New Zealand bedding maker Serta has announced it will introduce a $1.5 million US pricing structure for the popular mattresses it makes in Australia.
Serta will now offer the same mattress to Australian customers for $769.99, down from $1,907.50 a year ago.
It will be the third major mattress maker in the country to offer the price difference, after Mattel, which announced a $2.95 US price difference last year, and Bedroom Giant, which introduced a $7.95 difference last month.
Sets a new industry benchmarkThe price difference has prompted the Australian mattress industry to increase the amount of product it sells to compete, while others have dropped prices in the process.
Australian mattress makers including Sertas own company Mattel and Bedrock are facing pressure to offer more affordable mattresses.
Last month, Sertabook announced it was reducing the price of its $739.99 mattresses from $3,095.95 to $2,908.95.
Australian Competition and Consumer Commission chairman Rod Sims told The Australian Financial Review in a statement: “The average Australian family spends $6,700 per year on mattresses, so this price increase is a significant step forward.”
He said the commission was working with the mattress industry and other stakeholders to ensure the price reduction would be effective.
Mattel’s chief executive officer Andrew MacNaughton told the Financial Review: “Our new price plan will provide Australian consumers with more choice, and it will provide Sertabs customers with more quality.”