Industry Analysis & Industry Trends
Over the past five years, the Real Estate Agency Franchises industry has recovered from a painful period. Towards the start of the period, the industry's major markets all reduced their spending, suffering from the effects of the global financial crisis. Residential and non-residential sales suffered, while demand for rentals increased due to a shift in consumer behaviour. Consumers focused on paying down debt rather than increasing it, resulting in weak volumes of dwelling commencements and a fall in housing prices.
Industry revenue has recovered following the declines of 2008-09 and 2009-10. This has been due to record low interest rates and a rebound in consumer sentiment as woes in financial markets have eased... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The industry is in the decline stage of its life cycle. Industry value added is estimated to rise at an annualised 0.8% over the 10 years through 2018-19. Meanwhile, the Australian economy is forecast to grow, with GDP estimated to increase at an annualised 2.6% over the same period. Consequently, the industry's economic contribution is shrinking in proportion to the Australian economy. This suggests that the industry is in the decline stage of its life cycle.
The decline in industry valued added is mostly due to weaker operating profit margins. Real estate agency franchises are expected to experience reduced profitability due to strong competition from online real estate services... purchase to read more