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Recreational Vehicle Market revenue to cross $80 Bn by 2032

  • Published Date: February 10, 2023

Recreational Vehicle Market size is set to exceed USD 80 billion by 2032, according to latest research report by Global Market Insights Inc.

The rising consumer spending on recreational activities such as tourism and camping is creating a positive impact on industry growth. Travelers prefer road journeys over traditional holiday packages which are elevating the demand for RVs such as fifth wheels, motorhomes and travel trailers for accommodation. A high preference for affordable vacations and trips coupled with growing spending power will bolster the demand for RVs.

Furthermore, the availability of multiple styles and versions of RVs at diversified price points is creating a strong impetus for recreational vehicle market development. Strong GDP growth coupled with increasing disposable income in developing and developed economies will aid product adoption. As per the Bureau of Economic Analysis, in the U.S., real GDP increased at a 2.9% annual rate in the fourth quarter of 2022, post a 3.2% increase in the former quarter.

Low upfront cost of gasoline-powered RVs to impel motorhomes demand

The recreational vehicle industry from the gasoline motorhome segment captured 50% share in 2022, owing to the low-upfront price of these recreational vehicles. Moreover, the high availability of their replacement parts and low cost of repairing along with acquisition is creating a strong impetus for segment progression.

High consumer inclination towards tourism to propel B2C/individual end-use sector

The market revenue from the B2C/individual vertical crossed a valuation of USD 50 billion in 2022, because of the high consumer interest in recreational activities such as exploring new locations, sightseeing, camping, and tourism. Renting an RV is cheaper than hotel stays, which is creating a strong demand for the product. The usage of RVs as full-time accommodation is a surging trend that allows travelers to access home amenities while moving, which is paving the way for market growth.

Browse key industry insights spread across 380 pages with 779 market data tables & 29 figures & charts from the report, “Recreational Vehicle Market Size, By Vehicle (Motorhomes [By Class {Class A, Class B, Class C}, [By Fuel {Gasoline, Diesel}], Caravans [By Type { Conventional Caravans, Tent Trailer, Pop-Top, Pop-Out, Camper Trailer, Fifth Wheeler}]), By Price (Standard, Luxury), By End-use (B2B/Fleet Owner, B2C/Individual), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2023 – 2032” in detail along with the table of contents:

Growing disposable income to foster luxury RV sales

The luxury recreational vehicle market surpassed 200,000 units in 2022, as the increasing per capita income which has resulted in high spending on luxury RVs. The business expansion can also be attributed to increasing investments and the launch of advanced RVs. For example, in June 2021, Airstream Inc., an American travel trailer brand, launched Interstate 24X, to add a new edition to its high-end Class B motorhomes. In addition, rising disposable income has enabled travelers to spend on luxurious RVs, which has proliferated their interest in recreational camping.

Rising trend of electric-powered RVs across Europe

The Europe recreational vehicle industry is said to grow at 4% CAGR from 2023 to 2032, on account of the growing trend of semi-automated and electric-powered RVs equipped with limited self-driving functionalities. Subsequently, it has compelled RV manufacturers to deploy driver assistance features in their vehicles to notify drivers about potential road obstructions.

New collaborations to define the industry’s competitive outlook

Some prominent suppliers in recreational vehicle market include Bailey of Bristol, Buccaneer Caravans, Coachman Caravan Company Limited, Burstner, Barefoot Caravan, Compass, and CMC Caravan, among others. Many of these companies are emphasizing on collaborations to enhance their market position.

For instance, in November 2022, THOR Industries, Inc., a U.S.-based recreational vehicles supplier, collaborated with Harbinger Motors, Inc., a U.S.-based EV manufacturer delivering proprietary EV technology. Through this collaboration, THOR strives to enhance the RV experience through a world-class holistic eMobility innovation strategy, which was revealed in early 2022.

Authors: Preeti Wadhwani, Shamal Gawande