Newmar Price Drop?

[Neal]

Has Newmar ever lowered their prices? In economic conditions such as this and in the past businesses are crippled. I hate to say it but these are the conditions I as a consumer like to buy in. Newmar steadily raised prices over the few past years both from the strong economy but also some believe because they were staging themselves for acquisition and a higher price point. So what's ahead for the consumer in these conditions? Someone recently mentioned 2019 didn't go well and there is excess inventory of the 2019's with fire sales to get the 2020's on the lot. It's going to be interesting times yet again and sadly we all have been through this not long ago and know how to go into conserve mode.

 

[TJ&LadyDi]

Hard to imagine the prices dropping on motorhomes in general because the trade tariff wars have increased costs. Our son is an import-export logistics manager for a well-known power tool company and tells me that costs have increased 25% for their business. And, he says the coronavirus outbreak in China has paralyzed component manufacturers there.

What I fear is that we will see large numbers of business failures in the next year. RVs could be in the forefront of that. Lower prices may not be the issue; availability might be the tough part. As for Newmar specifically, I think the Miller family sold at the right time! Whether Winnebago Industries will survive this downturn remains to be seen.

TJ

 

[sheridany]

The way the market is behaving will only trickle into all industries augmented by the virus crisis. I have wondered in the past few days, if dealers will start to feel pressured to negotiate harder on a coach because otherwise they may sit on the lot for a long time. Of course this is dependent on having adequate capital available to even consider making that type of purchase. If there was a time where the discount off MSRP went beyond the 26-28% range, that time may be upon us in a couple of months if the environment continues. Rates are low and may go lower could also help for those that need financing. For those dealers siitting with a lot of financed inventory on their lots, I don't envy them one bit. All said, this might be the perfect opportunity to buy, if one was inclined, as I bet those dealers have a handsome profit margin to make and would be willing to shave a few dollars off the deal instead of having stuff sit. Probably not so on a special order like Newmar.

 

[Jtrving]

There is a new 2019 King Aire I was looking at in Quebec City tonight that is listed at 617k (USD). That’s a pretty low price - almost 40% off of MSRP. Granted it’s almost 2 MY old, but I’ll bet it could be had for 550 or less if someone held firm on it. Economy is slowing, wintertime up there and if they are financing it they would probably be happy to dump it..


Sent from my iPhone using Tapatalk

 

[Old-RV'er]

What we better hope is that there is not a fire sale and manufacturers go out of business. Newmar (part of winne) is more than likely going to survive. I don't hold that hope for several others, believe like many in the oil patch, too much debt, and lowering sales for 2020 and beyond will put more nails in coffins.

I urge all to stay brand loyal in this case. You may keep company's from going under and being stuck with a brick. I know, I had brick, and it costs me major dollars to rid myself of it.

If you have money in the bank to back up any purchase, you can get great rate from banks now, if colleterial is your money. But I would run amortization on getting loan, and running out payments for 15-20 years, the payback will shock you and if something happens, don't want BH stuck with brick mentioned above.

Don't forget, sales started going down in 2005, long before the collapse in 2008-09. Our economy is most likely in recession now slightly, and I blame our business's in taking all those jobs and plants to China, especially the drug industry, as China threatned today to stop sending drugs here, they have 80-90% of all drug manfacturing, are we stupid or what.