Boat Dealers

First Research, Inc.
October 27, 2014
10 Pages - SKU: FRRS5362698
Countries covered: United States

Boat Dealers

Brief Excerpt from Industry Overview Chapter:

Companies in this industry are engaged in retail sales of new and used boats, as well as boat motors and trailers; they may also offer replacement parts and boat repair services. Major US companies include MarineMax and West Marine.

The US boat dealers industry includes about 4,700 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $12 billion.

COMPETITIVE LANDSCAPE

Demand for boats is closely linked to personal income, consumer confidence, and the general economy. Industry groups also examine other indicators such as RV sales, light vehicle sales, and fishing license sales in order to gauge demand for boats. The profitability of individual companies depends on good marketing. Large companies may have economies of scale in advertising and purchasing. Small companies compete by specializing in a certain category of boats, such as fishing boats, or by focusing on a specific customer segment, such as sailing enthusiasts. The US industry is fragmented: the 50 largest dealers generate less than 30 percent of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Dealers sell new and used boats, engines, parts, and a large variety of associated products. Other offerings typically include maintenance and repair services. Some dealers may operate marinas and winter storage services; sell service contracts, especially for boats with expired warranties; and provide financing, insurance, and boat brokerage services.

Most dealers sell only powerboats or only sailboats. Powerboats are categorized by intended use as motor yachts, pleasure, fishing or high-performance...



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