Ridesharing, organic farming among sectors to watch in 2019

Market research group IBISWorld has put ridesharing services at the top of its list of growth industries to follow in Australia this year, with booms also expected for LNG, organic farming, software publishing and foreign banks.

With an estimated revenue in Australia of $157.6 million in 2017-18, the ridesharing industry starts from a lower base than the other industries highlighted but is forecast to see highest growth in 2018-19.

"This year the standout industry performer is expected to be Ridesharing Services, with forecast revenue growth of more than 80%," says IBISWorld senior industry analyst Kim Do.

IBISWorld emphasies the sharing economy is playing an increasingly important role in the Australian marketplace, with ridesharing as a key example due to strong demand for convenient and cost-efficient inner-city transport.

The fundamentals are positive for the sector too, with rising smartphone penetration and the benefits of decreased regulation over the past five years. In 2018, the Northern Territory became the final state or territory to legalise ridesharing services.

Relaxed laws have encouraged any international ridesharing companies such as Ola, Taxify and DiDi to enter the domestic market and compete aggressively with Uber. Read more

Business News Australia - 9 Jan 2019