Industries with the Largest Number of Businesses in Australia in 2020

1. Self-Managed Superannuation Funds in Australia

Number of Businesses for 2020: 615,221

The Self-Managed Superannuation Funds industry's assets have continued to grow over the past five years, albeit at a slower rate than over the previous five years. Industry assets are expected to increase at an annualised 1.9% over the five years through 2020-21, to $759.7 billion. Industry revenue is anticipated to increase at an annualised 1.1% over the same period, to $45.0 billion. As with any superannuation fund, SMSF revenue is highly volatile as it consists of investment income and the industry is highly exposed to equity markets. This has been highlighted by the significant downturn in global sharemarkets following the... Learn More

2. Professional Services in Australia

Number of Businesses for 2020: 234,270

The Professional Services subdivision provides various professional, scientific and technical services to a range of markets. The subdivision's performance is largely linked to overall economic conditions, which often determine business confidence and capital expenditure. Prior to the COVID-19 outbreak, technology development and greater business profit have driven the subdivision's growth. Earlier in the five-year period, accounting and management consultants have benefited from downstream businesses looking to improve efficiencies as increased globalisation have constrained profit margins. Overall, the subdivision revenue is expected to grow at an annualised 2.1% over the past five years through 2019-20 to $179.3 billion. However, the subdivision's... Learn More

3. Health Services in Australia

Number of Businesses for 2020: 117,032

The Health Services subdivision includes a range of health services and facilities. General hospitals are the subdivision's largest revenue driver, accounting over half of Australia's health services revenue. General practitioners, clinical specialists and dentists also represent significant revenue streams for the subdivision. Australia's growing and ageing population is expected to generate strong demand for health services over the five years through 2019-20. However, the outbreak of COVID-19 in early 2020 has limited subdivision expansion, as health services have redirected resources to containing the virus. Consequently, subdivision revenue is expected to grow at an annualised 1.4% over the five years through... Learn More

4. Management Consulting in Australia

Number of Businesses for 2020: 75,885

The Management Consulting industry has grown over the past five years. Mostly positive business confidence and rising demand from the public sector have driven demand for industry services. Industry players provide a variety of services, including financial advisory, strategic planning and operations consulting, to different markets such as financial institutions, government bodies, energy and resource firms and consumer product businesses. During times of high business confidence, businesses generally seek management consultants for advice regarding expansion opportunities. In contrast, challenging economic conditions generally dampen demand for industry services. However, challenging economic conditions can also increase demand for risk management and business... Learn More

5. Consumer Goods Retailing in Australia

Number of Businesses for 2020: 71,770

The Consumer Goods Retailing subdivision has been subject to difficult retail conditions over the past five years. Weak disposable income growth and volatile consumer sentiment due to unstable economic conditions have resulted in a poor trading landscape, as households have scaled back their expenditure on non-essential goods. In addition, the rise in online shopping has contributed to a fall in retail demand for many consumer goods over the period, such as photographic equipment, video games and recorded music, newspapers and books, and stationery goods.

Subdivision operators have struggled with intensifying competition from online-only retailers, as consumers have become increasingly comfortable with... Learn More

6. Office Property Operators in Australia

Number of Businesses for 2020: 60,081

Operating conditions in the Office Property Operators industry have been volatile over the past five years. Prior to the outbreak of COVID-19 in 2019-20, solid demand from superannuation funds looking to benefit from steady long-term returns had supported the industry. Additionally, the gradual shift to a serviced-based economy over the past five years had increased the amount of non-manual employees in the workforce, and therefore demand for office floorspace. However, tenants have moved from premium-grade offices towards A-grade and B-grade offices over the period, due to rising rental costs. Furthermore, the popularity of hot desking and shared office spaces has... Learn More

7. Online Shopping in Australia

Number of Businesses for 2020: 54,466

The Online Shopping industry has grown dramatically over the past five years. Rapid growth in internet and broadband penetration and consumer acceptance of electronic commerce as a viable and safe alternative to traditional bricks-and-mortar retailing have aided online shopping. Industry operators have benefited from consumers seeking variety and value, particularly in a period of declining discretionary incomes over the past five years. Online shopping offers unprecedented choice through highly competitive prices and a lack of geographical boundaries. Industry revenue is expected to grow at an annualised 15.4% over the five years through 2019-20, to $29.4 billion. This includes anticipated revenue... Learn More

8. Computer System Design Services in Australia

Number of Businesses for 2020: 53,751

The Computer System Design Services industry consists of businesses that develop and implement information technology services, programming systems and business solutions. The industry has expanded steadily over the past five years, as many businesses have outsourced non-essential systems operations, and computers and IT systems have required regular upgrades and enhancements. Furthermore, increased internet connectivity has driven the industry's growth over the period, with financial services providers such as banks and insurers remaining the industry's largest clients.

Due to strong demand, industry revenue is projected to increase at an annualised 3.8% over the five years through 2019-20, to reach $58.8 billion. This... Learn More

9. Residential Property Operators in Australia

Number of Businesses for 2020: 52,184

Residential property operators are companies or individuals that draw income from renting out residential property. Industry demand is mainly driven by the number of households that do not own residential property, as these households have to rent property from industry operators. Although home ownership has traditionally been a priority for many Australians, housing price growth over the past five years has made it harder for consumers to save for a deposit and service increasingly costly mortgages. This trend has decreased the overall proportion of the population that owns the home they live in, supporting industry demand. Industry operators respond to... Learn More

10. Retail Property Operators in Australia

Number of Businesses for 2020: 47,331

Weak retail trade conditions have caused the Retail Property Operators industry to decline over the past five years. Consumer goods retailers have faced mounting competitive pressures from online retailers over the period, constraining demand for floorspace. This trend has decreased rental yields and increased vacancy rates over the period. However, demand from supermarket and grocery stores has grown over the period, providing a steady source of rental income for some retail property operators. Furthermore, the cash rate has continued to decline over the period, reducing the cost of capital, and therefore allowing for greater investment into faciality expansions and developments.... Learn More