 capped its 60th year of business with record revenue surpassing its 2021 record-setting mark by 1.3%.){kind=link}
Kampgrounds of America, Inc. (KOA) capped its 60th year of business with record revenue surpassing its 2021 record-setting mark by 1.3%. Impressively, 2022 registration revenue grew by 34.3% over 2019 before the COVID-19 pandemic. KOA’s advanced deposits at the end of the fourth quarter of 2022 were 3.4% improved over the same period in 2021. Advanced deposits are a key indicator of consumer appetite for camping.
“Especially with fluctuating economic conditions, it’s great to see another year of growth in advance deposits as we enter 2023,” said Toby O’Rourke president and CEO of Kampgrounds of America, Inc., which is based in Billings, Montana. In a recent survey, approximately three-fourths of the readers of RVtravel.com reported they stayed at a KOA campground.
Franchise system adds campgrounds
More than a dozen new campground partnerships launched in 2022 with Kampgrounds of America, Inc.’s knowledge and support. Over the course of the year, nine independent campgrounds joined the KOA system. Additionally, five construction contracts for new campgrounds were signed, indicating continued interest in industry expansion.
In the fourth quarter of 2022, KOA welcomed three new conversion campgrounds and two new construction contracts. These franchise contracts added KOA campgrounds in Minnesota, New Mexico and Michigan. The two new-build campgrounds are planned for Arizona and New Mexico. This adds to the list of 29 KOA campgrounds currently being constructed, including three corporately owned locations.
“We are seeing an exciting shift between converting and building campgrounds,” said Ann Emerson, senior vice president of franchise operations for KOA. “Over the last few years, there has been an explosion of growth in campground construction and these new players are choosing to partner with KOA to help them deliver a top-of-the-line experience that is trusted among campers and travelers.”
Corporate portfolio expansion continues
Amplifying franchise business growth, Kampgrounds of America, Inc. expanded its campground and land holdings in 2022. Over the course of the year, the company added eight campground locations to its portfolio and two land acquisitions for future development.
In the fourth quarter of 2022, Kampgrounds of America, Inc. acquired two campgrounds in Texas and Georgia and converted them to KOA. The company also sold the Naples KOA Holiday park in Maine to a franchise partner.
“We have an ongoing interest in increasing our owned locations as part of our overall brand growth,” said Darin Uselman, chief operations officer of Kampgrounds of America, Inc. “This allows us to grow our knowledge of campground ownership while expanding the KOA brand in key markets.”
SOURCE: KOA press release and RVtravel.com editors
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