Magnify Sales Book Club – 2019 TIN Report showcases NZ’s flourishing Tech Sector

Magnify Consulting - 2019 TIN Report

NZ’s Tech Sector is big news.  If you’re a tech enthusiast, tech founder or work in the tech industry – check out this month’s Magnify Sales Book.  Magnify has helped several tech companies with their sales, so it’s exciting to get the opportunity to review the 2019 TIN Report.  This report is a great way to benchmark your company against the best in New Zealand and read more stories about some very special companies doing amazing things.  The Tech Sector in NZ is flourishing and going for gold.  Check out our review – special thanks to Dave Crampton for helping with this review.

What’s special about this month’s book?

Actually, it’s not a book – it’s a full-on report.  The 2019 Tin Report is the annual much-anticipated analysis of New Zealand’s technology sector.  This report is hot off the press – officially launched at Auckland’s SkyCity Convention Centre on 31 October, followed by two regional events in Christchurch on 06 November and Wellington on 07 November.  The recent TIN Report Launch celebrated 20 years of TIN tracking the Kiwi companies that have made technology one of our country’s leading export sectors and a force for good in New Zealand.

Details for the 2019 TIN Report

Book Title – 2019 Tin Report – 15th Edition

Author – Technology Investment Network (Greg Shanahan and the TIN writing team)

Publication Date – October 2019

Who is Greg Shanahan?

Greg Shanahan is the Founder and Managing Director of the Technology Investment Network, with 15 years of dedicated analysis of NZ’s technology sector to his credit.  Well-known and well-loved across NZ’s tech sector, Greg’s recently been called a national treasure by one person recently on LinkedIn, with the writer going on to say – “He and his teams work on the TIN report over the last 15 years has helped NZ tech companies benchmark themselves and connect with peers in a way that could not have happened previously”.  This is absolutely true, and each year’s TIN Report is eagerly awaited by tech sector enthusiasts.

What is the Technology Investment Network?

The Technology Investment Network (TIN) is the leading independent source of information on New Zealand’s technology sector, a sector which has boomed in 2019 to be one of our largest export earners, and could soon overtake  the dairy and tourism industries in three to five years, to be our top  export earner.

What is the TIN Report?

The TIN Report is TIN’s annual critical reference for benchmarking the performance of New Zealand’s 200 largest globally focused technology companies.  The 15th edition has a detailed analysis of sector performance for the year, ranking the top 200 companies by revenue.  Fifteen of those companies are new to the list this year. The report is produced by Technology Investment Network with sponsorship from New Zealand Trade and Enterprise (NZTE), Absolute IT, BNZ, EY, James & Wells, and NZX.

How do you get listed in the TIN Report?        

To be listed in the report, companies must originate from and have a meaningful presence in New Zealand, generate at least 10 percent of revenue offshore, and be in the manufacturing, biotech or ICT industries.   Each company has an in- depth profile including addresses, phone numbers websites, staff employed, revenue and who the CEO is.

This year’s TIN Report gives details on 300 companies:

  • TIN100 Company Profiles
  • Next100 Company Profiles
  • Early Stage Company Profiles


How readable is the 2019 TIN Report?

If you thought you were in for some serious mathematical analysis – you’d be right.  And no, it’s not boring.  Greg Shanahan and the TIN team have done an excellent job of unpacking the growth stories behind the companies we hear about in the media. Easy-to-read tables and stories are interspersed with photos, diagrams and quick summary pages.

Any memorable quotes?

There are some excellent quotes in this year’s TIN Report.

Here’s our favourite, which shows that even though there’s a serious amount of money discussed, Greg Shanahan’s heart is that the technology sector will benefit everyone:

New Zealand is a very small pond, so you don’t need a very big stone to create significant economic ripples – and the massive growth in foreign and local investments and demands for talent are doing just that.  What this means is we have a once-in-a-generation opportunity to engage the tech sector with the untapped parts of our economy to eliminate entrenched economic disparities and achieve social equity.

– Greg Shanahan, Introduction, Page 01

In other words – the NZ tech sector is going great guns.  We don’t want to see anyone left behind.  Let’s take NZ with us so that we all benefit.

For an encouraging synopsis of the state of NZ’s Tech sector, see page 9 “2019 – A Defining Year for NZ Tech Exporters” and also  page 11 “Widespread Growth: Promising Pipeline of Companies Supporting Industry Leaders”.

What are some insights I can get from reading this report?

