Concept celebrates 4000th caravan

After eight years in business, Concept Caravans has marked the production of its 4000th caravan with a special ‘ribbon cutting’ ceremony at its main factory in Campbellfield, Victoria.

The milestone celebration was attended by a small group of media and suppliers, as well as the company’s 85 employees who put down tools to listen to speeches from Caravan Trade & Industries Association of Victoria (CTIAV) chief, Robert Lucas and Discover Downunder TV presenter, Tim Smith.

Concept Caravans’ purchasing and sales manager, Keir Smith, said the Melbourne company had come a long way since it was established in 2004 by Smith, and brothers Steve and Bruno Caruso. All three previously worked for Windsor Caravans but decided to go out on their own after Windsor was sold to West Australia’s Fleetwood Corporation.

Smith said Concept started with just one model, the pop-top Ascot, and was “lucky to build one caravan a week”. It currently manufactures 12 caravans a week at its 2500sqm assembly factory in Campbellfield, including a wide range of family, luxury and rough-road models under the Concept, Newlands and Franklin brand names.

The original 1500sqm factory located close by is now used solely for furniture production.

“The success of our business has been our ability to be flexible, to our customers and dealers, by giving them a range of products,” he said.

“We build three brands under probably a total of 10 different models, with around 120 different variations, and then you have choice within those variations.”

Smith said one of the biggest changes since it started has been the expectation of buyers for feature-packed vans, or “burgers with the lot” as he describes them.

“The feature base of a caravan even from just eight years ago to what it is now, has doubled by the amount of stuff that people now expect in caravans,” he said.

“We were one of the first companies to come out with big fridges and roll-out awnings and air-conditioners as standard equipment. And it wasn’t optional, it was already on the van.”

While admitting that this has helped pushed prices up, he said it’s still important to deliver the right product at the right price, with Concept’s core business 19-20ft shower vans around the $50-$60,000 range.

“In 2007 you could build any caravan for $65-$70,000 and sell it, no problem, but then in 2008 with the GFC that price dropped to $50,000. And it’s slowly crept back up to $60K, but it’s never $70K. So if you’re not in that market you won’t sell.”

Concept’s success can also be attributed to its eight-strong nationwide dealership network, as well as a dedicated workforce. When the company reached 100 employees it took the unusual step (for an RV manufacturer) of employing a dedicated occupational health and safety manager.

“I don’t think there are a lot of caravan companies in Australia who even have (an OH&S manager), but we look to that as a necessity for risk management,” he said.

“The workers are what make our business. If they don’t produce a good caravan it doesn’t sell, and our business doesn’t exist. So we do have a lot of emphasis on workers here.”

Concept also utilises ‘on-time performance’ to ensure an efficient as well as flexible production line, with lead times varying from three to six months depending on the time of year.

Despite its success (it’s estimated to be among the top-six biggest selling caravan manufacturers in the country), the company isn't standing still. It recently introduced a budget-priced Innovation range, as well as the European-inspired Vision (pictured), which is “probably our most developed product in our eight years because we invested in technology plus new materials that we sourced from Germany to build it".

The Vision uses furniture made from lightweight, imported poplar core plywood, precision cut with new CNC machines at Concept’s factory. As it is 30 per cent lighter than traditional Asia-sourced hardwood ply, it can be made 16mm thick throughout for a sturdier build without adding extra weight.