Creating Deeper Customer Engagement, Brand Loyalty and Profitable Growth in RecTech
These days, we all want to get away. Fundamental changes to the workplace through telecommuting and remote work have had a powerful, countervailing effect on people’s desire to adventure more often. The more we get used to working at home, the more we realize that we have the opportunity to fulfill our desire for an experiential lifestyle.
This cultural shift has a profound and permanent effect on the shape of the auto industry, housing, and, naturally, recreational products and pursuits. Many companies will mistakenly plow more deeply into more siloed gadgetry and miss a massive opportunity to engage, hold and delight their customers as never before.
Experiences vs. Things
A natural benefactor of this shift has been the RV and powersports industries. A survey by Go RVing, a trade group for the recreational vehicle industry, estimates that 65 million U.S. leisure travelers are planning on taking an RV vacation in 2022. The US has seen a 32% increase in families choosing RV & powersports as their preferred outdoor recreation experience. Ninety percent say it is the best way to holiday with their families (Condor Ferries).
But today’s recreational enthusiasts value ‘experiences’ over ‘things’. The question is whether the industry can pivot quick enough to capitalize on this rapid growth with help from new RecTech experiential and personalization platforms.
There are a number of reasons why both existing and new owners/renters are doubling down on this lifestyle:
- It is affordable
- Better control of schedule
- More quality time with friends and family
- A great way to get away from the crowds and the stress of air travel and hotel stays
- Creating your own authentic experiences
Personalization Intersection: Multiple Tribes of Enthusiasm
Not only are we exploring more…we are exploring more together both in person and through communities. You’re not only an RV’er, but you’re an Overlander, a Van Lifer, a Buyer, or a Renter. You are not only a Boater, but you are a Wake Surfer, or a Freshwater Fishing enthusiast. Adventure Motorcyclists have slightly different DNA from Touring Motorcyclists and so on. Over 68% of RV and powersports enthusiasts subscribe to communities and blogs related to their vehicles, gear, and experiences.
These communities have transformed consumer segments into tribes of enthusiasts.
This is personalization at its finest and it is a challenge for an ecosystem that has been primarily built on selling ‘things’ vs. offering ‘experiences’. There are ~45M US households spending ~$200B in a space that struggles to provide a post-purchase experience that is relevant, engaging, x-product/x-brand, and that reduces customer journey friction.
RecTech is a rapidly growing platform segment that is providing a nexus between customer experiences for recreational lifestyles, RV and powersports OEMs, gear and accessory brands, as well as service and parts providers. These platforms address the increased customer expectation of personalization and the ever-present dilemma for the next generation of enthusiasts – “I have this…I need that!”.
The number of x-product/x-brand RecTech experiences is increasing. Some innovative RecTech platforms and experiences in the marketplace today include:
The Experience Formula
Whether it is the recreation industry or any other consumer area, the more successful platforms employ a mix of engagement methods and attributes to create an experience formula. These elements are must haves for the next-generation RecTech companies.
- Data Privacy and Security
TechCXO’s RecTech Experience Formula helps companies accelerate growth and get to the next level.
- Transitioning from ‘technology-push’ tactics to a ‘market-pull’ culture
- Identify, engage, and delight new target personas
- Strengthening viral and network effect
- Accelerating flywheel innovation and commercialization
- Creating profitable growth
- Strong focus on sustainable impact
- Data valuation and monetization
TechCXO’s RecTech Experience Formula helps facilitate a better connection between RecTech platforms, OEMs, dealers, brands, and rental providers by enabling more relevant and timely engagement. In turn this creates better customer behavior and vehicle use visibility which translates into better personalization for all stakeholders.
Let TechCXO guide you to a better RecTech experience.
Eric Anderson in an interim and fractional chief commercial officer, chief revenue officer, chief strategy officer and chief partnership officer.
Read more about him.