Enduring Vision in an Ever Changing World

Enduring Vision in an ever changing world

2014 | KOA ANNUAL REPORT ’ LetCAMPINGs go

2 A Message From Your PRESIDENT This year is a special year for the Owners Association for it represents the 50th anni- versary of our association. Because of this the theme we have selected for this year’s annual report is “Enduring Vision in an ever changing world”. With the fast pace of life, business and government we took a look back to reflect on what issues were important 50 years ago, and to think about how those issues relate to today’s environment. We reviewed the minutes of that very first meeting. It was held on November 20 and 21, 1964 at the Rimrock Lodge in Billings, MT. We have included the entire minutes of that first meeting for all of you to see.

The meeting was called to order by Russ B. Hart. He welcomed everyone and said that “with more and more people camping, campgrounds all over the country are a coming thing. As you review the entire minutes you will see some issues that are still discussed by all of us at the convention each year.

In this year’s Annual report we have focused on some of the issues the OA discussed with the KOA leadership. We have tried to focus on these issues and compare them to issues discussed at the 1964 annual meeting. While there are some major differences between then and now, there are many similarities. The role of the OA, its purpose and mission, its relationship with the leadership and staff of the KOA home office, and its relationship and communications with owners in the system remain much the same. In 1964 Dave Drum, President of the KOA at that time stated:

… the association would be for the Franchise owners to discuss problems, pass along information that has worked for them, etc. and the part Kampgrounds of America, Inc. would take is to try to bring more people into your campgrounds through coop- erative advertising, etc., and to assist you to maintain standards that will encourage people to camp with you.

During the meeting the owners in attendance talked about the importance of advertising and that it is the key “to our success and with a big push made this year to sell the KOA name and sign in as many ways as possible, we will have an excellent jump on any other group that might be thinking of a similar operation.” Now we all are in a similar situation with KOA again selling the KOA name with brands attached. When I talk to people about branding, I often hear myself use the term “change” and how to embrace it rather than simply say no to it. Remember way back when (I am dating myself here) as Kampsight first rolled out. I could hear the groans and complaints way up here in the north from all directions. Now we sit in a technological climate where KOA cannot change fast enough and we let them know about it. Change is everywhere and it shows no signs of slowing down. The new kampsight is under development and we all want our “input”. Your new Franchisee advisory group will be working with that project (the OA has a seat on that board), and the OA board will continue to monitor the project as well.

There are more interesting comparisons in this report and it reminds me in many ways of the old adage: the more things change, the more they remain the same.

This year is the second year of my role as President of the OA. I have truly enjoyed my term as your President and am honored to have been able to serve in this position. It has been a challenging period, but one that I believe has seen greater interaction with KOA, our OA Board and of course, you, the franchisees. Once again, I want to thank all of my fellow board members for their support, without them all of this would not be possible, it has been a true honour to work with people who care for the greater good of all KOAs. I also want to thank all of our associate members and you, our owners for your support and involvement with us these past two years. I encourage you to stay actively involved at your state/provincial groups, the 20 groups, and with corporate. Remember we all see things in a different way, so effective communication is essential. As someone once said “communication is the key, without it we are locked out.”

Dave Barton President, KOA OWNERS ASSOCIATION, and Owner of the 1000 ISLAND/ IVY LEA KOA LANSDOWNE, ONTARIO, CANADA 3 KOA Owners Association Board of Directors 2014 Area 1 Area 2 Tennessee, North Carolina, South Carolina, Ohio, Delaware, New Jersey, New York, Pennsylvania, Alabama, Georgia, Florida, Kentucky, Virginia, Maine, Vermont, Massachusetts, New Hampshire, West Virginia Maryland, Connecticut, Rhode Island GREG BATTS VICKI COLE, PAST PRESIDENT Kentuck Lakes/Prizer Point Shelby/Mansfield KOA 35164 KOA 17146 6787 Baker 47 1777 Prizer Point Rd Shelby, OH 44875-9103 Cadiz, KY 42211 Phone: (419) 347-1392 Phone: (270) 522-3762 Fax: (419) 342-5353 Cell: (270) 350-2027 Cell: (419) 564-3495 H (419) 347-2299 Email: [email protected] Email: [email protected]

