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OzForex growth surges on tide of Poms
Wednesday, 22 November 2006
Aussie foreign exchange provider to hit $2 billion in annual turnover; announces further expansion plans following success in UK market
Sydney - 22 November 2006
Sydney-based foreign exchange specialist OzForex today announced it is on track to achieve annualised turnover of more than $2 billion for the 2006 calendar year, following stronger than expected penetration of the crowded UK foreign exchange market. On the back of its UK success, the company is now exploring opportunities to establish offices in other offshore locations such as the US, Hong Kong, Canada, Singapore and Japan.
OzForex has also again featured in this year's Deloitte Technology Fast 50 Awards - announced yesterday - which celebrate the success of the top fifty fastest growing and innovative technology companies in Australia. This year OzForex placed 24th, after coming 5th in the Awards last year.
OzForex founder and Managing Director Matthew Gilmour said the company had almost doubled in size in the past twelve months, recording a 182 per cent increase in revenue for the 2005-2006 financial year. He said the growth was partly driven by a surge in business from the UK market, with more and more British customers - as well as Australian expats - transferring money to Australia.
"The opening of the London office and move to 24 hour trading last year has proved the tipping point for growth in the business, and we are seeing dramatic increases in currency flows from the UK to Australia as the brand becomes established in that market," Mr Gilmour said.
"This strong growth signals that demand for this type of service is not unique to the Australian, New Zealand or UK markets, and we are keenly exploring our next steps in terms of global expansion of the OzForex network."
OzForex customers now stem from forty different countries with the highest demand from individuals and corporates throughout Australia, New Zealand and the UK. OzForex currently services around 25,000 clients and attracts approximately 800 new 'dealing' clients each month - customer growth statistics comparable to some of Australia's leading online broking hubs.
Since launching in Sydney in April 1998, OzForex has leveraged Internet-based technology to quickly become one of the leading online foreign exchange services in the world. Through focusing on the smaller corporates - such as importers and exporters - and retail customers, OzForex has tapped into a target market previously overlooked by the larger foreign exchange providers. The company provides each client with a dedicated dealer, and aims to offer a better exchange rate than the banks while keeping the transfer process simple and transparent.
In addition to providing more tailored services to SMEs, Mr Gilmour said the company had identified the need of migrants and expats working offshore to transfer money home or abroad at the most competitive overall cost possible.
"There are five hundred thousand Australian expatriates in the UK alone who, at some point, will need to bring their money home with the minimum amount of fuss - and the word is out that OzForex is the best way to do this. High street banks around the world channel their foreign exchange services towards the big end of town - the big corporates with the big corporate dollars - however we are providing high end service to smaller customers," Mr Gilmour said.
"This model is clearly working both at home and overseas, and we are delighted with the ongoing support of our loyal customers, the vast majority of whom come to us through word of mouth recommendations. We aim to continue delivering to our existing customers while building our network into the US and Asian markets through 2007," he said.
For more information contact Philippa Honner, Honner Media, philippa@honnermedia.com.au