Background
The Information and Communication Technology (ICT) Supply Survey measures the sale of goods and services from businesses associated with ICT industries, based on OECD definitions. The survey ran annually from 2005 but from 2008 onwards the survey has run every two years.
Small changes have been made to the population since the previous information release, to more accurately capture activity in the ICT sector. All 2010 figures in the text relate to the new population. However, in the tables, figures are also presented on a basis that is comparable with the previous (2008) results, to show growth rates (refer to technical notes for more information). This is the first release of ICT Supply Survey 2009/10 statistics that covers businesses' last financial year at August 2010.
Data from the survey will be included in the OECD Science, Technology and Industry scoreboard (www.oecd.org/sti/scoreboard), which will be updated later in 2011.
Total ICT sales
Results from the ICT Supply Survey for the 2010 financial year show that total sales of ICT goods and services were valued at $19,557 million. The majority ($18,058 million) were sold domestically, while $1,499 million were sold to export markets.
Total ICT sales grew slightly on the 2008 figure, on a comparable basis. This includes a 7 percent growth in export sales, while domestic sales remained stable.
Total sales of ICT commodities
ICT commodities cover a range of goods and services. Total sales of ICT services were $10,482 million in 2010 while sales of ICT goods (including published software) were $9,075 million.
Sales of telecommunication and program distribution services, which includes fixed or mobile services, remained the most significant commodity. At $5,895 million, this was just under one-third of total sales. This was followed by computer and related equipment, like computers, scanners, or printers, with $3,361 million in sales.
Export sales of ICT commodities
For the 2010 financial year, export sales of ICT goods were about 70 percent of the total export value ($1,499 million). Export sales of ICT services were $465 million, roughly 30 percent of the total ICT export value.
The ICT commodity with the largest export sales was electronic devices and equipment, such as navigation devices, with $296 million, or 20 percent of the total ICT export sales. This was followed by electronic components, with $242 million in export sales.
ICT sales, by industry
The industry with the largest ICT sales in 2010 was telecommunication services, which includes Internet service providers, with $7,072 million, more than one-third of total ICT sales. This industry was also the largest in the 2008 financial year.
The wholesale trade industry was the second-largest in both years, with $6,444 million of ICT sales in the 2010 financial year.
Computer services and software was the industry with the highest growth. This industry increased 8 percent from 2008, on a comparable basis. ICT sales for this industry were $4,528 million in 2010.
ICT business, by industry
There were 2,226 businesses that reported sales of ICT goods and services in the 2010 financial year. This number was down slightly on 2008, on a comparable basis.
Businesses with ICT sales in computer system design and related services were 52 percent of the total population of businesses with ICT sales. This is a minor decrease from 2008.
ICT industry barriers to growth
The most commonly reported barrier to business growth was 'delays in obtaining customer's decision to purchase', reported by 44 percent of businesses in 2010. This could be due to businesses having to divert additional resources into securing sales and the resulting adverse effects on cash flow.
Other significant barriers to growth were the strength of competition (37 percent), and the ability to attract staff with the necessary skills (27 percent). Fourteen percent of businesses reported they had not experienced any barriers to business growth.
For technical information contact:
Yolandi de Beer
Wellington 04 931 4600
Email: info@stats.govt.nz