Weekly update

An industry shift driven by project complexity, compliance, and long-term ROI

For more than two decades, the OEM model played a central role in the global playground and family entertainment equipment industry. Buyers defined specifications, manufacturers produced equipment, and the relationship was largely transactional.

Today, that model is under increasing pressure.

Across Europe, the Middle East, Southeast Asia, and the Americas, international buyers are quietly but decisively changing how they select playground manufacturers. The shift is not driven by price alone, nor by fashion or short-term trends. It is driven by project complexity, regulatory responsibility, and long-term operational risk.

This is why OEM-only suppliers are no longer the default choice for many global buyers.

1. The OEM Model Worked — Until the Market Changed

OEM manufacturing was effective in an era when projects were relatively simple:

• Single-function indoor playgrounds

• Standard layouts with minimal customization

• Clear separation between design, supply, and installation

• Lower regulatory pressure in many markets

Under those conditions, buyers could manage design and risk themselves while relying on manufacturers primarily for production efficiency.

That environment no longer exists.

2. What Global Buyers Are Dealing With Today

Modern indoor playground and FEC projects operate in a far more complex landscape:

• Mixed-use venues combining soft play, trampolines, arcades, VR, cafés, and retail

• Stricter safety and compliance requirements across different regions

• Investor-driven ROI expectations, often with fixed payback timelines

• Higher construction and operational costs, making mistakes more expensive

As a result, buyers are no longer evaluating equipment in isolation. They are evaluating whether a supplier can reduce uncertainty across the entire project lifecycle.

3. Why OEM-Only Suppliers Struggle at the Project Stage

OEM-only suppliers are typically optimized for production, not project execution. This creates several recurring challenges for buyers:

• Design responsibility remains fragmented, increasing coordination risk

• Compliance interpretation falls on the buyer, even when manufacturers are more familiar with structural and safety implications

• Installation and after-sales support become unclear, especially across borders

• Problem resolution happens reactively, rather than being anticipated during design

In complex projects, these gaps translate into delays, cost overruns, and operational compromises — outcomes global buyers increasingly seek to avoid.

4. What Buyers Now Expect From Manufacturers

The shift away from OEM-only sourcing does not mean buyers want manufacturers to replace consultants, designers, or operators. It means they expect manufacturers to play a more integrated role.

Increasingly, buyers are looking for partners who can:

• Participate in early-stage layout and capacity planning

• Advise on structural logic, safety spacing, and material selection

• Align production decisions with local regulations and installation realities

• Support projects through manufacturing, delivery, and post-installation phases

In short, buyers are prioritizing manufacturers who understand projects, not just products.

5. From Supplier to Project Contributor

This shift reflects a broader evolution in global procurement logic.

As projects become larger and more capital-intensive, buyers prefer fewer handoffs, clearer accountability, and deeper technical collaboration. Manufacturers with project awareness reduce friction — not by adding services, but by embedding experience into the manufacturing process itself.

The result is not the end of OEM manufacturing, but its repositioning.

OEM capability remains essential.
OEM-only capability is no longer sufficient.

Conclusion: A Structural, Not Temporary, Change

The move away from OEM-only playground suppliers is not a short-term reaction to market conditions. It is a structural response to how the industry itself has evolved.

As indoor playgrounds and FECs become more complex, international buyers increasingly value manufacturers who can contribute insight, not just output.

For manufacturers, the implication is clear:
the future belongs to those who combine production strength with project understanding — and who recognize that manufacturing has become part of the solution, not just the supply chain.

This article reflects industry observations from a China-based indoor playground manufacturer with international project experience.