanding of which countries your marketing campaign audiences are based. 

3.     Know the effectiveness of your channels 

If you are using an influencer as part of your marketing strategy, there is no point in getting a well-known influencer to promote your brand if most of their followers are domestic.  Make sure you get insights into where their followers are based to assess the effectiveness of your international marketing strategy. 

4.     Keep consist of messaging across platforms  

Multi-platform marketing campaigns can help reach wider demographic of audiences, but it is important to keep a consist messaging to make it easier to measure the effectiveness of your marketing strategy 

5.     Country Adoption

It’s much safer to use a country domain website to reach the audiences you are targeting. Hiring overseas production teams is also another way you can claim back more expenses under EMDG. 

Need help with applying for EMDG Grants? 

Smart Mango is an export marketing and development agency based in Sydney. 

Our local and international network of specialists can offer you with EMDG application support, in-country representation, and international marketing strategy to help your exporting business succeed.

Contact us for your free consultation today

EXPORTING SHAPEWEAR TO AUSTRALIA

Where’s the Opportunity?

The shapewear market is a relatively new market in Australia valued at approximately $40.02 million AUD. The industry has undergone a transformation over recent years with increasing awareness for body positivity leading to a wider range of products available for different body shapes and skin colours. Celebrities like Kim Kardashian have launched their own line of shapewear which spur on further growth and consumer awareness of shapewear. Surge in retail and e-commerce spending has created favourable conditions for shapewear businesses to expand. The growth in the female population in Australia has also been beneficial for the industry. Females aged 15 – 45 are the industry’s primary market for shapewear. This is a wide market and brands can specialise in certain age groups. Furthermore, Australia’s shapewear industry is relatively new and relies highly on imports. There are also no major players in the industry. These combined factors make it a favourable industry to target for overseas businesses. 

OUR EXPERT TIPS

PRODUCT

Consumer sentiment in Australia’s shapewear market is driven by a need for comfort and support. Local brands such as Cotton On Body focus on soft, comfortable, and breathable material. Bodysuits have been rising in popularity alongside cropped V-neck tops. Many major brands such as Skims offer multiple choice for different skin colours. Any product line in Australia should prioritise diversity and inclusion.

PRICE

Price points depend on the targeted age groups. Consumers aged 15 – 34 tend to favour lower priced items and are more inclined to purchase shapewear that are inexpensive. For example, brand like cotton on offer shape wear ranging from $25 – $40.  Online retailer SHEIN offers shapewear starting from $12.95. On the other hand, consumers aged 35 up tend to have more stead incomes and are more willing to spend on higher priced shapewear that are durable and of good quality. Premium brands are likely to do well in this age group. They range from prices $50 and up. 

PROMOTION

Promotion also depends on target age group. Consumers aged 15 – 34 tend to be highly brand conscious and follow fashion trends closely. On the other hand, those aged 35 up will likely prioritise premium quality. In general shapewear continues to be marketed with an emphasis on technological advancement (ie lighter and firmer materials) and comfort. A brands overall marketing strategy in Australia should be multicultural orientated. It should also focus on body positivity and diversity.  

PLACE

An e-commerce presence is key to capturing market share. This is important because shapewear is gaining more traction and popularity on social media, and this trend has been led by social influencers. The use of influencer marketing through affiliate links and sponsored social media posts can be a powerful way to generate new leads

Our strategic takeaways

The shapewear market continues to remain an untapped and relatively new market in Australia making it an exciting place for exporters wanting to enter the market. Some of the challenges will be market education, however social media and the rise of e-commerce retailing present new opportunities for product awareness. The industry may just be one of the driving forces of transformation and body positive messaging in the years to come.  

The building and construction industry in Australia is indeed a competitive one. High labour costs and a saturated market are some of the key factors that can make it a challenging market to compete in for local businesses. Additionally, the COVID-19 pandemic has contributed to declines in recent building activity. But there is good news. Global construction trends are ever-growing and there are increasing opportunities for local businesses to go global. 

Why should you go global?

Australia has got a good reputation overseas for high building standards, highly educated population and innovative product development giving it a comparative advantage in the field. Surprisingly not many construction businesses here in Australia export overseas. With the construction industry undergoing unprecedented change, there is no better time to take your business global than now.  

Below our experts have provided some key indicators to become a successful exporter in the construction industry. 

Stay on top of global market trends: Right not it’s all about green construction. This sector is expected to grow by over 14 percent over the next 5 years. Green construction is all about developing eco-friendly infrastructure that reduce pollution, combat climate change and build sustainable communities. One building material that ticks all the green credentials boxes is timber. In Australia, there has been a dramatic expansion of supply options for timber products. Not only are we good at good at producing timber, but Australia also has some sleek timber design buildings. We will likely see timber being an increasingly popular choice in interior design. Australian design expertise can offer real value to drive the green construction trend around the world.  