MARK MANNING KARL SCHMIDT, TREASURER Fancy Gap/Blue Ridgepkwy Koa 46183 Elizabethtown/Hershey KOA 38181 47 Fox Trail Loop 1980 Turnpike Rd Fancy Gap, VA 24328 Elizabethtown, PA 17022 Phone: (276) 728-7776 Phone: (717) 367-7718 Fax: (276) 728-1014 Cell: (717) 201-0013 Cell: (480)-390-6782 Email: [email protected] Email: [email protected]

4 Area 3 Area 4 Michigan, Illinois, Indiana, North Dakota, South Louisiana, Mississippi, Kansas, Missouri, Oklahoma, Dakota, Nebraska, Minnesota, Wisconsin, Iowa Texas, Arkansas JOE LONG MARSHAL GRAY Lena KOA San Angelo KOA 43111 10982 US Highway 20 West 6699 Knickerbocker Rd Lena, IL 61048 San Angelo, TX 76904 Phone: (815) 369-2612 Phone: (325) 949-3242 Fax: (815) 369-2018 Cell: (325) 656-6446 Cell: (630) 991-6690 Email: [email protected] Email: [email protected]

HOPE PERKINS DIANE KING, SECRETARY Elkhart/Middlebury KOA 14133 Springfield/Rt 66 KOA 25137 52867 State Rd 5775 West Farm Rd 140 Middlebury, IN 46540 Springfield, MO 65802 Phone: (574) 825-5932 Phone: (417) 831-3645 Fax: (574) 825-1080 Fax: (417) 863-0295 Cell: (574) 849-7706 Cell: (417) 209-4845 Email: [email protected] Email: [email protected] Area 5 Area 6 Alaska, Washington, Oregon, Idaho, Montana, Hawaii, California, Nevada, Utah, Colorado, Arizona, Wyoming New Mexico KIM CARRANZA PAMELA MENDALA Twin Falls/Jerome KOA 12109 Cloverdale KOA 5275 5431 Us Hwy 93 1166 Asti Ridge Rd, PO Box 600 Jerome, ID 83338 Cloverdale, CA 95425 Phone: (208) 324-4169 Phone: (707) 894-3337 Fax: (208) 324-4376 Fax: (707) 894-9206 Cell: (208) 490-0709 Cell: (707) 849-4697 Email: [email protected] Email: [email protected]

HOMER STAVES, VICE PRESIDENT CRAIG SISCO Whitefish/Kalispell KOA 26161 Fort Collins/Lakeside KOA 3191 Parkhill 1910 Lakeside Resort Lane Billings, MT 59102 Fort Collins, CO 80524 Phone: (406) 656-7086 Phone: (970) 484-9880 Fax: (406) 656-7086 Fax: (970) 493-8900 Cell: (406) 672-2383 Cell: (970) 213-4081 Email: [email protected] Email: [email protected] Area 7 Area 8 CENTRAL & EASTERN CANADA WESTERN CANADA HANS WAGNER JIM BROWN 1000 Islands/Kingston KOA Hinton/Jasper KOA 51124 2039 Cordukes Rd 50409 B Highway 16; Box 5052 Kingston, ON, K7L4V4 Hinton, AB T7V 1X3 Phone: (613) 546-6140 Phone: (780) 865-5061 Fax: (613) 546-6178 Cell: (403) 815-4833; Email: [email protected] Winter (403) 288-8351 Cell: (613) 546-6178 Email: [email protected] DAVE BARTON, PRESIDENT KOA INC. LIAISON EXECUTIVE DIRECTOR 1000 Island/Ivy Lea KOA 55203 514 1000 Islands Pkwy JEF SUTHERLAND WILLIAM RANIERI VP Of Franchisee Service 3416 PRIMM LANE Lansdowne, ON K0E 1L0 PO Box 3055 BIRMINGHAM, AL 35216 Phone: (613) 659-2817 Billings, MT 59114 (800) 678-9976, (888) 461-2062 Fax: (613) 659-2992 Phone: (800) 548-7104 FAX: (205) 823-2760 Email: [email protected] Email:[email protected] Cell: (205) 587-5309 Cell: (613) 539-2018 (winter #) Email: [email protected] “ “ Withnew the new strength day comes newand thoughts.

