The RV Demand Continues

[lryrob9301]

From the Business JournalHome
Travel
A major RV maker now has more than $18 billion in backlogged orders and says its dealers may not be fully restocked until 2023

RV maker Thor Industries has a $18.07 billion order backlog.
Demand for RVs has remained strong since the start of the COVID-19 pandemic.
CEO Bob Martin says it may continue restocking its dealerships into 2023.

Famed RV maker Thor Industries now has an $18.07 billion order backlog as of October 31 as demand for tiny homes on wheels continues to remain strong through the COVID-19 pandemic, the company said in its 2022 first-quarter earnings report on December 8.
Thor Industries — which owns brands like Jayco and Airstream — first saw rising sales in May and June of 2020, especially from first-time RVers, Bob Martin, Thor's president and CEO, told Insider in May 2020. Since then, interest has yet to taper off: The RV maker achieved $3.96 billion in net sales in the first quarter of 2022, a 56% increase compared to the same time last year.
Thor has now reported record net sales for three successive quarters despite labor, cost, and supply chain "challenges," which it predicts it'll still continue to face, Martin said in the earnings report. However, the RV maker has been "pretty much sold out for the next year" as dealers have "virtually no inventory," Martin told CNBC's Jim Cramer on "Mad Money" in June.
"Independent dealer sentiment remains positive and consumer demand for our RV products remains strong," Martin said in the earnings report. "The dealer restocking process will still take a number of quarters to complete and could possibly extend into calendar 2023."
To alleviate this backlog, Thor Industries acquired Airxcel, an RV parts manufacturer. Martin called this acquisition a "key piece" in Thor's efforts to bolster its supply chain.
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[cptqueeg]

We looked for about 2 weeks for a used 2021 Winnie Revel. (class B) Nearby dealer had a used one, 2500 miles, and was asking for the same amount as a new 2022. (And he was looking to rob us on our trade.) We found one w 15,000 miles, w far more after market stuff including double the Lithium batteries for $20,000 less. The dealer still has his.

[mdcamping]

This past spring we were looking for higher end Class A, about 30' range. There was absolutely nothing but junk available . We decided to switch over to Travel Trailers. Visited multiple dealers and made many phone calls, we couldn't find anything in the size range that we wanted and if we ordered new was told 6 month wait. Pickens is slim here in the New England area. My gut feeling the demand will continue to 2023

Mike

[Grit_dog]

With any luck, the demand will continue this spring….anyone want to pay way less than new for an awesome toyhauler, call me. It’ll be on CL and FB come March if prices are still stupid high.
Imma cash out on this ridiculousness if it’s still happening this year. Lol.

[Rollochrome]

RV sales guy I talked to a few months ago said he sells several RVs every DAY.

Absolutely no effort extended to work any deals

They just sell themselves, is the attitude

[eend]

Here in Alberta the rv lots are practically empty with new units, what they do now is put all their used stock as well as customers units that are in for repair up by the main highway and roads so it looks like they full.

Same goes for some car dealerships specially their lots are empty.

Everyone like rv manufacturing plants, automotive plants, appliance plants all must be waiting on the same 50 cent computer chip!

[trucker11]

magicbus wrote:
They’re always overpriced by 30-40% which is why everyone gets one-third off, and if the quality was lower than 50% they would just deliver a bunch of parts and we would build them ourselves. But welcome to the forum! I look forward to seeing those full lots myself when we head south next month. Although I don’t know where people are going to use them after they drive off the dealership lot ‘cause everything’s full up.

Dave

Been to an RV dealer in the last 12-18 months? They're getting MSRP or basically whatever they want, the days of one third off are over for the foreseeable future. In fact prices are 30%-40% higher than they were just a year ago due to manufacturer price increases that have been coming regularly, sometimes every month. They're also low grade junk across the board and you have to be a special type of fool to consider buying one at present.

[magicbus]

They’re always overpriced by 30-40% which is why everyone gets one-third off, and if the quality was lower than 50% they would just deliver a bunch of parts and we would build them ourselves. But welcome to the forum! I look forward to seeing those full lots myself when we head south next month. Although I don’t know where people are going to use them after they drive off the dealership lot ‘cause everything’s full up.

Dave

[trucker11]

bikendan wrote:

goducks10 wrote:
Like I said it's a location thing. Come out to the PNW and try and find the most popular models. Several of the lots around me only have junker types like Salem Cruise Lites. All the big name brands are barely their like Montana, Cedar Creek, Solitude. Looks like the big dealers are getting the bulk while the smaller dealers are getting the left overs. Guessing it may be tough to get deliveries out to the west coast as well.

Agree. Drove down the I5 corridor and most lots were low.
I wonder how many of those full lots people are seeing, are full of ordered units finally arriving and others waiting on parts for repair.

Regional maybe. I drive an average of 3800 miles a week from Maine to Florida, and as far west as Denver. I pass a few RV dealers and most are chock full to the point they could not cram another on the lot. Furthermore you have to be a special kind of sucker to buy one of these things in the current market. Overpriced by at least 30% if not 40%, and the construction quality is down at least 50% from the previous terrible quality prior to 2020. But it's your money.

[CavemanCharlie]

There are no lots near me so I have no idea how many RV's are setting on them. All I know is that I could use a different used one and they are hard to find around here. When you do find one the prices are crazy these days.

[bikendan]

goducks10 wrote:
Like I said it's a location thing. Come out to the PNW and try and find the most popular models. Several of the lots around me only have junker types like Salem Cruise Lites. All the big name brands are barely their like Montana, Cedar Creek, Solitude. Looks like the big dealers are getting the bulk while the smaller dealers are getting the left overs. Guessing it may be tough to get deliveries out to the west coast as well.

Agree. Drove down the I5 corridor and most lots were low.
I wonder how many of those full lots people are seeing, are full of ordered units finally arriving and others waiting on parts for repair.

[goducks10]

Like I said it's a location thing. Come out to the PNW and try and find the most popular models. Several of the lots around me only have junker types like Salem Cruise Lites. All the big name brands are barely their like Montana, Cedar Creek, Solitude. Looks like the big dealers are getting the bulk while the smaller dealers are getting the left overs. Guessing it may be tough to get deliveries out to the west coast as well.

[monkey44]

Yesterday, we traveled 100 miles each way to have a service recall repaired on our TOAD - passed three large RV dealerships on the way. All three were packed full side x side with RV's from small TT's all the way up to MH ... another one of anything had NO room to fit into the lot. Nope, plenty of RV's on lots - no shortage. Drove I-75 in Central Florida.

[Dave_H_M]

yep, hog wash or El Toro poo poo. Two local lots are jam packed. :B

[NamMedevac_70]

Turtle n Peeps wrote:
Fake news. Dealers lots are full around my county.

Same in Reno for many years now including present time. More hype (ly) marketing propaganda from the business and news press as usual.

[way2roll]

Turtle n Peeps wrote:
Fake news. Dealers lots are full around my county.

I am not sure it's "fake news" but some caution needs to be had with respect to interpretation. Maybe they do really have these dealer orders. Maybe a lot were placed during the pandemic and can be rescinded as purchasers back out and normal inventory levels return. But this sort of statement usually has a couple goals, one - to increase stock value and the other to create demand. That said, it needs to have some evidence of truth because falsely inflating corporate value and/or revenue is illegal.