Cigarette cost
 

Everyone has kicked around what Cigarette boats are worth, but what justifies this value. How much does it really cost to build a 38TG, you have a hull, 2 motors and drives, upholstery, and wiring. Can you you really think that this boat cost 200 to 300k to build making it retail for 400 to 500k. This is obscene, just stop and think what 4 or 500k will buy in some other market. I know, I know, you want a Cigarette and are willing to pay for it, but I think we are now seeing the true value of these boats. Yes, I do own a Cig. and have owned 5 before this one, that just makes me as goofy as everone else. Just wondering if anyone has felt the same way.

Development costs have to play a big role, especially for low volume production.

i just took apart my dash panels to send them off for paint, and i cannot begin to tell you how impressed i was with the wiring and labeling inside the dash, there must be 20,000 wires, each zip tied together in there certain groups, looped and screwed to place, labeled, etc....... very very impressive rigging,

i thought it was just in the engine compartment they blew other manufacturers away, but even in the hidden spots 9 out of 10 people never see will blow you away

What development the TG hasn't changed in 20 yrs except for the twin step, and they got that from Skater. They have made it fancier in the cockpit (to fancy) The use of different materials in the hull you paid for as an option. I'm just trying to figure the high cost of thse boats.

I would think the market sets the price more then any other factors but keep in mind the number of man hours, materials, product liability insurance, overhead, artwork, engineering, ect. that goes into these machines.

After nearly rebuilding an entire boat, I can see where the cost comes from on some of the latest and greatest. Its not just the boat manufacturer that has low production but also most of its vendors. Then they have to pay for overhead and labor. When you are building less than 100 (not sure how many cig builds per year) boats, each one has to cover a lot of costs.

I see where the price comes from. I know just on my refresh I will have 100K just to make it up to par again. Motors, Drives, Trannies, Exhaust, paint, interior. Boats have so many facets to them the price adds up quick. This price is not changing anything just making what's there perfect.

It appears to me the cabin has changed as well as the deck and hatch molds have changed. Also the twin step molds are not the old molds the strait bottoms were pulled from so there was cost to build the molds. The cockpit helm stations appear to be a different mold than the 2000 -2005ish as well as the bolsters having a different injection piece under the skins and rear seats being different from the older ones.

So I'd say the boat has changed a lot since 1988. Then factor in the costs in resins and motors that went throught the roof. The cost charged to put paint on these is not cheap, plus Mercurys ever increasing costs and labor costs going up every year.

I'm not saying that they are not expensive but I'd bet there is more cost involved that most people realize.

Good question, however you cant compare the cost of the sum of the parts to having a quality finished products. Take a house for example, you can have all the lumber, cabinets pipes shingles wiring paint etc etc..dumped on the lot for a certain price and then build it. Then you have the option to buy one done. There are times where the sum of the parts exceeds the "percieved" market value and you have what we are in now, thats called deflation or recession.

all in all you pay for what you get. In my business, I see people that dont want to spend what I charge, they go cheaper or do it themselves and to me as a professional it looks horrible, but the percieved dollars they saved makes them happy so I smile and walk away.

Unless I'm mistaken, Mike Peters did the twin step after Cigarette attempted to do their own single step and failed miserably.

In 2000 I was at Cig. talking to Neal when a pallet was unloaded from a truck it had a funny looking piece of fiberglass straped to it, Neal said it was a section of mold bottem to be placed in their mold to create the 1st step hull for Cig. It came from Skater. The rest is history. They bought their R&D.

Dont forget to add in facility costs (building lease/taxes etc) utilities, manufacturing equipment and replacement, insurance, workmans comp, unemployment contributions, income tax, federal, state, city, EPA fees, hazardous materials fees, liability insurance, recoupment cost of shop screw ups, advetisement/pr costs, front office costs, buisness license costs, company vehicle(s) costs.. I'm sure there is more I haven't thought of. On top of that there still has to be a reasonable profit.

Buy the company and give them away...

And there goes the neighborhood........

Calm down boys, I'm not really complaining because I'm not going to pay what they are asking now, besides this is not just about Cigs. Look at OL a 41 or 42 big motors,6 to 700k, this is about performance boats in general. Quality be damned, these boats don't hold their value any better than the other brands. Sure a used 42 Cig. is higher than the same year 42 Sonic but the Cig. cost nearly twice as much when new.

To be a performance boat builder is more of a passion for these people than a "get rich" business (my opinion). Labor and materials only get more expensive every year which is why boat pricing goes up. Look at the finishes of a Cigarette today and it is all detail, this detail is what buyers have come to expect. When you make the comparision of a sonics pricing to a cigarettes that is not a fair playing field. If I had to bet I would say a Cigarette takes 70% more time in production because of their detail compared to a sonic.