THE CPA AUSTRALIA
ASIA-PACIFIC
SMALL BUSINESS
SURVEY 2015
NEW ZEALAND REPORT
2 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
LEGAL NOTICE
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ISBN: 978-1-921742-74-3
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First published 2016
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3 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
OVERVIEW
CPA Australia Asia-Pacific Small Business Survey 2015 is the sixth in a series of annual reports measuring small
business confidence, the drivers of confidence, technology uptake and access to finance by small businesses. The
data is compared across the eight economies included in this survey and over time.
In total, 2932 participants completed the survey, including 510 from Australia, 610 from Mainland China, 265 from
Hong Kong, 306 from Indonesia, 310 from Malaysia, 311 from New Zealand, 310 from Singapore and 310 from
Vietnam.
The online survey was conducted with a random sample of small business owners/managers between 24
September and 14 October 2015. The sample was obtained through panel providers. To qualify for the survey,
participants were required to be an owner, a senior manager (defined as being a director, a principal, a CEO, a
CFO, a senior manager or a managing director) or a qualified accountant of a business with fewer than 20
employees.
4 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
SUMMARY OF NEW ZEALAND RESULTS
New Zealand small business confidence up but a greater focus on innovation needed
New Zealand small businesses are significantly more optimistic about their own growth prospects in the next 12
months despite some concerns over the local economy and the need for many small businesses to have a stronger
focus on innovation and digital technologies.
Although small business confidence in the growth prospects for New Zealand’s economy declined in this survey
from the last, businesses are significantly more optimistic about their own prospects, with two in three expecting to
grow in the next 12 months, 17 percentage points higher than in the last survey.
While the optimism amongst New Zealand businesses is quite strong, the survey results show there is room for
improvement. New Zealand small businesses are significantly less likely than their competitors from Asia to focus
on the future drivers of growth: innovation, e-commerce, social media and exporting.
With the survey results showing a very strong link between business growth and jobs creation, and a focus on
innovation, e-commerce and exporting, it is important that more New Zealand small businesses adopt these key
activities.
The survey results clearly show that New Zealand small businesses are behind small businesses from Asia (but
slightly ahead of Australia’s) when it comes to innovation. The percentage of New Zealand small businesses that
definitely expect to innovate in the next 12 months through the introduction of a new product, service or process
that is unique to New Zealand or the world is troublingly low in comparison with Asia (6.8 per cent of New Zealand
small businesses definitely expect to innovate compared with 28.3 per cent of small businesses from Asia).
New Zealand small businesses are also well behind their competitors in Asia (but slightly ahead of Australia) when
it comes to:
 investing in their e-commerce presence (9.6 per cent of New Zealand small businesses expect to grow their ecommerce presence to a large extent in the next 12 months compared with 41.3 per cent of small businesses in
Asia)
 growing revenue from overseas markets (7.1 per cent of New Zealand small businesses expect their revenue
from overseas markets to grow strongly in the next 12 months compared with 24.0 per cent of small businesses
in Asia)
 using social media in their business (56.5 per cent of New Zealand small businesses use social media in their
business compared with 92.6 per cent of small businesses from Asia)
 generating revenue from online sales (37.0 per cent of New Zealand small businesses earn revenue from online
sales compared with 82.3 per cent of small businesses from Asia).
This lack of focus on e-commerce and social media means that many New Zealand small businesses are denying
themselves access to the large and growing online marketplace both in New Zealand and overseas. Many may
also be unnecessarily exposing themselves to greater competitive pressure from more nimble and tech-savvy
competitors from home and elsewhere.
The lack of innovation and poor levels of technology uptake is impacting jobs creation in the sector, with only 16.4
per cent of New Zealand small businesses adding to their number of employees in the past 12 months compared
with 40.7 per cent of businesses from Asia.
5 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
The survey results highlight that the New Zealand government’s focus on encouraging innovation and
entrepreneurship through policies such as crowd-sourced equity funding is very much the right approach. Such
policies should help New Zealand businesses bridge this innovation and digital divide with Asia and promote
growth and jobs creation.
