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 > Manufacturers: who has staying power

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mdprince

Santa Clarita, CA

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Posted: 06/13/08 12:38pm Link  |  Quote  |  Print  |  Notify Moderator

chastho wrote:

Looks like the survivers will be the ones that are owned by people on this forum.


lol - you've been reading the sigs !!!

don't know much about the smaller companies but I would venture a guess that Fleetwood and Monaco would still be around - 10 years is a long time !


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Phillerup

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Posted: 06/13/08 12:42pm Link  |  Quote  |  Print  |  Notify Moderator

sleibo24 wrote:

Blue Bird did not file bankruptcy,


Not to dispute you - you probably know more about it since you own one ----BUT - If you will Google the words Blue Bird Bankruptcy - and read the available articles - it sounds like they filed to me and it was approved by the courts and the restructuring and sale was done afterwards. I still like the coaches though.



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Boxer Lovers

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Posted: 06/13/08 12:45pm Link  |  Quote  |  Print  |  Notify Moderator

Did I miss Country Coach?


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gonesouth

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Posted: 06/13/08 01:18pm Link  |  Quote  |  Print  |  Notify Moderator

I'd say the ones that will survive will be in three classes:
1) The ones who figure out how to provide superior quality and get owners loving them - Tiffin being the prime example, Feeling the love will allow them to charge more for their products and thus support the high cost of being a US manufacturer. It will require ruthless pruning of the product line and production costs, and an overriding committment to quality and owner support, and there's probably only room for one.
2) Those who figure out how to get them built in China or India with low production costs, which will probably be the big guys like Fleetwood, Winnebago, Thor and Monaco, and possibly Warren Buffet's Forest River. This is not an easy thing to do, but they may be able to lower their costs enough to keep a low cost mass market position in the marketplace, and still make a profit. Not all who try will make it.
3) The small specialty outfits like Country Coach, Newell, Bluebird, and Marathon who specialize in top-line products at top-line prices.

In every case the leveraged outfits will have to do a spectacularly good job of either building their brand or outsourcing to be among the survivors. Those who are financially stable now will have an edge, as long as they feel the need to move quickly and push hard. If they are complacent, they won't make it. But which ones actually make it will be a surprise. Remember the saying about knowing you're to be hanged in the morning concentrates the mind wonderfully? You're going to see it in action in the next 5 years.

Unless Newmar focusses hard on quality and owner support, AND develops a personal brand for the chief, as in "Bob will look after you, even after the warranty's over", sorry Deen, but I doubt they'll be in the long-term survivors. They're too big and too far down the market to survive as a small specialty guy, and probably too small and too far up the market for outsourcing to work for them. Their only option is to show how their products are worth more, and I think Tiffin's got that space. but if I was running Newmar, that's the space I'd be shooting for.....six or seven year warranty, service centres around the country, good online support, etc.

* This post was edited 06/13/08 01:25pm by gonesouth *


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The Texan

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Posted: 06/13/08 01:36pm Link  |  Quote  |  Print  |  Notify Moderator

chastho wrote:

The Texan wrote:

Rich_in_Florida wrote:

rotts4u wrote:

From a pure financial standpoint I would bet on Tiffin. Family owned with little to no debt and it is usually the overhead from high interest financing of the business that dips into cash flow and then forces these high rolling fast growth companies to file chapter 11 or 7.


Interesting point. Have the younger Tiffins committed to take it all when the older Tiffin(s) retire to Tahiti?
The younger Tiffins took them to the brink of bankruptcy a few years back when Bob did retire, the 1st time. He had to return and take back control, in order to save the company. I would not bet my money on Tiffin RV being a survivor, when Bob is gone.
And where did you get that info? Surely you would not make a statement like that without the facts to back it up. What year was that and how much money did they lose? Was that over a one year period or two or five?
You can do your own research, just like I did. Those that were owners back then will tell it like it was.


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Rocket_Heart

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Posted: 06/13/08 01:48pm Link  |  Quote  |  Print  |  Notify Moderator

As much as I hate to say this I don't think there will much of an RV or recreational industry at all. We are talking a global crisis here folks. Should gas continue the way it is descretionary income is the first thing to go. (As we are already seeing) We'll be lucky if any of the big 3 automakers are around. I don't think Chrysler (not Dodge) has one car that get's 30mpg highway.

I am really praying that things will turn around and judging by the past (70's oil crunch) maybe they will. But none of us knows anything for sure - myself included. At best it's speculation and hope.


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whizbang

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Posted: 06/13/08 01:56pm Link  |  Quote  |  Print  |  Notify Moderator

gonesouth's answer comes closest to it.

Too losely paraphrase/summarize:

Those who satisfy their customers AND keep their costs in line.

PS --- I hope that includes Newmar.


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Hurricaner

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Posted: 06/13/08 02:00pm Link  |  Quote  |  Print  |  Notify Moderator

The only ones that will survive is the ones that can diversify there business into something else. For instance Thor makes shuttles for airports and NP. If gas prices keep going up and stay there for very long, very few will survive.

Sam


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v8q

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Posted: 06/13/08 02:20pm Link  |  Quote  |  Print  |  Notify Moderator

Privately owned, smaller specialty coach builders likely have the best initial chance. They have no stockholders to throw them out...
Newell, Foretravel (new owner group have REALLY deep pockets), Tiffin, Lazy Daze (for 'C's) probably 2 of the 5/6 Prevost converters.


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Dennyf

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Posted: 06/13/08 02:54pm Link  |  Quote  |  Print  |  Notify Moderator

Jayco would be my choice for a company that will be around and doing good. I know that they ventured into Class A's awhile back and gave it up but the rumor is that they will be building them again and soon. I own a 2003 class c of thier's and far past warrantee. I have had a leak problem in the rear side wall window area since i bought it new. Caulking and even replacing the window after the warantree was up, at no expense to me,this was done in 2005 did not stop the leak. It wasn't a constant leak but now in 2008 it had developed into a real problem. I took pictures of all the tests i did to eliminate the window being the source and explained in a long letter what i thought was happening. To make a long story short Jayco will take my motorhome back to the factory in the fall to completely remove the top and all sidewall area where there is delamination. All 31 feet of the top gone, roof, ceiling etc and the best part is that there is no cost to me. Now that is a company who stands behind there product and people will remember and they will be around 10 years and much longer. They also are a private company and doing well even in this slow economy. I know who i will buy from in the future. Denny


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