INDUSTRY NEWS
August 1997

 

Life on Wheels Conference to be Held at Harrisburg Show

Gaylord Maxwell’s popular Life on Wheels educational program for RVers presented in conjunction with the University of Idaho’s Enrichment Program at Moscow, ID, will take the term extension course to a new level when the program is presented at this year’s Harrisburg show. The Life on Wheels course will be held September 7-10 in Harrisburg prior to the Pennsylvania RV and Camping Show.

In addition consumers will have the opportunity to hear Gaylord and Margie Maxwell again this year present their seminar "Full-Time RVing,’ Gaylord and Margie have traveled in RVs for more than 40 years. A former RV dealer, Maxwell started his writing career 25 years ago.

Recognizing his longtime contribution to the RV industry, Gaylord has been recently inducted into the RV Hall of Fame.

 

Emmert Named Georgie Boy President

Fred Emmert has been named president of Georgie Boy Manufacturing, a division of Coachmen Industries. Emmert has served as the company’s vice president of sales since 1991.

Before coming to Georgie Boy, Emmert spent 14 years in sales and/or marketing positions in the RV industry. He also spent 10 years in the automotive industry working for Chrysler Corporation.

 

RV Loan Outstandings Approach $12 Billion

The total dollar value of RV loans continues to climb, jumping six percent in 1996 to more than $11.8 billion, according to a new survey of RV lenders released by RVIA.

RVIA Finance Committee Chairman Jim Pope said, "The strong performance of the RV lending market is good news for our industry as it pursues the baby boomer market through the Go RVing campaign." Pope is vice president of Green Tree Financial Servicing Corp., Memphis, TN.

Finance firms held nearly half of the total of RV loans outstanding in 1996. Commercial banks accounted for 45 percent of RV lending activity followed by savings and loan associations (4 percent) and credit unions (2.7 percent).

As reported by RVIA survey respondents, 1996 RV loan delinquencies were 1.86 percent. Repossessions averaged 0.71 percent with an average 70 percent dollar recovery. RV loans consistently recorded lower delinquency ratings than the weighted average of consumer loans regularly charted by the American Bankers Association in 1996.

 

RPTIA Considering Separate Downtown Louisville Park Trailer Show For 1998

RVIA’s Louisville Trade Show scheduled for December 2 - 4, 1997 has once again achieved an oversubscribed demand for exhibitor space; however, this success presents a problem for members of the Recreation Park Trailer Industry Association (RPTIA).

Bill Garpow, executive director of RPTIA, said, "Unfortunately, oversubscription of exhibit space has an immediate impact on the park trailer manufacturers who are automatically limited by RVIA’s show policy to exhibit spaces no larger than 1,000 square feet. The oversold condition and park trailer space limitations at this show are likely to continue until the KFEC facility expands, perhaps in three or four years.

To resolve the problem for its members RPTIA is now considering show alternatives. Garpow said, "One option is to have RPTIA produce a separate trade show in Louisville that would coincide or overlap RVIA’s show dates. Such a show could be held at the Downtown Commonwealth Convention Center which is located within walking distance from major hotels."

The dates at this facility are available to RPTIA from 1999 on and might be available in time for a 1998 show if expansion plans for the center proceed expeditiously. Garpow added, "RVIA’s show committee has been made aware that RPTIA is considering producing this show, and we hope they will support these plans and work with RPTIA to make the proposed event a success."

 

RVIA Presents Association Awards

Kelly L. Rose, chairman of RVIA and Starcraft Corp., presents awards to Warren Brown of the Washington Post, and Tom Fribley of Coachmen Industries.

RVIA presented two awards during a special luncheon on June 10 at the association’s Committee Week.

Washington Post automotive reporter Warren Brown and Coachmen Industries’ Tom Fribley were honored for their contributions to the RV industry.

RVIA’s Distinguished Achievement in RV Journalism Award was presented to Brown, whose coverage of RV travel has helped elevate the industry’s profile by providing accurate, useful RV information to millions of readers. In addition to writing for the Post, Brown’s work is syndicated to 160 newspapers nationally and frequently appears in African Americans on Wheels.

After his first RVing experience last year, Brown quickly became an RV enthusiast and industry ally.

Tom Fribley, assistant vice president of technical services for Coachmen Industries, was given the RVIA National Education Service Award for his contributions in the development and expansion of industry education programs.

Fribley is an active member of the industry education committee, serves as a Trouble Shooter Clinic instructor and sits on the Recreation Vehicle Dealer Association/Recreation Vehicle Industry Association RV Service Technician Certification Test governing board.

 

Partial Bridge Closure Creates Problem for Portland Show Promoter

O’Loughlin Trade Shows, Oregon’s largest consumer show producing company, is being forced by a bridge closure to produce three scheduled shows at once. The shows effected are the Fall Home & Garden Show, the Fall RV & Van Show and the Fall Boat Sale. All three shows will run concurrently at the Expo Center, September 11 through 14, 1997.

The reason for the show concentration is because the Oregon Department of Transpor-tation announced the 1-5 bridge linking Oregon and Washington will be partially closed for 21 days starting September 16. Three lanes of the normally six-lane bridge will be closed during bridge repair work, and the resulting traffic snarl likely will reach dozens of miles in both directions.

