Uptick in Consumer Confidence Helps RV Sales
The number of recreational vehicles delivered to dealers’ lots is expected to reach a six-year high in 2013 as fledgling RV buyers such as Karen and Jim Smith, of San Jose, Calif., shake off the economic slumber of the past few years and prepare to hit the road this summer.
“There are just so many things to see that we’ve never seen before: Mount Rushmore, the Grand Canyon, Lookout Mountain in Tennessee,” Karen Smith said after writing a $21,000 check for her 18-foot 2014 White Water Retro Travel Trailer that came stocked with a queen-size bed, separate refrigerator and freezer, two-burner stove, microwave, full-size bath, shower and beds for three more people.
As reported by the San Jose Mercury News, the Smiths represent new hope for a U.S. RV industry that sustained a series of body blows beginning with the 2008 recession but now appears to be rebounding in the Bay Area and beyond.
The industry has not seen more than 300,000 RVs shipped to dealers around the country since 2007, the year before the recession took hold. But deliveries this year were up 11% in the first quarter and the RV industry now expects to see a total of 307,300 deliveries of motor homes and tow-able RVs. Towables make up the overwhelming majority of RV sales in the U.S.
The number of both registered motor homes and towable RVs had been steadily falling in California from a 2005 peak of 11,494 motorhomes and 34,032 towable RVs and may have bottomed out in 2009 with 2,633 registered motorhomes and 8,820 towables.
Last year, the number jumped to 3,785 registered motorhomes and 11,565 towable RVs, according to Statistical Surveys Inc., which tracks RV registrations across the country.
“Our industry is an economic indicator,” said Kevin Broom, spokesman for the Virginia-based Recreation Vehicle Industry Association (RVIA). “When shipments go down, they usually go down ahead of a recession. When shipments come back, they usually come back ahead of the recovery. Consumers in general are a little more confident they’ll have their job this year, next year and even five years from now. So they’re ready to make a purchase.”
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