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Recreational Vehicle Market size worth over $135 Bn by 2028

  • Published Date: March 10, 2022

Recreational Vehicle (RV) Market size is slated to cross USD 135 billion by 2028, according to a new research report by Global Market Insights Inc. The industry shipments are expected to be around 1.5 million units by 2028.
 

The growing interest of consumers in recreational and camping activities along with high inclination toward spending leisure time on road trips and camping vacations will support the recreational vehicle industry growth.
 

A significant rise in the aging population in North America and Europe is contributing to the growing adoption of RVs. Older adults with high consumer disposable incomes are likely to take part in camping activities and invest in RVs. The high spending capacity of adults in this age group will stimulate recreational vehicle market expansion.
 

Global Recreational Vehicle Market Size By Vehicle

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The prominent factors hindering industry statistics are the high RV operation and maintenance costs. Users incur significant fuel costs due to the heavy weight, large size, and non-aerodynamic shape of RVs. Low fuel efficiency of RVs discourages their adoption in low-income groups. Several critical components and parts integrated into an RV, including engines, driveline systems, and other on-board electronics, also require frequent maintenance, thereby hampering the recreational vehicle market revenue. The development of electric RVs by market players is anticipated to reduce the industry challenges by 2028.
 

Analyst view: “Increasing investments by manufacturers and technology providers in R&D to develop new products will provide an impetus to market growth.”
 

The sales of recreational vehicles witnessed a dip in the first and second quarters of 2020. However, the industry observed a sharp growth in demand in the last six months of 2020, backed by relaxation in quarantine restrictions across key markets. The upsurge in camping activities and vacations without engaging in large crowds is attributed to the increase in market sales. Despite the supply chain disruptions and acute shortage of raw materials & components, RV manufacturers, including Winnebago Industries and Thor Industries, showcased an increase of 30 – 50% in their orders, thereby driving the recreational vehicle business statistics.
 

Browse key industry insights spread across 300 pages with 451 market data tables & 36 figures & charts from the report, “Recreational Vehicle Market Size, By Vehicle (Motorhomes [By Class {Class A, Class B, Class C}, [By Fuel {Gasoline, Diesel}], Towable RVs [By Type {Travel Trailer, Fifth Wheel, Tent Trailer}]), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2022 - 2028” in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/recreational-vehicles-market

 

Growing demand for towable RVs

In 2021, more than 700,000 towable RVs were sold globally. The towable RV segment is poised to grow at a CAGR of about 9% through 2028 led by their wide availability and low costs as compared to motorhomes.
 

The manufacturers are launching new products in collaboration with other partners, thereby creating new opportunities. For instance, in May 2020, Dutchmen RV launched its Yukon model of fifth wheel towable RV. The towable vehicle features spacious floor plans with spread out master bedrooms and enhanced features such as kitchen island, exterior storage, and two fireplaces. The RV was launched as a part of the company’s 2021 product line-up.
 

Increasing demand for tourism sector in Europe

The Europe recreational vehicle market is projected to witness growth at approximately 11% through 2028. High growth in the tourism industry in countries, including Spain, France, and Italy, is contributing to the rising demand for RVs in Europe. The upward trend of rebound tourism in the post pandemic era, after stringent lockdowns, is boosting the tourism sector in the region. According to the data reported by the European Commission, Spain’s tourism is predicted to reach nearly 80% of its pre-pandemic levels in 2022.
 

The increasing prominence of RV rental providers will contribute to the growing industry demand. Rental RV providers are engaging in mergers & acquisitions to increase their market share in Europe.
 

The industry participants are focusing on partnerships & collaborations to launch new products and grow their business operations. For instance, in February 2022, Camping World Holdings, Inc., in collaboration with Eddie Baur, launched a new line of motorized and towable RVs. The firm partnered with the marketing and brand development firm, Authentic Brands Group (ABG), to launch this new product line.
 

Companies are also focusing on enhancing their marketing efforts and designing new strategies to provide a better customer experience.
 

Some of the key recreational vehicle market players include Thor Industries, Pleasure-Way Industries, Forest River, Inc., Winnebago Industries, Airstream, Cruiser RV, Erwin Hymer, REV Recreation Group, Crossroads RV, Skyline Corporation, Fleetwood Corporation, Highland Ridge, Dutchmen RV, Grand Design RV, Kropf Industries, and Keystone RV.
 

Authors: Preeti Wadhwani, Prasenjit Saha