#1 NZ Innovation Series
By Claire Cooper, Business Director NZ
There is a noticeable change in the air as I stroll around downtown Auckland.
It could be the fashionistas wearing funky ensembles that would make Melbournians gawk, the bean bags sprawled in public parks inviting you to come and relax or the many new bars and eateries with trendy names like Tyler St Garage sitting on street corners like old friends welcoming you inside.
Whatever collective driving force is behind this change, I like it.
There also seems to be an emergence of creative and intelligent people taking risks to develop really interesting businesses.
New Zealand was quite hard hit by the global downturn in comparison to Australia. But from where I am standing (corner Commerce and Customs St), people seem to be making the most of it. Which makes me curious, are recessions good for the start-up community?
1. A downturn often makes you think. What could I do better? What could I do differently? It is a breeding ground for new ideas and solutions.
2. Availability of great people. A recession often results in job loss or makes it difficult for people to find jobs. This leads to a surplus of great people available and ready to work.
3. Creative marketing. Forced to save money, people have to think outside the box to find efficient but effective marketing solutions. It opens up opportunities to try new things both online and offline and kill anything that doesn’t work.
4. Promotion of R&D. When times are tough the government often tries to promote R&D investments, start-up loans and grants. Entrepreneurship is key to new growth.
One distinct change is the concept of shared creative office spaces.
Founder of Sharedspace, Matt Knight started his company to provide businesses a place to find shared and short term commercial space. The concept proved so popular that Knight now has a space of his own, Loft 503, which he rents out (pictured below) and operates his business from.
“I wanted to practice what I preach. I’ve worked in a number of shared spaces and from that experience felt there was room for improvement. I thought if I created my own space, I could create my own rules based on flexibility and cater the space on what people require.”
Knight started Sharedspace in 2010 and opened Loft 503 in September 2011. The space was full within 3 months and he is now expanding into a second suite.
Bullseye New Zealand has recently taken space in this downtown office and can vouch that it is an extremely motivating environment to work in. Surrounded by Architects, Digital Designers and Developers, a Wine Label, Application Developers, a Commodities Traders and Journalists, it is a unique melting pot that generates innovation.
It is also a lower cost option for start-ups or small businesses. Providing facilities set up and ready to go, all you need to do is move in.
Speaking of start-ups have you heard of Ponoko?
Ponoko is a classic example of an innovative business founded in New Zealand. This is a company that is literally on the cutting edge of manufacturing globally. Ponoko has been around for five years and in that time has gained considerable media attention because of its unique business model. Ponoko is one of the first manufacturers that uses distributed manufacturing and on-demand manufacturing.
The basic premise is that Ponoko helps people make things.
Ponoko’s range of software and web tools enable customers to design, make and sell two-dimensional and three dimensional items in paper, cardboard, wood, plastic, leather and more.
You can either choose to upload an original design or buy a design template from a seller, choose the material and hardware you want to use to manufacture your item and get an instant price.
Once ordered, your parts arrive in as little as four days for you to assemble.
This fantastic concept could be used for rapid prototyping, gift creation or the start of a business with low overheads.
Ponoko is at the heart of a manufacturing revolution and is just one of many great businesses which have popped up in the seven years I’ve been away from New Zealand.
New Zealand is often recognised globally for its spirit of inventiveness. Peter Thiel, PayPal co-founder and Facebook's first outside investor, is an advocate of New Zealand technology.
In October 2010, he invested $3 million in online accounting firm Xero, which is based (and publicly traded) in New Zealand. Then he invested $4 million in Pacific Fiber, an ambitious company that is building a fiber-optic cable from Australia to New Zealand to the US.
“New Zealand is a vibrant and growing country with a great deal to offer the world,” said Mr Thiel. “Its inventive spirit and open economy will support the next generation of great companies.” (source:http://www.theicehouse.co.nz)
Impressed and motivated by this community of innovative thinkers, I will attempt to bring to you news of the unique businesses and ideas I stumble across in the next instalment of the NZ Innovation Series.
- Coops
