Aussie RV Boom Hurt by Campground Decline

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August 23, 2013 by   1 Comment

The surge in popularity for RVing in Australia is facing a roadblock as the number of campgrounds decline, according to a report by The Age, Melbourne.

Currently, there are 474,000 RVs registered in Australia, including trailers, popups, camper trailers and luxurious motorhomes with solar power, leather interiors, flat-screen TVs and fully equipped kitchens. RV registrations increased by 14.7% between 2008 and 2011, according to the latest figures from the Caravan, RV and Accommodation Industry of Australia.

Chief executive of the main industry group Stuart Lamont said the strong growth was continuing, with Australians looking for ”better value” holidays.

The RVing boom, though, is creating a crisis, according to research from Southern Cross University. It warns that as more RVs hit the road, older-style caravan parks are simultaneously closing at an alarming rate, selling out to property developers who are building apartments and hotels on prime parcels of land next to rivers and beaches.

”Where the bloody hell are all the caravanners going to go?” asks Rod Caldicott, an academic at the university’s school of tourism and hospitality management who has written a research paper on the topic. ”Both grey nomads and younger, adventure-seeking families are looking to use the services of caravan parks but there is less choice for them. Without some serious management of that situation, we will have a crisis.”

He said short and longterm site capacity of parks decreased by 8% and 13% respectively between 2000 and 2009, with caravan registrations increasing by 257% between 1995 and 2005.

Caldicott said regulatory burdens and rising costs, including council rates, were making it harder for caravan parks to stay open, noting, ”As their land value goes up, they are being rated out of existence. Return from revenue can’t match the rise in rates.”

Lamont said there were still 170,000 sites available around Australia each night, although some coastal parks were being turned into lifestyle villages or high-rise buildings. ”We still have occupancy rates of 54%. There is pressure in peak times [to get a site], but outside peak times a lot of these places are empty.”

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One Response to “Aussie RV Boom Hurt by Campground Decline”

  1. JimDyer on August 24th, 2013 2:02 pm

    Like the rest of the accommodation industry, the parks need to charge more at peak times…….clearly campers are not coming out in the shoulder seasons, so prices for sites need to drop then, and double or triple on summer long weekends, just like hotels and resorts do.