Inside the struggling market of recreational vehicle dealers
By Flickr user shut theory
If you think being a journalist is a precarious proposition these days, imagine life as a boat or recreational vehicle dealer.
Consumers worried about their next paycheck likely aren’t shopping at a brisk pace for pop-ups and rowboats, let alone cruisers and coaches with six-figure price tags.
With RV and boat show season, it’s a good time for a check-up on the market for pleasure craft in your area.
Compare this year’s show schedule to last year’s: This blurb from WABI-TV in Maine indicates the Bangor RV show was just canceled last week due to a lack of exhibitors. Apparently the San Antonio, Texas show was dark earlier this month for the same reason. A pretty dismal kick-off to the start of the year.
Obviously cancelations like this reflect reduced demand, but also have a ripple effect on the local economy by yanking jobs from the people who rig up expo centers to display the big machines. That may be the germ of a separate story — how is the first half of the consumer expo season shaping up?
Meanwhile, check one of the many lists of RV expos and boat shows on the Web for events in your area and see what their status is. The show listings also will lead you to state and regional chapters of industry organizations; their members and directors are obvious sources of data and commentary.
Scan the exhibitor lists to get manufacturer names and find out if any suppliers, vendors or OEMs are in your neck of the woods. Don’t rule out local ties just because you’re not near shore; Majestic Yachts Inc. in Kentucky claims to be the maker of the world’s best houseboats. These companies can be the source of interesting tech stories, too.
Some manufacturers like Winnebago and Glastron (which designed a custom boat for a James Bond film) are publicly traded; check out a variety of firms for their most recent annual reports, management notes and podcasts of earnings calls to glean insight into industry challenges.
Check with your state’s DMV on how boat and RV registrations are trending. If you can FOIA a searchable database and do a ZIP code trends map, so much the better. Don’t overlook insurers, too, as sources of trend information; some companies specialize in policies for recreational craft.
Marinas, RV storage facilities and repair shops all are worth a call. Ask about employment trends as well as sales and consumer spending. What are former RV and boat sales reps doing these days? Are more RVs languishing unused under shrinkwrap due to economic woes and fuel prices? And don’t forget about the used market – your classified ads, Craigslist and specialty message boards (easily found via a Google search) can paint a telling picture of what happens to these depreciating assets in tough times.