Business expertise and ability to adapt operations to market demand: Here we are talking about the ability to quickly alter labour force to match cyclical market demand. In order to do this firms, require experienced and productive workers.  As for expertise, residential construction will continue to be the most popular but there are also increasing demand for engineers, consultants and project managers. Australia has a comparative advantage for its services in project design as well as environmental studies in construction. 

Adapting new technology: With COVID-19, virtual collaboration tools have been increasingly adopted by the industry throughout the pandemic – from video-call site meetings to filing in digital orders. CRM applications have allowed builders to seamlessly communicate with customers and manage project deadlines. No doubt adopting these news tools will help build a competitive exporting business. We believe that virtual collaboration tools are here to stay.  

Targeting the right markets: Regions such as the Middle East, Southeast Asia and Africa that are experiencing rapid urbanisation are likely going to see the largest demand in construction work. United Arab Emirates is a good country to target for this. Singapore is a good country to target for green construction. It’s also a country with low barriers of entry for foreign companies. Meanwhile Australian architects are highly demanded in China as it undergoes rapid urban transformation and carries out major infrastructure projects. Other countries like the USA are also looking to build their military aerospace technology as well as marine defense. So there are opportunities there as well. 

Having contacts within key markets: All operators must establish contacts in key markets. Construction services firms must form strategic alliances and relationships with building and construction companies in specific geographic and niche markets. Here we aren’t just speaking of overseas contact but local exporters too. If you’re a construction materials provider, having connections with local architectural firms that operate certainly has advantages. Australian firms working together can sometimes be easier. This method called ‘piggybacking’ is essentially using local connections to partake in their international projects. This will help new exporters increase their international exposure. 

If you’re looking for ways to break into the international market Smart Mango can help. 

Smart Mango is a Sydney based agency specialising in export marketing development for the construction industry. 

Our team of specialists can offer you with market research, distributor search and local representation to help your exporting business succeed in the Australian market. 

Contact us to get a FREE consultation TODAY  

+61 2 7903 0543

contact@smartmango.com.au

Following Australia’s decision to pull away from its contract with the French submarine builder Naval Group, a few of our European clients have raised questions over the nature of doing business here in Australia.

These questions are understandable. The French submarine deal which was signed in Australia in 2016 had been terminated after Australia decided to favour the AUKUS nuclear submarine deal in September this year. According to Australian government the first French-designed submarine was not due to enter service until the early 2030s, and prices had inflated over 50 percent in five years.  It was also explained that nuclear submarines align more with Australia long term defence strategy. These political moves have propelled criticism from France, and Europe in general. France considers having been “stabbed in the back” by Australia. On a broader resonance, the ongoing free-trade agreement between the EU and Australia has been on hold by the EU considering that one of the EU members was “treated unfairly”.

Should exporters to Australia worry about the impact of this political crisis?

Whilst businesses generally don’t wait for political relationship to be on honeymoon to trade, in light of recent events, we have noticed more questions and concerns from clients or partners, mainly Europeans, Canadians and some Asians. “Are Australians trustworthy to do business with?” “Is it worth the efforts if they only see through the US and the UK?” To a lesser degree, some of our Australian exporters have questioned whether the decision can affect their export development to non-US/UK markets.

This is not surprising, the contract termination was abrupt and controversial, and raised a lot of criticism not just overseas, but also here in Australia.

Politics aside, we are here to reassure our clients and dispel some of the misunderstandings of doing business in Australia.

1.    French/Australian business relationship is more than a submarine deal

Australia’s business relations with France have been positive and friendly. Over the last 25 years bilateral trade has been strengthened, with exports from France to Australia increasing from $1.3B to $3.63B.  Business links continue to remain strong. Recently, French company Artelia had been engaged with the extension of Canberra’s Light Rail network. The Victorian government also signed a 300 million Euro contract with French infrastructure solutions provider Alsotm to design and engineer new trains to be rolled out throughout the city. Earlier this year, French utility company SUEZ had signed a deal with Australian company, NEC to collaborate on working towards smart cities that uses technology and data as enablers to improve the quality of life for its citizens. These are just a few examples that underpin the strong partnership between France and Australia businesses.

2.    Strong Regulatory Systems

Currently Australia is ranked 15th out of 190 economies for ease of doing business. It’s transparent regulatory system, sound institutional governance frameworks against corruption as well as strong banking regulations make it a secure and reliable place to do business in.

