# Profit Margins on Motorhomes



## grumpyman (Sep 24, 2006)

I never really had much idear of what the Profit Margin may be on Motorhomes until I spoke to a old friend the other week who has been working as a Sales Person for a Caravan and Motorhome Dealer. 
We were generally talking about them and I found his comments quite startling. 
When he first started to work for them he could not wait to get into a Motorhome. Now he has been there a few years he states he is shocked at how poorly they are put together compared with the Caravans and as he put it people are paying 70 grand for the models he was referring to. Then he mentioned how the Crunch and Euro had hit them, £18,000 profit we had in each Dethleff we sold last year. The last one we sold £3000 loss. 8O


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## Mrplodd (Mar 4, 2008)

I have often wondered where the cost was in a new MH.

Take a run of the mill coachbuilt on say a Ducato chassis cab. 

Cost of chassis cab probably no more than say 12K, so just where the **** is the 30+K that is ADDED to that figure for a finished MH????

Most of the internals are mass produced items that are fitted to a large range of MH's. I know that the cookers and water heaters etc are not cheap but can anyone please explain to me where the extra 30K goes ??

No I didnt think so !!!!

Anyone from a manufacturer out there brave enough ????


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## DTPCHEMICALS (Jul 24, 2006)

About 25% similar to cars I am lead to believe, by friends in the trade.

Now go and find a building plot cost the price of building a new home and you will be in for a real shock.


Dave p


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## grumpyman (Sep 24, 2006)

DTPCHEMICALS said:


> About 25% similar to cars I am lead to believe, by friends in the trade.
> 
> Now go and find a building plot cost the price of building a new home and you will be in for a real shock.
> 
> Dave p


In what way will i be shocked dave.


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## DTPCHEMICALS (Jul 24, 2006)

Profits of up to 60%.

Building companies buy land and try to put as many boxes as possible on it. More properties equals lower unit cost of land

Dave p


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## exmusso (Jun 18, 2006)

*Motorhome Margins*

Well this was a shocker.

As I've recently bought a new Antara, I was messing about with the Vauxhall web site and using the vehicle configurator to build your vehicle.

In the commercial section, I chose a Vivaro 3.5t panel van and the starting price was £28960 + vat. After adding on a few options like a/c, cruise control, towbar etc, I managed to get the price up to £36050 + vat.

I also had a play with an Astra Van and got the price up to over £20k plus vat.

Must be why they use Fiat as a base vehicle.

Cheers,
Alan


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## bigfoot (May 16, 2005)

I was told recently the reason Autotrail don't build on the Merc chassis any more is that MB don't want AL-KO extensions-strange I thought they were a German company. Or is all this typical salesmans bluff?


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## time-traveller (Apr 23, 2007)

bigfoot said:


> I was told recently the reason Autotrail don't build on the Merc chassis any more is that MB don't want AL-KO extensions-strange I thought they were a German company. Or is all this typical salesmans bluff?[/quote
> 
> Salesmans bluff? Why should you think this is 'Salesmans Bluff'? What have they to gain by this? I don't understand why you should say this, or am I missing something? . :?


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## 96299 (Sep 15, 2005)

I thought JCM would have posted here by now. :? 

steve


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## geraldandannie (Jun 4, 2006)

Chigman said:


> I thought JCM would have posted here by now. :?


He must be out of the country, or the marina wifi is down :lol: :lol:

Gerald


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## time-traveller (Apr 23, 2007)

geraldandannie said:


> Chigman said:
> 
> 
> > I thought JCM would have posted here by now. :?
> ...


He's been posting on other threads whilst this one's been going - the usual .....


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## SpeedyDux (Jul 13, 2007)

Hi,

On the subject of dealer margins, recently leafing through some back issues (as you do) I came across an interesting advert in Practical Motorhome issue 48 dated June 2006, page 158.

A German MH dealer - Palmowski - was advertising brand new 2006 model PVCs and coachbuilts at unbelievably low export prices (net of VAT). Examples:

PVC (illustration seems to be badged SEA on a Ducato) from £15,299

Low profiles on Renault chassis from £15,899 

Coachbuilts on Iveco chassis from £14,799

OK this was in 2006 and Sterling was worth a lot more but it was an eye-opener. How much are the importers and dealers creaming off in the UK, and how much of a premium are the manufacturers/converters charging for RHD? There is a complete lack of transparency in the UK pricing.


SD


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## cabby (May 14, 2005)

Profits were high on motorhomes, just as on everything else when feeling is good and all is well.as said already the climate has changed and a lot of dealers have to shift their stock.hence the huge discounts available today.
Why do we worry about what they make, as they are in the business to make a profit.as anyone would be when you sell or PX ones own van.
The primary concern really is twofold, are you prepared to pay the price for the Van you want, will the dealer give you good aftersales service.

Of course I could be completely wrong. :wink: :wink: 

cabby


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## CliveMott (Mar 10, 2008)

"I was told recently the reason Autotrail don't build on the Merc chassis any more is that MB don't want AL-KO extensions-strange I thought they were a German company. Or is all this typical salesmans bluff?"

Total bullshine!

Mercedes have been working with AL-KO to produce a fully independant suspension version of the Sprinter chassis. It was shown at the Caravan Salon Dussledorf in 2008. I covered it in MMM shortly afterwards.

This Merc / AL-CO chassis cab would suit Autotrail perfectly if they saw a commercial advantage in producing a really up market range of motorhomes.

Some German motorhomes already use it.

C.


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