Marcus Lemonis, president and CEO of Camping World Inc. and Good Sam Enterprises LLC, will risk $2 million of his own money in the CNBC show “The Profit” during this week’s episode, and invested a company called Eco-Me that’s in debt, poorly marketed and inefficient.
According to a report by the Mother Nature Network, Lemonis “found a void in the marketplace for all natural cleaning products” and believed in the company’s founder, Robin Levine. “But what needed to change was their broken sales and distribution process, and the supply side of the business—manufacturing and distribution,” Lemonis said. “I changed the packaging and branding, creating an identifiable brand. And I cleaned up the balance sheet, which ultimately changed the way they operate.”
The environmentally friendly aspects of Eco-Me appealed to Lemonis. “Green products work for everyone whether you are truly green or not. Who wants chemicals in their products? These products aren’t as niche as the original packaging made it out to be,” he said, noting that he uses them at home. “Sales are up tremendously since the episode taped, “but I do see small tweaks that could make it even better.”
Not all of his “Profit” deals work out as well. “I don’t invest in every company featured, but I wish all the companies well whether I invested in them or not,” Lemonis said. “My biggest success actually with this series is meeting new people and helping them change their process and business for the better.”
Looking ahead beyond the two remaining “Profit” episodes this season, he adds, “While I am not specifically looking for green companies, if a company meets my criteria then I would definitely consider for Season 2.” He has already invested in natural manufacturers like organic snacks and gluten-free products.
Good Sam Enterprises LLC reported revenues of $156.9 million for the second quarter, ending June 30, increased $10.6 million, or 7.2%, from the comparable period in 2012. Net income was $10.6 million for the second quarter compared to $7.2 million for the second quarter of 2012.
Membership Services revenues of $51.4 million for the second quarter of 2013 increased $4 million, or 8.5%, from the comparable period in 2012. This revenue increase was largely attributable to:
• A $3.7 million increase from the extended vehicle warranty programs due to an increase in average revenue per contract and increased contracts in force.
• A $1.4 million increase in revenue from the Good Sam Travel Assist program acquired in 2012.
• A $0.7 million increase from additional online advertising revenue in the annual directory.
• A $0.5 million increase from the roadside assistance programs primarily due to increased contracts in force.
• A $0.5 million increase in marketing fee revenue from the vehicle insurance products.
These gains were partially offset by a $1.9 million reduction from the outdoor powersports magazine group primarily due to the sale of its remaining magazine titles and shows to EPG Media LLC in March, 2013, and an $0.9 million revenue reduction resulting from merging the President’s Club into the Good Sam Club. EPG Media is controlled by Mark Adams, the son of the Chairman Stephen Adams.
Meanwhile, retail revenues for the second quarter grew 6.7% to $105.5 million from the comparable period in 2012. Store merchandise sales were up $8 million from the second quarter of 2012 due to a same store sales increase of $2.9 million, or 4.3%, and a $6 million increase from the opening of 19 new stores over the last 18 months, which were partially offset by a $0.9 million decrease in revenue from three discontinued stores that were closed in the last 18 months in order to consolidate operations within specific geographic areas.
Further, installation and service fees decreased $1.1 million, and catalog and Internet revenue decreased $0.3 million. Same store sale calculations for a given period include only those stores that were open both at the end of that period and at the beginning of the preceding fiscal year.
For the six months, revenues of $270.9 million increased $14.5 million, or 5.7%, from the comparable period in 2012. Net income for the first six months of 2013 was $15 million versus $7.2 million for the first six months of 2012.
Membership Services revenues gained 3.6% to $99.9 million from the comparable period in 2012.
Retail revenues of $171.0 million for the first six months increased by $11 million, or 6.9%, from the comparable period in 2012. Store merchandise sales increased $13 million from the first six months of 2012 due to a same store sales increase of $4.6 million, or 4.2%, and a $10.4 million increase from the opening of 19 new stores over the last 18 months, which were partially offset by a $2.0 million decrease in revenue from three discontinued stores that were closed in the last 18 months in order to consolidate operations within specific geographic areas.
Good Sam Enterprises LLC announced that it will file its financial report for the second quarter, ended June 30, on Aug. 14. The report will be available on the SEC’s website at www.sec.gov .
The Lincolnshire, Ill.-based company has scheduled a conference call to discuss its second-quarter financial results at 11 a.m. EDT on Aug. 16. Marcus Lemonis, president and CEO, and Thomas Wolfe, CFO, will host the conference call.
To access the conference call by telephone dial (866) 283-8243 in the U.S. and Canada. Please allow time for the operator to obtain a name, phone number and company name. The company intends to make a replay of the conference call available beginning four hours after the end of the live call.
The replay may be accessed by dialing (888) 266-2081 in the U.S. and Canada. The listener will be asked to enter a conference code, which is 1619954.
