RumbleON Inc (RMBL)

History and Background

RumbleON, Inc. was founded in 2013. It initially focused on creating a digital marketplace for vehicles. Over time, it has evolved through strategic acquisitions and organic growth to provide an end-to-end solution for both consumers and dealerships involved in buying, selling, trading, and financing vehicles, particularly powersports and recreational vehicles.

Core Business Areas

• Vehicle E-Commerce Platform: RumbleOn operates an online marketplace that connects buyers and sellers of pre-owned vehicles. It streamlines the buying and selling process by providing tools and services for vehicle valuation, financing, and transportation.
• Dealership Network: The company owns and operates physical dealerships focused on powersports and RVs. These dealerships allow RumbleOn to expand its inventory and provide customers with a more traditional retail experience. RumbleOn acquired RideNow Powersports creating the largest powersports retail group in North America. These dealerships are the main source of revenue for the company now. RumbleOn changed its name to RideNow in 2024.
• Vehicle Logistics and Transportation: RumbleOn provides transportation and logistics services to facilitate the delivery of vehicles purchased through its platform. The company facilitates title management and registration services.

Leadership and Structure

The leadership team consists of executives with experience in automotive retail, e-commerce, and finance. The company operates with a structure that integrates both its online platform and retail dealerships, allowing for streamlined operations and a consistent customer experience. Mark Tkach, as President and CEO, leads the company. Mike Kennedy, CFO, focuses on financial strategy. Bill Courtney, COO, is in charge of Operations.

Key Offerings

• Market Share (%): N/A
• Pre-Owned Powersports Vehicles: RumbleOn's core offering is its online marketplace for pre-owned powersports vehicles. Market share is difficult to pinpoint precisely, but RumbleON aims to be a leading digital platform in this segment. RideNowu2019s market share for retail powersports is around 12-14%. Key competitors include national chains like Polaris Adventures, and large dealership groups like Lithia Motors (LAD).
• Market Share (%): N/A
• Pre-Owned Recreational Vehicles (RVs): The company sells used RVs through its online platform and dealership network. The RV market is competitive, with major players including Camping World (CWH) and various regional dealerships.
• Dealership Retail Sales: RideNow retail dealerships provide a source of physical sales. Competitors include other regional and national dealership chains like Harley Davidson. RideNow is one of the largest dealership chains in this space.
• Market Share (%): N/A

Industry Overview

The powersports and RV industries are driven by consumer demand for outdoor recreational activities. The shift to online vehicle purchasing is a major trend. The cyclical nature of the automotive industry and general economic conditions influence these markets.

Positioning

RumbleOn aims to be a leading online platform for pre-owned vehicles, particularly in the powersports sector, by providing a seamless and transparent buying and selling experience. With the acquisition of RideNow, RumbleOn integrated an important retail presence.

Total Addressable Market (TAM)

The TAM for powersports vehicles is estimated to be in the tens of billions of dollars annually. RumbleOn's RideNow acquisition helps it to increase sales via its retail network and its online platform. TAM is dependent on the macroeconomy. RumbleOn is positioned to capture more of this market by leveraging its technology platform and expansive dealership network.

Key Competitors

• CWH
• LAD
• PSH

Competitive Landscape

RumbleOn's advantage lies in its integrated online platform and dealership network. The company faces competition from established online marketplaces, traditional dealerships, and other players in the powersports and RV industries.

RideNow

• Year: 2021
• Acquisition Price (USD millions): 560.2
• Strategic Rationale: This acquisition significantly expanded RumbleOn's retail presence and inventory, making it a major player in the powersports sector.

Historical Growth: Growth has been driven by the expansion of the online platform, strategic acquisitions (most significantly, RideNow), and increased demand for pre-owned vehicles.

Future Projections: Future projections depend on the continued integration of RideNow, expansion of online sales, and overall market conditions.

Recent Initiatives: Recent initiatives include streamlining operations, expanding the dealership network, and enhancing the online platform's capabilities.

RumbleOn, now RideNow, is attempting to become a significant player in the online and retail vehicle marketplace, particularly for powersports. The acquisition of RideNow was transformative, instantly creating a major retail presence, but the integration process is a challenge. The company needs to manage its inventory effectively and capitalize on the trend toward online vehicle sales. The macroeconomic environment and competition are key risks to watch out for. The financial health of the company remains a concern.

Data Sources:

• Company Website
• SEC Filings
• Industry Reports
• Financial News Outlets

Disclaimers:

This analysis is for informational purposes only and should not be considered investment advice. Market data and financial figures are subject to change. Market share data may be estimates based on available industry reports and competitor analysis.