6 Eleanor Roosevelt AN ENDURING VISION With Our Members

Back in 1964 at the first OA annual meeting it was stated that the purpose of the KOA is to bring more campers into the system and to maintain high quality standards. It was further agreed that the success of this idea could only be assured by the vigilance that franchise owners have in maintaining high quality and clean campgrounds. Together, the franchisees and the KOA have built an image so that when a camper sees the KOA sign he/she will automatically know they will be checking into a clean, well run campground. This initial relationship between owner and KOA would lead to success for the entire system. The Owners Association would be the roadmap to enhance this relationship and would be for the franchise owners to “discuss problems, pass along information” and work as a liason between owners and KOA. As we fast forward to today it is still one of our primary purposes to present and represent common concerns and problems of our members to KOA, Inc.

To accomplish this task in today’s environment your OA board recognized the need to provide the opportunity for our members to have meaningful input to the board. Several years ago we focused on a multifaceted strategy to be sure the process for you to communicate with us was developed. During this time frame we have now presented to our members several membership surveys. These surveys were developed with your input. They were designed to give us feedback from you on important issues and problems our owners were concerned with. They also sought to find out your ideas for growth, cost cutting, marketing and increasing our market share of the camping industry. We sought information on current issues such as the image of the KOA system from your perspective, and ways to increase our use the latest technologies for information exchange. We wanted to find out the best ways to communicate with you and for you to communicate with us.

The surveys we have conducted these past several years have had great participation. While most groups are pleased with a 5-15% response to membership surveys we were very pleased to see our response rates in the 40-50% range. We realized we have a strong grass roots support from our members. We also realized the importance of responding to information we received quickly and accurately. We learned that we were correct in realizing the importance of representing you and your problems to the KOA, Inc. We also recognized that for us to be effective in our role we must have strong participation from the system.

We have seen steady growth in the percentage of campgrounds that are members of the OA. We started at a 30% participation rate in 1964 and have grown to a record 80% participation rate this year. We want to maintain this rate of participation, and in fact see it continue to grow. We are committed to increased communications with you and from you. In addition to our commitment to improve and continue our membership surveys we have added some of the social networking avenues of two way communication. Our website is under ongoing review to be sure we are bringing you the latest information in the quickest and most cost effective manner. We have developed accounts on face book and twitter to further provide opportunities to two way communication with the OA, but also between and among members.

We will continue these efforts and ask you to continue to participate in them with us. Tell your fellow members to use these new communication tools to reach one another. We are hoping to soon develop an effective forum for ongoing discussions. We hope to address issues that you have identified as important for each you. We have identified areas such as maintenance and capital improvements, advertising and marketing, workamper staffing to just name a few. Let us know some areas you would like to see added and new strength we will respond. Your support and your continued involvement in the OA will help us to be more effective in helping you and for all of us to be in a position to help each other. It’s been a strong year for us to grow and we appreciate new thoughts. your help in allowing us to better serve you.

7 “Optimism

is the faith that leads to achievement. hopeNothing can be done without “ confidence.and 8 Helen Keller The Value Of A LONG TERM PERSPECTIVE

For the past 50 years the OA has kept its focus on representation, communication and service to our members. The issues discussed at that first meeting were advertising, equipment, sales, KOA building design, signs, accounting systems and layouts. While some of the terminology and the technology have changed we are all still focused on marketing, image, accounting systems, expansion and increasing market share. We still identify the importance of working together—franchise owner, Owners Association and KOA, Inc. for the benefit of all.

Our issues focus on branding, international marketing, kampsight, quality review and increasing our market share. The technologies available to us today enable us to pursue these objectives more efficiently and effectively. The success still centers on our ability to work together to achieve common goals. Obviously, conces- sions need to be made by all of us to work out the best approach to accomplishing our goals in a realistic and reasonable way.

While preparing and coping with change has become a key element for success in today’ business environment the OA board has kept its focus on three essential components to keep our association viable, strong and effective.

1. Transparency. We have tried to keep our membership informed of strategic discussions the board has been having, by surveying the membership for their input into the decision making process and communicating frequently with updates to you via email blasts, website, social media and the OA newsletter, and then trying to explain to everyone the reasons for taking the positions we have taken.

