Fairline Boats tackles downturn headon

by Fairline on 16 Jun 2009 UK-based luxury boat manufacturer, Fairline Boats has begun the Australian Boat Show circuit confident that action taken during 2008 has prepared it well for the prevailing business climate.

Its dealerships, Fairline Queensland, Fairline Sydney and Fairline Western Australia showed the Phantom 48 and Squadron 58 at SCIBS and took enquiries for the Squadron 65 that arrives in the country towards the end of the year.

The dealers were supported at the show by Bryan Jones, President of the newly created Fairline Boats Asia, headquartered in Singapore. Bryan previously held the position of Global Marketing Manager for Fairline Boats in the UK so offers eight years of skill and knowledge gained through marketing the Fairline brand. This creation of a corporate office confirms the Company’s commitment to the region, its dealer network and Fairline owners in Australasia.

With recent headlines focusing on other manufacturing companies restructuring and down-sizing during the global downturn, Bryan Jones clarified Fairline’s own response to this issue.

'As the global recession took hold in 2008, Fairline acknowledged early on the need to reduce the size of its business to reflect the impending changes. During the period from September to December 2008, some lines went to short-time working for a brief period and it was announced that the workforce was being reduced from 1,400 to 1,000. The 2009 production level was reduced by 38% to avoid flooding the market and appointed dealerships with boats.'

At the recent European launch of the Squadron 65, 6 May 2009, Derek Carter, CEO of Fairline, made a brief presentation to the gathered media.

'Having taken our medicine early, Fairline continues to be a robust company ready and able to operate profitably in the current economic climate that 2009 presents. Indeed the current forward order book accounts for over 70% of 2009 production levels,' he said on that occasion.

'Although budgets have been dramatically cut, we have not reduced our product investment and will bring two new boats to market this year and a further three in 2010. It is an acknowledged business principle that companies able to continue their investment during a downturn will be the first to reap the benefits as the market returns.

'Such is our commitment that as we enter 2011, potential buyers will be able to choose from a selection of the most up-to-date, cutting edge designed boats as fifty percent of the range will be less than two years old.

'While I believe 2009 will continue to be challenging companies and individuals, I am optimistic we will start to see an upturn in Europe during the early quarters of 2010 and that is what my management team and dealer principals are constantly working towards.'

More at www.fairline.com