Specialty Fabrics Review July 2022 - 26

WHICH OF THE FOLLOWING
PRODUCTS DOES YOUR
ORGANIZATION SELL TO
ITS CUSTOMERS?
PRODUCTS SOLD
Aerospace Products
Automotive Products
Awnings/Canopies
Bags
Banners/Graphics/Signs
Chemicals
Coatings
Compounds
11.21%
21.08%
25.11%
16.59%
12.11%
8.97%
5.38%
9.42%
Computer Software/Electronics 7.62%
Containers
5.83%
Covers
Equipment
Exhibits/Displays
Fabrics,
Technical/Smart/E-Textiles
Fabrics, Woven
Fabrics, Knit
Fabrics, Nonwoven
16.14%
13.45%
7.17%
12.11%
22.42%
12.56%
11.21%
Fabrics,
Coated/Laminated/Composite 15.25%
Fabrics, Narrow
Fibers
Filtration Products
10.76%
4.04%
6.28%
Functional Apparel/Wearables 5.38%
Geosynthetic Products
6.73%
Hardware/Findings/Fasteners 8.52%
Marine Products
Medical Products
Safety/Protective Products
Services
Sports/Recreation Products
Structures/Enclosures
Tarps
Tents
Thread/Yarn
Tools
Truck Covers
Upholstery/Furniture
Other
17.49%
8.97%
13.45%
13.45%
9.42%
16.14%
9.87%
10.76%
3.59%
6.28%
5.83%
11.21%
7.17%
26 SPECIALTY FABRICS REVIEW / July 2022
Survey respondents were overwhelmingly optimistic about
their futures. Many have plans to expand and diversify
product lines as they look toward serving new markets.
oil exports, sending the price of a
barrel of oil skyrocketing. Now we
know that this has had a tremendous
ongoing effect on the prices at the
gas pump.
How did these events impact our
survey respondents? A majority have
had to raise the prices they charge to
customers. Nearly half (49%) have
had to raise prices by 10 to 20 percent,
while 13% of respondents raised prices
by more than 25%. Less than 8% have
seen no price increases.
When asked what drove these price
increases, nearly 63% said they were
passing on costs from suppliers. Other
reasons included higher taxes or other
government fees (31%), increased
wages for employees (58%), higher rent
or facility costs (29%) and investing
in new equipment (24%). Several
respondents noted that significant
increases in gas and oil prices and
transportation/shipping costs had
forced them to increase prices to
customers. One respondent cited
slower production rates from new
employees still in the ramp-up period.
PLANNING FOR THE FUTURE
We asked respondents what areas of
strategic development were among
the most important to their business
growth in the next two years. As we've
seen, pandemic factors have stalled
many businesses, so improvements to
the supply chain and logistics topped
the list for 60% of respondents.
Implementing automation was
also seen as extremely or somewhat
important by 49% of respondents, as
they confront labor shortages in the
face of increased production demands.
Along the same lines, employee
development programs were vital to
half of the respondents (50%).
Product diversification (45%) and
research and development of new
products (53%) were key to strategic
plans for many. Developing public and
private partnerships with government
and higher education (where much
of textile development takes place)
was noted as extremely or somewhat
important for 37% of respondents.
Every business must continually
look for new segments in which to
expand and help their businesses grow.
Nearly 48% of survey respondents
expected to enter a wide variety of new
markets in the next few years.
Among those noted by respondents,
33% planned to expand in
architecture/building construction for
residential and commercial customers
in the coming years.
Slightly more than 15% expected
to pursue consumer products, home
furnishings, and apparel (including
footwear), while 14% were looking to
expand into government and military
markets. Other market segments
included aerospace, automotive,
entertainment and events, medical,
" smart " fabrics and textiles, sports and
recreational. And as one respondent
noted, " Any market we can find
business in, we will explore. "
Tim Goral is the senior editor of Specialty
Fabrics Review.
Specialty Fabrics Review July 2022

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