Latest business confidence survey
Over 1000 Auckland businesses have responded to the Chamber’s business confidence survey that was undertaken electronically this week.
- Those who believe the economy will improve over the next 6 months have more than doubled from 14% in March to 30% in June.
- For the first time in a year, more firms believe the economy will improve in the next 6 months than deteriorate.
- Only 7% of businesses are having difficulty finding employees with the right skills compared to 25% a year ago.
- The biggest single factor limiting firms from expanding is demand (followed by finance).
- 73% of respondents believe interest rates will be the same or greater.
- In the March survey 20% of firms expected to reduce staff in the following quarter while in the June survey only 12% of firms expect to reduce employee numbers.
- This is similar for part-time employees where in March 16% of firms expected a reduction in part-time employees while in June only 10% of firms expect to have lower part time employees.
- On profitability 61% of firms expected profits to be the same or better compared to 53% in March.
The Chamber has undertaken this survey of its members for over 10 years. The survey is undertaken electronically over a 48 hour period.
Economic Business Survey
Research Findings Report for the: Auckland Region
June 2009
Section B: Economic Environment
Do you consider that the GENERAL BUSINESS situation in New Zealand will improve, remain the same or deteriorate during the NEXT SIX MONTHS?
| Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 | |
| Same | 30% | 36% | 26% | 33% | 43% |
| Improve | 14% | 32% | 18% | 14% | 30% |
| Deteriorate | 57% | 32% | 56% | 53% | 27% |
| NA | 0% | 0% | 0% | 0% | 0% |
Do you consider that YOUR OWN BUSINESS situation in New Zealand will improve, remain the same or deteriorate during the NEXT SIX MONTHS?
| Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 | |
| Same | 40% | 34% | 35% | 42% | 39% |
| Improve | 32% | 47% | 32% | 32% | 46% |
| Deteriorate | 28% | 19% | 34% | 26% | 14% |
| NA | 0% | 0% | 0% | 0% | 0% |
In general, do you find that getting the STAFF YOU WANT TODAY is easier, the same, or harder than it was THREE MONTHS AGO?
| Skilled | Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 |
| Same | 40% | 41% | 34% | 29% | 28% |
| Harder | 25% | 20% | 13% | 8% | 7% |
| Easier | 16% | 20% | 33% | 39% | 41% |
| NA | 20% | 19% | 21% | 24% | 24% |
| Unskilled | Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 |
| Same | 33% | 32% | 23% | 17% | 18% |
| Harder | 8% | 6% | 2% | 1% | 1% |
| Easier | 25% | 29% | 42% | 40% | 39% |
| NA | 34% | 33% | 33% | 42% | 41% |
What SINGLE factor, if any, is most limiting your ability to expand your activities? Shortage of:
| Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 | |
| Capacity | 10% | 11% | 8% | 7% | 7% |
| Demand | 50% | 52% | 57% | 54% | 56% |
| Finance | 20% | 19% | 21% | 23% | 24% |
| Labour | 9% | 8% | 6% | 4% | 3% |
| Other | 8% | 8% | 6% | 10% | 9% |
| Supplies | 3% | 2% | 2% | 2% | 1% |
| NA | 0% | 0% | 0% | 0% | 0% |
Of the 56% of businesses that answered that demand was the most limiting factor to the ability of the business to expand, these businesses came from the following sectors in the following distributions:
| Significant Categories | Representing % of survey base | % harder to find skilled staff | % harder to find skilled staff | % harder to find skilled staff | % harder to find skilled staff | % harder to find skilled staff | Difference in survey results, Dec versus Jun |
| Dec 07 | Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 | ||
| Manufacturing | 45% | 32% | 19% | 11% | 5% | 7% | +2 |
| Professional Services | 40% | 17% | 19% | 9% | 10% | 8% | -2 |
| Service sector | 41% | 24% | 27% | 15% | 9% | 8% | -2 |
| Technology / communications | 43% | 25% | 18% | 14% | 5% | 8% | +3 |
| Tourism and/or Hospitality | 68% | 24% | 30% | 10% | 6% | 3% | -4 |
| Trades | 49% | 29% | 15% | 11% | 4% | 9% | +5 |
| Wholesale / Distributor | 41% | 24% | 17% | 13% | 9% | 3% | -6 |
EMPLOYEE numbers answering demand followed by finance as the most limiting factor to the ability of the business to expand
| Significant Categories | % answering demand this quarter | % answering finance this quarter |
| 1 –5 | 47% | 29% |
| 6 – 10 | 63% | 22% |
| 11 – 20 | 59% | 25% |
| 21 – 50 | 66% | 14% |
| 51 – 100 | 54% | 17% |
| 101 – 200 | 75% | 15% |
| 201 – 500 | 73% | 0% |
| Over 500 | 47% | 47% |
| N/A | 0% | 0% |
Do you expect INTEREST RATES charged on loans during the NEXT TWELVE MONTHS to be greater/same/less than those during the PAST TWELVE MONTHS?
| Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 | |
| Greater | 29% | 15% | 8% | 5% | 30% |
| Same | 33% | 21% | 9% | 21% | 43% |
| Less | 36% | 60% | 79% | 69% | 22% |
| NA | 2% | 3% | 4% | 5% | 5% |
Do you expect the amount of NEW INVESTMENT approved by your firm during the NEXT TWELVE MONTHS to be greater/same/less than approved during the PAST TWELVE MONTHS?
| Buildings: | Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 |
| Greater | 14% | 14% | 12% | 9% | 10% |
| Same | 25% | 27% | 22% | 23% | 28% |
| Less | 26% | 22% | 31% | 29% | 24% |
| NA | 35% | 37% | 34% | 38% | 38% |
| Machinery: | Jun 08 | Sep 08 | Dec 08 | Mar 09 | Jun 09 |
| Greater | 21% | 22% | 16% | 14% | 18% |
| Same | 27% | 31% | 28% | 29% | 31% |
| Less | 33% | 27% | 36% | 34% | 29% |
| NA | 18% | 20% | 20% | 23% | 22% |