Not every Mount Barker business is reaping the boom town benefit

Mount Barker is experiencing rapid population growth, with projections indicating it will reach 51,000 residents by 2035. However, many businesses on the main street are not benefiting from this boom, facing challenges from rising operational costs, reduced consumer spending amid a cost-of-living crisis, and intense competition from online retailers.

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The last couple of years has been pretty tough … [with] rent, cost-of-living, wages increases. The superannuation you have to be paying staff … has lifted from 9 to 12 per cent.

Scott Fairley, whose family has operated a shoe shop in Mount Barker since 1927, reports that profit margins have been significantly eroded by increased overheads. He notes that costs for rent, living expenses, and wages have climbed, with mandatory superannuation contributions for staff rising from 9 to 12 percent. Fairley observes a "catch-22" situation where population growth increases potential customers, but high mortgage interest rates diminish their disposable income, leaving less for local businesses.

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It's a catch-22. The actual income they have to spend in small businesses like ours is probably getting less and less.

Further down the main street, boutiques are struggling against fast fashion and online shopping trends. Alexandra Thornhill, owner of one of the few remaining clothing shops, stated that six boutiques have closed in the area over the past year. She expressed concern about the future, suggesting that without increased local support, only large chain stores like Kmart and Target might remain.

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There's probably not much hope at the minute really, it's that bad.

In response, the Mount Barker District Council is offering advice and connecting businesses with support programs. They facilitated a business mentoring program for 18 local businesses this year. Additionally, a business-funded advocacy group, Business Mount Barker, is using social media to engage a growing demographic of younger residents aged 25 to 38, aiming to attract them to local establishments. James Sexton, chair of Business Mount Barker, acknowledges that not all businesses thrive but notes that for every business that leaves, approximately five new ones arrive.

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You just hope people keep supporting the small businesses because they're not going to be around for much longer. There's just going to be big businesses like Kmart and Target.