A wildly popular RV-rental company is pivoting to luxury 'glamping' — see inside its new $350-a-night tents in the Texas Hill Country (2024)

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Glamping’s popularity has remained strong since its explosion during the pandemic.

In 2023, the campground giant Kampgrounds of America, or KOA, called the industry an "aggressive growth segment," with four in 10 campers expressing interest in glamping that year.

Niche luxury operators such as Getaway House and AutoCamp have capitalized on this boom by quickly expanding across the US.

Traditional hospitality giants have done the same: In 2022, Four Seasons opened its first adults-only luxury-camping resort.

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Outdoorsy’s decision to throw its hat into the stationary-accommodations business might seem antithetical to a brand synonymous with RVs.

But its CEO believes this is a reasonable evolution.

People go to Outdoorsy to rent RVs. And those RVs need a destination and a place to park at night — preferably not a Walmart parking lot.

So, why not create that for its guests?

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Over the last 1 ½ years, the company has poured $35 million into revamping and launching three luxury campsites.

In late 2022 and early 2023, Outdoorsy acquired and modernized two existing RV parks — one near Yosemite National Park in California and another in Bayfield — with amenities such as glamping accommodations, taking a page from Camp Margaritaville's RV-park playbook.

Both sites, now outfitted with a mix of RV hookups, cabins, and luxury tents, began welcoming guests in May 2023. So far, the investment is paying off: This year, Cavins said he expects both sites to be completely booked from spring through fall.

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On the heels of this success, Outdoorsy launched its third property in the Texas Hill Country, nestled amid wineries about 1 ½ hours from Austin.

The new addition marks Outdoorsy's first foray into the ultra-luxe glamping market.

Its CEO said the company built the 32-acre Hill Country retreat "from scratch" and outfitted it with 22 high-end, all-season canvas tents.

Ironically, RVs — or any non-golf-cart vehicles — aren't welcomed: "You don't want to headlights shining in your glamping tent," Cavins said.

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A night in one of the high-end tents starts at $350. During the April 8 solar eclipse, nightly rates will jump to $600.

To compare, the cheapest accommodations at Outdoorsy's first Yosemite and Bayfield locations, not including the bring-your-own-RV options, start at $42 and $110 a night, respectively. The $42 is for a traditional on-the-ground tent.

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These tents could be worth the cost for campers who crave comfort: They all have wraparound decks, minibars, and rainfall showerheads.

No more sleeping on dirt floors: The climate-controlled tents have enough beds to sleep two or four people.

Instead of "going outside," guests can use the en-suite bathrooms. And instead of slow-cooking hot dogs over a measly fire, they can prepare meals at the kitchenette and grill or eat at the luxury campground's café and bar.

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Outdoorsy Hill Country’s proximity to Austin could make it the perfect retreat for the tech community.

After all, what tech bro wouldn't salivate at the idea of a high-end vacation, sunrise yoga, and afternoon winery hopping?

"This is very much your Tesla kind of crowd," Cavins told BI.

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About 80% of Outdoorsy’s team is still dedicated to its RV-rental business and insurance arm, Roamly.

But armed with Hill Country as its prototype, Cavins said Outdoorsy's ready to move full-steam ahead with its luxury-camping business.

Outdoorsy plans to launch three more sites in 2025 in destinations such as Zion National Park in Utah and Yellowstone National Park in the Western US. The goal is to have 15 to 20 properties in its portfolio in the next three years.

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Competition could be stiff: It's one of several brands at the intersection of glamping and RVs.

AutoCamp, founded in 2013, uses Airstream trailers and tiny homes as its "hotel rooms."

The popular brand has seven locations around the US, including one in Yosemite National Park in California and another opening in Hill Country next year. (Sound familiar?)

Summer rates for AutoCamp Yosemite are about $270 a night — about $20 more expensive than Outdoorsy's property an hour away.

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But Cavins, with investors' help, is ready to spend big to win travelers over.

He told BI that Outdoorsy plans to spend over $700 million building more than 50 locations over five years. "Income-producing real estate in highly strategic locations is considered a safe haven for investors."

The work that comes with opening one of these properties "isn't easy," Cavins said. Outdoorsy had to build all of the infrastructure at Hill Country, including roads, septic tanks, and water tanks.

But once these properties are up and running, "guests just keep returning … at a very high price point."