Online operators are growing at the expense of retail kiosks
Melbourne, Australia (PRWEB) October 11, 2013
The Money Transfer Agencies industry has grown solidly over the five years through 2013-14. The industry came away from the financial crisis relatively unscathed. According to IBISWorld industry analyst Andrei Ivanov, “This is mainly attributed to the increasing globalisation and rising mobility of labour”. Industry revenue is closely linked to the number of overseas workers employed in Australia who send money back to their respective countries to support their families. The Australian economy has recovered relatively quickly following the global financial crisis. Low unemployment rates, especially compared with those of Europe, and skill shortages make Australia an attractive place for overseas workers to seek employment. This trend is supported by the rising number of 457 working visas granted over the past five years. Industry revenue is forecast to grow at an annual compound rate of 6.2% over the five years through 2013-14.
The industry remains in the growth phase of its life cycle. In line with this, there is a growing presence of online money transfer operators. This growth is expected to result in retail money transfers giving up their share of the market. “Improvements in telecommunication technology are providing operators with opportunities to introduce new products”, says Ivanov. Money transfer agencies are closely interlinked with currency exchange providers. This is resulting in a growing number of white-label partnerships, such as that between OzForex and MoneyGram.
The outlook for the Money Transfer Agencies industry remains solid. Migration of skilled labour is expected to continue over the period, although growth in net overseas migration may slow down. This is partially attributed to improving economic conditions around the world, which may reduce the need for foreign workers seeking employment in Australia. This is a main concern for the industry.
For more information, visit IBISWorld’s Money Transfer Agencies report in Australia industry page.
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IBISWorld Industry Report Key Topics
Firms in the industry act as third-party agents that facilitate money transfers and payments between parties in different locations. The industry excludes bank wire services and card-based services.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.