Camping World Inc. and Good Sam Enterprises LLC today (June 11) announced that it has signed an agreement to acquire Marty’s US RV, an existing RV dealership in Berkley, Mass., in the next 30 to 45 days. According to a press release, plans are for the location to undergo a major expansion to renovate into a larger facility including additional service bays, a new Camping World retail store and a state-of-the-art collision center. Camping World currently has nearby New England area supercenters in Chichester and Conway, N.H.
“We are pleased to begin the acquisition of Marty’s US RV and expand our market share throughout Massachusetts as well as the greater New England area,” said Marcus Lemonis, chairman and CEO of Camping World and Good Sam. “For over 22 years Marty Hanoud and family have proudly served the Boston area with top notch service and the best in products. Our decision to branch into the Boston market was fully realized only because of the quality reputation that Marty’s US RV has in their community. We expect the New England market to allow us to broaden our customer reach, build upon our market leadership position in recreational sales, and make Camping World the leading retailer in the growing outdoor market.”
The supercenter will be officially named Camping World of Boston and represents the first full-service location in Massachusetts for Camping World.
Lemonis noted, “I always look for three things: People, Process and Product in relation to enhancing our Camping World and Good Sam presence. The Hanoud Family clearly meets that test. Our goal is to add more quality manufacturers and brands, increase our presence in the market, and grow the work force. The Boston area is perfect for outdoor enthusiasts with camping areas like the Boston Harbor Islands, Cape Cod and the Myles Standish State Forest to hike, camp and just enjoy life. We are excited to begin serving this market.“
The new supercenter in the Boston market will add to Camping World’s future growth plans and the company expects to soon announce several additional markets of expansion throughout the country.
Camping World of Boston will also be adding positions for seasoned and professional RV sales associates, technicians and retail support as the facility expands in addition to the current staff at the Marty’s US RV location.
The Rally, hosted by Camping World/Good Sam, pulls into Syracuse at the New York State Fairgrounds June 13-16, a first for the Northeast.
According to a press release, the event will bring thousands of RVers and enthusiasts together to experience world-class evening entertainment, tour area landmarks, participate in breaking a world record and shop for hundreds of new RVs, outdoor products, and camping accessories.
While celebrating the RV lifestyle, attendees will also enjoy great food and win fun prizes, as well as spend quality time with family and friends.
“We are excited about the first Northeast rally in which novice and experienced RVers get a chance to meet industry experts, find great bargains on RV products and enjoy camaraderie with fellow RV enthusiasts,” said Marcus Lemonis, chairman and CEO of Good Sam Enterprises. “The attendees should look forward to fun days filled with activities and entertainment and of course great bargains on RVs and RV related products.”
Activities start early for campers arriving onsite June 12 for setup, as attendees get a sneak peek at all the new rigs on early-bird day with factory representatives on hand to answer questions. Rallygoers can enjoy an optional tour of various interesting sites surrounding Syracuse, take a morning walk with their buddies, and go to seminars on various topics including RV care and maintenance, driving and safety, trip navigation, pet care and adoption, as well as fantasy RV tours, to name a few. The children and teen centers will be open throughout the weekend, giving kids the opportunity to make new friends, play games and do crafts, allowing adults the freedom to browse the exhibit hall or attend a seminar.
Afternoon entertainment on Thursday and Friday includes Sean Phillips, a veteran of the music business. Sean has been a studio singer and musician in New York and California, and has toured as a vocalist and bass and guitar player for many well-known acts.
Back by popular demand, Bob Blumer, host of “Surreal Gourmet” and “Glutton for Punishment,” and producer and host of “World’s Weirdest Restaurants” on the Food Network, will be performing each day in the Art & Home Center – Demo Kitchen Room. Bob shares his extraordinary culinary skills by transforming ordinary ingredients into wow-inspiring dishes through simple cooking methods and whimsical presentations, sponsored by Camping World.
Other activities include the “Empire State Dogs” show, sponsored by Camping World and Good Sam Pet Insurance, an ice cream and ladies social and a book and DVD exchange.
This weekend beginning at Dover (Del.) International Speedway, Darrell Wallace Jr. will welcome Camping World and Good Sam to his No. 54 Toyota Tundra as the primary sponsor for 11 races this season in the NASCAR Camping World Truck Series.
The 2013 Sunoco Rookie of the Year Contender will be making his sixth career start in the series and his fifth career start at the one-mile oval track. He has three K&N Series starts (2010-2012), with one win in 2011, and one NASCAR Nationwide Series start (2012). His last three starts at the “Monster Mile” have been from the pole position.
“Dover is my favorite track to go to and I’m looking forward to getting there with Camping World and Good Sam on board the No. 54 Toyota Tundra this weekend,” said Wallace. “It’s very exciting to know we have a sponsor on board to help us through the rest of the races this year and support our program. Now we have to continue to make our program better from behind the scenes and go out there ready to win.”
