Increased regard for Australian products predict boost for local SMEs

In a world dominated by globalisation, does anyone worry about country of origin any more? Do Australians care if a product is made locally or imported more cheaply from overseas?

A new report from Roy Morgan has revealed that there is huge support for local manufacturing in 2015, with 89.2 per cent of Australians over 14 stating that they would be more likely to buy a product if it was made in Australia.

While this is a staggering majority, Australia has always supported its local businesses, with 85.6 per cent of those surveyed in 2013 also stating their preference for Australian goods.

Australia does it better… sometimes

However, the level of support shown does very much depend on the type of good purchased. Australian food had 88.1 per cent of people saying it was their preference, but only 52.9 per cent of people said they would want an Australian car compared to other countries.

Aussie-made clothes, electrical goods and wine all showed big increases too, all of them seeing at least 2.4 per cent more people preferring them to overseas manufacturers compared to two years ago.

Healthy competition

However, it is not just Australia that is seeing additional popularity among our residents.

"Alongside our renewed enthusiasm for Australian-made goods, we are becoming increasingly open to, and comfortable with, the idea of buying foreign-made products," says Michele Levine, CEO of Roy Morgan research.

"Online shopping has broadened our retail horizons, enabling us to purchase items made in all corners of the globe."

The United States, United Kingdom and our old rivals in New Zealand all showed boosts in popularity, coming second, third and fourth respectively.

SMEs are expected to take advantage of this renewed boost in local manufacturing by placing more emphasis on Aussie innovation and industry.

To figure out how you can factor local manufacturing into your business budget, speak to the business development consultants at Wilson Porter and find out more about our personalised solutions and accounting services.