Public Relations Services in Australia - Market Research Report (2013-2028)
Melbourne, Australia
Last Updated: August 2023
ANZSIC M6962bRevenue
$664.8m
Past 5-Year Growth
Profit
$XXX.Xm
Employees
2,495
Businesses
466
Wages
$XXX.Xm
Public Relations Services in Australia industry analysis
Public relations (PR) services firms have performed moderately well over the past few years. While the industry benefited from stronger demand from key downstream markets in most years, a challenging economic environment in 2022-23 due to rising inflation pushed revenue lower. While marketing budgets are commonly targeted in cost-cutting measures, PR services are often considered more focused and therefore better value than media advertising. Consequently, spending on PR tends to be less volatile and is often retained when budgets are cut. Falling business travel budgets bolstered PR spending during the pandemic. Additionally, some aspects of PR, like stakeholder communication, can be crucial during a downturn to allay fears and manage crises. As a result of relatively stable demand, industry revenue is expected to increase at an annualised 1.2% over the five years through 2023-24, to total $664.8 million.PR activities have become more diverse due to media fragmentation, with new media opening up a broader range of communication channels to reach target audiences. The internet, social media and influencers have provided new opportunities to target specific audiences. Marketers can easily contribute to content, attempt to sway public opinion and reach stakeholders through online channels, increasing the use of online PR activities. Revenue is anticipated to increase by 1.8% in 2023-24, due to stronger demand as business confidence and government expenditure rise. Industry profit has also increased over the past five years, due to generally steady growth in demand.Growth in demand for PR services, and a convergence of some aspects of PR and advertising have prompted mergers between PR firms and advertising agencies over the past decade. This trend will likely continue over the coming years, as the industry becomes more globalised. PR services revenue is forecast to grow at an annualised 2.7% over the five years through 2028-29, to reach $760.8 million. Public and private organisations will continue looking for new ways to reach their audiences, and influence key people and customers. This growth in demand is set to build off rising business confidence and climbing government consumption expenditure.
Trends and Insights
- Public relations services revenue has grown, despite volatile economic conditions in recent years. Demand grew during the pandemic from both government and business customers.
- Public affairs communications services have grown as a share of revenue over the past five years. Heightened public debate on a range of issues has driven demand for these PR services.
- Most PR firms are located in New South Wales and Victoria. These states are highly populous, so account for the majority of economic activity.
- Market share concentration is low. The Public Relations Services industry is highly fragmented with a large number of agencies that offer boutique services.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has grown at a CAGR of 1.2 % over the past five years, to reach an estimated $664.8m in 2023.
Trends and Insights
Public relations services were reliable throughout pandemic woes
- Despite initial cuts during the COVID-19 pandemic, businesses increased spending on public relations (PR) by diverting funds from their travel budgets.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
A positive economic outlook is set to support revenue growth
- PR firms are projected to see solid growth due to increased use of social media and outsourcing of PR activities.
Biggest companies in the Public Relations Services in Australia
| Company | Market Share (%)
2024 | Revenue ($m)
2024 |
|---|---|---|
WPP AUNZ | 46.2 | |
Omnicom Media | 38.2 |
To view the market share and analysis for all 2 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Consumer PR services, Business-to-business communications services and Crisis communications services. Consumer PR services is the largest segment of the Public Relations Services in Australia.
Trends and Insights
Traditional consumer PR services are becoming less popular as social media makes consumer engagement easier
- This segment includes PR activities for businesses that aim to build consumer brand awareness and reputation. It also includes non-profit organisations attracting support and donations from the public, along with governments and political parties vying for public support and votes.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Advertising Agencies in Australia
- Media Buying Agencies in Australia
Complementors
- Market Research and Statistical Services in Australia
- Management Consulting in Australia
International industries
- Global Public Relations Agencies
- Public Relations Firms in the US
- Public Relations Firms in Canada
- Consulting Services in New Zealand
- Public Relations & Communication Activities in the UK
Table of Contents
About this industry
Industry definition
Public relations agencies manage communication between an organisation and its public and stakeholders to promote favourable relationships and portray a desired image. This includes communication with the general public, employees, investors, customers, analysts, governments and other related parties. In contrast to advertising, PR campaigns aim for exposure through public interest and news items rather than paid advertisements to give their message third-party legitimacy.
What's included in this industry?
Consumer PR servicesBusiness-to-business communications servicesCrisis communications servicesPublic affairs communications servicesFinancial PR servicesSocial media communications servicesCoordinated publicity stuntsCompanies
WPP AUNZOmnicom MediaPurchase this report to view all 2 major companies in this industry.
Related Terms
ASTROTURFINGBELOW-THE-LINE ADVERTISINGMAIN MEDIANEW MEDIAIndustry Code
ANZSIC 6962 - Public Relations Services in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Public relations services revenue has grown, despite volatile economic conditions in recent years. Demand grew during the pandemic from both government and business customers...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Public affairs communications services have grown as a share of revenue over the past five years. Heightened public debate on a range of issues has driven demand for these PR...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most PR firms are located in New South Wales and Victoria. These states are highly populous, so account for the majority of economic activity.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Market share concentration is low. The Public Relations Services industry is highly fragmented with a large number of agencies that offer boutique services.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
The two largest PR firms are owned by large multinationals. WPP Australia is owned by UK-based WPP plc, and Omnicom Australia is owned by US-based Omnicom Group Inc.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of WPP AUNZ's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Omnicom Media's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for WPP AUNZ, and factors influencing its performance in the industry
- Description and key data for Omnicom Media, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
PR firms do not face any government regulations. However, PR agencies that join the Public Relations Institute of Australia are subject to a code of ethics and code of practi...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Profit margins have widened over the past five years. Rising demand for services and falling wage costs have assisted this growth.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Public Relations Services industry in Australia in 2024?
The market size of the Public Relations Services industry in Australia is $664.8m in 2024.
How many businesses are there in the Public Relations Services in Australia industry in 2023?
There are 466 businesses in the Public Relations Services industry in Australia, which has grown at a CAGR of 0.6 % between 2018 and 2023.
Has the Public Relations Services industry in Australia grown or declined over the past 5 years?
The market size of the Public Relations Services industry in Australia has been growing at a CAGR of 1.2 % between 2018 and 2023.
What is the forecast growth of the Public Relations Services industry in Australia over the next 5 years?
Over the next five years, the Public Relations Services industry in Australia is expected to grow.
What are the biggest companies in the Public Relations Services market in Australia?
The biggest companies operating in the Public Relations Services market in Australia are WPP AUNZ and Omnicom Media
What does the Public Relations Services in Australia include?
Consumer PR services and Business-to-business communications services are part of the Public Relations Services industry.
Which companies have the highest market share in the Public Relations Services in Australia?
The company holding the most market share in Australia is WPP AUNZ.
How competitive is the Public Relations Services industry in Australia?
The level of competition is high and increasing in the Public Relations Services industry in Australia.
