Digital storage will become a focus for the industry, which will have to convince clients of the benefits of outsourcing data storage.
Melbourne, Australia (PRWEB) January 18, 2014
The Document Management Services industry in Australia consists of companies that deliver outsourced records storage, digitisation of paper-based records, and document destruction services. The industry has benefited from government legislation mandating the safekeeping of company records, whether for tax, client or patient use. As a result, most of the industry's major markets are focused on compliance. This has resulted in steady growth over the past five years. According to IBISWorld industry analyst Sebastian Chia, “industry revenue suffered a small decline during the global financial crisis, as clients struggled to cut expenses and brought storage back in-house, or consolidated document volumes.” However, this decline was short-lived, and revenue has rebounded steadily in the years since the decline.
“Consolidation has been a characteristic of the Document Management Services industry, with larger players seeking to increase their share of the market,” says Chia. This has led them to expand their national footprint, allowing them to provide coverage across the country for larger organisations. It has also allowed companies to achieve cost savings through economies of scale. Over the five years through 2013-14, industry revenue is expected to rise at an annualised 1.9%. In 2013-14, industry revenue is forecast to rise by 3.1%, to reach $334.1 million. The industry exhibits a medium level of market share concentration, with two dominant major players – Recall Holdings Limited and Iron Mountain Australia Holdings Pty Ltd.
The Document Management industry is forecast to continue its steady growth over the next five years. Demand from compliance is expected to remain a strong source of revenue, and the number of businesses is forecast to rise. Demand from the financial services sector will remain strong, and the potential digitisation of healthcare records could be lucrative for the industry. Digital storage will become more of a focus for industry operators, who will have to convince clients of the benefits of outsourcing secure data storage that would otherwise have been conducted in-house. Consolidation is expected to continue, with major players looking to increase their market presence and build new product offerings.
For more information, visit IBISWorld’s Document Management Services in Australia industry report page.
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IBISWorld industry Report Key Topics
This industry includes companies that primarily store information and records for other companies and government clients. Industry services involve records management, secure document destruction, digitisation, and data protection and recovery 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.