| If the past is any indication about what happens | | | | return to that company to do business in the future? |
| during a major recession one of the first things to go | | | | 2) Borrowing money as we know it will probably |
| among consumers is discretionary spending. The | | | | never be the same again, and that is a good thing. |
| Saturday night restaurant ritual, the new RV or boat, | | | | Banks that loan money need to be more responsible. |
| the vacation home or the 7-day cruise all get placed | | | | I won't get into my take on us, the taxpayers, bailing |
| on the back burner. This is extremely apparent in the | | | | some of these institutions and people out. Loaning |
| RV Industry right now. RV manufacturers are going | | | | more than a property is worth, loaning to consumers |
| out of business, RV dealers are closing their doors, | | | | you know cannot afford to repay the loan, |
| and as the news media continues to point out one of | | | | overextending borrowers and allowing consumers to |
| the highest unemployment rates for a county is | | | | be so upside down in an auto or RV loan are all poor |
| Elkhart County in northern Indiana, the hub of RV | | | | business practices. You can see where it got us now. |
| manufacturing. | | | | A reputable RV dealer builds its business on repeat |
| The housing industry meltdown, subprime lending, | | | | business. You sell a customer their first RV, say a |
| collapse of the auto industry and corporate greed all | | | | pop up, treat them fairly, provide good customer |
| contributed to the current state of our economy | | | | service and they will return to that dealership when it |
| resulting in lower consumer confidence and spending. | | | | is time to upgrade. The average RVer will own four |
| So where does that leave the future of the RV | | | | or more RV's in their lifetime. A dealership cannot |
| industry? This industry has endured many hardships in | | | | stay in business or remain competitive if the |
| the past; recessions, high interest rates for consumer | | | | consumer finances way more than the RV is worth |
| lending and dealer floor plan payments, the high cost | | | | and cannot sell or trade it in the future. Criteria for |
| of fuel and it has always came back stronger than it | | | | lending money has already tightened and will stay |
| was before. To come back stronger than it was | | | | that way in the foreseeable future. RV dealers who |
| before this time will require innovation, change and | | | | want to get their fair share of the market will need |
| forward thinking on the part of its leaders in all | | | | to be more responsible when it comes to making |
| sectors of the industry. | | | | sure consumers will in fact be future repeat |
| Here are my top 5 predictions for the future of the | | | | customers. |
| RV industry: | | | | 1) Whether you like it or not everything is going |
| 5) The weak will not survive. Whether it is a | | | | green. I don't know how anybody cannot realize this, |
| manufacturer, dealer, campground or aftermarket | | | | but RV manufacturers especially need to take heed. I |
| supplier only the strong who are committed, | | | | grew up during an era of muscle cars; where horse |
| determined and willing to change with the times will | | | | power and speed were the only things that were |
| survive this current downturn. It will require | | | | important. I still have that old school point of view, |
| downsizing operations, inventory, and making good | | | | but when it comes to the RV industry of the future, |
| solid business decisions. Back to the basics! In the | | | | bigger is not going to be better. RV manufacturers |
| long run this will make the remaining companies | | | | need to downsize! Smaller, lighter and more |
| better, stronger and more adaptable to change. | | | | aerodynamic travel trailers and 5th wheels will be in |
| 4) RV manufacturers will need to improve on the | | | | demand. Not only for better fuel efficiency but quite |
| quality of RV's. As a society Americans are more and | | | | possibly because there won't be any vehicles |
| more demanding that the products they purchase | | | | manufactured that are capable of towing heavier |
| are of the highest quality. This is especially true of | | | | models in the future. Motorized RV's will be smaller in |
| major purchases. Modern technology focuses on | | | | size with more fuel efficient power plants capable of |
| better quality products, from cell phones and | | | | burning alternative fuels or running off renewable |
| computers to automobiles and RV's. Some RV | | | | energy. The focus will shift from models with 5 slide |
| manufacturers, not all, need to address the issue of | | | | outs to streamlined models capable of 15 mpg or |
| higher quality in its product offering to remain | | | | more. My question to you is, after owning a larger |
| competitive in the future RV market. The current | | | | RV with a slide out or multiple slides, whether a trailer |
| economic crisis will help weed some of the poor | | | | or a motorhome, could you see yourself downsizing |
| quality products out. This would bring a question to | | | | RV's in the future? |
| mind, if it ever happened should we as consumers | | | | The 2008 National RV Trade Show in Louisville, Ky. |
| allow, or should I say accept, RV's made in China into | | | | rolled out some promising RV products for the future. |
| the US marketplace? | | | | This lets you know that there are innovative forward |
| 3) Along with better quality built in the product | | | | thinkers in this industry, poised to come back strong |
| comes better warranty and better customer service. | | | | when the economy rebounds. The RV industry may |
| I have experienced RV manufacturers with | | | | be down but never count it out. As difficult as the |
| outstanding warranty programs and others who | | | | current conditions are it is quite possible that that will |
| barely stand behind the product it builds. The same | | | | be a main factor in this industry being stronger in the |
| holds true with customer service, but a large part of | | | | future. |
| customer service is dependent upon the RV dealer | | | | So it is my thought that with strong companies, |
| selling the manufacturers product. The days of only | | | | improved quality, better customer service, reputable |
| servicing a customer's unit if they bought it from me | | | | lending and downsized RV's the future outlook for |
| mentality are over. If RV dealers want to stay in the | | | | the RV industry will be successful and strong. |
| future RV marketplace they better show it in how | | | | Happy Camping, |
| they treat and service the customers who walk | | | | Mark Polk |
| through the door. Think about it, if you had a bad | | | | Copyright 2009 by Mark J. |
| customer service experience in the past do you | | | | |