The most evident industry trend is the declining interest in domestic tourism activity
Melbourne, Australia (PRWEB) March 04, 2013
While currently a niche holiday option, the Caravan and Motorhome Rental industry has been trying to spread its wings and capture a wider audience over the five years through 2012-13. Greater investments in marketing initiatives, such as a proliferation of caravan shows as well as efforts towards improving the campervan luxury offering and their respective facilities has attracted more attention to the industry's activities. However, according to IBISWorld industry analyst Craig Shulman “the industry has had to endure a mixture of circumstantial challenges and perks over the past five years.”
The most evident trend is the overall declining interest in domestic tourism activity, where shaky consumer sentiment since the global financial crisis has led to a high degree of conservative spending activity and thus restricted spending on holidays over the past five years. “This was not assisted by the rising value of the Australian dollar and the lowering price of international airfares,” says Shulman. However, as a budget tourism option the industry was not as dramatically affected compared to the rest of the tourism industry. International tourism levels, however, were damaged as the Australian dollar made travelling to Australia less palatable for those on a budget, which fall right into the industry's market.
The Caravan and Motorhome Rental industry is dominated by its two major players, Tourism Holdings Limited, the industry's largest operator, generates over half the industry's revenue and Apollo, which account for a smaller yet significant amount of market sales. Although the remaining enterprises are not expected to command significant market share, many have numerous establishments spread across Australia. The industry has benefited from the ageing of the population, which has increased the number of retirees who have greater amounts of free time and are less prone towards travelling abroad. As a result, this trend has increased the potential market for the Caravan and Motorhome Rental industry's services, although the industry must contend with Caravan dealers who are also pursuing this segment. However, the global financial crisis slowed this trend as it adversely affected the super funds industry quite severely.
For more information, visit IBISWorld’s Caravan and Motorhome Rental report in Australia industry page.
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IBISWorld industry Report Key Topics
Businesses in this industry rent or lease recreational vehicles (RVs) and camper vans. Purchasing and lease-to-own arrangements are excluded from this industry.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
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