52-Card Pick Up

(L to R) RV Retailer’s senior leadership team is Larry Hall, Explore USA Supercenters president; Donny O’Banion, Motor Home Specialist president; Jon Ferrando, president and CEO; Jim Humble, West Region president; Don Strollo, East Region president; Brad Leach, Tom’s Camperland president.

RV Retailer’s leadership team in 2021 helped the organization acquire 52 locations in 52 weeks. The dealer chain is adding facilities and programs to meet overwhelming service demand as it simultaneously builds the RV industry’s most extensive employee training program.

By RV News Sta | Photos by Adrian Shelby Photography

Less than four years ago, RV Retailer was merely a plan—a strategy—an idea yet to come to life. T ranspla nted business leaders from the automotive industry laid out a framework to create what they envisioned as a world-class, transformative RV retail company. e foundation of their initial vision centered around: • Creating an unmatchable RV consumer experience. • Developing a company culture focused on the diverse associates who would build and make the company successful via unprecedented training and access to successful RV business leaders with proven experience. • Seizing opportunities to acquire dealerships at competitive multiples to enable rapid growth. RV Retailer President and CEO Jon Ferrando started the team capable of executing the grand vision by hiring Raul Rodriguez to lead corporate development. Later in 2018, John Rizzo was brought on as a co-founder and Hanover, Maryland-based private-equity rm Redwood Capital Investments joined. Shortly after, more auto team transplants joined. e company’s rst dealer acquisition—Alvarado, Texas-based Motor Home Specialist—was purchased in July 2018. RV Retailer then enlisted a man who would become a key player to the business’ new leadership team, Donny O’Banion.

Motor Home Specialist, at the time, was touted as the No. 1 motorhome dealership in the nation. In 2017, the company’s annual revenue was estimated at $275 million. e 80-acre dealership retailed about 2,200 vehicles annually. O’Banion helped make that happen.

We had a bold plan, and we exceeded it.”

– Jon Ferrando

At the time of acquisition, Patrick Sissman, Redwood Capital Investments vice president, said, “Motor Home Specialist is a unique and di erentiated RV retail business, which will provide a strong foundation for future growth.”

“I am thrilled to partner with Jon Ferrando and the RV Retailer team as we lead Motor Home Specialist to new heights,” said O’Banion, then Motor Home Specialist CEO. “Collectively, we are in a great position to capitalize on signi cant growth opportunities for the business, while providing excellent career opportunities for our associates.”

Four years after O’Banion joined the team, the Texas executive has had an immense impact on RV Retailer and how it operates, Ferrando said, well beyond the mere borders of the Lone Star State. O’Banion’s leadership and strategic success were assimilated to some degree in other locations.

RV Retailer’s third dealer acquisition added RV One Superstores’ Don Strollo into the leadership fold. At the time, RV One had ve locations and by sales volume was listed as the fth-largest dealer chain in the U.S., retailing an estimated 8,000 vehicles annually. Stroll’s expertise and experience enhanced the company.

As evidence, RV One-branded stores have now grown from the initial ve locations that joined RV Retailer to 17 stores spanning seven states.

According to Ferrando, the two acquired dealerships serve as examples of the impact RV Retailer and its collective leadership have had on all businesses they have subsequently purchased—each reaching new levels of success after joining RV Retailer.

“We were able to put together, in my view, the best RV retail company on the planet early,” Ferrando said. “ at has allowed us to execute on acquisitions with an incredible track record of growth on every single deal we have done.”

RV Retailer’s leadership conducts a panel discussion at the third annual Leadership Summit. (L to R) Ferrando, Hall, O’Banion, Humble, Strollo and Leach.

Joe Lazzarino, ExploreUSA Supercenters, asks a question. Anthony Sahli, RV Retailer market vice president.

RV Retailer leaders gathered on the Mercedes-Benz Stadium fi eld in Atlanta for day-long Leadership Summit presentations. Colerain Family RV’s Brandon Honeyman.

In less than four years, the dealership has become the country’s second-largest RV dealer chain, second only to Camping World, with 94 stores across 29 states. RV Retailer employs more than 3,500 people.

“We had a bold plan,” he said, “and we exceeded it.”

Scaling Up At the end of 2018, the company had 17 stores. e following year four more acquisitions encompassing eight stores pushed the count to 25. A year later, 13 more stores were added. Last year, the location count exploded with another 52 locations in 52 weeks.

“Our team certainly has the capability to go out and do something special. I would say 2021 was absolutely incredible,” Ferrando said. “ e level of growth we had and how well we did it. We have the bandwidth, the team and certainly the capability to grow at whatever pace the opportunities present.”

He credits 2021 results to the senior leadership team, which, along with O’Banion and Strollo, includes three additional regional presidents: Larry Hall, Jim Humble and Brad Leach.

