5 Trends That Australian Business Owners Should Know About For The New FY
At the risk of ‘fast-paced’ being as overused as ‘pandemic’, no matter the industry you’re operating in, business is more… fast-paced than ever. Staying on top of trends is so far down the to-do list of many business owners that the task will never see the light of day. Here are five key trends that we’re seeing in business for the 25/26 FY that you can read through in about two minutes! Go:
1. Embracing AI & Cyber‑security
This isn’t the first time you’ve seen us mention AI in a blog (in fact it’s probably about the tenth) but hopefully you’ve started to think about implementing it where it makes sense in your business, rather than shuffling it into the ‘future pile’. AI continues to transform operations for all kinds of industries, from automating routine tasks to enhancing decision‑making. In KPMG’s recent survey, 53% of Australian business leaders flagged digital transformation (especially AI) as their top concern, followed by cyber risk (42%)… Qantas, anyone?
We’ve got a blog coming that outlines the no-brainer ways for you to use AI in your business but until then, start having a think about where your biggest bottle necks or time leeches are in your operations and processes… could AI help you? The answer is probably yes.
2. Riding the Interest‑Rate Rollercoaster
The RBA has reached peak rates (for the time being), and while inflation and wage pressures remain, easing rates will soften the cost of finance. If you’re in need of funding, it might be the time to strike. This of course should be a much larger conversation and if it’s on your mind, have a chat with your accountant well before you need the cash.
Jase, Nick and Marty spoke about Australia’s interest rates in detail on a recent episode of The Numbers Game which you can watch or listen to here.
3. Capitalising on Australia’s Green Push
Whilst sustainability has been front of mind for most consumers and businesses for years now, the incentive to follow through on making those values part of your process has never been higher (for some industries). Federal policies like “Future Made in Australia” aim to accelerate domestic green manufacturing—covering hydrogen, solar panels, batteries, and critical mineral processing. Explore grants and tax breaks tied to clean energy manufacturing or operations, and consider sustainable product lines or supply‑chain upgrades.
If that doesn’t apply to you, it’s still well worth considering how you could make your business greener. Greenwashing is something we’ve spoken about before and whilst it’s still very much in action, it’s also something that consumers are on top of. What you say needs to match what you do. There’s a raft of Tiktok videos created by people with skills and knowledge in fabrication who go through “sustainable” clothing brands and pick apart whether that brand is authentic or very much the opposite – and that’s just one example.
A reminder that Gen Z makes purchase decisions based on value alignment first, and price considerations second. If Gen Z are your target audience (or they will be in coming years) then this point is even more important for you to consider.
4. Subscription Services
If you think about how many subscriptions you pay for right now compared to that number five years ago, it’s easy to see why this revenue model continues to rise in popularity. The subscription economy is growing steadily with consumers increasingly preferring recurring service models. Everything from coffee beans and dog food through to streaming platforms and e-books or even accounting (our business clients tend to pay a monthly fee rather than one or two lump sums) can now be found on a subscription basis.
Would a subscription model make sense for your business? Give it some thought. Consider premium content (Instagram makes this easy for you with subscription channels), regular product delivery (think Who Gives a Crap and their toilet paper model) or maintenance plans (have your website regularly updated).
5. Payment Option Evolution
We all get annoyed if paying for something is just one step too many. Comfy in bed and making a purchase online but you’ve got to get up and check your CVC? Click on a supplier’s invoice in your inbox, but they don’t accept online payments and you have to do it manually? Next minute you forget and your payment is delayed by days if not weeks.
Businesses need to offer as many ways as possible for clients to settle a bill. This is one of the key areas we work on with new business clients as the repercussions of late payments on cash flow is felt at some point by nearly everyone. By now pay later (think Afterpay) or real-time payments where barely any details are needed (think PayID) and online payments via your Xero invoices (easy to set up) are no-brainers.
If you want to talk through any of these trends or get an overview of where your business would benefit from taking some of them onboard, we’d love to chat.
