The AFA has summarised the latest Ibis World Reports on behalf of its Members. This is second in the series is in relation to Mattress Manufacturing in Australia, the full report is at the bottom of this article or click on any of the (read more) links as well to access it.
Mattress manufacturers produce a range of sleeping products like mattresses, pillows or cushions (except those made of rubber), largely for households, hospitals and hotel and motel accommodation.
The major products and services in this industry are bed bases, gel mattresses, innerspring and pocket coil mattresses, latex and memory foam mattresses and water mattresses.
- Revenue $658.0m
- Profit $62.5m
- Exports $9.25m
- Businesses 65
- Annual Growth 2017-22 1.5%
- Annual Growth 2012-17 4.3%
Industry Performance and outlook
In the past five years, highly volatile performances have been displayed by operators in the Mattress Manufacturing industry. Points like low-cost imports, the steady upward trend in Australia’s population, general economic growth and the demand for beds for hotel guests and hospital patients has (read more)
Over the next five years, Industry revenue is projected to surge by (read more)
Local manufacturers have pursued to advance the value added to their mattresses by (read more)
The size of the industry’s workforce is predicted to climb to(read more)
Import penetration represents an estimated ((read more)
Industry export earnings have recovered from the deep cyclical low at $2.2 million in 2010-11, to reach an estimated (read more)
Export earnings are projected to gradually strengthen over the next five years and rise to account for (read more)
Products and Markets
The industry produces a spectrum of mattresses including water mattresses and mattress supports. Supports include items such as mattress bases, covers or underlays which helps to improve the performance of the mattress.
Innerspring and pocket coil mattresses: They are expected to account for (read more)
Latex and memory foam mattresses: They are expected to account for (read more)
Bed bases: They are expected to account for (read more)
Gel mattresses: They have emerged on the market in the mid-2000s and therefore account for (read more)
Water mattresses: They tend to adapt to body contours. These types of mattresses can also be (read more)
Industry concentration is moderate, with the top four players accounting for more than half of the market. The top four players are (read more)
Estimated Market Share of Major Companies (read more)
The Victoria-based mattress and bedding manufacturer, Sleepmaster, is a notable exit from the industry. The company invested heavily in new technology and expanded its export markets to China, the United States, Europe, Korea and New Zealand. In addition, Sleepmaster instigated a best practice program to reduce lead times in the manufacturing process from 14 days to two days. In addition to mattresses, Sleepmaster owned the Jason (pillows), Onkaparinga (blankets) and Trailmaster (camping equipment) brands. In August 2013, the company was placed into receivership and an administrator was appointed. The Jason, Onkaparinga and Trailmaster brands were sold to WAM Home Decor in late 2013 and the local manufacturing operations have ceased.
The level of Capital Intensity in this industry is (read more)
The level of Technology Change in this industry is (read more)
The level of Revenue Volatility in this industry is (read more)
The level of Regulation is (read more)
The ACCC enforces the Competition and Consumer Act 2010 (CCA), which incorporates the Australian Consumer Law (ACL). The ACL prohibits suppliers from engaging in misleading and deceptive conduct or making false and misleading representations, including representations about the safety of goods.
The ACL also imposes obligations relating to consumer products, including a requirement for suppliers to report incidents of serious illness or injury associated with consumer goods they supplied.
For more information about your obligations relating to the ACL or relating to the supply of unsafe products to Australian consumers contact the AFA at email@example.com or visit australianfurniture.org.au