Resilience, forward-looking approach among Whanganui business community

Business Whanganui Chamber of Commerce chief executive Helen Garner.

Business Whanganui Chamber of Commerce June Business Confidence Survey Results

The Business Whanganui Chamber of Commerce has released the results of its June 2024 Business Confidence Survey, revealing key insights into the current business climate in New Zealand and the Whanganui region.

The survey was conducted across various industries, and responses were gathered from sole traders to large enterprises.

The survey results indicate a cautious outlook among Whanganui regional businesses. Notably, 52% of respondents rated the overall business confidence as negative or very negative. This sentiment is reflected in expectations for the national economy, with 39% predicting it will remain the same, 26% anticipating a decline, and 18% expecting an improvement.

Business Whanganui Chamber of Commerce chief executive Helen Garner says, “Given global instability and national economic challenges, the pessimistic forecasts indicated by this business survey are not surprising”.

The past year has been challenging for many businesses in terms of revenue. 57% reported a downturn in revenue, while 26% experienced an increase. Looking ahead, 56% forecast similar or declining revenue over the next 12 months, with 39% expecting an improvement.

There is a solid commitment to future investment, with 70% of businesses planning to invest in their operations over the next year. “This demonstrates resilience and a forward-looking approach among the Whanganui business community,” Garner says.

Businesses have highlighted several critical concerns impacting their operations. Consumer confidence and demand, productivity and growth, and inflation and interest rates are leading the list. “Every business has its challenges; that is the nature of business,” she says.

“Whanganui’s advantage is that we are a close-knit community and can quickly react to market changes. The factors identified in this survey are pivotal in shaping business strategies and expectations for the future.”

Labour market constraints appear to have a minimal impact on most businesses surveyed - 57% reported no or minimal impact, while only 13% indicated a significant impact.

Regarding hiring plans, 52% of businesses do not intend to hire, whereas 30% plan to recruit new staff.

As an advocate for the regional business community, Garner is confident about the future.

“Notably, 74% of the surveyed businesses have confidence that Whanganui is heading in the right direction, and other indicators reinforce this,” says Garner.

“Entries into the 2024 Whanganui Regional Business Awards showcase some outstanding candidates putting themselves forward. This regional optimism underscores local growth and development potential despite broader economic challenges.

Survey findings

“While overall business confidence in New Zealand shows caution, it’s encouraging that our local businesses remain optimistic about Whanganui’s future. The commitment to investment and the resilience demonstrated by our business community are strong indicators of the potential for regional growth.

“We will continue to support our members as they navigate these challenging times and work towards a prosperous future for the Whanganui community,” said Garner.