Other results from the survey
Demographics
 New Zealand small businesses and their business owners are older than their competitors from Asia and are
also smaller, with most preferring to have fewer than five employees (preferably none).
 There is a strong correlation between younger business owners and those businesses that expect to grow, sell
on-line, use social media for business purposes, and innovate through the introduction of new products,
processes or services.
 Attracting more young New Zealanders to establish or buy their own small businesses should contribute to a
more innovative, growing, outward-looking small business sector that is creating more jobs.
Improved business management
 New Zealand small businesses (15.4 per cent) were less likely than small businesses from Asia (30.6 per cent)
to have found that improved business management had a major positive influence on their business over the
past 12 months.
 Businesses who found that improved business management had a major positive impact on their business are
much more likely to be growing.
Increasing costs and competition
 Increasing costs and competition were less of a major detrimental issue for New Zealand small businesses than
for businesses from Asia.
 The more competitive environment that businesses in Asia are facing is one of the factors contributing to their
stronger focus on innovation, e-commerce and exporting than New Zealand small businesses.
Access to finance
 For those New Zealand small businesses that sought finance in the past 12 months, access to finance was
more likely to be easy than not (50.0 per cent found it easy or very easy to access finance in the past 12
months, which was just above the average for the survey).
 This relatively easy access to finance is not translating into increased demand for external finance (27.0 per
cent of New Zealand small businesses required access to finance in the past 12 months compared with the
average for Asia of 72.7 per cent).
 For those that sought finance, banks were by far the major source of that finance (41.7 per cent stated that
banks were their major source of finance).
 Unlike small businesses in Asia, New Zealand small businesses are less likely to have sought finance from an
investor and are more likely to put in their own personal resources to meet their financing needs.
6 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
MAJOR FINDINGS FOR NEW ZEALAND
Innovation is a key driver of growth, job creation and exporting, yet only a small
percentage of New Zealand small businesses expect to undertake it compared
with small businesses from Asia.
Small businesses with an e-commerce presence are more likely to be
growing and creating jobs, yet the number of New Zealand small
business generating revenue from online sales lags a long way behind
Asia.
Small businesses that expect to grow revenue from exporting are
more likely to be growing and creating jobs, yet very few New
Zealand small businesses export.
Small businesses that use social media for business purposes
are significantly more likely to have grown and to be from Asia
than from New Zealand.
More New Zealand small businesses added to employee numbers
in 2015, but the number remains small in comparison to Asia.
New Zealand business confidence in the coming 12 months is up
strongly.
Accessing finance remains relatively easy in New Zealand; however, this is
having little impact on demand for finance.
7 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
KEY SURVEY FINDINGS FOR NEW
ZEALAND
INNOVATION
Innovation1 is a key driver of growth, job creation and exporting, yet only a small
percentage of New Zealand small businesses expect to undertake it compared with small
businesses from Asia.
Small businesses that will definitely introduce a new product, service or process that is new to
their market or the world in the next 12 months2
Indonesia
45.8%
China
31.6%
Malaysia
29.0%
Vietnam
26.1%
Hong Kong
17.7%
Singapore
New Zealand
Australia
1
15.2%
6.8%
5.1%
Innovation, for the purpose of the survey, is taken to be the introduction of a new product, service or process that is unique to a market or the
world.
2
All data for China excludes Hong Kong, which is shown separately.
8 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
The relationship between innovation and jobs creation, business growth and exporting
Percentage that expect to
definitely introduce a
product, service or
process that is new to
their market or the world
EMPLOYEE NUMBERS
Expecting to increase employee numbers in the next 12 months
NOT expecting to increase employee numbers in the next 12 months
BUSINESS GROWTH
Expecting to grow their business in the next 12 months
NOT expecting to grow their business in the next 12 months
EXPORTING
Expecting revenue from overseas sales to grow strongly in the next 12 months
NOT expecting to grow their revenue from overseas sales in the next 12 months
9 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Innovation is a core driver of business growth and competitiveness, yet only a small percentage of New Zealand
small businesses indicate that they have an innovative culture in comparison with small businesses from Asia
(although it is slightly better than Australia).