“We are very excited to be the primary sponsor of Darrell’s team for the upcoming races,” said Marcus Lemonis, chairman and CEO of Camping World and Good Sam. “He is a great young driver and we look for continued success from him during the 2013 racing season.”
Both founded in 1966, Camping World and Good Sam are the world’s largest retailer of recreational vehicles and the world’s largest RV owner’s organization. Camping World offers every outdoor enthusiasts with a one-stop-shop for all needs to support the RV lifestyle from tailgating at a local sporting event to camping in the great outdoors. To add to the camping experience, Good Sam members receive a variety of services including roadside assistance, financing, insurance, discounts at parks, campgrounds and events, as well as 30% off at Camping World supercenters nationwide and online.
Taking the next step to reach sport and outdoor enthusiasts, Camping World joined NASCAR as the Truck Series title sponsor in 2009 and also became the official RV and Outdoor Retailer of NASCAR. Race fans can also find Camping World mobile stores at select race tracks throughout the season for all their camping and tailgating needs.
Following this weekend’s Lucas Oil 200 at Dover International Speedway, Camping World and Good Sam will appear on the No. 54 Toyota Tundra for 10 additional races this season as the primary sponsor.
Highways magazine, the “official communication” of the Good Sam Club, the 1.36-million member RV consumer club operated by Good Sam Enterprises LLC, Lincolnshire, Ill., will be effectively discontinued in February.
However, Highways, a quarterly publication that dates back more than 40 years and is now one of only a handful of remaining consumer print titles serving the North American RV industry, will still be available as a quarterly insert in the company’s other monthly consumer RV pubs, Trailer Life and MotorHome.
“Over the past few years our team has worked tirelessly to make positive changes in an attempt to produce the publication that you want,” Marcus Lemonis, chairman and CEO of Good Sam Enterprises and its Camping World Inc. affilate, explained in the May/July issue of Highways. “Despite the attempts, it seems that we continue to get constructive feedback that indicates you want something different.”
What club members want is fewer ad pages, more content and, in some cases, electronic delivery, says Lemonis, adding that he remains “disappointed” with the publication and would prefer to deliver club news along with relevant, RV-specific information in TL and MH without “watering it all down with so much advertising.”
“Beginning in February 2014, the current Highways communication will be replaced with your choice of four free issues of either Trailer Life magazine or MotorHome magazine,” wrote Lemonis, whose company recently divested itself of its powersports titles. “While we will no longer produce the standard Highways magazine, we will produce a special Highways Good Sam Club magazine insert section featuring all the content you know and love from Highways. Regular Highways features like Action Line, Chapter Chat, Club Events, Benefit Updates, New Products, Pet Tales, Tech Topics, Photo Contests and more will remain part of the Good Sam Highways insert section.”
The result, Lemonis explains, will be fewer ads and more relevant content delivered free to all club members as part of their club membership. And it will also, according to Lemonis, result in a waste reduction of 754 million print pages annually. TL & MH subscribers are to receive four free issues as compensation for the free distribution.
Good Sam Enterprises LLC reported improved sales and earnings results for the first quarter, ended March 31.
Revenue totaled $114 million for the period, representing an increase of $3.9 million, or 3.6%, from the comparable period in 2012. Net income in the quarter was $4.4 million versus $0 for the first quarter of 2012. Good Sam’s financials do not reflect rolling stock sales from the company’s Camping World Inc. unit.
A breakdown by segment showed:
• Membership services, which now include Good Sam’s media segment, posted revenue of $48.5 million for the first quarter of 2013, a decrease of $0.5 million, or 1.1%, from the comparable period in 2012. This revenue decrease was largely attributable to a $2 million decline in member events revenue due to the timing of the company’s first annual member rally that occurred in the first quarter of 2012 and is scheduled to occur in the second quarter of 2013. There was also a $1.1 million reduction resulting from 10 fewer issues published and four fewer shows produced primarily resulting from the sale of the outdoor powersports magazine titles and shows to EPG Media LLC that occurred in March 2013, and a $0.2 million revenue reduction from other ancillary products. EPG Media, LLC is controlled by Mark Adams, the son of the Chairman Stephen Adams. These decreases were partially offset by a $2.3 million revenue increase from the extended vehicle warranty programs due to an increase in average revenue per contract and increased contracts in force, and a $0.5 million increase from the roadside assistance programs primarily due to increased contracts in force.