Hall, formally of Ford Motor Co. and Volkswagen, now oversees the company’s Explore USA RV Supercenter-branded stores. Humble came from Colorado-based Cousins RV. He serves as the Western Region president and Leach owned Tom’s Camperland based in Arizona.

“Last year our team did an exceptional job. If we missed a beat on an acquisition, there would be a course correction…. We haven’t,” Ferrando said. “Every single store and business we have brought in is performing at a high level. It is growing in new RV sales. It is growing dramatically in service and parts. We are executing at a high level.”

New acquisitions begin with a studious review of geography. RV Retailer executives rst examine markets to determine where to expand. According to Ferrando, the process involves examining cities, business locations and regional market areas that stand out with RV consumer demographics. Recent expansion areas have included the Southeastern U.S., Texas and Western states.

“We are looking at the markets and then determining who the best dealers are in those markets that would align with our culture, our focus,” Ferrando said.

Identifying RV brands at businesses also factors in, he said, as well as opportunities to add brands to a potential location. Ferrando said adding brands/ models to acquired dealerships typically results in signi cant sales increases.

“ at allows the team at the store to thrive as we grow,” he said. “ ey can make more money. ey have a better career opportunity. en the manufacturers, of course, appreciate it when we drive sales up.”

The ability to service customers and build a great ownership experience a er the sale is significant. The dealers and OEMs that do that over the next decade will be the big winners.”

– Jon Ferrando

Ferrando said stores need not have top-notch facilities to be considered. If they do, that is fantastic, but he said the team will make signi cant investments to support the dealerships and their associates and customers with an attractive facility.

He cited the 2019 Camper Country RV acquisition in Myrtle Beach, South Carolina, as an example of RV Retailer’s commitment to improving locations. e store was renovated before being rebranded as an RV One Superstore. e improvements and investment had an immense impact.

“We literally quadrupled the sales the rst day we stepped in there, and we built an exceptional business,” Ferrando said. “We have been able to replicate that time and time again…by having this exceptional team of auto dealer and larger-company growth expertise, matched with the best RV retailers on the planet.”

Another example is an Airstream dealership in Austin, Texas. e dealership operated from a doublewide trailer. After the acquisition, RV Retailer planned to build develop a now 23-acre site bigger and better. e dealership will soon feature dual primary facilities branded Explore USA and Airstream of Buda. An estimated $ 20 million-plus investment is transforming the location.

“We are in the process of building a brand-new, world-class facility there to represent the Airstream product along with other products in that market,” Ferrando said. “We are also willing to make other major facility investments where it makes sense….”

Personnel Touch Some dealerships avoid openly discussing being acquired with employees until the last possible moment. RV Retailer’s team does the opposite. e entire senior leadership team is involved, rst on the ground, from the acquisition announcement through transition and closing, then pushing the store toward a successful future.

Ferrando describes the process as “high-energy, high-touch onboarding.” He and the entire senior leadership team rst welcome new employees into the company. Discussions center on their commitment to training and development, on adding RV lines and immersing associates into the new corporate culture.

“We are going to support them. We are going to invest in them. We are going to invest in their facilities,” Ferrando said. “We are really focused on building a culture of investing in our people, believing in our people, caring about our people. We want that to come through at the very beginning when we step in to announce an acquisition.

“It is one of the most important things I do. It is one of the most important things our team does,” he said. “We work hard at it. It is important to communicate who we are and the exciting company they are joining,

sharing our outlook on the industry, and that we are acquiring more stores and building new stores because we believe in the industry and the future of RVR— and that is a commitment to them.”

Service and Training Coming from the automotive industry, the co-founders detected a “massive” unmet opportunity to service RVs. Ferrando said parts and service, if done right, are very pro table segments of the business and build customer loyalty.

“ ere is not nearly the service capacity and service parts infrastructure for all the RVs that have been sold during the last few years,” Ferrando said. “It is an opportunity for us to grow a signi cant service and parts business, which we have been doing. e ability to service customers and build a great ownership experience after the sale is signi cant. e dealers and OEMs that do that over the next decade will be the big winners.

“If you can service a customer after the sale, and you do it well, they are three times more likely to come back and buy their next RV from you,” Ferrando said. “It will be an incredible growth driver for the company, and frankly, it is great for the industry.”

Historically, getting a service appointment at a dealership is only half the battle. RV Retailer seeks to change that, led by e orts from Chris Glenn, VP, service, parts and technology. In early 2021, the company partnered with the RV Technical Institute (RVTI). RV Retailer became an RVTI authorized learning partner and set a goal to train 500 service technicians and certify them within a year. RVTI Executive Director Curt Hemmeler said, by the institute’s count, RV Retailer blew past the goal last year. e company built three RVR University Training Centers in Charlotte, North Carolina, Dallas and Salt Lake City. Training programs began even before the rst training center was built. In 2020, the dealership launched its general manager program, a one-year development track for current and future GMs. e rst class graduated at the end of 2020.

