By Russ and Tiña De Maris
It’s been a tough year in the retail industry. Some 7,000 stores have closed, and 16 major companies have filed for bankruptcy. And the year isn’t over. What are the chances of a company going bust? That’s a big question among investors and, sure enough, there are companies that make their bread by calculating such risks.
Internet news publisher retaildive.com recently published findings from one of those companies, CreditRiskMonitoring, who produces a metric called a FRISK score that figures out the risk of a given company filing for bankruptcy in the next 12 months. On the list of “Retailers with a high chance of bankruptcy” is Camping World. It’s not a long list – only 12 other retailers occupy that ignominious roll, including the likes of J.C. Penney and Neiman Marcus. How “likely” is bankruptcy, according to CreditRiskMonitoring? The firm places Camping World on the list of a likelihood of chances between 9.99 percent and 50 percent.
Just how reliable is a FRISK score? According to FRISK’s parent, CreditRiskMonitoring, their score has “been proven 96% effective in predicting public company bankruptcies.” The metric is based on a variety of factors including credit ratings, financial ratios, credit analysis and other data the company compiles.
There have been rumors of Camping World teetering on the edge of financial ruin for some time. But as journalist Ernest Hamlin Abbott wrote, “Rumors are not news; but they sometimes foreshadow news.” The FRISK score may well be more than a rumor. Tomorrow’s news, itself, will tell.
I also have been turned off by CW. Stopped in for an oil change for the RV, told to come back in 6 weeks, being on the road, I look for someone else to do simple jobs.
In my little area, I chose a local MOM & POP shop.
Over the past ten or so years I’ve had some fairly good service, so-so service, and terrible to horrible RV service from CW. The same with the retail store. For me, I stopped shopping CW when Marcus Lemonis took over and I started reading of his attitude towards many of the business owners on his show and forcing some into bankruptcy. Then hearing of his dismissal of many RV owners that were seeking reliable service of units bought at CW only to be met with disdain. Lemonis brought this on himself, not Chuck. The word was out wayyyy before Chuck started sharing some of the horror stories.
More hatred of Camping World on display by Chuck and crew. Spewing rumors of the demise…..
I had hoped never to have a visit a Camping World, but it was the only option when I recently needed a new water pump. The $116 price on the shelf was $140 when I got to the checkout, because I wasn’t a “member”. Then the cashier asked me 4 times during the checkout if I wanted to become a member, becoming more irate with each request, then finally he said in an angry manner, “I’m just trying to save you money”. Never again!!!
Maybe is they were a little less expensive on EVERYTHING – their business would be better. And service what they sell.
I guess the CEO should have kept his mouth shut about all of us Americans who voted for for . I don’t shop there anymore. I just feel bad for all of his employees.
Hey, you are wrong on that rumor, Chuck cleared that up in a separate post weeks ago. Stop spreading inaccurate information.
Well this news certainly made someone’s day. I suspect much of the demise of older large brick and mortar stores, has to do with online shopping habits and the RV industry in general seems to be in trouble. I suspect many critics of CW will soon complain of rising costs …. competition is the best moderator of costs. Once the larger ones go ……
I don’t think it is time to hold “watch party” for CW demise just yet. They could use a CH 11 and consider spinning off some assets. Think about the possibilities if…the Good Sam assets were sold to someone else or just went independent? If the non sales stores are spun off into another company? I know it doesn’t fix the sales or repair issue, but if isolated maybe the remaining parts could be viable under different ownership,
They discouraged having Good Sams Ambassadors.
They restricted State Good Sam Rallies.
Good Sam Chapters numbered from thousands … to … dozens.
Turnover rate at many Camping World stores was too high.
Quality of services on our 3 rigs plummeted.
Therefore, news of a potential demise was expected.
This list is it is just a guess. JC Penneys has been on the list for years and still here. Sears was on it for a few years before it actually failed. So just how accurate remains to be seen but a range that large( 9.99% to 50%) is not a very good guess. IMO
You tell half the nation you don’t want their business, because who you voted for and I suspect more then half your customers what do you expect? I have not been there since.
Please stop spreading untruths. Chuck himself made it clear what Mr. Marcus actually said. For the love of goodness, stop it
Where’s “The Profit” when ya need him?????
Making money, that’s where. If people think Chap. 11 is a cop out, you need to go to business school. Its amazing what can be done.
When you tell a large portion of the country’s population that you don’t want their business, they walk away and take their wallets with them.
I have the extended warranty for my pickup and trailer through the Good Sam club. Soon it will be probably worthless. Is there any companies you can suggest?
Camping World shot themselves in the foot.
True, and more specifically, CEO Lemonis shot CW in the foot.
I am not over EAGER to see Camping World Close its doors, since it was a good company one time long ago, before Marcus Lemonis took over! And Greed ensued!
I would like to see Lemois step down and get out of the RVing and Camping business altogether. Much like the CEO of Sears who had no Retail experience, Lemonis has NO business doing business in the RV industry.
If someone else can come along, remove lemonis and make Camping World and Good Sams a Strong, Honest Company again, I would be all for it!
But, if lemonis stays, in any capacity, then Camping World is certainly doomed and it needs to close the doors for good!
well said