Thinking of starting a micro campervan rental business

Cycle-touring, Expeditions, Adventures, Major cycle routes NOT LeJoG (see other special board)
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trogg
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Thinking of starting a micro campervan rental business

Post by trogg »

Hi, First of all let me say that I'm a cyclist who would like to go touring, however I have to use a CPAP machine (to help with a breathing problem) which needs power, so my thoughts are to get a small van and convert it into a camper with power and cooking facilities.

Then I thought would there be a market for this, a small camper with room for a person and bike with hob, sink, fridge , heating and toilet, obviously each trip would have to be a round trip because you'd need to get back to the van.

What are your thoughts / ideas ?

I have already decided to start a campervan business and I'm in the process of getting things in place for a possible start early next year.

Hope mods don't mind me putting this question here
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fossala
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Re: Thinking of starting a micro campervan rental business

Post by fossala »

I think your market will be limited. There are other options that are cheaper and work better for most cyclists.

YHA have been a cornerstone of cycle touring for years and with chain groups like Travelodge and Premier Inn having a room everynight is getting cheaper and cheaper. There's also AirBnB and Walmshowers that pushes the price down even further. On the other end of the spectrum you can't compete with the cost of camping.

Every option I have listed above has one big draw you can't compete with, that is freedom. I know you have already raised this point but everyone I know who goes on a cycling holiday sets off from one point and stays somewhere different everynight.

Once you have factored in the cost of the caravans, re-pairing them, keeping them up to date, insurance from damage, liability insurance I really can't see how this can be economically viable as a business even on a grand scale. How much would you be looking at charging a night?
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Paulatic
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Re: Thinking of starting a micro campervan rental business

Post by Paulatic »

When we are away in the caravan I often see a smaller campervan with single occupancy and bike aboard. I doubt a single one I’ve seen has been a hired van.
That may be because there’s nowhere to hire campervans or there is no demand to hire them. Possibly because they are more affordable than a motor home. Whereas seeing hired motor homes is a common sight and I would think because of the initial purchase cost.
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Cyril Haearn
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Re: Thinking of starting a micro campervan rental business

Post by Cyril Haearn »

fossala wrote:I think your market will be limited. There are other options that are cheaper and work better for most cyclists.

YHA have been a cornerstone of cycle touring for years and with chain groups like Travelodge and Premier Inn having a room everynight is getting cheaper and cheaper. There's also AirBnB and Walmshowers that pushes the price down even further. On the other end of the spectrum you can't compete with the cost of camping.

Every option I have listed above has one big draw you can't compete with, that is freedom. I know you have already raised this point but everyone I know who goes on a cycling holiday sets off from one point and stays somewhere different everynight.
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I much prefer to stay in one place for a week or more and do day rides, the same on walking holidays
Finding a new place to stay every evening would be much too exciting :wink:
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Cunobelin
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Re: Thinking of starting a micro campervan rental business

Post by Cunobelin »

To a certain extent there is already the option out there, Berlingo "type" vehicle conversions are not uncommon

There are lots of samples on YouTube, and they are available for hire as well

Conversion is also cheap with kits available for a couple of hundred quid
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fossala
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Re: Thinking of starting a micro campervan rental business

Post by fossala »

Cyril Haearn wrote:Some would write of the YHA in the past tense

I agree, I don't use them as they have declined me brining my bicycle inside when there is no safe storage elsewhere, even when a room was booked between three of us.
thirdcrank
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Re: Thinking of starting a micro campervan rental business

Post by thirdcrank »

I've a feeling we've had a thread before about starting a campervan hire business, but I can't find it.

I fancy the biggest problem would be dealing with the returned vehicle ready for the next user. Not everybody is the same, by any means, but in the worst case you would have a slovenly hirer bringing a vehicle back in a complete mess and the next hirer being fastidious. In car hire, there's controversy about companies piling on bills for bogus damage, but you'd have the extra problem sometimes faced by people who rent out student digs: customers who have never been taught to clean up after themselves, but who would be prompt to accuse you of fraud/ exploitation.

I'm not suggesting it's impossible, just that there's a lot of room for hassle.
Psamathe
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Re: Thinking of starting a micro campervan rental business

Post by Psamathe »

trogg wrote:Hi, First of all let me say that I'm a cyclist who would like to go touring, however I have to use a CPAP machine (to help with a breathing problem) which needs power, so my thoughts are to get a small van and convert it into a camper with power and cooking facilities.

Then I thought would there be a market for this, a small camper with room for a person and bike with hob, sink, fridge , heating and toilet, obviously each trip would have to be a round trip because you'd need to get back to the van.