3.    Direct and Transparent Communication

There is a common matter-of-fact communication approach in business meaning that Australians will be factual and honest throughout the business negotiation process.

Whilst France and many European countries will be considered more direct than Australians (according to the Hofstede’s Matrix of Country Comparison Australia will score 51 in terms of uncertainty avoidance where France scores 86), Australians will likely be open if they disagree with you or if they find there are issues along the way. They do this in a way that is both diplomatic and respectful to maintain stable working relationships. At the same time, their openness means they are also receptive to new ideas.

4.    Easy going business Culture and Relationships

Modesty and humility are strong values in Australian business culture. They appreciate people who are friendly and to the point. Australians are open to building rapport as they value long-term business relationships. In business, being down to earth, easy going and authentic often gives off good impressions.

5.    Many free-trade agreements & Investment Incentives

Australia is considered to be an economy very open to global trade. There’s currently 15 free-trade agreements with 26 countries.

Foreign investment is strongly welcomed in Australia. The government provides a range of incentives for businesses wanting do business in the Australian market, including million-dollar grants. Key sectors are in infrastructure & energy, materials science medical science & technology, defence, food/beverage & agribusiness and space. There are also many state-based programs that support investment. 

6.    Strategic Location and multicultural

Investors and overseas exporters regard Australia a good place to do business in because of its population growth, highly skilled workforce, and strong corporate regulation. Australia’s economic strength is based on its solid services, resources, medical technology, and agriculture-based sectors. Australia is also regarded a strategic place to do business in because of its multicultural population and workforce, with one in three Australians being born overseas and about 5 million Australians speaking a language other than English. This provides huge market opportunities for businesses wishing to enter the Australian market.

For international companies with a strong growth trajectory, Australia’s market provides many diverse and undiscovered opportunities. If you are looking to expand your business overseas, you can be reassured that Australia is a good business partner. 

Get practical advice on how you can expand your business in Australia

Smart Mango is a Sydney based export marketing development agency giving you access to local markets and distributors.

Our experts can provide you with market research and distributor search as well as local representation to help your brand expand Down Under. Our team of specialists will be your partner to success, overcoming the barriers of distance, travel and living cost, time zone, language and adaptation.

Contact one of our specialists today for your Australian expansion.

Phone +61 2 7903 0543

Email contact@smartmango.com.au

smartmango.com.au

Let’s take a closer look at some recent trends in the industry

• Eco friendly solutions such as recycled and low toxicity building materials are expected to see a spur in demand. Some of the largest construction companies in Australia – including those handling the majority of the country’s big infrastructure projects – are making ‘green’ practices a top priority in construction approaches. We have seen more construction companies taking more initiatives to acquire ‘green’ certifications such as LEED and BREEAM. 

• Modular Market is set for considerable growth over the coming years for its time and cost savings as well as limiting impact on the environment. Currently the value of modular construction is worth 5 percent of the total Australian construction industry value and this figure is expected to grow to 15 percent by 2025. 

Here’s our review of Australia’s most sought out building materials 

• Steel – is a high demand import of Australia – valued at $7 billion and is Australia’s 9^th largest import.  It is collected in aggregate quantities from construction and demolition sites and recycled into new steel products. Often times the money brought back into a project from selling the recyclable scrap steel can offset project expenses. Recent environmental considerations will likely fuel the use of recycled steel particularly in infrastructure development and mid-rise commercial structures. 

• Timber – is known for its plethora of environmental benefits including reduced carbon consumption, being renewable as well as having natural insulating properties. Timber is a dominant material used in Australia’s residential low-rise building market. In 2019 the national construction code (NCC) streamlined approvals for mass timber structures up to eight-storeys – an action likely to assist timber penetration into the mid-rise building market. As building organisations become more environmentally conscious, we will likely see timber being an increasingly popular choice in interior design. 

• Concrete – demand is projected to rise with major infrastructure projects particularly with road constructions expected to grow by 10 percent from 2018 to 2023. Currently 0.9 million tonnes of concrete are imported to Australia every year. 

Ongoing projects like Western Sydney Badgerys’s Creek Airport and Melbourne metro railway projects will lift demand for concrete by 1 to 2 percent. Researchers have identified new eco-friendly methods of concrete production including blending glass waste instead of sand to create concrete for commercial and residential construction. 

With ongoing population growth and strong focus on nationwide engineering infrastructure projects, Australia’s construction industry offers a promising market for international exporters.  

Smart Mango is a Sydney based agency specialising in export marketing development for the construction industry. Our team of specialists can offer you with market research, distributor search and local representation to help your exporting business succeed in the Australian market. 

Contact us to get a FREE consultation TODAY  

+61 2 7903 0543

contact@smartmango.com.au