How Joe Mercorella turned technological hesitancy into opportunity with Lumary
In a recent episode of the CEO Podcast, we interviewed Joe Mercorella, CEO and Co-Founder of Lumary, a pioneering company in Australia’s disability and aged care sector. The discussion delved into Mercorella’s journey, Lumary's inception, and the transformative impact of technology on healthcare services.
Mercorella emphasized the significance of intertwining personal passion with entrepreneurial endeavors. Reflecting on his path, he noted, “As an entrepreneur, it’s always nice to be connected with your passion. If you can combine the two with the entrepreneurial spirit and what is meaningful to you at heart, I think you nailed it.” This philosophy guided him to merge his enthusiasm for technology with a commitment to meaningful work, ultimately leading to the establishment of Lumary.
The Australian government’s 2014 reforms in the disability sector played a pivotal role in Lumary’s formation. These reforms mandated technology adoption, compelling organizations to transition from legacy systems to digital solutions. Mercorella recounted, “The Australian government introduced a major reform to the disability sector in 2014… it did mandate the use of technology and establishment of digital business more profoundly than whatever had been done in the past.” He recognized a market gap and was driven to develop solutions to bridge this divide.
Introducing cloud-based solutions to a traditionally conservative sector posed significant challenges. Mercorella shared, “Many of the providers I went to engage with as prospective clients thought I was a bit crazy. I was talking about this thing called the cloud, and everyone wanted something on-premise.” Despite initial resistance, his perseverance led to the acquisition of foundational clients who became advocates, facilitating broader market acceptance.
Establishing a tech company in Australia, particularly in regions like South Australia and Adelaide, presented unique obstacles due to limited entrepreneurial networks and resources. Mercorella observed, “Whilst there are innovative things that are present in our community, there isn’t really a playbook or a group to be part of to truly know how to seed and find a business like Lumary.” He emphasized the necessity of robust support systems to nurture emerging entrepreneurs.
The venture capital landscape in Australia has evolved over the past decade. Mercorella noted, “There’s been an uplift in the last five or six years; each city has tried to introduce a tech silicon slopes-type thing to some degree, and there are far more funds now available.” This growth has enhanced opportunities for startups, though challenges remain.