As Labor Day descends upon us, signaling another RV season coming to a close, we tried to take a look forward and brought out the ole crystal ball. With many manufactures having to fold up and others having to greatly reduce their production, the entire RV industry has had to rethink its business model. This has been very painful for many, and names that many of us grew up with are now gone. The light at the end of the tunnel no longer looks like a train coming the other way and there are some faint signs of recovery.
As a result of some limited research into the manufacturing side of our business, we believe that the manufactures that are left will be reducing the number of product offerings and concentrating on increasing the quality of what they do offer. Ultimately, this will serve the industry well and will help the industry regain its footing. RVers would prefer an offering of some very high quality products rather than offerings for every niche with mediocre quality. This new direction will also help insure that those folks just entering the RV market will have a good first experience.
We hope and look for an attitudinal shift towards getting and keeping customer loyalty through quality products coupled with first class customer service. While this business model is generally more expensive in upfront costs, the long term profits and survivability almost always are best with this approach. The RV manufactures have a great opportunity to “set the tone” for the entire industry and it looks like they are seizing this opportunity. We hope and will watch to see if the dealers and RV campgrounds follow a similar plan, thereby insuring a happy and healthy industry for many years to come. We look forward to attending the RV shows this year as they will be different in many ways.
Have a safe and enjoyable Labor Day
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Comments
I believe the RV manufacturers will try to squeeze every cent out of their RVs. That means cost cutting EVERYTHING EVERYWHERE. Profits first, quality second.
Bob, thanks for the comment. I respectfully say I hope you are wrong BUT I can't say I disagree with your point of view. Let's hope there is a rouge mfg or two that goes the quality route and grabs tons of market share.
Regards
As a Canadian dealer it has affected us as well. The exchange rate for years has scrambled up prices so that shoppers want to head to the US to make their purchase. Some dealers have inventory costs thousands of dollars cheaper for the same product due to the different times the product was purchased. But I will tell you this, the manufacturers are running scared. Instantly dropping long term dealers for supposedly "greener" pastured dealers. All the while not honoring their original dealers agreement by buying back the inventory. So many of us are left with inventory that we do not represent anymore as well as getting our butts kicked because of the exchange rate that the new dealer has lucked out on. US manufacturers need to wise up and understand that the other dealer may not be the answer to their financial woes. Stay with the dealer that got you there and support each other. Both Thor & Forest River have double crossed me in the last 12 months. I hope they learn a lesson
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