Are budget RVs really possible?

[George Lowry]

Mike,

You have touched on just some of the problems. Everyone wants a
Cadillac for the price of a used Yugo. Remember that the average RV is
used for two weeks a year plus a couple of weekends and only gets
about 2,000 miles on it per year. That makes the value go down as
compared to price.

I have, for sale, a GM 4106 coach that is, in many ways, superior to
the '95 Wanderlodge we have, however, finding people who want and can
afford such a coach is difficult. Most do not have the cash to buy
and the financial industry is completely ignorant of anything that is
not in KBB making loans next to impossible. They way most dealers are
able to sell is to give recourse to the lending institution, meaning
that if the buyer defaults on the loan, the dealer will repossess and
make the loan good, the dealer standing all the loss. If you are
established enough, you can handle the volume.

The RV industry has done a good job of brainwashing the public to
think that ONLY vehicles produced in a factory can be quality. The
startup costs of such a factory and distribution are, as you pointed
out, daunting.

George Lowry
'95 WBDA 4203 & GM 4106 (for sale)
Spearfish, SD

Mike Hohnstein wrote:

> Sure, I can go with that. First, start a company to do make the
> product. Design the product and set up the manufacturing
> procedures. Oh, you will need some kind of distribution net work
> or a way to get your production to the end users. Oh, it's a motor
> vehicle that people are going to ride in, I'll bet there are some
> hoops that Joan Claybrook and her friends at the highway safety
> hand wringers group will want you to jump through, for the children
> of course. Let's see, how many will we need to build, uh better buy
> some trucks, and some materials to build the coaches with, wow,
> that's a lot of stuff to pay for before I sell a damn thing.
> Better go to the banker and see if he believes I can do this thing,
> that seems like such a piece of cake. You mean they have to look
> good so people will buy them? Doesn't any one see that they are
> FUNCTIONAL? and priced real well? I don't get it, why am I
> bankrupt? Get the picture Jim? Ever been to Elkhart IN? The
> place if full of great RV Ideas, most sink, some swim. Winnebagos
> been swimming a long time, it's not a product I would want, but
> there are a lot of people who are content with their stuff and
> those products made by them and their peers. You need to get busy
> and build what you want and maybe you might be able to make a
> couple on the side and use the "profits" for your retirement. I
> went through the home built deal a couple of times, still have one
> of the rigs, I could have bought used product for less money but I
> got the EXPERIENCE, and that's worth a lot to me. Mike Hohnstein
> Germantown, WI 83FC35
>