Offshoreonly.com - Shogren on Used Boats: "Be prepared for reality."

Offshoreonly.com (https://www.offshoreonly.com/forums/)

- General Boating Discussion (https://www.offshoreonly.com/forums/general-boating-discussion-51/)

- - Shogren on Used Boats: "Be prepared for reality." (https://www.offshoreonly.com/forums/general-boating-discussion/249874-shogren-used-boats-prepared-reality.html)

Quote:

Originally Posted by TexomaPowerboater (Post 3357830)

+1, Does it suprise me that a dealer is trying to get people to accept lower offers on the premise of "reality" so that he can pad his own pocket, nope.

I completely disagree with this reply.
When I offer 500 to 800 trade in on a 5yr old acrylic hot tub that cost 4500-5500 the people are like "that's a ripoff" offer.
I let them know that Craigslist is available for free and lets just work on the design concept and putting a plan with a quotation together and then dealing with the tub later if it doesn't sell. I'll always check Craigslist to see how much they listed for, which is typically 50% of the purchase price.
9 times out of 10 when we move to a contract they have yet to sell it. I volunteer that my offer still stands if they choose so and if not drop your price down closer to or slightly below 1000. If you don't want to you'll see your hot tub on there the day after we remove it. You'll see me listing it at 900 which reflects my 500 purchase price plus 300 in removal labor and plumbing/electrical disconnection.
This, my internet friend, is a c_nt hair above a 10 percent return in my margin and if you think Scott is padding his pocket giving 50k for a 100k boat and selling it for 55k that he is padding his pockets with the additional profitability that the buyer missed out on your sadly mistaken. He took the deal just as I did to keep money flowing throught the companies kitty, not to hit a grandslam homerun on and retire.

Just my .02.

See ya,
Kelly

Quote:

Originally Posted by Back4More (Post 3357516)

"With that said Scott probably needs to take some of his advice I check his website regularly and some of that stuff has been on there for years"

Those are brokerage boats...And yes the owners need to come to reality if they want them sold.

He won't let his inventory turn stagnant. Thats why you see ebay auctions from time to time.

Agreed, and also maybe the boat brokers need to check reality on there commission. I guarantee that if the boat brokers would lower there commissions a bit or get closer to what the trade will really sell for you would have trade in customers in alot more new boats. Boat Brokers trying to make 25k on a possible 165k sale is absurd.

[QUOTE=Team Shogren;3357546]Thank you for the comment RH.

The only boats that are in our inventory for a long period of time are a few brokerage boats where owners won't budge

Hi Scott,Thats a very true statement I went out there last August to look at one of those brokerage boats.Scott made me a fair offer for my boat but we were just too far apart.
Now that boat has dropped 10k still not where I wanted to be but closer.Unfortunately I just spent 6k on a new trailer which puts us farther apart.Had the price been then what it is today it might have happened.Its not exactly what I want but I could have lived with it for a few years.More than likely will wait one more year and pick up a staggered 35.

And for what its worth I think they are decent people.

Quote:

Originally Posted by rexcramer1 (Post 3356939)

The clowns that run the boat brokerages up here need to figure this out. They talk owners into asking rediculous amounts for their boats while they sit and sit and sit. Its well worth a day's drive south to save 20 grand.

That's a MI thing! I have noticed that the people of this great state somehow think because insurance is more here, gas is more here, property over priced here that every thing should be 20% more than the rest of the country!

I have not been able to buy a single thing here, from boats to vettes/trucks to a Harley I just bought! If you search outside of MI you see just how asinine sellers here are.

the performance boat market clientele is shrinking every year. most people don't want or can't afford a fast boat anymore, that's why center consoles are becoming more popular. People who build stuff in their garages and like the older boats are becoming fewer also. prices will drop even more in the next couple of years

Quote:

Originally Posted by TexomaPowerboater (Post 3357830)

+1, Does it suprise me that a dealer is trying to get people to accept lower offers on the premise of "reality" so that he can pad his own pocket, nope. Piss poor article IMO Trulio and very disrespectful, curious how much Shogren had to pay it. I'm sure you guys talk chit about boat owners all day, but no need to write an article about it and publish it on this site.

Not everyone pisses away hours every day looking for bottom prices. When a wealthy buyer finds something they want they will buy it, period. I helped someone last year overpay for a houseboat. Time is money, they didn't feel like shopping for another month and they certainly didn't enjoy dicking with dealers or serveyors or the hour and half driving trips to go see a boat without driving away in it.

I actually thought his statements were right on, he's simply telling people to be realistic about the price of their boats,

Quote:

Originally Posted by huskyrider (Post 3357691)

Very well put.

I, like Scott, conduct a luxury item business (custom pool construction). There' no differences in the comparisons here on the performance boats or any boat and a custom pool builder or a motorhome dealership. Except that I didn't have to pay for a bunch of inventory losing value annually. I construct on a per contract basis.

I've told buyers exactly this same thing I quoted Scott on since the end of 2008. My costs on building materials (rebar, concrete, bullnosed brick and pool tiles, etc...) has raised several times since then and my margin since then has tanked.

I looked for almost a year before offering a contract on a performance sport cruiser. It wasn't truly the most favored boat I wanted but I had to be practical, a cash purchase was a must. If I couldn't get a 700+ score financed on a new pool contruction loan at least a half dozen times last year why would it be different on a boat. And, equally, I was totally unwilling to take on any note for the boat purchase.

Selling pools has been the same, target the higher end neighborhoods, cut your markup to the bone, and perform your services for the love of the sport and not for addtional profitability. All business owners know pretty much what it takes to keep the company in the game without risking going under.
Pool buyers also know that the pool loses value bigtime and only helps for a quicker resell when they relocate.
Once we business owners and our customer base realize these things it's somewhat easier to close our deals.

See ya,
Kelly

Hey just to make you feel better the pool business in Jupiter, FL is flat also! 5MM oceanfront home, heater rotted out.......homeowner, don't replace it we don't use the pool anyway!

A company I used to do fire-ups for (The Pool People, Inc) built 2500 pools a year in South FL.........2010 40 pools finished for the year! They built for all of the regional and national builders WCI, Pulte, Toll Brothers and when new construction halted so did they!

In the boom they finished 10 pools a day.......blue water go swimming get your final check! 60 trucks on the road, 8-10 superintendents making 75K a year+++. It was insanity!