Issue link: https://read.dmtmag.com/i/244294
MONTHLY RESEARCH 2013 revenue 2013 REVENUE VS. 2012 BIGGEST CHALLENGES FACING THE INDUSTRY 5% 7% "Engine price increases continuing to push entry-level 25% boaters out of the market." "Finding customers with resources." "Getting new people into boating." "The CFPB will undoubtedly impact recreational lending. It remains to be seen how that will play out but dealers, consumers and manufacturers will be impacted." "Finding, retaining and keeping employees motivated to continually exceed our customer's expectations." "Government regulations and new, increased taxation." "Uncertainty in fuel pricing." "President Obama. He is not good for business, period." "Uncertainty with the job and stock market, leading to a lower consumer confidence level." Continued on page 15 14 | Boating Industry | February 2014 P12x15-BI14FEB-MonthlyResearch-dv.indd 14 9% 7% 19% We also asked Boating Industry readers what they saw as the biggest chal- 2013 revenue lenges facing the industry in 2014. More respondents cited the government than any other factor. While we won't print all 4% of the hundreds of answers here, this is 5% 9% some of what they had to say: "Getting younger people involved. The price of boats is increasing at higher rate than inflation, and is too expensive for 19% many people." 4% 31% ral and Rec Boat Holdings are both entering the jet boat market with new products in 2014, so another year of sales growth wouldn't be unexpected, either. PWC sales have grown slightly each of the Up more than 25 percent last two years, 3.6 percent in 2013 and 5.5 perUp 10 to 25 percent cent in 2012, according to Info-Link. Up less than 10 percent Flat Down lessPontoon than 10 percent power The optimism Down 10 to 25 percent around the pontoon market of waning, as it's easily the cat25% egory in which BI readers are most confident. More than 80 percent expect sales to be up this year for the popular segment and 35 percent predict industry sales will increase more than 10 percent over 2013. Only 4 percent expect Up more than 25 percent a decline. Up 10 to 25 percent Overall, respondents were more optimistic Up less than 10 percent than pessimistic about every other segment as 31% Flat well. However, in every powerboat category, Down less than 10 percent dealers proved to be less optimistic than industry Down 10 to 25 percent manufacturers and suppliers. Down more than 25 percent Deckboats – 70 percent of manufacturers expect an increase in 2014, compared with 50 percent of dealers 2013 revenue Ski – 51 percent of manufacturers expect Q1 2014 EXPECTATIONS an increase in 2014, compared with 41 percent VS. 2013 of dealers Runabouts – 49 percent of manufacturers 1% 2% 1% expect an increase in 2014, compared with 34 5% percent of dealers Saltwater fishing – 62 percent of manufacturers expect an increase in 2014, compared with Up more than 25 percent 47 percent of dealers Up 10 to 25 percent 27% 32% Bass – 51 percent of manufacturers expect Up less than 10 percent an increase in 2014, compared with 37 percent Flat of dealers Down less than 10 percent Cruisers – 33 percent of manufacturers Down 10 to 25 percent expect an increase in 2014, compared with 23 Down more than 25 percent 32% percent of dealers Clearly, manufacturers have a more positive outlook for 2014. It's important to note, though, that for every category (excepting cruisers) more dealers expect sales growth than declines. compared to 33 percent of dealers. And while 23 percent of dealers expect that market to decline, only 18 percent of manufacturers do. Optimistic outlook There's a similar split on PWCs, with 42 perOverall, survey respondents continue to report cent of manufacturers predicting market growth positive year-over-year growth, with 65 percent this year, compared with 29 percent of dealers. reporting higher revenue at the end of 2013 than With BRP's departure from the sport boat on 2012. Forty percent were up more than 10 market in 2012, jet boat sales have been espepercent compared to a year ago and 8 percent cially volatile the last two years, up 30 percent were up more than 8 percent. Only 16 percent in 2012 and down 27.3 percent in 2013. Chaparreported a revenue decline. shows percent Down more than 25 no sign www.BoatingIndustry.com 1/8/14 12:14 PM