Australian retailers to have a ‘cracker’ 2017
SPENDING on restaurants, holidays and entertainment is expected to
dramatically jump by up to 10% in 2017, as consumers embrace a new era of
‘personalised hospitality’, Australia’s leading independent eftpos provider, Tyro,
Tyro CEO Gerd Schenkel said pre-Christmas hospitality sales results showed
that Australian consumers were increasingly turning to small and medium size
venues with personality and charm, and this was expected to continue into 2017.
“In December alone, Australia’s 62,000 small and medium sized hospitality
businesses, employing up to 200 staff each, saw sales increase a staggering 10
per cent to $8 billion,” Mr Schenkel said.
“Tyro Payments expects this trend to continue in the second half of the 2017
financial year, as Australians embrace the character and personal touch that
small and medium sized hotels and restaurants provide.
“Based upon the detailed sales results of thousands of our customers, we
estimate SME sized hospitality sales will reach $80 billion this financial year,
compared to only $24 billion for larger hospitality businesses.
“It seems David is beating Goliath when it comes to the hearts and minds of
Aussie consumers, as personalised hospitality beats the often homogenous and
soulless experience of some large chains.”
Likewise, Australia’s 78,000 small and medium sized retailers can also expect a
bullish 2017 with December sales climbing 3% compared to the same time the
“Tyro estimates small and medium sized retailers will reach about $215 billion in
sales this financial year, compared with $200 billion for the large retailing chains,”
Mr Schenkel said.
“In December alone, small and medium sized retailers processed about $23.5
billion in sales, a 3% increase on the same period the previous year.
“This was a cracking finish to 2016, and we expect more of the same over the
coming six months to the end of the financial year.
”The sales figures show that smaller retailers are defying the drift to international
online sales, and continuing to provide a viable alternative for discerning
“In part, this is because smaller retailers are embracing online sales themselves, opening up new markets for their products.”
Australia’s 1 million SMEs are critical to Australian prosperity, as they provide 8 million of the country’s 12 million jobs, and contribute more than $343 billion to the economy annually.
“We are very pleased to see the SME sector doing well,” Mr Schenkel said.
“In 2016, 54% of our SME customers were able to grow their turnover, and they did so by an average of 15% per annum.
“This is in contrast to the total economy where typically only about one third of all businesses manage to grow their income at all.”
Media enquiries: Adam Connolly, Apollo Communications, 0417 170 084
About Tyro Payments Limited
Tyro is the first new entrant into the banking business in more than 18 years. Tyro holds an authority under the Banking Act to carry on a banking business as an Australian Deposit Taking Institution (ADI) and operates under the supervision of the Australian Prudential Regulation Authority (APRA). Tyro provides credit, debit, EFTPOS card acquiring, Medicare and private health fund claiming and rebating services as well as a transaction and deposit account. Tyro takes money on deposit and offers unsecured cash-flow based lending to Australian EFTPOS merchants.
Tyro was founded in Australia in 2003 and recently raised about $100million in growth capital. Tyro employs about 340 people in its Sydney office. For more information, visit www.tyro.com.