Home topics news Credit: Eduardo Soares News News SMEs express concerns over softening consumer demand Yajush Gupta November 17, 2023 In the wake of persistent inflation and recent interest rate hikes, small businesses are facing a challenging landscape as they gear up for the peak sales season. A recent survey conducted by Sendle, Australia’s first 100% carbon-neutral parcel delivery service, sheds light on the apprehensions of over 1300 small businesses across the country. The “2023 Small Business Survey” delves into the attitudes and expectations of these enterprises, uncovering a nuanced picture of economic confidence and strategic planning. Sales worries and economic pressures Two-thirds of small businesses express concern about their sales performance this peak sales season, with 30% forecasting zero growth compared to the same period last year. The impact of persistent inflation and recent rate rises is palpable, revealing a year-on-year dip in small business confidence. The survey discloses that 34% of small businesses are confident about their peak sales growth this year, a drop from 42% in 2022. Laura Hill, Managing Director of Sendle Australia, interprets the findings, stating, “Sendle’s 2023 Small Business Survey shows that many small businesses are feeling less confident about consumer demand this peak sales season, due to the impact of recent rate rises and cost-of-living pressures. However, small businesses are more optimistic about growth in 2024, most likely as they’re taking a number of proactive steps to attract new customers.” Performance expectations across categories While concerns loom over economic challenges, the survey highlights