In essence, New Zealand small businesses are being out-innovated by their competitors from Asia, especially by
small businesses from Indonesia, China and Malaysia.
With the survey results showing innovative businesses are significantly more likely to be growing, exporting and
creating jobs, it is easy to see why the New Zealand government has a range of policies focused on supporting
innovation, including world-leading policies in areas such as the regulation of equity crowdfunding. As a recent
OECD paper on innovation stated, ‘in the long run, it is difficult to imagine growth without innovation’.
The OECD estimates that innovation can contribute up to 50 per cent of economic growth depending on the
3
country, the level of economic development and the phase of the economic cycle. As New Zealand transitions
towards a knowledge economy, such an estimate and the poor results from this survey highlight why the New
Zealand government is absolutely right to have innovation as a core policy focus. It also recognises that turning
innovation by small business from the exception to the rule will take time; however, the New Zealand government is
very much on the right path.
Businesses are also more likely to definitely expect to undertake innovation in the next 12 months through the
introduction of a new product, service or process that is unique to their market or the world if they:
 have a business owner/manager aged under 40
 have between 5 and 19 staff
 are from the banking, finance and insurance sector, or the manufacturing sector.
KEY FINDING
Innovation is a core driver of economic growth, business growth, jobs creation and exporting. We suggest that
New Zealand small businesses should place a greater emphasis on innovation and that the government continue
with its innovation-centred policy development.
3
OECD Innovation Strategy: An Agenda for Policy Action, OECD Publishing, Paris, 2015, p. 4
10 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
E-COMMERCE
Small businesses with an e-commerce presence are more likely to be growing and
creating jobs, yet the number of New Zealand small businesses generating revenue from
online sales lags a long way behind Asia.
Small businesses that generated revenue from online sales
Average for Asia
82.3%
New Zealand
37.0%
Australia
33.0%
11 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
The relationship between e-commerce and business growth, jobs creation and exporting
Percentage that expect to
grow their e-commerce
presence to a large
extent
BUSINESS GROWTH
Expecting to grow their business in the next 12 months
NOT expecting to grow their business in the next 12 months
EMPLOYEE NUMBERS
Expecting to increase employee numbers in the next 12 months
NOT expecting to increase employee numbers in the next 12 months
EXPORTING
Expecting revenue from overseas sales to grow strongly over the next 12 months
NOT expecting to sell into overseas markets in the next 12 months
12 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Small businesses from New Zealand were also well behind their peers and competitors from Asia (although slightly
ahead of Australia) on generating revenue from online sales. This digital divide is only likely to grow as small
businesses in Asia are significantly more likely to expect to grow their e-commerce presence in the next 12 months
than businesses from New Zealand.
With the survey results showing that small businesses that are selling online and seeking to grow their e-commerce
presence are significantly more likely to be growing and creating jobs, it is easy to see why the New Zealand
government is taking action to support and encourage innovation, including e-commerce.
Disappointingly, a very large percentage of businesses that do not generate any revenue from online sales do not
intend to invest in establishing an e-commerce presence in the next 12 months. While online sales are not relevant
for all businesses, when you combine the results that show a strong connection between e-commerce and growth,
and growing digital penetration and literacy of customers, it suggests it would be wise for all businesses to
investigate establishing and growing their e-commerce presence.
Small businesses are also more likely to earn income from online sales where:




they have between 5 and 19 staff
the business has been established for less than 21 years
the respondent is aged under 40
the business is in the manufacturing sector.
KEY FINDING
With the results showing that businesses making online sales are significantly more likely to be growing and
creating jobs, we suggest that New Zealand small businesses should seriously consider making a larger
investment in e-commerce. The New Zealand government should continue to strongly encourage and support
businesses to develop and enhance their e-commerce presence.
