When the Marine Dealer Conference & Expo wrapped up last week in Las Vegas, Nevada, there was an interesting discussion
among dealers regarding boat sales.
Sales are lagging, of course, but the dealers were all concerned about how to survive and thrive in today's market. It was the theme of the MDCE, but it
is also the topic most on the minds of dealers of all sizes as the entire economy seems dead in the water. But it seems the credit crunch is really hitting
dealers who actually have credit-worthy customers who want to buy, but can't find anyone willing to make loans.
A credit crunch is a crisis in big-ticket items like boats, RVs and motorhomes. If you can't get financing, there's not much way the average boating
enthusiast can make the numbers work in order to purchase a new boat. In the past, credit hasn't been a factor with a variety of lenders willing to take
large loans on very long repayment schedules. Today, those cheap money sources have dried up - and with their evaporation, the boating industry finds itself
looking for capital. We've been told that dealers have potential customers with good credit scores who still can't get financing for new boats.
Not that there is any good news for the boating business right now- outside the super yachts which appear to be selling, although brokers tell us even those
deals are slowing in the spreading economic problems.
Looking at the numbers, it appears there are darned few companies in the consumer fishing lines not taking a hit. The second quarter 2008 sales numbers
showed unit sales plunging at many manufacturers. In the top twenty fiberglass boat manufacturers category, there were no companies reporting positive
numbers. Only five Ranger, Carolina Skiff, Triton, Nitro, and Boston Whaler had unit declines under twenty percent.
Overall, the fourteen-foot-and up fiberglass segment declined by 31.2 percent on sales of 43,468 units. The only brand showing growth in the quarter was Bass
Cat.
The news wasn't any brighter for aluminum boats.
And the high costs of travel across the summer hit guides and fishing lodges hard, especially in those areas where aircraft were necessary for
transportation. In Canada, North West Territory guides say they've been hurt in the short term, but believe the pristine water and good overall fishing
conditions will bring back repeat customers. The challenge they say they face today is getting the new angler to sample those long fishing expeditions.
And on the political scene, it looks like there are several names being tossed into the hat for Interior Secretary. It isn't the most glamorous post in
the administration, but it's certainly important to all outdoors enthusiasts.
According to Washington insiders, the front-runner for the post seems to be Rep. Raul Grijalva of Arizona. Grijalva currently chairs the House Resources
Subcommittee on National Parks, Forests and Public Lands. According to insiders, he's seen as a good choice for the latino and environmental communities.
Meanwhile, nearly three dozen sportsmen's groups, including Ducks Unlimited, Wildlife Forever, The Sierra Club and The Wilderness Society are asking the
Obama administration to consider Representative Mike Thompson of California.
The fifty-seven year old Thompson won re-election in November and will begin his sixth term in January. He's on several key committees, but he's also
one of the key members of the Congressional Sportsmen's Alliance. An avid hunter, he's also championed the move to get disaster relief to salmon
fishermen in the northwest.
At this point, Thompson says he's flattered, but hasn't been contacted by anyone in the Obama administration.
We'll keep you posted.











