Feature story: Creating success offshore with digital trade
The Government recently released Trade Agenda 2030 to help Kiwi businesses create success offshore. In it, Minister of Trade, Todd McClay, laid out his vision for how the Government will support businesses as they negotiate trade rules and tariffs internationally. It also explained how they plan to support New Zealand-based digital businesses as they aim to go global.
The rise of digital services
When we embrace digital technologies, New Zealand businesses are able to grow beyond their geographical limitations and do so very fast.
Around 86% of New Zealand’s professional service exports are delivered to foreign customers electronically. On the other side of the ledger, access to foreign technologies is both helping our businesses to produce higher-value products more cheaply and providing consumers more competitive prices.
Xero wrote in a recent blog post, ‘Cloud technology has reshaped trade over the last decade and as a result, we’re seeing the rise of truly global small businesses that have grown up without the need to operate within the confines of a single country’s borders.’
The aim of Trade Agenda 2030
The Government acknowledges that the rise of trade in services as part of our exports means they need to increase their focus here.
Today, around 12% of global goods trade is conducted through e-commerce marketplaces such as Alibaba, Amazon and eBay and some 50% of global trade in services is already digitised.
The Government realises that our trade policy still needs to deliver secure access to foreign markets, to level the playing field and provide certainty to protect businesses in the market and encourage others to enter.
However, trade policies needs to evolve to ensure we’re even more active in seeking to help safeguard the open global trading system and secure access to the overseas markets that we depend on for our prosperity and growth.
Trade Agenda 2030 argues that New Zealand will need to have a portfolio of interests, including a heavy Free Trade Agreement. It also means deepening our trade relations with the Pacific Alliance and exploring the scope for a high quality trade deal with the US.
This company took out our Auckland ‘Regional Star One to Watch’ award in the Deloitte Fast 50 index last year. They are a big data and data science company that empowers media companies, brands and agencies to understand global audience demand for television and film content.
With a truly global client base, this is exactly the kind of company that is set to benefit from the Government’s Trade Agenda 2030.
Parrot Analytics' clients can be found in the US, UK, Europe, and even South America. Through the support of the local angel investment community, Government grant funding and global networks, they’ve been able to bring their ‘made in New Zealand solution’ to the world. Wielding the world’s largest audience behaviour data sets, Parrot Analytics has developed the world’s first and only global cross-platform (from Netflix to HBO), country-specific, audience demand measurement system.
Parrot Analytics is also currently the only software provider to the global TV industry providing a holistic view of audience behaviour across a wide variety of platforms – showing which fans are engaging with and consuming their favourite content – across the globe.
Operations Manager, Dil Khosa, says “the biggest area the Government can have an impact on with early stage IT companies that are trying to service the world, is to provide more financial support via non-dilutive funding.”
She adds that it’s “so important for the Government to support digital services as it’s the only way the country will achieve economic competitiveness and sustainability in today’s digital world.”
“The rate through which technology has changed and impacted our lives and work, is outpacing government initiatives to help build this industry – therefore it is incredibly important for the Government to act quicker, be more agile (like start ups) and keep up with the impact of new technologies in our key industries.”
Where to next
New Zealand's future trade negotiations need to create the frameworks to enable our exporters to take full advantage of digital services. With the right trade agreements and an ongoing attitude to seek out a range of export options for our country, we’re confident that Trade Agenda 2030 can help our digital exporters gain the growth they need and access to global markets.
-Article written by Emily McLean and taken from Trade Agenda 2030.
10 April, 2017 by Emily McLean,
Emily McLean works in the Deloitte marketing team and closely with Deloitte Private. She loves telling the stories of those individuals and businesses leaving their mark in New Zealand's SME space while delivering news and insights to help business owners grow their companies.