2. Member support. We are so proud of the support we have received from our membership. The collective dialogue we have tried to create through our area directors and with our state/provincial presidents and through the membership surveys that we have conducted have been vital to us to create our credibility and our strength.

3. Communication. In coping with the challenges we face in our economy today it has been imperative that we try to communicate the issues and questions the board has been considering and attempting to engage our members in this process. The terrific responses we have received to our membership surveys have been a major contributor to our chances to successfully represent all of the owners in the system.

Risk is an inherent part of change, but the OA will only thrive if we continue the process of communicating with our members and receiving their input and support on the many difficult issues we, as owners, are facing.

In the final analysis, we know that by being more transparent and communicative the process we use to identity our core values to differentiate ourselves from our competitors, will make us the clear choice for camping in the minds of prospective customers.

9 AMembership Review of Progress 315 135,000 170,000

130,000 165,000 310 125,000 160,000 305 155,000 120,000 150,000 300 115,000 145,000 110,000 295 140,000 105,000 135,000 290 100,000 130,000

285 95,000 125,000 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014* 2010* 2011* 2012* 2013*2014** Membership TOTAL MEMBERSHIP TOTAL RESEVES *this represents totals only for the OA REVENUE ** this estimate represents totals for only the OA *estimate

11 2013 WE ARE FAMILY AWARD WINNERS

The winner of the 2014 award were Amy and Tony Raposo of the Barrie KOA in Barrie ON. They have been active in the OA and Care Camps for many years. Amy was the recipient of the We Care Award in 2009 for the tremendous effort and many accomplishments she achieved working on the Care Camps board for so many years.

Please join us in extending our deepest congratulations to Amy and Tony for earning our highest recognition.

Workamper Award Winner 2013 The Workamper of the year award winners are Ray and JoAnn Jalbert. They were nominated by Patti and Henry Grover owners of the Augusta-Gardiner KOA in Richmond Maine

They are pictured with Patti & Henry Grover from the Augusta-Gardiner KOA and the new owners of the Silver Ciity KOA at Silver City KOA in New Mexico, John & Chris Greenwood , where they are currently working.

Our deepest congratulations to Ray and JoAnn.

12 ComparativeFinancial 2013 Statements and 2012

13 “

Ourgiving greatest weakness liesup. in tryThe most certain just way to succeed oneis always to “ more time. Thomas A. Edison

14 giving up. try just one Where Do We more time. GO FROM HERE

As we have taken this opportunity to look back at our past 50 years, we now want to set our focus for the next 50 years. There is no doubt there has been significant change in our world, our society, our economy and, of course, in our campground industry. With all the change that has taken place it is clear that the OA’s mission, goals, objectives and strategies really have not changed significantly. There has been great change in the way we do business, in the scope of our strategies and in the way we communicate. We look forward with a posi- tive framework to the coming year. If we continue to focus on quality, strength and leadership we will achieve great success. There are many challenges that lie ahead, but we must maintain a clear focus to concentrate our best efforts on the many issues before us. Our focus on quality, strength and leadership will help us meet the challenges ahead effectively and efficiently. We have come through a very difficult and challenging economic period and we are seeing growth in camper nights and revenue.

We are committed to continue to partner with all of our members and KOA, Inc to move forward together. Our emphasis is on quality, expansion of our market share, utilizing the latest technology and stressing the need to be green in as many ways as we can. We hope to continue to improve our efforts in communicating with each and every campground owner so that we can develop as clear a consensus as possible on the ideas, concerns, innovations and experiences of our system. We hope to continue to improve our partnership with KOA corporate so that by working more closely with them and representing more accurately the desires of our membership we will experience significant growth over our next 50 years.

15 ExecutiveOa SummarySurvey to the 2014 We received 195 responses to our 2014 OA Survey. This year’s survey was divided into 6 areas: Branding; Interna- tional Marketing; Communications and Input Opportunities with KOA corporate; Communications with and between the OA and the owners; Suggestions on the upcoming convention; and General comments and suggestions.

