Best of 2012, #3: Carbon Tax's Business Impact
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Despite Opposition Leader Tony Abbott’s best efforts over the past year, the carbon tax has officially been implemented in Australia. As of 1 July, the top 500 companies who emit more than 25,000 tonnes of carbon annually are to be taxed $23 per tonne, with a portion of the funds going back into green programs and household usage compensation.
In order to counteract the carbon-offsetting fees now burdening their accountants, these top-polluting businesses will likely look to increase the cost of the goods and services they provide: namely, energy and power. Millions of households will receive compensation to help cover their increased energy bills, but how will this impact Australia’s small (5-19 employees) and medium (20-200 employees) size enterprises (SMEs) who will not benefit from the compensation plan?
Awareness Among SMEs
According to the MYOB Business Monitor survey conducted back in February, nearly half of the 1,043 total SMEs questioned said they were still in the dark about the effects this new legislation would have on their business.
MYOB CEO Tim Reed was floored by the survey’s results when they were revealed in late May, just over one month before the tax was due to take action.
“This is a major piece of legislation that will have a lasting effect on all business owners. It is deeply concerning that our research has found such a low level of awareness about the carbon tax impact on business amongst SMEs, the engine room of our economy,” said Mr Reed in a statement accompanying the survey results.
For many SMEs who have done their homework and weighted the additional costs, the outlook isn’t particularly positive.
“The effect [of the carbon tax] is even greater, as this tax hits small businesses at the core,” said Julie Sweet, who has run her Sydney-based web business Certificatesonline for the past eight years with just a handful of employees. “The price of electricity rising is one thing as a result of carbon tax, yet staff and taxes associated with employees is another; all more and more obstacles placed in the path of small business owners, disabling us.”
Amobee Appoints Nick Brien As CEO
In its latest strategic move, Amobee—a global multimedia advertising leader—announced that Nick Brien will be its Chief Executive Officer. The company is entirely owned by Singtel, Asia’s leading communications technology organisation, which provides consumers with mobile, broadband, and TV and businesses with data hosting, cloud, network infrastructure, analytics, and cybersecurity tools.
Brien, who has worked for Microsoft, Intel, P&G, and American Express, will take over to drive the next generation of advertising tech. Said Evangelos Simoudis, Chairman of the Board of Amobee: ‘Nick has the deep expertise in advertising that we need to seize the market opportunities ahead’.
How Did Brien Get Here?
Before joining Amobee, Brien led 15,000 people across 40 divisions as CEO of the Americas for Dentsu International. For thirty years, he’s helped brands pilot unique advertisements, keeping up with the latest trends. He’s served as CEO of McCann Worldgroup, global CEO of IPG Mediabrands, President of Hearst Marketing Services, and CEO of iCrossing. Over the course of his career, he’s consistently strategised how to keep up with digital shifts. Now, he’ll capitalise on Amobee’s legions of experienced data scientists and developers.
‘I’m excited to be joining Amobee at such a transformative time in our industry’, Brien explained. ‘We’ll pilot advertising accountability and intelligent decisioning. And there’s no doubt in my mind that optimising media performance—whether you’re targeting, planning, buying, or delivering—can only be achieved using applied science, machine learning, and data analytics’.
What Does This Mean for Amobee?
Amobee is set on growing its personal brand within the advertising sector. As APAC social media influencers, Gen Z growth hackers, and viral content producers start to enter the field, established companies will be working doubly hard to keep up. Amobee, however, is still looking good. With a Gartner Magic Quadrant for Ad Tech, a Forrester New Wave recognition, and now, Nick Brien as CEO, the firm is set up for success.