13 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
SMALL BUSINESS AND EXPORTING
Small businesses that expect to grow revenue from exporting are more likely to be
growing and creating jobs, yet very few New Zealand small businesses export.
Small business expecting revenue from overseas sales to grow strongly in the next 12 months
Average for Asia
24.0%
New Zealand
7.1%
Australia
6.1%
14 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
The relationship between exporting, and jobs creation and business growth
Percentage that expect
their revenue from
exporting to grow
strongly
EMPLOYEE NUMBERS
Expecting to increase employee numbers in the next 12 months
NOT expecting to increase employee numbers in the next 12 months
BUSINESS GROWTH
Expecting to grow their business in the next 12 months
NOT expecting to grow their business in the next 12 months
Small businesses from New Zealand are also well behind their competitors from Asia (although slightly ahead of
Australia) when it comes to expecting to earn more revenue from exporting in the next 12 months.
New Zealand small businesses therefore rely significantly more on their domestic market than their competitors
from Asia. As the survey results show, this not only limits the growth potential of those businesses but increases
their risk exposure should the New Zealand economy slow.
Exporting also has other benefits, including exposing the business to new ideas from different markets. This lack of
exposure to other markets may be contributing to a lack of innovation by New Zealand small businesses.
With the survey results showing that small businesses that are expecting their revenue from exporting to grow are
more likely to see their business growing and creating jobs, it is easy to see why governments across the region
are taking action to support and encourage trade through initiatives such as the Trans-Pacific Partnership.
15 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Small businesses are also more likely to expect strong growth in their earnings from overseas in the next 12
markets if:




the business is in the manufacturing sector
the business has between 5 and 19 employees
the respondent is aged under 50
the business has been established for less than 21 years.
KEY FINDING
With the results showing that small businesses that expect revenue from exports to grow in the next 12 months
are significantly more likely to expect their business to grow and to increase employee numbers, it is important
for businesses to consider exporting as part of their business strategy.
16 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
SOCIAL MEDIA
Small businesses that use social media for business purposes are significantly more
likely to have grown and to be from Asia than from New Zealand.
Small businesses that used social media in their business
Average for Asia
92.6%
New Zealand
56.5%
Australia
50.2%
Small businesses from New Zealand remain well behind their competitors from Asia (although ahead of Australian
small businesses) when it comes to using social media in their business. While there was an increase in the
number of New Zealand small businesses using social media this year compared with last, the result shows there
remains significant room for improvement.
With businesses using social media being significantly more likely to be growing and with customers being
increasingly likely to seek to communicate and transact with businesses via social media, a lack of a social media
presence limits a business’s ability to attract, retain and transact with customers. It may also impact their brand and
their ability to grow their business.
Those that use social media use it for a variety of purposes including communicating with existing customers,
promoting their business to potential customers, and selling their products or services.
Small businesses are significantly less likely to be using social media for business purposes where:
 the respondent is aged 50 or over
 the business has been established for over 20 years
 the business has four or fewer staff.
17 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
KEY FINDING
With the results showing that small businesses that are using social media are significantly more likely to be
growing, it is important for New Zealand small businesses to consider creating or enhancing their social media
presence.
18 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
JOBS AND SMALL BUSINESSES
More New Zealand small businesses added to employee numbers in 2015 but the number
remains small in comparison with small businesses from Asia.