“We knew we had something really exceptional in terms of tremendous leadership development for our all-important current and future store leaders,” Ferrando said. “It is a big investment. Really, no one has ever made that level of investment in people in the RV industry. We brought it over from what we did in automotive, and we are working hard to make it even better.” e company hopes to train 1,000 associates and leaders in 2022. Training will expand to include service technician, tech apprentice, and tech mentor programs. Sales, F&I and new leadership programs will also begin.

Additionally, RV Retailer is developing on-site training through web-based classes and videos, and trainers are visiting stores to teach. e work is spearheaded by Taylore Elliott, vice president and chief human resources o cer.

We are in it for the long term. This is not some kind of race to get to a store number goal.”

– Jon Ferrando

“As an industry bene t, as a company bene t, we want to meet that unmet demand,” Ferrando said. “Massive unmet demand, the opportunity to build customer loyalty, we want to go after it in a major way.”

Customer Experience RV Retailer also is focused on creating an amazing customer experience.

“Part of our core purpose as a company is to allow customers to go see America, travel with family and friends,” Ferrando said, “discover and enjoy the great outdoors and create lasting memories.”

To keep RVers connected, the dealership created its RV Complete branded program. Kurt Hornung, VP, nance and insurance, helped launch and promote the program while Famous Rhodes, chief marketing and technical o cer, is ensuring consumers’ digital awareness of the product. e exclusive o ering includes a diminishing deductible service contract. e free one-year plan o ered with all new and used sales includes 24-hour technical assistance and roadside assistance, paintless dent repair, key replacement, vehicle lockout help, towing assistance and trip-planning aid.

Consumers can reach a 24-hour call center through the RV Complete app. Technical assistance can address issues such as awning failures or water heater malfunctions. Previously, Ferrando said many RVers would contact a salesperson for help. Using the app, consumers can speak with certi ed technicians.

“It has great coverages, and we go the extra mile to ensure if something breaks down, which happens in RVs, they are going to be covered,” he said, “and we can bring them back into one of our 94 stores to take care of them.” ousands of calls ood the technical assistance line each month, which Ferrando said is an indication RV consumers need the service. e o ering works hand-in-hand with the dealership’s other F&I value-added products. Consumers impressed by the one-year free RV Complete contract can upgrade to a ve-year, 24/7/365 package when nancing their vehicle.

“Customers love that, and they buy that,” Ferrando said. “So, it does ow right into F&I and being able to o er and sell those great value-added products to customers. It has been very successful.”

Another popular feature is the app’s turn-by-turn RV travel directions. e app tells consumers the safest route to their destination based on an RV’s size. Using the app, consumers can request priority service appointments. e dealership then partnered with ousand Trails campgrounds to provide 14 nights of free camping for all customers.

“ at actually has been really well-received in our stores and from our customers, and we will do more things like that to help build out a better experience for the customer,” Ferrando said.

Future Growth According to Ferrando, there is no set acquisition goal in 2022. Instead,

Taylore Elliott, vice president and chief human resources offi cer. (L to R) Jason Groesser, Paige Bouma, Nicole Schantz and Mark Halick of RV Trader with Rhodes.

(L to R) The RV Retailer marketing team includes Elisha Bendele, Megan Desautel, Elvis Sangrona and Brian Saal, president, Ophir Consulting. (L to R) Saal, Mike McFadden and Allen Greeley.

RV Retailer’s leadership includes (L to R) Chris Glenn, VP, service, parts and technology; Kurt Hornung, VP, fi nance and insurance; Humble; O’Banion; Hall; Strollo; Ferrando; Leach; Raul Rodriguez, senior VP, corporate development; Elliott; Tim Benter, corporate VP, general counsel; John Rizzo, executive VP and co-founder; Famous Rhodes, chief marketing and technical offi cer.

Ferrando kicks off a class at the RV University Training Center in Charlotte, North Carolina. Ferrando kicks off most training programs as a way to spend time with many company leaders.

(L to R) Larry Crawford, RV Retailer national trainer, talks with Jibreel Lockhart, co-founder, Petram Analytics, during a break from presentations.

the dealership will be opportunistic, making sure additions are high-quality stores in needed markets, acquired at the right price and a sustainable pace.

He said some potential sellers spoke with the company for two or three years before determining the time to sell was right.

“We are patient,” he said. “We are in it for the long term. is is not some kind of race to get to a store number goal.”

RV Retailer will continue customer experience investments—such as facilities, training and technology—and encourage organic growth in its current 94-store group.

“We will always be measured and prudent on our growth,” Ferrando said. “We believe in the long-term demographics of the RV industry. ere is still a lot of opportunity to grow over the next decade. We are very focused on growing the business and building the business for the long term.”

We are really focused on building a culture of investing in our people, believing in our people, caring about our people.”

– Jon Ferrando