Births and Deaths… of Hospitality Businesses
(Sept 2008)
A search around the Statistics New Zealand website provides all sorts of interesting data lurking in the datasets and one we came across recently was the births and deaths of businesses by industry, which is in the dataset called New Zealand Business Demography Statistics (Dynamics). Although they include accommodation in with cafes and restaurants, it still gives a good picture of the way in which our industry has grown over the past few years. By Alistair Rowe
Hospitality Industry Births & Deaths 2001- 2007
Year 2001 2002 2003 2004 2005 2006 2007
Births 1009 1209 1448 1671 1579 1401 1346
Deaths 915 790 742 738 1045 1142 1338
Net Growth 94 419 706 933 534 259 8
Another interesting feature is the survival rates of businesses
As of February 2007, of the 1009 businesses that started in 2001, 454 (45%) are still alive. 192, or 19%, didn’t make it to 2002.
The worst survival rate is Communication Services, and the largest category of businesses being born and dying each year is Property and Business Services which accounts for around 41% of start-ups each year. Funnily enough, the category with the greatest survival rate is Government administration and defence with a 100% survival rate of enterprises opening in 2002.
47 new departments (?) were born in the years 2001 to 2007 and only 22 went out of business in that period, meaning we now have 25 Government enterprises we didn’t have in 2000. The question mark is around whether they could legitimately be called businesses.
Provided by the Restaurant Association of New Zealand