Small businesses that increased employee numbers – Australia and New Zealand compared with
the average for Asia
Average for Asia
40.7%
New Zealand
16.4%
Australia
11.8%
19 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Relationship between jobs creation and business growth, innovation, exporting and e-commerce
Percentage that expect to
increase employee
numbers in the next 12
months
BUSINESS GROWTH
Expecting to grow in the coming 12 months
NOT expecting to grow in the coming 12 months
INNOVATION
Definitely expecting to introduce a new product, service or process unique to their
country or the world
NOT expecting to introduce a new product, service or process unique to their country
or the world
EXPORTING
Expect to grow export revenue strongly
NOT expecting to sell into overseas markets
20 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
E-COMMERCE
Expect to grow their e-commerce presence to a large extent
NOT expecting to grow their e-commerce presence
Reflecting improvements in business confidence, there was an increase in the number of New Zealand small
businesses that added employees in 2015 (16.4 per cent) compared with 2014 (9.4 per cent), and the New
Zealand results were better than Australia’s. However, small businesses in Asia, particularly businesses from
Indonesia, Vietnam and China, were significantly more likely to have increased employee numbers. This trend is
expected to continue in the next 12 months.
Over the next 12 months, businesses that expect to increase employee numbers are also significantly more likely
to:
 intend to significantly increase their e-commerce presence
 strongly grow their revenue from overseas sales
 innovate through definitely introducing a new product, service or process.
Small businesses are also more likely to expect to increase employee numbers over the next 12 months if:
 the business is in the manufacturing, accommodation or food services industry
 the business has between 5 and 19 staff
 the respondent is aged under 40.
KEY FINDING
A stronger focus on innovation, e-commerce and exporting should lead to more New Zealand small businesses
creating jobs.
21 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
BUSINESS AND ECONOMIC CONDITIONS
New Zealand business confidence in the coming 12 months is up strongly.
Small businesses that grew over the past 12 months – by market4
Indonesia
57%
Vietnam
34%
63%
China
26%
70%
Malaysia
8%
55%
Hong Kong
14%
51%
Singapore
12%
49%
New Zealand
9%
41%
Australia
32%
15%
13%
Grown A Little
Grown Strongly
Small businesses that expect their business to grow in the coming 12 months, 2009 to 2015 – by
market
100%
90%
Vietnam
80%
Mainland China
Singapore
70%
New Zealand
Malaysia
60%
Indonesia
Hong Kong
50%
Australia
40%
30%
2009
4
2010
2011
2012
2013
All data for China excludes Hong Kong, which is shown separately.
2014
2015
22 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Small businesses that expect their local economy to grow over the next 12 months, 2011 to 2015
– by market
100%
90%
80%
Australia
Hong Kong
70%
Indonesia
Malaysia
60%
New Zealand
Singapore
50%
Mainland China
Vietnam
40%
30%
20%
2011
2012
2013
2014
2015
There is a jump in the number of New Zealand small businesses that expect to grow in the next 12 months in this
survey from the last. In fact, New Zealand small businesses are the most confident of the advanced economies
included in this survey (Australia, Hong Kong, New Zealand and Singapore).
This business confidence builds on the nine percentage point increase in the number of New Zealand small
businesses that reported growing in the past 12 months in this survey from the last.
This increase in business confidence is occurring at the same time that small business confidence in the New
Zealand economy is dropping.
Small businesses that expect to innovate, grow their e-commerce presence to a large extent and strongly grow
revenue from exports are significantly more likely to expect their business to grow in the next 12 months. In
addition, small businesses are more likely to expect to grow if:
 they have between 5 and 19 employees
 the respondent is aged under 50
 the business reported growing in the past 12 months.
Small businesses are also more likely to expect their local economy to grow if:
 they have between 5 and 19 employees
 they are in the manufacturing, property or construction sector
 the respondent is aged under 40.
23 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
KEY FINDING
A stronger focus on innovation, e-commerce and exporting should lead to more New Zealand small businesses
experiencing growth.
24 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
ACCESSING FINANCE
Accessing finance remains relatively easy in New Zealand, although this is having little
impact on demand for finance.
Access to finance – the percentage that experienced easy to very easy financing conditions in
the previous 12 months5
2015
2014
Indonesia
60.6%
Indonesia
56.3%
China
59.3%
New Zealand
53.7%
Australia
54.3%
Australia
48.1%
New Zealand
50.0%
China
33.4%
Hong Kong
43.5%
Malaysia
32.3%
Singapore
34.1%
Vietnam
32.0%
Malaysia
31.8%
Singapore
30.9%
Vietnam
29.7%
Hong Kong
29.9%
Access to finance remains significantly more likely to be easy than difficult for New Zealand small businesses.
