The new future for boat sales by a Dutchman - Through internet brokers

by Robert Wielaard on 28 Apr 2013 'They battened down the hatches, but the hatches wouldn’t hold. They drowned upon the staircase of brass and polished gold,'

Bob Dylan

The first time Jort van Sisseren began saying 'the internet is automating everything,' the Netherlands’ sizable yachting lobby HISWA (4,500 companies, 30,000 workers, €3 billion annual turnover) battened down its hatches. That kept Van Sisseren outside HISWA's ranks, but failed to quell his revolution. 'We are at tipping point to a totally new economy,' the 32-year-old Dutchman says today.

In April 2011, Van Sisseren and Volvo Ocean Race giant Bouwe Bekking launched a do-it-yourself, online yacht brokerage promising to be 'the world’s biggest boat site in five years with the largest online offering of yachts.' The aim: to cut out brokerage fees that can be 8% of a sale price. HISWA yacht brokers call online trading dicey. They say flesh-and-blood brokers are experts at pricing vessels and crucial in sorting out pesky legal, financial, ownership and other details.

HISWA insists Van Sisseren is not a broker, but simply a man offering an online service to buyers and sellers of yachts. 'Anyone can do that,' says HISWA spokesman Paul Huisman. Van Sisseren. 'Let me be clear: I’m not out to get HISWA, or traditional yacht brokers. I’m empowering individuals. I believe yacht brokering can be done better, more cheaply, more smartly.'

Van Sisseren’s and Bekking's venture offers buyers and sellers a step-by-step online trading process. Sellers establish an account that lets them list their boats for free. They can upload photos and video. The listing is shared with other used-boat websites, including Boats.com, at Van Sisseren’s charge. Buyers can contact sellers directly. Depending on a boat’s location, they can use the DIY site to find a nearby surveyor and book a survey. An online sales module guides the parties through all aspects of a sale. 'Template contracts are based on professional yacht brokerage agreements,' says Van Sisseren. He says if a survey points to repairs exceeding 10% of the sale price, a buyer can call the whole thing off.

He calls HISWA and traditional yacht brokers hidebound. 'They do not innovate enough, do not see _ let alone seize _ the opportunity the Internet offers. Most yachting-related companies blame the economic slump, but are blind to today’s fantastic opportunities. Look at your own company critically! Where can you save money? What’s your added value? How can you build on it? We are not in a crisis. We are at a tipping moment to a completely new economy.'

Van Sisseren says his DIY site was a moderate investment, mostly for software development and online marketing. For now, the focus is on building traffic. The site is available today in Australia, Belgium, Canada, Germany, Ireland, the Netherlands, New Zealand, South Africa, Britain, the US.

Van Sisseren: 'We now have 689 yachts online. Growth is kicking in. Reactions from brokers can be fierce, especially in the US. But private boat owners think it’s a great idea. And that’s the point. He cites research showing more than 80% of private boat owners feel brokers overcharge and 90% feel they don’t need a broker, especially in hard times. But 41% are scared off by red tape and prefer step-by-step help.