Australia’s Software as a Service (SaaS) market will grow 25 per cent per annum over the next decade.
Victoria's talented tech base can help launch your product, find out how.
Australian businesses using cloud and software on-demand have more than tripled in just five years,1 opening exciting avenues to join Victoria’s thriving tech hub in the creation of world-class business and customer innovations.
With over a quarter of Australia’s software developers located in Melbourne, Victoria’s highly skilled and connected tech sector is building global partnerships to develop and sell business cloud solutions that offer better service, flexibility and cost.
1. Invest Victoria and AlphaBeta – Australian Technology Modelling Report 2020
Business opportunities rise in Victoria’s highly-developed tech sector
Australia’s SaaS market value will be worth an estimated A$57 billion by 2030, climbing by A$54 billion since 2018.1 With a mature tech sector that is leading national digital transformation, Victoria’s economy is also powered by some of Australia’s strongest SaaS markets. Find out about opportunities to:
Improve integration for Australian business and services
- Remote software that integrates processes and lowers costs. Australian businesses are transitioning from traditional in-house servers to scaleable cloud based business intelligence (BI) systems that efficiently combine infrastructure and applications
- Cloud systems that connect industry services. The Victorian Government is notably supporting the development of shared healthcare information to assist patient support, preventative health and research
Improve customer experience and profitability with data insights
- Digital first customer experiences. Alongside the rise of online retail and open banking, Australian business are looking for digital capabilities that improve customer engagement, from financial services to retail and trade
- Software with integrated analytics tools. Mature and integrated data and customer insights into audience engagement with products and services is critical to determining business viability and success and increase profitability
Design and implement Robotic Process Automation
Robotic automations that streamline workflow. There is a significant demand for SaaS solutions that can act on data insights to complete tasks in real time, from chatbots to product tracking and web design templates
Case Studies: Software as a Service
Why choose Victoria for your software development?
Victoria’s innovative cloud hub has commercial muscle
Australia’s technology capital, Victoria has the largest cloud hub in the Asia Pacific with direct access to key markets that continue to fuel revenue and innovation. The perfect launch pad for successful software ventures, Victoria is home to:
- a large proportion of Australia’s cloud-specific companies and listed technology companies, including globally renowned cloud/SaaS companies such as Aconex, Carsales, Computershare, Interactive, REA Group, Seek, WME and Equiem
- an established 50 per cent cloud adoption rate that is growing among Victoria’s largest sectors, including financial and health services
- a large and digitally dependent financial services sector, including two of Australia's largest and most globally connected banks and leading superannuation funds, that accounts for 11 per cent of Victoria's economy
- over 300 Victorian health care services and companies that are adopting digital health solutions at a rate of 15 per cent per annum
Victoria has an experienced and well connected skill base
- Victoria’s experienced tech talent pool outperforms other jurisdictions across the APAC region, with more professionals skilled in Software Development and Cloud Computing compared to Singapore and Hong Kong2
- Victoria enables companies to harness substantial growth opportunities in the broader APAC market, where SaaS is expected to grow by up to 34 per cent per annum by 20301
- The number of solutions architects in Victoria outstrips both Singapore and Hong Kong, and is increasing faster than elsewhere in Australia2
- There are more software engineers in Victoria (over 12,000) compared to NSW and Hong Kong2
- In the 2018-19 financial year, Victorian-based startups and scaleups received around 65 per cent of all venture capital funding nationwide totaling A$4.4 billion3
Connect with an active ecosystem of global partnerships and development hubs
- World-leading universities and research institutes that support the global development of cloud software, including University of Melbourne, Monash University, RMIT University, and La Trobe University
- The Victorian Innovation Hub, home to a number of prominent accelerators and incubators, including LaunchVic, a network of entrepreneurs, investors, corporates and universities
- Melbourne is one of the largest Research & Development clusters in the southern hemisphere, also ranked by KPMG as also having the most attractive R&D location costs in the Asia Pacific
Strong government support and commitment
The Victorian Government has set out A$626 million to support emerging technologies and build digital skills, as well as strongly supporting cloud and SaaS investors through a cost-competitive business environment with one of the lowest rates of business tax of any Australian state.
The Victorian government has:
- funded the Innovation Hub in Melbourne’s Docklands CBD to bring together businesses, research organisations and industry associations.
- established a new digital hub in Cremorne that will be a world class facility to upskill Victoria's tech workforce, foster entrepreneurial startups and drive partnerships
- launched the Technology Adoption and Innovation Program, a matched grant application designed for small and medium sized business to adopt or develop innovative tech
- pledged A$196 million to centralise and strengthen the state's IT services
- R&D Cash Flow Loans - A$50 million fund for Victorian SME’s claiming the R&D tax incentive
- Venture Growth Fund - A$25.7 million fund for debt based investments in high growth SMEs
2. Linkedin Jobs Report – November 2020
3. 2018/19 Techboard start-up funding report
We can help you with your next market entry project
If you are considering investing in Melbourne, we can help you scope the market opportunity in Melbourne/Australia and assist you with your business case development.
Working with us will allow you to be fully informed and limit the number of surprises associated with your new investment. Our staff are experienced and well connected and can introduce you to potential partners to help make your investment a success.
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Or go to our All Offices page to find your nearest Invest Victorian representative.