However, these relatively easy financing conditions continue to have little impact on the actual demand for finance,
with only 27.0 per cent of New Zealand small businesses requiring funds from an external source in the past 12
months, well below the number of small businesses from Asia, including in markets where access to finance is
significantly less easy.
Banks are the most popular source of finance for New Zealand small businesses. Unlike small businesses from
Asia, New Zealand small businesses are highly unlikely to source finance from an investor and are more likely to
rely on their own resources.
New Zealand small businesses are the least likely of the markets surveyed to have sought external finance for
business growth, although they were more likely to source finance to purchase a capital asset.
KEY FINDING
Accessing finance remains relatively easy for New Zealand small businesses, although this is not leading to an
increase in the number of businesses seeking external finance.
5
All data for China excludes Hong Kong, which is shown separately.
25 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
APPENDICES
NEW ZEALAND DATA SNAPSHOT
Business and economic growth
New Zealand small businesses that expect their
business to grow against small business growth
expectations for the New Zealand economy
Small businesses that expect their business to
grow - New Zealand against survey average
90%
90%
70%
70%
50%
50%
30%
30%
2011
2012
2013
Survey average
2014
2011
2015
2012
2013
Expect local economy to grow
New Zealand
2014
2015
Expect their business to grow
2015
Rank
2015
2014
Rank
2014
2015 survey
average
Businesses that grew in the last 12 months
56.3%
7/8
47.1%
6/8
68.2%
Businesses that expect to grow in the next 12
months
65.6%
5/8
49.4%
6/8
70.7%
Businesses that expect the local economy to
grow in the next 12 months
53.1%
4/8
62.3%
5/8
61.1%
2015
Rank
2015
2014
Rank
2014
2015 survey
average
Increased employee numbers
16.4%
7/8
9.4%
7/8
33.1%
Improved business management had a major
positive impact on their business
15.4%
7/8
N/A
N/A
25.4%
Increasing costs had a major negative impact on
their business
25.1%
8/8
N/A
N/A
39.0%
Required funds from an external source
27.0%
8/8
30.6%
8/8
59.9%
Sought external funds for business growth
25.o%
8/8
32.0%
8/8
56.3%
Found it easy or very easy to access external
finance
50.0%
4/8
53.7%
2/8
47.6%
Business activity over the past 12 months
26 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Planned business activity over the next 12 months
2015
Rank
2015
2014
Rank
2014
2015 survey
average
Expect to increase employee numbers
19.9%
7/8
14.5%
7/8
41.8%
Definitely expect to introduce a new product,
service or process unique to their country or the
world
6.8%
7/8
N/A
N/A
22.0%
Expect to grow their e-commerce presence to a
large extent
9.6%
7/8
N/A
N/A
32.2%
Expect revenue from overseas markets to grow
strongly
7.1%
7/8
N/A
N/A
19.1%
Will significantly increase spending on marketing
and promotion
6.4%
7/8
N/A
N/A
22.8%
Expect to grow their investment in assets
strongly
8.0%
7/8
N/A
N/A
23.1%
Definitely will seek external funds
8.0%
8/8
10.6%
7/8
29.2%
Expect easy to very easy access to finance
39.1%
4/8
44.6%
2/8
43.3%
Expect to seek external finance to fund growth
45.5%
7/8
37.6%
8/8
59.7%
2015
Rank
2015
2014
Rank
2014
2015 survey
average
Earned revenue from online sales
37.0%
7/8
32.6%
7/8
68.9%
Used social media for business purposes
56.5%
7/8
46.5%
7/8
81.4%
Social media and e-commerce
Demographics
2015
Rank
2015
2014
Rank
2014
2015 survey
average
Business is 10 years old or younger
55.6%
7/8
52.9%
7/8
65.6%
Respondent is aged 39 or younger
25.7%
7/8
17.7%
7/8
53.3%
27 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
SURVEY RESULTS FOR AUSTRALIA COMPARED WITH
ASIA
Small businesses in Asia are well ahead of their competitors from New Zealand in the
key drivers of growth and jobs creation
Planned actions of New Zealand small businesses compared with small businesses from Asia
