Australia’s Nocturnal Renaissance: Night-Time Economy Lights Up Post-Pandemic Era
Overview: A Resilient Performance Amidst Global Challenges
In the year leading up to June 2022, Australia’s night-time economy witnessed a striking 10% sales surge compared to the prior year. This growth not only surpassed the previous year but also exceeded the pre-pandemic financial highs of 2018/2019 by 5%.
The Research: An Annual Deep Dive
Since 2012, the Council of Capital City Lord Mayors (CCCLM) has annually commissioned the Measuring the Australian Night Time Economy Report. This research meticulously dissects Australia’s prime night-time sectors in each city, classifying them into three pillars: food, drink, and entertainment and leisure.
Growth Leaders: Food and Drink
Both the food and drink subsectors emerged as the primary growth drivers, outpacing their 2018/2019 metrics. Specifically, the drink subsector, encompassing pubs, bars, and alcohol retailers, saw a 5% growth, amassing sales of AU$21.9bn (US$8.2bn). This sector alone constitutes 5% of Australia’s integral night-time economy.
Within this subsector, pubs and bars took the lead, registering a 9% sales boost, translating to AU$12.4bn (US$7.8bn). Alcohol retail also experienced a modest ascent, reaching AU$9.6bn (US$6.1bn).
The food subsector wasn’t far behind with a 9% sales increase, while the entertainment and leisure sector marked a 14% rise, albeit still lagging 4% behind its 2018/2019 zenith.
Business Landscape: A Flourishing Domain
The nocturnal sector witnessed a 7% expansion in the number of operating businesses, culminating in 131,373 companies. Drink establishments alone accounted for 9,457, marking a 5% increase.
Employment Scenario: A Mixed Bag
While businesses flourished, employment within the night-time realm hasn’t yet attained its pre-Covid zenith. With just a 1% growth over the previous year, there’s still a 6% shortfall compared to the 2018/2019 metrics. However, the drink and food subsectors exhibited more promising employment surges of 3% and 2%, respectively.
Insights from the Top
Sally Capp, the lord mayor of Melbourne and chair of CCCLM, voiced optimism. She remarked, “Despite the pandemic’s adversities and evolving urban dynamics, Australia’s night-time economies remain robust and resilient.”
As we step into 2023, the nation’s after-dark scene continues to pulse with energy, attracting a myriad of unique businesses to its bustling urban centers.
In specific city updates, Brisbane’s drink subsector welcomed 26 new businesses in 2022, a 10% increase, while Canberra observed a significant 20% growth in drink establishments.
