Because it is not really the purpose of this blog, I just want to give a brief overview of how the Industry has developed since I have been in it since the early 90′s.
To be honest the Interior Designer Dubai Industry for Offices is not that large in Perth as it is quite a small City in comparison to many others with a population of around 1.6 million in the Metro area. This was of course smaller in the early 90′s but is a little ironic then that ( and I will most likely get slated by the East for saying this) Perth has very often supported the rest of the country, or at least leads the way in growth due to it’s rich resources and close proximity to Asia which has become increasingly significant over the last 20 years.
The glory day stories of how Perth Interiors companies back then would be making up to 50% profit margins
The Industry about 25 to 30 years ago was very much in the hands of a few major players and was mostly based on turnkey type projects with furniture being the leading service. I have heard the glory day stories of how companies back then would be making up to 50% profit margins and think wow I wish I had been around here then. Even around 1992 when I entered the Industry margins of 25 to 30% were still very much achievable but I could see that things were changing and the idea of fee based services was beginning to develop.
At that time and what struck me when I entered the Industry was the vast majority of work was all concentrated in one street, St Georges Terrace and a few supporting peripheral areas like West Perth. That did not change much for many years either.
In the early 90′s Fee based design might have been talked about but only a few companies were seriously exploring and it wasn’t until the Government Agencies seriously reviewed their processes for awarding Fit Out contracts that it really had any chance of developing. CAMS was developed and it’s structure promoted a move towards engaging a Fee based Interior Designers in Perth and more structured Tender processes. Perth was moving away from it’s old Cottage Industry type mentality.
The Interiors market in Perth was more of a Cupcake
The problem was and has been for many years that Perth is such a small market and is so reliant on the Eastern States for products. It didn’t really support the Fee based Design in any meaningful way and it also blurred the lines between Architects who have always been the traditional Fee based Operators and Designers. In fact it opened the doors for Architects to start taking a slice of the Interiors cake in Perth. The problem being the Interiors market in Perth was more of a Cupcake.
Gradually though through the 90′s the markets were growing as Perth’s influx of migrants began to expand it’s infrastructure. Towards the end of the 90′s and just after I started my own business more investment from other countries in the strong Resource sector began to increase the Perth Interior Design and Office market. More office buildings were also being built and so now Perth had a real mixture of Turnkey Design and Construct Designers and Fee based Designers as well as the newly emerging Project Management groups.
A Government investigation in the 90′s cleared out a few bad apples and the backhanders
Another issue that had plagued Perth Office market is the fact that being such a small City it is often not what you know but who you know and this also has the inherent danger of promoting forms of corruption. A Government investigation in the 90′s cleared out a few bad apples and the backhanders but the Old school tie network still remains. Key relationships and connections are still King in this City.
Although Perth has been an expanding City and market it has always suffered as a boom and bust type state and this has applied to many companies as well. The Office Interiors market has always been a victim in this story and it at the mercy of the resources sector. Very often the only sector that has kept things going has been Government but this has not suited everyone. Over the years the faces have changed but with still a few key players remaining who survive very much on their established network of contacts and clients and the new kids on the block who try to knock them off.
The work has become more widespread as Joondalup City has begun to finally become more active as a business Centre
Once again the market today has changed due to Global Financial crisis which has sen many operators including myself review their focus in the Interior Office market. There still seems to be the mixed bag of processes, Fee based, Turnkey, Designers, Project Managers, Architects and a few new twists on these themes. The work has become more widespread as Joondalup City has begun to finally become more active as a business Centre. The Resource sector continues to be the main contributor to new office projects along with Government Agencies.
Of course there is much more to this story but as I said I just want to give a brief overview for those who are new to Perth or simply have no knowledge about the Interior Design and Office Interiors Industry here.
