Industry Analysis & Industry Trends
Computer and software retailers have faced difficult trading conditions, with revenue expected to post weak annualised growth of 1.6% over the five years through 2015-16. Widespread economic uncertainty due to instability in global financial markets led to volatility in consumer sentiment and prompted consumers to become more cautious about their discretionary spending habits. Many operators engaged in aggressive price discounting due to the rapidly increasing popularity of online shopping. The resulting downward pressure on prices eroded profit margins and ultimately led to the exit of some industry players. Industry revenue is forecast to rise by 2.3% over 2015-16, to reach $5.6 billion... purchase to read more
Industry Report - Industry Investment Chapter
The industry exhibits low capital intensity. For every dollar spent on capital, $12.8 is spent on wages. While capital investment is required to operate in the industry, labour is required to undertake numerous tasks, including restocking display shelves, processing consumer purchases and assisting with inventory management.
Capital expenditure for the industry has remained steady over the past five years. The use of computerised point of sale (POS) systems has simplified staff tasks and minimised the incidence of human error. POS systems have also allowed operators to control inventory more efficiently and reduce excess stock. Nevertheless, the industry remains labour-intensive, with staff required to perform a range of duties... purchase to read more