The latest Caravan Industry Association of Australia State of Industry 2025 report has found while the RV industry Australia is buoyant with Australian manufacturers producing 25,185 RVs in 2024, there was a 20 per cent reduction in production from the…
The latest Caravan Industry Association of Australia State of Industry 2025 report has found while the RV industry Australia is buoyant with Australian manufacturers producing 25,185 RVs in 2024, there was a 20 per cent reduction in production from the previous year. That’s 5,000 fewer Australian-made RVs on the road – but the story behind the numbers reveals an industry in transformation, not decline. So what do the manufacturers make of this, and how are they evolving in an ever-changing market. We spoke to some of the best.
For On the Move Caravans, diversification has been key to riding the manufacturing wave. CEO Robin Harris says while many Australian manufacturers experienced the full impact of the post-pandemic slowdown, On the Move evolved to make sure it not only survived, it thrived.
“We evolved from purely being a local manufacturer to selling both Australian-made and imported caravans. That allowed us to introduce a range of imported vans at exactly the right time. These models have now outsold our Australian-manufactured range by approximately six to one.
“As a result, our overall sales volumes have grown by more than 600 per cent. While we acknowledge the broader slowdown in the market, the strategic timing of our imported range launch has meant that we have not felt the downturn as sharply as many of our competitors.
He says there were two key factors influencing that slow down.
“During the pandemic, Australians were restricted to domestic travel. This created a surge in caravan demand. With international travel back on the table, some of that demand has shifted overseas.
“Secondly, we’re seeing the effects of broader economic conditions. Cost-of-living pressures and reduced consumer confidence are key factors. Access to financing has become more limited. Discretionary spending is tighter, which naturally impacts big-ticket items like caravans.
“However, because we introduced more accessible, competitively priced imported models at exactly the right time, we’ve been able to buck the trend and maintain growth.”
And he says the key has been the hybrid model.
“Sales of high-end, premium caravans have slowed noticeably. These larger, more expensive vans require a bigger investment. In the current climate many buyers are putting such purchases on hold. While there is still a market for them, the level of demand has definitely reduced compared to the peak years of the pandemic.
“The hybrid market continues to experience strong growth, particularly among younger buyers. Hybrids require smaller, less expensive tow vehicles. Their compact size makes them easier to store.
“For many, hybrids strike the perfect balance between comfort, practicality, and affordability. This is why we believe this segment will remain a growth driver well into the future.”
Offline Campers founder and owner Sam Reynolds agrees about the RV industry Australia 2025 transformation.
“We have had to adapt to a changing market. The business grew out of the COVID caravanning boom. When new sales started to taper off, our business had to mature in the way we handle the changing financial climate in Australia.
“New products that reflect the changing consumer needs have helped see us clear of turbulence and back into growth. If anyone is saying this industry is easy at the moment, I doubt they are being completely honest. Every customer through the door is hard won. There’s a lot of consumer power because of it.”
And he says, hybrids are the buzzword of the moment.
“As this product market has expanded, it has eaten into the camper and caravan market respectively. This effectively splits the market into three groups with ever eroding boundaries.
“This has brought interest from both sides to innovate and bring new things to market that fit this segment. For most it means slapping on off road suspension under a full height caravan and calling it a hybrid. That’s laughable.
“The camper market probably took most of the hit. This is understandable when imported hybrids are often cheaper than a traditional camper trailer.
“Customers want something that gets them out of caravan parks and away from the crowds. They also want something that can live in their garage. It should reflect the type of remote travel Australia is famous for, while maintaining some level of luxuries.
“Camper people often chuckle at caravanners who are all tucked up inside come 5pm and aren’t seen again until the morning. Hybrids keep the cooking outside which inherently becomes more social when you spend time outside near your neighbours. It’s where you learn about secret spots and off-the-beaten track attractions that the caravanners often miss out on.”
Sam Reynolds, Offline Campers
The 2025 State of Industry report found the gap in market share between family and couples has widened. Families now account for 31 per cent of total trips, a slight increase on the previous year.
This makes them account for the largest market when breaking it down into families, adult couples which came in at 26 per cent, families and friends travelling together, solo travellers and sporting and school groups.
On the Move’s Robin Harris says if nothing else, COVID reminded us how incredible our own country is to explore.
“That has had a lasting positive effect on interest in caravanning. While the core buyer base remains older, we are beginning to see younger families and couples entering the market. That said, the pace of growth in this demographic is tempered by cost-of-living challenges. These tend to hit younger buyers hardest.
“To engage this emerging segment, we’re focusing on offering more affordable entry-level options. We’re promoting the lifestyle benefits of caravanning. From family bonding to affordable travel, we want to make the idea of ownership more accessible.
Offline’s Sam Reynolds says investing in an Australian-made camper and caravan makes sense for many entering the market.
“There is a shift to the younger market. These are customers with dual-income, teenage kids, two cars and house. They’re looking to Australia for their holidays. Investing in Australian-made campers and caravans makes a lot of sense compared with overseas travel. You have a slowly depreciating asset that can be sold when needs change. Or it can be kept for over 20 years for countless trips.”
Jayco’s national head of sales and marketing Scott Jones says it too is seeing growth in the younger demographic. They’re looking at products that allow them to experience the off-grid lifestyle.
“To connect with this audience, we’re tailoring both our product and marketing approach. On the product side, we’ve introduced lighter, easier-to-tow options. We’ve also added compact motorhomes that suit shorter trips and first-time owners.
“Younger families and millennial couples are entering the market. They often seek more affordable, versatile options that fit with shorter holiday breaks and an appetite for adventure.
“This shift is reflected in increased interest in our camper trailers, smaller caravans, and compact motorhomes. These products are easier to tow, more budget-friendly, and well-suited to first-time buyers. In essence, while boomers remain a strong foundation of our customer base, the younger sector is growing steadily. We’re adapting our offering and communication to ensure we meet their needs now and into the future.”
“The RVs of the next decade will be heavily influenced by advancements in technology,” says Robin Harris.
“We are already seeing significant improvements in battery capacity and solar integration. In future, regenerative braking systems will likely become standard. This will further enhance energy efficiency.
“Smart technology and AI will also play a growing role. From optimising energy management to predictive maintenance and even personalised travel recommendations. Design-wise, caravans will likely evolve to be lighter, more modular, and increasingly tailored to different lifestyles. This offers customers a higher degree of customisation.
Sam Reynolds says what is exciting to see on the horizon are more budget-friendly and capable EV Utes. Also coming is “solid state battery technology that will increase power density and range”.
“Add to this an EV can share its power with the camper. This will further reduce the necessity for large batteries in the caravan.
“I think there is a big shake-up coming in the next five years around looking at the car and towing more holistically. We’ll be selecting the pair together.”
JB Caravans Mark Dixon says it too expects to see RVs become smarter, more energy-efficient, and more connected.
“AI will likely underpin predictive maintenance, intelligent energy management, and personalised design solutions. Yet, even with these advances, one constant will remain. Customers will still want spacious, beautifully finished interiors that feel like a true home.
“For us, the challenge and the opportunity lie in blending cutting-edge technology with the timeless qualities of luxury living.”
Whether you’re buying your first van or upgrading, the shift to hybrids and more affordable imports means better value and more choice in 2025. The RV industry Australia is adapting to meet changing buyer needs with lighter, more versatile options that suit modern Australian travel. From weekend getaways to extended off-grid adventures, manufacturers are focusing on accessibility. For first-time buyers, entry-level pricing has never been more competitive. Premium buyers can expect cutting-edge technology integrated into luxury interiors.
