RV Podcast

Behind the RV Backlog: Why they’re sold out for the next year or more

06.16.2021 - By Mike WendlandPlay

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Have you wondered what's behind the RV backlog and why new RVs are sold out for many, many months to come?

As they say, it's complicated. And very frustrating to the industry. Even more frustrating for those who wanted to buy and go traveling in an RV this year.

That's what we dig into this week in Episode 349 of the RV Podcast.

Here's the complete audio version.

And here's the video version, from our RV Lifestyle Channel on YouTube:

But the main reason is the continuing shortage of parts and chassis and the unprecedented, overwhelming demand for new RVs. Quite frankly, most of the major manufacturers are sold out!

The RV Backlog and Dealer Shortages is unprecedented

Let's start with a vivid example of how big this problem is. The numbers from Thor Industries -the world's largest RV manufacturer - are staggering.

Thot's CEO, Bob Martin, was brutally honest in an interview he did with CNBC last week. He said they have $14 billion in backorders for new RVs. Let me say that again: $14 BILLION…with a B.

They are SOLD OUT for the next year

Thor Industries is the company that owns many popular brands including Airstream, Jayco, Dutchmen, Heartland, Hymer, Keystone and many others. It makes tow-able trailers and RVs of all shapes and sizes.

Martin said that demand took off during the pandemic, and it keeps growing day-by-day.. In the US and in Europe, Martin said they are unable to build units fast enough and that what they do build are promised to customers who have been waiting, sometimes for months. As a result, inventory on RV dealer lots is extremely low.

It’s not just Thor. This is happening across North America.

The RV Backlog is the result of a perfect storm of circumstances

A cascading series of events came together to create this crisis:

* First, it was COVID plant closures that halted RV assembly lines for weeks* Those closures also shuttered the factories used by RV suppliers, creating an instant parts shortage.* The resulting delivery issues caused a total breakdown in the supply chain has now put the industry in the never-before-experienced position of having unprecedented, massive demands… but no inventory to give them.

What follows is a series of very candid interviews that unpacks this crisis from the perspective of the three major players in the RV Industry - an RV manufacturer, a parts supplier, and an RV dealer.

A Manufacturer's Perspective in the RV Backlog

Dean Corrigal of Leisure Travel Vans discusses the RV backlog and parts shortages affecting the industry

To get an idea of what it's like from a manufacturer's perspective, we interviewed our friend Dean Corrigal from Leisure Travel Vans up in Winkler, Manitoba, Canada. Here's the edited transcript:

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