When it comes to innovating new technology, business owners often perceive a predicament: take risks on new technology, or stick with what’s working.
While partially true, that perspective oversimplifies the issue.
Status quo is a strong force, and the RV industry is no exception, but don’t mistake innovation with staying relevant.
In his remarks kicking off the RVIA Show earlier this month, RV Industry Association President Frank Hugelmeyer cautioned industry members to prepare for growing changes in their consumer demographics.
“We are now evolving into an urban based multi-racial future,” he said during the Outlook Breakfast, reminding the audience that the Baby Boomer generation won’t be around forever.
The Millennial Generation, the oldest members of which will turn 35 in 2016, is not only the first generation raised alongside the Internet, but also the most ethnically diverse generation in the nation’s history, according to the Pew Research Center.
It’s no surprise that a growing number of consumers value technology and innovation, and I imagine many industry business owners spend restless nights plotting strategies to keep up with the pace of change, but how well are they doing?
Like previous years, a growing number of suppliers offered products that integrate RVs into a user’s smartphone through Bluetooth controls and remote monitoring.
On the manufacturing side, Winnebago debuted a new virtual tour for its units, showing off the high-resolution, 360-degree feature with an Oculus headset.
“Solar-ready” units, which ship with wiring and hook-ups to make adding solar panels easier, are becoming more and more common among OEM lines, and a week before the show, Jayco announced it would make Lippert’s auto-correcting sway unit an OEM option on its 2016 line, just to name a few examples.
Many of these innovations aren’t innovations at all. They are products introduced years after the market has tested and demanded them. They are relatively safe plays.
And that’s fine. Industry leaders don’t have to stick their neck out or bet the farm every time they adopt new technology, so long as they are adopting it.
There is a difference between innovating cutting-edge technologies and making smart moves to stay relevant.
Cutting-edge technologies are few and far between, but businesses should constantly be evaluating and considering products that are new, but market-tested.
The problem arises when business leaders cling to the status quo, afraid to make changes.
Depending on who you ask, innovation in the RV industry is five to 10 years behind the automotive industry, meaning that the mainstream RV industry will take up to a decade to adopt new cutting-edge technologies used in the automotive market today.
That means homeowners and auto drivers spend up to a decade with new technology. They begin to expect it. Imagine using the Internet service you had in 2005 today.
While a decade gap between product introductions and their application in the RV market may have sufficed in the past, future generations may not be so patient.