Camping World Holdings, Inc. has announced plans to acquire Edmundson RV, based in Edinburgh, Indiana. According to a press release, the acquisition is expected to close in the first quarter of 2024.
The acquisition will add a new location to Camping World’s portfolio, increasing the company’s presence in Indiana to four locations. The new Edmundson RV location will span nearly 18 acres and will feature 34 service bays. Notably, this will be Camping World’s first exclusive Forest River location in Indiana, as mentioned in the release.
Aiming for Market Leadership
Marcus Lemonis, chairman and CEO of Camping World, expressed enthusiasm about the acquisition. “Edmundson RV has a strong presence in Indiana and helps widen our #1 position in the state,” Lemonis said. He also revealed the company’s ambitious plans to expand its dealership count to over 320 locations over the next five years.
Camping World’s growth strategy includes a mix of acquisitions, new store openings, and establishing manufacturer-exclusive locations. According to Zacks, the company had set a goal at the beginning of 2023 to expand its store count by 50% over the next five years, adding more than 90 locations. As of now, Camping World has successfully opened, acquired, or signed letters of intent for 30 locations.
Innovative Approaches
The RV giant is not just focusing on traditional expansion methods. In the second quarter, Camping World introduced a new dealership growth strategy called “manufacturer-exclusive stores.” The company has secured agreements with several manufacturers, including Keystone, Forest River, Airstream, Coachmen, Alliance, and Grand Design, to launch these exclusive locations.
As for market response, shares of Camping World have increased 5.7% in the past six months, according to Zacks. This is noteworthy, especially when compared with the industry’s 10.4% rise during the same period.
The RV industry is highly competitive, with several players vying for market share. Acquisitions like this one could potentially reshape the competitive landscape, offering both opportunities and challenges for other industry members.