 

StagParkway Announces Plans to Return to Reno for National Show

Obviously pleased with the turnout of its show earlier this year in Reno, NV, StagParkway, has decided to hold the show in that location again. The 1998 show will be at the Reno Hilton, in Nevada from January 21 to 22, 1998

 

Colorado Resident Wins National Sweepstakes Grand Prize

Fleetwood RV recently announced the grand prize winner of its year-long "This RV is for Me!" sweepstakes promotion. The national promotion generated over 25,000 entry forms from people all across the country. The winner of the Mallard travel trailer was Don Lebsack of Loveland, CO. Lebsack entered the sweepstakes at Loveland RV Service in Loveland

. Additional sweepstakes prizes included two trips for four to the Miller 400 race and a getaway for four to Disney’s Fort Wilderness.

 

Heart’s AC Load Manager

Earns UL Mark of Safety

Heart Interface’s AC load management system for the RV market was awarded Underwriters Laboratories approval for safety. The AC Load Manager automatically reduces selected AC electrical loads. It is scheduled for factory installation by several RV manufacturers beginning this summer, according to Heart Interface president, Warren Stokes.

The Heart Interface AC Load Manager monitors the amount of AC power coming into a vehicle. If the demand on the vehicle increases because of a heavy load, such as starting an air conditioner or microwave, certain low priority loads are turned off (shed) in a predetermined sequence. The microprocessor controlled product assigns low priority to loads like electric water heaters and highest priority to loads such as televisions or microwaves.

 

Spartan Introduces On-board

Weight Measure System for RV Market

Slideouts and satellite dishes have created a new issue in the RV industry - weight management. One manufacturer believes it has a solution.

Motorhome chassis manufacturer Spartan Motors, Inc. has introduced the Solomon System, an on-board vehicle scale and recorder that addresses the growing problems of improper weight distribution and vehicle overloading in motorhomes. According to Spartan, unbalanced weight and overloading can significantly affect the ride and handling characteristics of a vehicle and add to component failure and breakdowns. The first-of-its-kind Solomon System continuously monitors the total weight and weight distribution of the coach to an accuracy of 99.5 percent of the actual weight of the vehicle, which ensures a coach is road legal and riding correctly.

The Solomon System utilizes air spring sensors positioned at each wheel to provide an instantaneous weight of the coach via a dashboard LCD display. The system also

continuously stores data on the activity of the vehicle for up to five years. This data includes such things as gross vehicle weight (GVW), road surface quality, dips at corners and speed.

 

Go RVing Coalition Changes Policy

on Use of Slogan

In response to requests, the Go RVing Coalition recently voted to change its policy and allow RVIA manufacturer, supplier and associate members - along with participating dealers and show promoters - to use the Go Rving logotype and campaign slogan, Recreation Vehicles. Wherever You Go, You’re Always at Home in company advertising and brochures.

Gary LaBella, RVIA vice president for Public Relations, said, "In taking this action, preserving the effectiveness and generic nature of the Coalition’s national advertising remains a major concern, to avoid confusing the consumer and to be fair to all who are contributing to the campaign’s funding. Specific guidelines have therefore been developed to ensure consistent usage of the Go RVing name and slogan. Conversion vehicle members are not participating in the Go RVing campaign and are therefore not eligible to use the theme in their advertising."

LaBella emphasized, however, that the still photography and television footage shot for the Go RVing campaign remains the sole property of Go RVing, Inc. and may not be used in individual company marketing communications.

He also said, "The many RVIA members who made voluntary contributions of $5,000 or more to Go RVing through the ‘Go the Extra Mile’ fund-raising program have the exclusive right to identify their company by name as a campaign supporter in their trade advertising. This is an important way that companies who go the extra mile by providing financial support above and beyond the mandatory member assessments can gain industry recognition and build dealer loyalty."

Copies of the guidelines for using the Go RVing Slogan are available through RVIA. For more information about this program, RVIA members are invited to call LaBella or RVIA Director of PR Chris Morrison at 1/800-336-0154, ext. 308 or 344, respectively.

 

B.J. Thompson Appointed to RVIA Board

B.J. Thompson, president of B.J. Thompson Associates, Inc., was appointed to the RVIA board of directors at its Committee Week in June.

Thompson has served as chairman of the Public Relations Committee since 1985, overseeing the development of many successful programs that have dramatically improved the RV industry’s image. He was awarded RVIA’s Distinguished Service to the RV Industry Award in 1996 and the National Service Award in 1986.

Thompson is the founder and president of B.J. Thompson Associates, Inc., an advertising and public relations firm based in Mishawaka, IN.

He assumes the seat on the board vacated by Paul Hansen, formerly of Winnebago Industries. As with all board appointments, Thompson must stand for election in the next RVIA board of directors elections, which will be held in August.

FRVTA State Convention to Feature Wide Array of Speakers

The 17th Annual Florida RV Trade Association (FRVTA) State Convention will be held September 4 - 7 at the Sanibel Harbour Resort and Spa in Ft. Myers.

