When the news says that the Internet is worth as much as Australia’s iron ore exports, it makes a lot of sense to know how to blog for money.
This week, Australian news media jumped on a report that was paid for by Google Australia and done by Deloitte Access Economics, a well-known economics research firm.
The Connected Continent, the name of the study, found:
• The internet industry is worth $80 billion to the Australian economy as a whole. • It makes up 3.6% of Australia’s gross domestic product (GDP). • Value to consumers of $22 billion for ease of use or money saved
• There are 190,000 direct jobs.
On August 5, Ruth Williams wrote the lead story on the front page of The Age, Melbourne’s most popular newspaper. She said that the Internet was worth just $3 billion less to the Australian economy than the retail sector as a whole.
On the other hand, Australian retail continues to see a drop in consumer confidence and spending, the closing of stores, and the loss of jobs. Several things, like a rising Australian dollar, are blamed for the bad news in retail.
When compared to the weakening dollar, the strength of the local currency makes online shopping more appealing. Domestic retail sales are almost certainly going down because of the pain caused by overseas purchases.
Williams said that the Deloitte study said that the 190,000 jobs created by the internet were split between e-commerce (50,000), advertising and enterprise sites (75,000), and IT software and consulting (40,000).
She also said that the Deloitte report said the internet economy would grow at a rate of 7% per year over the next five years. She said that this was more than twice what was expected for the economy as a whole.
She also used another report from PricewaterhouseCoopers, a global consulting firm. They thought that Australians would spend $21.7 billion online in 2015, up from $13.6 billion in 2011. She said that the report said 44% of that money would be spent abroad.
What should you draw from this? What you should do is even more important.
It’s clear what to think:
• Online shopping is here to stay • Internet search will soon be the only way to find information about buying
• Shopping online will continue to hurt shopping in stores.
Your next step is even more simple. Join the revolution, especially if you run your own business.