Recreational Vehicle Dealers Industry Profile

Companies in this industry sell new motor homes, new travel trailers, and used recreational vehicles. Major companies include Camping World, FreedomRoads, General RV Center, Giant Inland Empire RV, La Mesa RV Center, and Lazy Days' RV Center.

Worldwide sales of RVs are expected to be exceed 770,000 units by 2022, according to Global Industry Analysts. While the US is the largest national market for RVs, sales in Europe are expected to experience the fastest growth amid rising interest in forest recreation and tourism.

The US RV dealer industry includes about 2,600 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $23 billion.

COMPETITIVE LANDSCAPE

Demand is driven by consumer income and population demographics. The profitability of individual companies depends on effective marketing and inventory management. Large dealerships have advantages in breadth of product line, repair center capability, and marketing efficiencies. Small dealers can compete by providing superior customer service or securing favorable locations. The US industry is fragmented: the top 50 companies account for about 40% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products include new RVs (about 60% of US industry revenue) and used RVs (about 30%). Other sources of revenue for dealers include repair and maintenance, sales of RV parts, and extended warranty service contracts. Some dealers, especially in northern climates, also sell snowmobiles or other products during the winter.

Most dealers have nonexclusive sales contracts with multiple ...