Sutherland Shire businesses are cautiously optimistic about 2025 according to a new survey from the local chamber of commerce, with technology adoption emerging as a key factor separating confident businesses from concerned ones.

The survey of 280 local businesses across retail, hospitality, professional services, and trades found 58% expect improved conditions this year, while 25% anticipate challenges and 17% are uncertain.

“The mood is guardedly positive,” said chamber CEO David Chen. “Businesses have navigated significant disruption over the past few years. Those who adapted are feeling confident. Those who haven’t are worried.”

Technology Divide

The survey revealed a striking correlation between technology adoption and business confidence. Businesses that have implemented digital tools in the past two years are significantly more likely to expect growth.

Among businesses describing themselves as “digitally advanced”:

• 78% expect revenue growth in 2025
• 65% plan to hire additional staff
• 82% report customer numbers above pre-pandemic levels

Among businesses describing themselves as “traditional”:

• 38% expect revenue growth
• 22% plan to hire
• 51% report customer numbers above pre-pandemic levels

“Technology isn’t a silver bullet, but it’s becoming table stakes,” Chen observed. “Businesses that have invested in digital capabilities are seeing returns.”

Sector Perspectives

Retail remains challenging, with ongoing competition from online shopping. However, retailers offering unique products or experiences report stronger performance than those selling commodity items.

Hospitality shows resilience, benefiting from local dining trends as residents reduce travel. Venues with strong online presence and booking systems report highest confidence.

Professional services are generally positive, with demand for accounting, legal, and financial services remaining solid. Many are exploring AI tools to improve efficiency.

Trades report extremely strong demand, with labour shortages the primary constraint on growth. Wait times for many services extend several weeks.

Labour Market

Finding and retaining staff remains the top challenge for 62% of surveyed businesses. The tight labour market has pushed wages up across most sectors.

“We have more work than we can handle but can’t find people,” said Caringbah restaurant owner Maria Stavros. “I’ve had to turn down catering jobs because I don’t have enough kitchen staff.”

Some businesses are addressing the challenge through automation, using technology to reduce reliance on hard-to-find workers.

Investment Intentions

Despite economic uncertainty, 45% of businesses plan capital investments in 2025. The most common areas are:

1. Technology and software (68%)
2. Equipment upgrades (42%)
3. Premises improvements (28%)
4. Staff training (25%)
5. Marketing (23%)

“Businesses understand they need to invest to compete,” Chen said. “Standing still isn’t an option.”

Support Resources

The chamber is expanding programs to support local businesses, including digital skills workshops, networking events, and mentoring connections. As reported by the Sydney Morning Herald, similar programs across Sydney have shown positive impacts on small business performance.

Businesses interested in survey results or support programs can contact the Sutherland Shire Chamber of Commerce through their website.