Dear Valued Dealers,

Demco has been serving the RV industry for the past 37 years and we value your past and current support. We are grateful for the wonderful relationships we have been privileged to build with you. We count your success as ours, and ours as yours. We truly would not be where we are without you.

With your assistance, we are able to provide the highest levels of customer satisfaction by offering the highest quality RV towing products, outstanding technical assistance and top-notch customer service after the sale; earning Demco high marks in the industry year after year. You have supported us, and now we are honored to return the favor with the Maximum Value Plan, and more specifically, the Minimum Resale Price policy included in the program.

Maintaining first-class staff and facilities is key to customer satisfaction, and without proper margins you are put in the uncomfortable position of losing sales, cutting corners, or even netting loss on a transaction. This is a lose-lose situation for everyone involved. We can all think of premium brands who have been eroded by this very problem.

On September 1, 2018, Demco’s Maximum Value Program (MVP) will become effective, as will the included Brand Protection (BP) policies. What this means is that after this date, Demco products will only be sold to Authorized Dealers, whether purchased directly or through an approved distributor. Previous violators of the SMI program (now part of the Demco MVP program) will be released of prior violations unless currently on the Do Not Sell list. Becoming an Authorized Dealer is as simple as submitting an online application. All Authorized Dealers in the United States and Canada will be subject to the unilaterally applied Policies, which includes: (i) a Resale Pricing policy that establishes a Minimum Resale Price (MRP) and (ii) an Advertising and Marketing (A&M) policy which will further strengthen the integrity of the brand which will provide adequate margins, so that customers can continue to receive the high level of services associated with a premium brand and fine establishments.

We have put forth every effort to make a policy that is not only effective and enforceable, but also similar to other such successful policies in the industry to help offer an instant level of familiarity. To make things as simple as possible, there a three levels of explanation: The Program Highlights which gives the high-level details of the program, Program FAQ’s which answers common questions, and the policies themselves. We encourage everyone to review each of these in the order listed to have a holistic understanding of the policies and then sign-up to become an Authorized Dealer.

Thank you for your support and the input you have all given. As in the case with other brands who have implemented such policies, we fully anticipate the Maximum Value Program to be win-win all the way around.

Best regards,

Kevin Ten Haken, Executive Vice President

Demco