What are your thoughts / ideas ?

I have already decided to start a campervan business and I'm in the process of getting things in place for a possible start early next year.

Hope mods don't mind me putting this question here

I think you will be limited by geography. By which I mean if I want to go touring in Cornwall and you are based on Hull then I'm not going to go to Hull, collect the van and drive it to Cornwall and back again at the end. I suspect that if you are located in a popular touring area then your market would be limited to those who wish to tour in your area (and few will return to the same area year after year after year).

Question of "catchment".

Also the "peaks and troughs" might be a greater problem when dealing with a smaller market. e.g. you have 3 such micro camper vans setup for cycle touring chances of demand being for only 3 in any week is small in that peak weeks demand might exceed your availability whilst other weeks you might just have one out. where you are dealing with larger numbers (bigger less specialised catchment) it would be easier to balance/average out supply/demand.

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trogg
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Re: Thinking of starting a micro campervan rental business

Post by trogg »

Thankyou for your replies so far, A lot of what you've said has already gone through my mind but a lot hasn't.

This is my plan'A' I have a plan B/C/and D, plan 'C' also relates to cycling but I won't bore you with it (yet)
I've had a look at the market and there are a lot of rental companies for luxury motorhomes and larger converted campervans but apart from from the 'classic' VWs which tend to break down and spontaneously combust I haven't seen many campervans for 2 people or one person plus bike/surfboard etc (haven't looked at Berlingo type conversions but I think they'll be too small)

I thought something with the same 'footprint' of a family car would appeal to someone who's used to driving a car and having the abillity to park in normal car parking spaces and also to be able to drive down narrow country lanes.

The 'base' vans I'm looking at are Scudo/Expert/Dispatch and the NV200
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Graham
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Re: Thinking of starting a micro campervan rental business

Post by Graham »

The previous, partially-related, topic concerned providing a campervan with driver to accompany Lands End to JoG
viewtopic.php?f=22&t=110503

I used to see quite a few Romahome mini-campervans in previous years, but not so many now.
They are manufactured / converted in Southampton, not far from here.
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trogg
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Re: Thinking of starting a micro campervan rental business

Post by trogg »

Thing that you've mentioned,

Cost of hire/rent, this is going to be my biggest drawback, campervans are not cheap, I'll be looking at £40-£75 a day with a minimum hire of 3 days, and these figures may change by the time I've got all my costs in.

Insurance is going to be expensive (motor and liability), still waiting to hear back on this but it's going to be my third biggest expense, I'll be asking for £500 as security to cover any damage that my insurance won't

Second biggest expense will be the Van and equipment, using 4/5 year old vans to start with would keep costs down and enable me to have a bigger fleet, although I'm only looking a 3 or 4 vans to start with just to test the water,
equipment is expensive, I can't just throw an old settee in the back with a camping cooker and heater, I'll have to buy equipment designed to use in a camper, £2000 could do it but realistically it'll be more like £3000.

Biggest costs, storage/workshop/land, I'll need somewhere secure to store my vans and customers cars and also a workshop, Only just started to look on what's available but it's looking like well over £1000 a month.

Most of what I've written above has nothing to do with the original question, but I though I'd say it to show that i have been seriously looking into things and it's not just the drink :D
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trogg
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Re: Thinking of starting a micro campervan rental business

Post by trogg »

Thank you Graham, I did a search for campervan but not for 'motorhome', I'll have a look now . ta
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reohn2
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Re: Thinking of starting a micro campervan rental business

Post by reohn2 »

I cant help with the marketing other than what's been posted already,but if compact camervans are what you are looking for these people are very well regarded in the industry:- http://www.nuventure.co.uk
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trogg
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Re: Thinking of starting a micro campervan rental business

Post by trogg »

Graham wrote:The previous, partially-related, topic concerned providing a campervan with driver to accompany Lands End to JoG
viewtopic.php?f=22&t=110503

I wouldn't be interested in driving people around but It's not far off my plan 'C' which would be a lwb or elwb van with a built in 'garage' for several bikes (or motorcycles, quads etc), bed over the top of the garage with further beds in the seating area.... they would have to find their own driver though :D
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trogg
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Re: Thinking of starting a micro campervan rental business

Post by trogg »

reohn2 wrote:I cant help with the marketing other than what's been posted already,but if compact camervans are what you are looking for these people are very well regarded in the industry:- http://www.nuventure.co.uk


very nice 8) but I'm looking at doing my own conversions, In this case it would be a long seat which would become a bed at night leaving room for a bike or the seat would become a pull-out bed for a couple to sleep in.
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