GUEST: Mr. Craig Kirby, President and CEO of the RV Industry Association
What's the current market condition in the U.S.? Would you share with us?
Mr. Craig Kirby: 2021 proved to be a banner year for the U.S. RV industry, with record-breaking shipment numbers and unending demand for RV products. And despite the headwinds presented by COVID and never-before-seen supply chain challenges, the outlook for RVing and outdoor recreation continues to be very favorable well into the future. As I looked back on the past two years and how much our industry accomplished, it truly is remarkable.
RVing is at an all-time high. In 2021, the RV industry shipped over 600,000 units - a new record eclipsing the 504,000 units we shipped back in 2017. And while our recent growth has been impressive to say the least, the truth is our industry has been growing for the better part of 40 years.
For the first quarter of 2022, RV shipments are up 15.5% against the same point last year with 171,466 wholesale shipments, setting new high for shipments in any single quarter. Industry forecast points to continued consumer interest which will boost shipments in the first half of the year.
Although the pandemic situation worldwide is still not showing significant improvement we are seeing increasing demand for RVs. What do you think it's the reason for the increasing demand during the pandemic?
Mr. Craig Kirby: As I mentioned earlier, the RV industry in North America has been growing for the better part of 40 years. This is also true for other major markets in the world. RVing provides an economical, convenient, and healthy way for people to travel, to vacation, and to experience the great outdoors. Our research shows that 65 million Americans plan on going RVing this year.
Today, one-in-four leisure travelers are considering purchasing an RV and 36% of leisure travelers are planning an RV trip this year. Why do so many people want to go RVing? Because people want to spend time with family and friends, to explore the outdoors, and to use an RV as a basecamp for other types of outdoor recreation. While the motivations haven’t changed, the demographics of RV owners have started to shift. Recent consumer surveys found that 22% of RV owners are under the age of 35. Additionally, nearly a third of RV owners (31%) are “first-time owners,” underscoring the growth of the industry in the past decade.
While the demand for RVs had been growing before the pandemic, COVID-19 only heightened people's desire to travel in the protected and flexible environment RVs provide. In addition to cost effectiveness and convenience, research also shows that majority of RVers say RVing and camping reduces stress and contributes to their emotional well-being. As the pandemic has created permanent ripple effects in the way people work, more people find that remote work from RVs is an excellent alternative they enjoy. The phenomenon is seen in other parts of the world, including China.
As a more matured market for RVs, what are the experiences you think are worth recommending to other countries?
Mr. Craig Kirby: The RV Industry Association has always prioritized our efforts on safeguarding the healthy growth of the RV industry as well as providing safe and quality experience for RVers. Our continued success comes from our industry working together and focusing on creating a favorable business environment that promotes and protects the RV industry; it’s our mission and the purpose behind our signature programs. Our signature programs are critical to not only maintain our momentum, but to develop the infrastructure necessary for the continued growth of the industry. Without question, our most critical program is self-regulation. You cannot put a price on its value. For decades, manufacturers and suppliers have worked together to develop standards that provide a safe experience for RV owners. Through hard work and unity, we now have one set of national standards. We are unique in how the industry constantly challenges itself and is always working to make our standards even better.
Our multi-tiered government affairs and advocacy program not only educates and influences federal lawmakers and regulators, but also extends nationwide into individual states. Over the course of the last several years, the RV Industry Association has produced favorable results in several key states that have improved our members’ ability to do business. On the heels of our successful efforts to secure passage of the Great American Outdoors Act, we once again partnered with the Outdoor Recreation Roundtable (ORR) and our champions in Congress to get the Outdoor Recreation Act introduced in 2021. This legislation would increase and improve outdoor recreation opportunities across the nation, while improving infrastructure and driving economic and job growth in rural communities.
By the joint efforts of the industry, we founded the RV Technical Institute where we’ve made a multi-million-dollar investment in training more technicians for the purpose of delivering a first-class experience for consumers. Recently, we also formed a campground task force with key members of the RV Industry Association, the Association of RV Parks & Campgrounds (ARVC), state campground associations, and campground operators, to focus our collective efforts on enhancing the customer’s experience and removing obstacles to campground modernization and growth. There is much work to be done in the campground space, and this is going to be major priority for the association moving forward.
Our hugely successful Go RVing program continues to be the industry's pride in promoting the RVing lifestyle. The Go RVing team has utilized a broad mix of media and digital platforms to help attract new and diverse consumers to RVing, while at the same time developing resources for the many RV “newbies” who have come into the fold. Over the past year, the team has tapped into its network of influencers to create over 100 pieces of video content to help explain and familiarize consumers with the intricacies of the RV experience.
Finally, we are committed to promoting outdoor experiences while encouraging and promoting sustainability, diversity, safety, and the many community activities of our member companies, and will continue to provide a forum for our members and the wider RV industry to make positive contributions to our environment and communities across the country.
RVIA is a leading organization of the industry. As a member of IMTA, how does RVIA plan on introducing and integrating RVing with mountain tourism?
Mr. Craig Kirby: The RV Industry Association led the effort in establishing the Outdoor Recreation Roundtable (ORR) - America's leading coalition of outdoor trade associations and organizations working to promote the growth of the outdoor recreation economy and outdoor recreation activities. ORR currently has 36 members and many of them are closely related to mountain tourism, including America Outdoors, American Mountain Guides Association, American Sportfishing Association, American Trails, Association of Outdoor Recreation and Education, International Snowmobile Manufacturers Association, Motorcycle Industry Council, National Forest Recreation Association, National Association of RV Parks & Campgrounds, the National Park Hospitality Association, National Ski Area Association, Outdoor Industry Association, Professional TrailBuilders Association, Recreational Off-Highway Vehicle Association, SnowSports Industries, Society of Outdoor Recreation Professionals, and Sports & Fitness Industry Association.
RVing is always a means to an end. As I said earlier, people use RVs as a basecamp for other types of outdoor recreation including recreational activities people enjoy in the mountains. RVing connects people to the mountains where they go for hiking, fishing, off-roading, biking, skiing, and many other leisure activities. RVing brings tourist dollars to mountain areas.
The RV Industry Association welcomes the opportunity to introduce RVing to other IMTA members as well as local governments in areas where there're potentials to grow mountain tourism. The RV Industry Association and other ORR members would be happy to work with IMTA to promote mountain tourism.