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, General RV Center, Giant Inland Empire RV, La Mesa RV Center, and Lazy Days' RV.

Worldwide sales of RVs are expected to reach $80 billion by 2035, according to Globenewswire. The Asia Pacific market is the largest holding around 47% among other markets such as North America and Europe.

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 $26 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 50% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products include motor homes, travel trailers, and campers (about 50% of US revenue) and new RVs, parts and accessories (about 40%). Other revenue sources include maintenance and repair related services, retail sales of other goods, and other credit financing services.

Most dealers have nonexclusive sales contracts with multiple RV manufacturers, although some carry just one brand. Individual dealerships can carry more than 20 different RV brands. Dealers sell a wide variety ...