• Retail revenues of $65.5 million for the first quarter of 2013 increased by $4.5 million, or 7.3%, from the comparable period in 2012. Store merchandise sales increased $5 million from the first quarter of 2012 due to a same store sales increase of $1.7 million, or 4.0%, and a $4.4 million increase from the opening of 17 new stores over the last 15 months, which were partially offset by decreased revenue from discontinued stores of $1.1 million. Five stores were closed in the last fifteen months in order to consolidate operations within specific geographic areas. Mail order and internet sales increased $0.2 million, supplies and other revenue increased $0.4 million, and installation and service fees decreased $1.1 million.
Selling, general and administrative expenses of $30.9 million for the first quarter of 2013 decreased $0.2 million compared to the first quarter of 2012. This decrease was primarily due to reduction of legal and club branding expenses of $0.5 million, reduced facility expenses of $0.3 million and other reductions of $0.1 million, partially offset by a $0.7 million increase in retail selling, general and administrative expenses, mainly related to increased labor.
Income from operations for the first quarter of 2013 totaled $12.2 million compared to approximately $10.1 million for the first quarter of 2012. This increase of $2.1 million was primarily the result of an increase in gross profit for the Retail and Membership Services segments of $0.9 million and $0.7 million, respectively, and a $0.5 million decrease in operating expenses for the first quarter of 2013.
To view the entire report click here.
Good Sam Enterprises LLC announced that it intends to file on May 14 its first-quarter report, ended March 31. The report will be available on the SEC’s website at www.sec.gov.
The company has scheduled a conference call to discuss its first quarter 2013 financial results at 8 a.m. PT on May 16. Marcus Lemonis, president and CEO, and CFO Thomas Wolfe will host the conference call.
Those wishing to listen to the conference call by telephone may dial (866) 283-8243 in the U.S. and Canada. Please allow time for the operator to obtain your name, phone number and company name. Good Sam intends to make a replay of the conference call available beginning four hours after the end of the live call through May 26. The replay may be accessed by dialing (888) 266-2081 in the U.S. and Canada. The conference code is 1613485.
Building on its commitment to provide maximum value and savings to its members, Good Sam, the world’s leading provider of products and services for the RV and outdoor recreation consumer, today (April 15) announced it will launch a new auto buying program to provide their more than 1 million members with pre-arranged savings on the purchase of autos, as well as on boats, ATVs and other powersports vehicles.
With Good Sam Club members able to save thousands on purchases, the auto buying service is already attracting attention, even though it launches in July, according to a news release.
“Our focus is simply for our Good Sam members to have a great, seamless buying experience,” said Marcus Lemonis, chairman and CEO of Good Sam and Camping World. “With the Good Sam Auto Buying Service our members will receive value and top-notch service on their purchase of a vehicle that would complement their RV lifestyle whether it is a new car, truck, van, sport utility, motorcycle, boat or ATV.”
Featuring up-front, hassle-free, pre-arranged pricing on many makes and models of autos, boats, and powersport vehicles, the Good Sam Auto Buying Service is unmatched in the industry. “No other camping or outdoor organization offers anything close,” said Lemonis, “We continue to provide Good Sam Members with serious savings — while they RV and throughout all aspects of their life. We will be adding more and more savings programs for our members.”
Building on relationships with more than 2,000 dealerships representing leading brands from Ford to Jeep, Toyota to Mercedes and many more, the Good Sam Auto Buying Service will offer members the ability to configure the exact vehicle they are interested in and to enjoy pre-arranged, discounted prices — with no negotiations needed. All prices are guaranteed and club members will work directly with dedicated, specially trained, dealer staff to complete their vehicle purchases. The program provides more than just lower prices and hassle free buying experiences, it includes the best customer service, all backed by Good Sam.
“The Good Sam Club is built upon helping people, and helping people save money is something we take seriously,” said Lemonis. “Members already save millions of dollars every year at campgrounds, at Camping World and at Pilot Flying J. Now, they will save even more at car, boat and powersports dealerships across the country. Our Auto Buying Service lets members focus on the excitement of their vehicle purchases, while saving thousands of dollars. We have pledged to bring maximum value to our members and we are delivering on that promise, again.”
With the service set to launch on July 1, Good Sam has already received such a high level of interest that they are offering Club members the ability to sign up on www.goodsamclub.com/autobuying to be notified as soon as the program is ready.
The Good Sam Buying Service will also help members choose the specific vehicle that is best for them. With side-by-side comparisons and thousands of pages of descriptions, photos and specifications, the Service provides a one-stop location to manage the entire vehicle research and purchase experience — all with pre-arranged discounted pricing.
About Good Sam Enterprises LLC
Good Sam Enterprises LLC and its wholly owned subsidiaries is the world’s largest provider of products and services that enhance the RV and outdoor recreation consumer experience. Our products provide savings, safety, security, comfort, and convenience, making RV ownership and the outdoor lifestyle more enjoyable. GSE corporate headquarters are located in Lincolnshire, Ill., with subsidiary operations and divisions located in multiple locations throughout the United States.