WLBT 3 - Jackson, MS: RV Sales: An Economic Indicator?

RV Sales: An Economic Indicator?

They've been called a bellwether of economic times. For the past thirty years, rv sales have dropped before each decline in the economy.  

Mickey and Lucille Anderson's rv hasn't gone anywhere in the past few months. That's because the Pearl couple has chosen to keep it parked because of increased gas prices.

Mickey Anderson says, "It's nice to be able to say, 'honey, get me a glass of tea' while you're driving down the road, but that luxury has a price tag on it, and that's making the payments and filling the tank up."

The Andersons originally bought the rv just under 10 years ago, hoping to let the good times roll during retirement. Well, they both retired in 2006, and all that's rolling are the payments-- the two are still paying it off. And with the rv getting about eight miles a gallon... Anderson says, "I'll probably take a box of kleenex to the pump with me to keep the tears out of my eyes when i see the numbers rolling over."

At Turning Wheel RV in Jackson, sales are down compared with last year. But general manager Dale McGee says he's still optimistic about closing the door on sales. "We're not hurting. We're just tightening our belts and getting ready for more good times. We expect the market to be back booming before this time next year."  

The 15 billion dollar industry has had a reputation as a good indicator of the economy in general. That's because, for the past three decades, deliveries of motor homes and travel trailers have dropped before each decline in the U.S. economy.

McGee says, "A lot of one location shops are having difficulty. Some have even closed."

In fact, Winnebago announced recently that it would close a factory. And stock for each of the five largest rv makers declined last year. But McGee is buckling his seatbelt and driving full speed ahead. Turning Wheel is one of the south's largest rv dealers, and is looking to expand.