Combined, the top 200 companies grew 10.2 percent and generated $12b in revenue for the first time -and $8bn export earnings. The hottest export markets include Australia and North America; however, Europe was the fastest-growing export market with an 18 percent revenue increase.  For the first time the 200 companies have had a $1.1bn growth in revenue for the second successive year. A quarter of the TIN 200 companies each generate more than $50m in revenue – that’s also a first.

Greg Shanahan says our tech export sector is sending a strong message that it has the potential to become our country’s leading source of offshore income. Mr Shanahan also says the TIN Next 100 list – the 101st  to the 200th ranked – has outpaced the TIN100 in terms of growth rate, a clear sign that the New Zealand tech sector is not only made up of a stable group of large companies driving the sector forward, but is also developing a strong pipeline of emerging new companies beneath them.

While growth was seen in all regions across NZ, Wellington stands out as the fastest growing, increasing sales by $386m or 17.5 percent.  This puts Wellington alongside North Auckland and Otago as the only three regions with double digit 5-year compound annual growth rates. Last year the Hamilton and North Auckland/Northland regions each grew by over 16 percent over the period, and Otago/Southland grew by 13 percent, with Wellington growing by 12 percent .

The report also shows that investment in R&D has surpassed $1B for the first time, and employment numbers in the tech export sector have exceeded 50,000 staff. Employees, half of whom work in New Zealand, have an average wage of $82,000, and the companies have had a 7.9 percent increase in the workforce in the past 12 months. The eight largest TIN 200 companies each have revenue of more than $200m, accounting for almost half the revenue and growth of the top 200 companies.

As well as the top companies, the report also features a couple of ‘mavericks’ that pay tribute to some iconic New Zealand companies. Of the two featured this year are Fusion5 – a business solutions company founded in 2002, ranked 34th with $80m revenue and 420 staff – and Joyous, an early stage company founded last year with 1.2m seed funding. Joyous has a live HR feedback app for employees and employers.

How can my tech company become a “Rising Star”?

There is a section on “rising stars” – companies who have demonstrated high sustained growth over the past three years. Nearly all are in ICT and have ranged from 25 percent to 112 percent growth in the past year. To be on this list a top 100 company must have $10m 3-year revenue growth and a  20 percent compound annual growth rate,  and the next 100 must have $5m revenue growth and a 30 percent compound annual growth rate over three years.

What else is in the 2019 TIN Report?

Also included is a sector overview of primary – Biotech, Information and Communication Technology (ICT) , Manufacturing – and secondary sectors which include Agritech, Digital Media, Software Solutions and Communications Solutions.

There is a section of “10 companies to watch”,  which are ICT companies who  have the highest dollar value increase in revenue  in the past year; companies such as Datacom Group,  Xero and Grinding Gear Games. There is a section on ownership and investment details, and a section of early stage companies, i.e., those formed recently, such as Joyous, mentioned above.

Who would you recommend this report to?

Everyone should read this year’s TIN Report!  Especially:

  • Tech sector founders and enthusiasts
  • Politicians and social commentators
  • Teachers and their classrooms of NZ’s future tech leaders

Who should buy this report?

  • Tech leaders who want to benchmark themselves against the best in their industry sector, or just simply network with others in NZ’s technology sector
  • Business who serve the tech sector and want to build their tech networks
  • Politicians, social commentators and futurists who want to be informed about tech directions
  • Universities and Schools – especially secondary schools – who want to inspire the next generation of tech and business leaders
  • Libraries

Where can I buy this report?

Copies of the TIN Report are available in eBook or hard copy and can be ordered from the TIN100 website with purchasing options outlined in TIN’s product pages.  Your investment to own the 2019 Tin Report starts from $399 for the 2019 TIN Report eBook.

If you’re going to pay $399 anyway, check out options to become a member of TIN, from $995 per year.  You’ll get some excellent membership benefits, including a free TIN Report eBook plus a free TIN Report Hard Copy.

Lists of the top ten and most promising companies in each category are available here. A further regional breakdown is also available.

Recommended snacks to accompany reading this report?

This report is such a dense, meaty read that it deserves a full three-course meal.

  1. Entrée – Thick slices of home-made garlic bread, olives and sundried tomatoes
  2. Main course – Roast lamb with roasted agria potatoes, baby carrots, broccolini and spinach
  3. Dessert – Sticky date pudding with hot toffee sauce

You’ll need to keep awake and stay focused to get the full benefit of the insights – keep your plunger filled with freshly ground coffee within easy reach.

Would you like to read this report for free?

Head over to the Magnify Sales Book Club to enter this month’s Sales Book of the Month draw.  ‘Like’ our Magnify Consulting facebook page for an extra entry.