Although RV sales have dipped, demographics are strong, Blue Compass CEO says (Courtesy of the Jacksonville Business Journal) — Sales of recreational vehicles have dropped in recent months, the CEO of one of the largest RV dealer networks in the country said — but the demographics underpinning the industry still look strong.
“Covid drove people to want to experience life more in different ways, and we’ve been a beneficiary of that,” said Jon Ferrando, the founder and CEO of what is now Blue Compass RV.
Ferrando was in Jacksonville recently for the unveiling of the company’s new brand, which is uniting the company’s 100-plus dealerships under one identity.
Blue Compass is one of the fastest-growing RV dealership in the country, with stores in 33 states generating more than $3 billion in annual revenue. Its growth path includes the 2018 acquisition of RV One Superstores, which owned the Jacksonville dealership on Merrill Road.
Florida is a big market for Blue Compass, Ferrando said, speaking after a ribbon cutting at the former RV One dealership, one of nine locations the company has in the state, including one in St. Augustine.
“There’s still a ton of baby boomers — 10,000 a day are retiring between now and 2030,” he said. “That’s a core customer base for us, especially in Florida.”
RV sales have long been considered a leading indicator showing where the economy is going, slowing down before downturns in 2001 and 2007.
The pandemic was a boom time for the industry, with shipments of RVs jumping from 430,400 in 2020 to 600,240 in 2021, according to the RV Industry Association.
But consumers have taken their foot of the accelerator: Last year, sales fell to 493,270.
In recent months, RV sales have been impacted by everything from higher gas prices to rising interest rates, Ferrando said. “It’s caused consumers to slow down and take more time to make their purchase decision,” he said. “But the great news is the underlying demographics haven’t changed.”
Remote work has also been a boon, he said.
“There’s a lot more flextime, people working in their RVs, people taking longer weekends,” he said. “That’s why we’re investing in growth and our brand and the business.”