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Top 7 Reasons To Include Australia In Your International Expansion Strategy

“If you are looking to build a global footprint with a scalable offering, Australia should be part of your international roadmap.”

This year, our CEO Leo Denes was invited to share his insights on expansion to Australia on the International Corner Podcast hosted by Tiphaine Le Roux, a Frenchwoman passionate about international expansion.

In this podcast, they touched upon the following points:

  • The reasons for expanding into Australia as an EMEA company

  • The Cultural specificities within Australia

  • Local set up and hiring practices

This article highlights the top reasons why international companies should consider expanding their business in Australia.

Great pilot country

Australia is a great pilot country to test your products before expanding internationally. For instance, worldwide players such as Uber Eats and Airbnb, employ this strategy. They test the new features of their products, deploying experimental marketing and acquisition channels before implementing them into other markets.

Large untapped market

People don’t consider or have Australia in mind when it comes to global expansion,so it remains a rather untapped market. You will have less competition in comparison to other English-speaking countries such as the UK & US, but just as many business opportunities!

Perfect place to scale your business

It is a very digital and innovation-friendly country, providing an amazing opportunity to test your features as well. Australia is the home of Unicorns (Atlassian, Canva, Afterpay…). As a startup/scaleup you can benefit from a great ecosystem with top talents. It is safer to do business and not as risky from a legal perspective compared to other APAC countries. You can work on higher prices there because the GNP per person is higher.

Source: Studio Republic 

Potential to cover worldwide customers

If you succeed in Australia and manage to establish and develop a small team there, you can employ a ‘follow-the-sun model’ tackling time differences and then progressively covering the entire world.

Welcoming work environment

The first impression people have of Australians is that they’re extremely friendly, enthusiastic and optimistic. Australia has a very welcoming environment due to the multicultural nature of their country. This makes the hiring process much smoother as compared to other countries.

Business-friendly nature

Due to digitisation of traditional paper-based processes, Australia is a very business-friendly country that deals with considerably less paperwork. The fluidity of the job market means that there is a decreased amount of risk when hiring and terminating an employee. The notice periods are 4 to 8 weeks and the probation period for new hires is usually 3 months, to top it all off, the taxation on income is significantly lower.

Market penetration is comparatively easy

Australiance often sees a lot of companies looking to sell their regional HQ in Singapore and Hong Kong. Singapore is smaller than the Switzerland market and in effect sees a lot more competition as Chinese and US companies are settled there. Moving forward, these companies are setting their sights on the next best markets to enter. However, it has been identified that South East Asia has higher barriers of entry. This is one of the key differentiators between those countries and Australia, which makes the latter a better place to expand your business.

If you want to learn more, feel free to listen to this insightful podcast here:

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