in the next 12 months
Planned action over next 12 months
New Zealand
Asia average
19.9%
51.1%
Grow their e-commerce presence to a large extent
9.6%
41.3%
Increase spending on marketing and promotion significantly
6.4%
29.2%
Grow their investment in assets strongly
8.0%
29.0%
Definitely seek external funds
8.0%
37.2%
Expect revenue from overseas markets to grow strongly
7.1%
24.0%
Definitely expect to introduce a new product, service or process unique
to their country or the world
6.8%
28.3%
Increase employee numbers
Actions taken by New Zealand businesses compared with businesses from Asia in the past 12
months
Action taken over the past 12 months
New Zealand
Asia average
Used social media in their business
56.5%
92.6%
Earned revenue from online sales
37.0%
82.3%
Increased employee numbers
16.4%
40.7%
Required funds from an external source
27.0%
72.7%
Improved business management had a major positive impact on their
business
15.4%
30.6%
28 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
Demographics – New Zealand compared with the average for Asia
New Zealand
Asia average
Business is 10 years old or younger
55.8%
70.8%
Business is 11 years or older
43.4%
28.5%
Respondent is aged 39 or younger
25.7%
66.3%
Respondent is aged 40 to 49
18.3%
25.8%
Respondent is aged 50 or over
55.9%
7.9%
29 | THE CPA AUSTRALIA ASIA-PACIFIC SMALL BUSINESS SURVEY 2015 – NEW ZEALAND REPORT
ABOUT THE SURVEY
The CPA Australia Asia-Pacific Small Business Survey 2015 is part of a longitudinal annual study of small business
conducted by CPA Australia since 2009. This report presents a cross-market comparison between the eight
markets surveyed and, where applicable, a comparison of results from 2009 onwards. The survey was conducted
between 24 September and 14 October 2015.
The mainland of China and Vietnam were included in the survey for the first time in 2014. Indonesia and New
Zealand were included in 2011.
The survey in the mainland of China was conducted in Beijing, Chongqing, Guangzhou and Shanghai. All data for
China excludes Hong Kong, which is shown separately.
Interview method
In each market, the online survey was conducted amongst a random sample of small business owners/managers.
The sample was obtained through online panel provider Research Now and their Asian panel partner iPanelonline.
To qualify for the survey, participants were required to be an owner, a senior manager (defined as being a director,
a principal, a CEO, a CFO, a senior manager or a managing director) or a qualified accountant of a business with
fewer than 20 employees.
Sample
In total, 2932 participants completed the survey, including 510 from Australia, 610 from the mainland of China, 265
from Hong Kong, 306 from Indonesia, 310 from Malaysia, 311 from New Zealand, 310 from Singapore and 310
from Vietnam.
Of the 610 participants from the mainland of China, 155 were from Beijing, 152 were from Chongqing, 147 were
from Guangzhou and 156 were from Shanghai.
Questioning
Questions on small business confidence, employment, social media, costs and access to finance were drawn from
previous surveys. Some slight modifications to question wording were made to a number of those repeated
questions. Questions on innovation, major influences on the business environment, e-commerce, spending on
marketing and assets and exporting are new in this survey.
Questionnaires in Australia, Singapore and New Zealand were administered in English. The Hong Kong
questionnaire was administered in traditional Chinese, the questionnaire for Malaysia was administered in both
English and Bahasa Malaysia, Indonesia’s questionnaire was administered in Bahasa Indonesia, China’s
questionnaire was administered in simplified Chinese, and Vietnam’s questionnaire was administered in
Vietnamese.
Rounding
All percentage results shown in this report have been rounded.
29
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