London positive while the US slashes prices

by Jeni Bone on 12 Jan 2009 While Britain's boat manufacturers at London International Boat Show expressed confidence in the market, buoyed by the fact that a weaker pound could make their offerings more appealing than imported craft, the US is resorting to heavy discounting and value-adds to woo consumers to boating lifestyle.
And key to their message is 'It’s all about fun!'

As gas prices dip, Americans are slowly getting back on the water. Following a few of the regional boat shows, the Marine Industries Association reports sales of small boats (under 30 feet) are down 40%. In response, vendors have been slashing prices to move product.

The US boating industry is encountering similar challenges to automotive dealers, says Mark Miller, owner and president of Grand Sport Center Inc. of Lake in the Hills. But the difference is, boating can claim its main brand value as 'FUN'.

'We sell fun; we sell recreation,' Miller says. 'You get it in your blood, so to speak. You are going to make a way to use your boat.'

The tough economic times mean that boats are probably not new. More people are opting to buy used, many through brokers such as Miller. Others are turning to restoration and repair specialists to improve and refit their existing boats.

At the annual Chicago Boat, RV & Outdoor Show, January 14-18, affordability will be the buzz word. Exhibitors are emphasising alternative means of getting into boating, including second-hand boats that can be financed for less than US$300 a month, syndication and promoting boating as the family pursuit for people on any budget.

London, which is one of the key international shows and the world’s oldest is celebrating 55 years this year. It enjoys interest from around the world, but the vast majority of sales are by people from the UK, according to the National Boat Show's Managing Director, Andrew Williams. But he is hopeful a weaker pound and great prices will attract more international customers.

'With the way the euro is, all of a sudden Europe will want to come here and do their shopping for boats because it is a lot, lot cheaper than it is buying in Europe at the moment.'

Forecasts have been positive for the London Show, 9-18 January, with organizers expecting around 130,000 visitors to pass through the doors at the ExCeL exhibition centre, a small rise on last year. International sales tickets, mainly from Europe, are up about 10 percent.