Branding

Over 60% of the respondents to our survey have not yet adopted a brand position and almost all have communicated their position to KOA corporate. However, 25% of the respondents indicated that they planned to adopt a brand over the next two years. Some of the concerns expressed dealt with arranging for financing; other proj- ects that have greater priorities at this time; permit restrictions; concern about losing business because of the unclear promotion or the different brands; new criteria are continually added; concern the public will not accept the branding segments resulting in “turning off campers; and the excessive costs involved in qualifying for one of the segments. Over 32% feel it will cost 25 to 50 thousand dollars to comply while another 25% are not sure of what it might cost. There are concerns about zoning and regulation restrictions, deluxe cabins, patios, play- ground improvements, diverting money from other higher priority needs, site improvements, and Kamp K9. The final analysis shows that many KOA’s have changed their initial position and now have adopted the program and are working towards a brand.

International Marketing

This segment of the survey dealt with the work the OA is doing with KOA in re-implementing and International Marketing program. It stated that a new emphasis on the deluxe cabin potential, while still maintaining the rental RV relationships. With this background over 70% of the responses see a benefit to expanding International marketing. Over 50% see International Marketing as important while only 15% feel it is not very important. A majority of responders, 56%, agreed that if an “opt-in” program for linens were developed they would participate. Nearly the same amount agreed they would include the cost in the rate rather than charge separately.

Communications and Opportunities for Input with Corporate

Many comments expressed concern that having just one advisor group would severely limit franchisee involvement in future decisions affecting the system. Furthermore, many respondents felt that communications with corporate were not that effective when the two partner committees were in force. Over 54% of the respondents were aware of the change and 56% did not feel the change did not adequately represent owners enough. Nearly 72% felt the two committees had not communicated well with owner in the past, and 92% felt either the meeting notes, a summary of the notes or an outline of the agenda should be made available to the owners.

Two general trends in the comments received were: there is a great need for more and better communications from corporate; and secondly many expressed a fear that the advisory committee would just be a rubber stamp for corporate decisions.

16 Oa Survey Communications with the Owners Association

This section asked for response on how franchisees dealt with and evaluated communications between the OA and the franchisees. 54% of the respondents rated the information received on the OA website were relevant to extremely relevant. Over 67% of the respondents felt that the OA communicated enough with franchisees. However, in response to the question of how the OA can improve communications with the membership and non-members the ideas and suggestions mentioned indicated that there is room for more effective communications. Among the suggestions made, many felt that more communications with state/provincial presidents would be helpful. They felt that attendance at area meetings by OA area directors would be more effective. Common suggestions included a quarterly e-newsletter would be helpful. More frequent email blasts updating everyone on issues or breaking news would be welcome. The OA newsletter seems to be well received, although several asked for more informative articles and updates. Many like the idea of yearly surveys, and some suggested maybe even more than just once a year. Updates on priority areas would be well received. Several comments on the importance of a major revamp of Kampsight should be expedited very quickly. Most felt that communications from the OA at the annual KAO convention would be helpful. Many also felt more communications from area directors to the membership and to state/provincial presidents would be important.

Comments regarding the KOA annual convention

Many are planning on attending this year’s convention in Charleston. Over 70% are expecting to attend this year’s convention. There were many suggestions made on seminars. Some would like to see more hands on sessions. Comments for more marketing sessions and sessions on solar electric generation for water heaters were included. Also mentioned were workshops on improving per camper night store sales and merchandizing. Many felt more information on ROI’s related to some of the programs we try to include such as jumping pillows, cabins, buildings, etc. Some suggestions on more practical presentations from industry experts on campground financial analysis, state of the RV manufacturing industry, regulatory issues and media marketing were also made. There were several comments made expressing continuing concern on the branding issues and several again on the need for a quick and major revamp of Kampsight.

General comments and suggestions

Most of the comments continue to focus on the branding issue and the Kampsight issue. Comments generally indicated that image, quality and service will be the guiding factors along with costs of investments and return on investment.

17 KOA Press Release of Owners First OA Annual Meeting Association Staff

Executive Director: BILL RANIERI [email protected]

Staff: ROBERT RANIERI [email protected]

MAUREEN HUSEMAN [email protected]

Address: 3416 Primm Lane Birmingham, AL 35216

PHONE: (800) 678-9976 (205) 824-0022

Fax: (205) 823-2760

Website: www.koaowners.org

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First Convention Newspaper Report KOA Owners Association

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