Industry Analysis & Industry Trends
The Recreational Vehicle Manufacturing industry produces a range of products that enable Australians to travel to remote locations comfortably and economically. To fully enjoy the benefits of industry products, consumers need time to travel and adequate funds to do so. Consequently, the industry's most lucrative market is baby boomers.
Industry growth has remained slow, despite its target market of Australians aged 50 and older growing as a proportion of the total population. A key driver for the industry is the amount of retirement savings that people have available to spend on a recreational vehicle. The superannuation balances of many Australians close to retirement were decimated following the global financial crisis, making recreational vehicles less affordable... purchase to read more
Industry Report - Industry Investment Chapter
The Recreational Vehicle Manufacturing industry is characterised by a low level of capital intensity. For every dollar paid as wages, an estimated $0.07 is spent on capital investment. Companies do not invest large amounts of funds in highly automated production lines as compared to other vehicle manufacturing industries. The industry instead spends on hiring high-skill labour to be more flexible with shorter run production lines. Given the low volume production in the industry, capital intensity is unlikely to increase over the next five years... purchase to read more