Seems many conversations on these forums relate to cost cutting corners taken by RV manufacturers'...undersized tires / wheels / axles , electric vs. disc brakes , insulation materials, frame types...etc. .Just wonder what most would think the typical 5ver/TT corporate "profit" margin is ??? I would expect rangesvary ..less on the low end (volume sales) , more on the high end (larger buy-in) , but I have no idea what per centrange we would be talking about .. 5%, 10 %, 20 %, 30%, ?Any here with business acumen that may know what the acceptable per unit profit margin must be to stay in business ? And, how does the "dealer" margin figure in ?Thanks,Charles

I don't believe there is a set number .... much depends on the manufacture's or retailer's cost of doing business as well as number of units built or sold .... as but one example of a cost, what do you thing it cost Camping World to sponsor the NASCAR Truck Series and a host of other NASCAR related events .... while they write off the cost, the money for it has to come from its customers .... it would be interesting to know how much that sponsorship adds to everything they sellJim

You've asked a wide range of questions that would defy easy answers.Lately, company's also have to foretell employee costs, healthcare, etc. which is a nightmare with the current administration.No simple answers.....

My guess is that if a company can clear 5-7% of actual profit over the long haul, the owner/stockholders would be happy.

I suspect profit is based on how many RVs dealer buys from manufacturer. If they can sell the RVs for 30% dicount they have to be making more than 30%. My guess would be 35 to 40% off of list.

Judging by the number of Business Failures over the past 10 Years ,I would have to say that theres not nearly enough profit !As retired Retailer in the XXXXX industry I can tell You that there is more profit to be made selling Groceries than Pots and Pans these Days!

Profit margins.... | Good Sam Community

robatthelake
Explorer
Aug 03, 2013
Judging by the number of Business Failures over the past 10 Years ,I would have to say that theres not nearly enough profit !

As retired Retailer in the XXXXX industry I can tell You that there is more profit to be made selling Groceries than Pots and Pans these Days!
WyoTraveler
Explorer
Aug 03, 2013
I suspect profit is based on how many RVs dealer buys from manufacturer. If they can sell the RVs for 30% dicount they have to be making more than 30%. My guess would be 35 to 40% off of list.
rdhetrick
Explorer
Aug 03, 2013
My guess is that if a company can clear 5-7% of actual profit over the long haul, the owner/stockholders would be happy.
Altern
Explorer
Aug 03, 2013
You've asked a wide range of questions that would defy easy answers.
Lately, company's also have to foretell employee costs, healthcare, etc. which is a nightmare with the current administration.
No simple answers.....
JEBar
Explorer
Aug 03, 2013
I don't believe there is a set number .... much depends on the manufacture's or retailer's cost of doing business as well as number of units built or sold .... as but one example of a cost, what do you thing it cost Camping World to sponsor the NASCAR Truck Series and a host of other NASCAR related events .... while they write off the cost, the money for it has to come from its customers .... it would be interesting to know how much that sponsorship adds to everything they sell

Jim

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Profit margins....

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