This year’s convention will bring together top industry speakers as well as information that will immediately help your company’s bottom line. Motivational speaker Dr. Kerry Johnson will present his "How To Read Your Customer’s Mind" program. Dr. Johnson’s session is focused on giving attendees techniques to can use today to significantly increase overall productivity in making sales happen.

Both RVIA president Dave Humphreys and RVDA president Mike Molino will present a "State Of The Industry" report during the Friday morning general session. FRVTA’s legislative consultant Randy Miller will sort out the recent Florida legislative session and explain what impact it has on the RV industry.

Breakout sessions are scheduled for Saturday and include "An introduction to the Internet," "Merchandising Tips for your Parts Stores," "Advertising/Marketing to the Baby Boomers," "Financial Planning and Employee Benefits," and "Sales Tax Audits and General Legal Question and Answer" session.

Contact FRVTA at (813) 684-7882 for more Information.

 

Go RVing Campaign Timed Right

According to Researcher

The introduction of the Go RVing Coalition’s national advertising campaign was right on target based on preliminary findings from the upcoming University of Michigan study of the RV market, according to Dr. Richard Curtin, director of consumer surveys at the university’s Survey Research Center.

Speaking at RVIA’s Committee Week, Curtin said the current economic situation and demographic trends in the RV market have helped create the right environment for the three-year, $15 million promotional effort.

"My main conclusion from looking at the data is that results indicate the timing and potential of the Go RVing campaign is quite substantial," Curtin said.

The nation’s current economic situation is working in favor of the RV market and the campaign, according to Curtin.

"The first bit of good timing is that the industry introduced a campaign exactly at the moment when consumers are the most optimistic and confident about their current and future situation," he said.

He cited several factors that point to continued strong economic health, including a 30-year high in consumer confidence, the lowest unemployment rate since the mid-60s and low inflation.

Curtin also downplayed rising interest rates. "The best thing to sustain this economic expansion and to sustain growth in RV sales is maintaining an economy with low inflation, even if it means a quarter point on the interest rates," he said.

Examining findings from the new RV market study, Curtin reported that 8.6 million households now own an RV up from 8.2 million households in the 1993 study. RV ownership continues to increase by about 100,000 households each year.

However, ownership rates among vehicle-owning households inched up only slightly from 9.6 percent in 1993 to 9.8 percent in 1997.

Curtin also reported that although overall purchase intentions were down marginally among current owners, former owners and new market entrants, intentions among those age 35-54 changed very little or increased. Among those who have never owned an RV in this age group, it gained four percent.

"This is another element of my timing scenario. Based on these results the industry should be doing something to stimulate interest," Curtin said. "That’s what the Go RVing campaign is all about, and it’s focused on the area with the most potential."

The aging of the baby boomers continues to hold great promise for the RV industry. Through the early part of the next century, the number of consumers age 45-54, who comprise the industry’s prime ownership market, will increase by 10 million households.

"If the industry can follow the baby boomers until they are through this age curve, the increasing rates of ownership combined with the increasing millions in this age group promises great returns," Curtin said.

"The RV industry not only showed good timing with the Go RVing campaign, but also good judgment," said Curtin. "Both will come together to provide very favorable prospects during the next decade."

This is the fifth study of the RV market performed by the University of Michigan Survey Research Center since 1980. The new research is expected to be completed and released this fall.

 

Park Management School Opens for

Fall Session Next Month

The National RV Park Institute (NRVPI) opens a new training session September 28 and continues through October 3, 1997. The education program will be hosted by an operating RV park in Plymouth, CA. NRVPI targets new and experienced park/campground operators. According to Judy Miller of NRVPI, classes are filling rapidly, however, space is still available.

During the week-long session, students will attend 40 hours of classes covering a variety of topics pertinent to park management and taught by experts in their field providing a true "hands-on" learning experience. Attendees can also earn about half of the credits needed for the ARVC Certified Park Operator (CPO) designation.

Enrollment fees for the week-long course are $650 per person and include all classes, meals, and handouts.

For more information, please write, call, or fax Executive Services Group, PO Box 5578, Auburn, CA 95604, 916/823-1076 (phone), 916/823-6331(fax).

 

Morgan Group Declares Quarterly Dividend

The board of directors of The Morgan Group, Inc. (AMEX:MG) declared a quarterly cash dividend of $.02 per share of Class A Common Stock and $.01 per share of Class B Common Stock. The dividend is payable on July 21, 1997 to shareholders of record on July 7, 1997.

 

Country Coach Employees Earn 2nd Quarter Bonuses

Country Coach, Inc., recently notified 382 qualifying employees that they have earned a bonus pay out totaling $222,755 (averaging $583 each) as a result of the manufacturer’s second quarter sales. This is the seventh straight quarter in which bonus pay-outs have resulted for reaching gross profit and sales goals. In addition, a total of $91,200 in company match funds was contributed to participating employees’ 401k retirement savings plans.

In the past seven quarters $1,543,546 has been paid to eligible employees, who have averaged over a 10 percent bonus for each of the last two years. The two-part profit sharing program is based on sales, productivity, and projected profit goals.

_____________________________________________RVN

 

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