Industry Insights and Trends
FY 2023-24
In the face of global challenges over the past three years and the possibility of a credit squeeze or fiscal reckoning, OCG has conducted extensive market research for the upcoming FY2023-24.
Our audience of 12,000 industry professionals shared their attitudes, perceptions, and trends, providing valuable insights for the next 12-18 months of business. We have taken great care in collecting and preparing the information presented in this publication. Please note that the provided content is not intended as professional or business advice.
The Mood of The Market
The current mood appears to be varied. Approximately 30% of respondents express uncertainty about the market, citing rising costs across raw materials, packaging, utilities, government excise, and labour as major challenges. Around 20% of respondents are confident about the market but emphasize the need for sufficient funding to scale up. Another 20% of respondents have a neutral perspective on the market, indicating steady growth but also mentioning challenges such as availability of skilled labour and shrinking basket sizes.
The Next 12 Months
Looking ahead, organisations expect to experience a plateau phase, according to about 30% of respondents. They anticipate a stable market with steady growth and emphasize the importance of cost optimization and customer satisfaction. On the other hand, approximately 25% of respondents anticipate a market expansion, highlighting the focus on new product development, market penetration, and new client acquisition. It is worth noting around 15% of respondents expect a declining market, citing factors such as rising interest rates, inflation, and reduced consumer spending capacity.
Strategic Focus of Industry Players
In terms of strategic focus over the next 12 months, respondents prioritize different areas to achieve their business goals. The most common strategic focuses are market expansion (25% of respondents) and cost optimization (20% of respondents).
Delivering On Growth
This reflects a dynamic approach to business growth, aiming to attract new customers, cultivate stronger relationships with existing ones, and explore untapped markets. By diversifying their customer base and maximizing the value of each customer, organisations seek to establish a strong market presence and achieve sustainable long-term success in an ever-evolving business landscape.
Key Resources and Capabilities for Business Growth
To deliver on growth, companies rely on key resources and capabilities. Financial capital is considered crucial by the majority of respondents (over 70%), followed by skilled workforce (around 50%) and technology infrastructure (approximately 35%). Marketing and advertising, as well as partnerships and alliances, are also mentioned as important resources by a significant number of respondents.
Navigating Uncertainty: A Resilient Business Forecast
With over 70% of respondents reporting plateaued or declining markets, the focus is shifting towards enhancing customer satisfaction and ensuring ease of doing business. Respondents emphasized the significance of a skilled workforce as a driving force for business success.
Looking ahead, businesses are expected to prioritize sharpening strategy, improving productivity, capturing the lifetime value of existing clients, developing leadership and management competency, right-sizing the organization, and realigning hybrid working.
To navigate the challenging yet opportune business environment, a well-defined strategy, focus, determination, and resilience will be key.
OCG is equipped to deliver business and people growth outcomes in an adverse environment. Our Recruitment & Data4Growth services focus on providing you with the best opportunity to deliver your strategic focus.
