Affects of New Power Boat Sales and Buyers

 

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 Affects of New Power Boats Sales and Buyers /  Changes are coming to boating

 After 2009 and the economic blow out, the Power Boat market has made a shift that I believe has changed our market forever. Boat buyers are buying boats that support lifestyle choices, not so much buyers who want to stick their toe in the boating pool and try it out. Boaters are more educated and know what they want. A great example of this was one of the Canadian Boat Shows last year numbers at the door were down but boat sales were up. Not as many tire kickers more persons who new what they wanted from their investment. As this shift to serious buyers takes place we will see the boats go through drastic changes to keep pace.

Power Boats will no longer be a miss match of components from many suppliers they will become systems where the boat is a Mercury or Volvo (for example) package from stem to stern. This will mean that all panels, switches, gauges and pumps will be all supplied by one vendor. Power Boats will become more of a platform construction, similar to cars. Over all design, colors and layouts will, and already are becoming standardized through the industry. As more value and concern is placed on the environment the amount of companies that will be able to make substantial investments in R& D and keep up with the required changes to standards will fall off.  Power Boats will be so similar that other factors other than the name on the side of the boat will become the motivation for purchase.

Boaters will be making purchases based on warranties, resale value, retail prices, and after purchase cost of ownership. New boats are a costly venture, so boaters will be buying boats that come with inclusive services, so that after the purchase of the boat there are fewer out of pocket costs as possible. Buyers will want all the bells and whistles included in the purchase price. Why do you think the dealers who sell boats now have a eye to the marinas. If they can include docks and slips in the deal up front then you buy the package selling the lifestyle and controlling the stresses and cost of boat ownership. A boaters time at the boat is valuable they do not want to have to source service, marinas and after market items to meet their needs. One boat, One deal its not the price its the convenience.

If you are buying or own an older boat you need to consider how new boat sales and the structure of these deals are going to affect you, because they will. Marinas are closing their yards to outside technicians and providing in house services for their clients and these agreements are  being done more and more by the dealers. Equipment to be able to service new product, which will become used product is restricted. This will and in  many cases already has made your choice of service provider for you.

There is also a shift amongst  boat buyers today, city boaters are more apt to buy a PWC than a runabout, the overall cost of ownership is lower and you don't need a big slip or driveway to put it in. There are four kinds of boaters (does not include PWC owners),
 1- Cottage owner (The boat is an accessory to the lifestyle of being on the lake)
 2-  Cruising boater ( The boat takes me away to destinations)
 3- My boat is the cottage boater ( The boat is my getaway and I don't even care if it runs)
 4- The boater who loves the boating lifestyle but can not afford all that goes with it (The boat is older but I love being here anyway)

Dealers cater to boaters 1 thru 3, boater 4 is generally buying the older used boats that the dealers generally won't broker

 Since the late 1980's Marina's used to have a mix of all of the above boaters but even this is changing. Marina's are now a mix of boater 2 and 3 and very little 4. Boaters 2 and 3 are the marinas priorities and new boats play a huge role in this decision. Marinas require the high disposable income clients to carry their costs. It you want to watch a marina die start to move out the newer boats and their owners. They may fill the slips still but the boating experience diminishes. A great example of this is Ontario Place Marina, not because the park closed but boaters 2 and 3 did not want to bother with all the added stress that a partial (fuel and pump out only) service marina brings them. Now that they have decided to stay open they have a mountain to climb to get these boaters back.    

The whole industry is affected by new boat sales, new boats create quality used boats, certified service,  boating supplies and cash, lots of cash. I hate to admit it but the days of the independent service provider are in the books, and the book is closing. New boats are changing the service landscape, if you are not up to date with the new technology you will left in the dust. So boaters who have owned a boat for years and are comfortable with a marina and independent service providers fantastic. However I predict that change is coming and if you still  haven't felt the change that new boats are creating you will soon.

                                       We Will Make A Boat Nut Out Of You

                                                                                    Author RP

 

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