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

On Time 03-25-2011 11:25 AM


Originally Posted by TexomaPowerboater (Post 3359369)
Sounds like you do agree somewhat. You admited that these low prices keep cash flowing through companies. Not sure why I need to be realistic about prices so you and Shogren can make a living...... If ya'll want better margins try getting out of the used market. IMO the relationship that exist between a dealer and a seller is the dealer is supposed to get a higher price on the sale, and in exchange the dealer gets a commission so it should be a wash and thus, no cost to the seller. When a dealer does the opposite and actually lowers the price as shogren is doing, his services are no longer needed because he hasn't really earned his pay. Anybody can dump a boat. I dumped a cadillac the other day in 2 hours. Much faster and less hassle than using a dealer. This is the untold story Trulio has failed to mention. Shogren is trying to have their cake and eat it too. He wants boaters to dump their boat and he expects them to pay a commission for that, but there is no need to pay a dealer to dump your boat. That my friend is realistic. And in my "real world" scenario if I take a boat to Shogren and expect him to sell for $35K, but he tells me it will only sell for $25K; I'll sell the boat myself.

I understand how you feel. It always hurts to get less than you think something is worth. But there is value to the service that Shogren offers even if the seller gets less because of the speed of sale he can offer, a profession detail job (a powerful sales tool) and freedom from the "hassle factor" of water testing all those tire kickers out there that go for a ride and then go home without your boat. I sold three boats individually in the decade of the 2000's and lost a lot of good Saturdays and Sundays trying to sell my boats. And in the end, I ended up taking less than I wanted in all cases just to get it out the door and experience the "second happiest day".

TeamShogren.com 03-25-2011 11:40 AM

Selling A Boat
 
Sounds like maybe you had a bad experience selling or buying a boat in the past and for that I apologize but until you own a boat dealership where you affect the lives of your employees and the risk we take stocking millions of dollars worth of boats or the investments we make in the industry will you ever know or understand what it's really like.

If you have a boat and want to sell it, you can always sell on your own. It's a choice which I/we all respect and we are only here for a suggestion. It's more than just numbers which is why we make a huge investment in this industry through poker run support, web support, sales and service support as well as payroll of employees to support their families and a 50,000 square foot indoor facility to help consumers sell and find their new boats. We are open during business hours not when convenient hours. Sorry you don't see the value in a dealer or what they can do for you and BTW your assumptions are totally in-correct but your opinion is respected.

Being a boat dealer is not easy let alone retail which is why banks closed down more than 1,000 boat dealers in past 18 months in US alone. This is NOT good for our industry, the sport we love or consumers.

This has been a very interesting thread which I have very much enjoyed reading.

Regards,

Scott Shogren


Originally Posted by boatnt (Post 3359371)
Hey understand what your are saying,but at the end of the day it all numbers to you ,
the cheaper you list it the faster it sells the faster you collect your money..


Wildman_grafix 03-25-2011 12:07 PM

Maybe I am missing something here (I do that a lot) but I have always known if I trade a boat, car, motorcycle in to a dealer that I will get less then I would selling on my own.

That's because the dealer has to RESELL it, they are not buying it for themselves or the good of their heart.

The plus is not having to hassle with people telling everything they don't like etc. But it is your choice, convenience and a bit less or sell it on your own.

Why would I be mad at the dealer for this? it is a business,,,,,,,,,,,,,,,,

cdowns 03-25-2011 12:35 PM

Good thread and a great post by Team Shogren..:ernaehrung004:

VtSteve 03-25-2011 12:40 PM

You're obviously not the average dealer Scott. Providing an indoor facility that size, where one can list their boat for sale, as well as the prep, is extraordinary indeed. It also entails an enormous investment. I had a bird inside my shrink wrap last April, because the dealer was "unaware" of screens for the vents. Most everyone has had, at one time or another, a bad experience of some type with a boat dealer. Part of the problem is the seasonal nature of the business in many climates. It's good to see a dealer or two that really is in it for the long term.

Every dealer should also take into consideration that consumers have had major problems as well. Many became pretty angry when they realized their $200k new boat was not such a good move when they financed it with a home equity loan. Chances are, they got a double whammy with both assets dropping below financed amounts. The little guy gets kicked again when they realize that their dealer now only talks to the hi rollers, because the little guy's boat's is under water in the financing now. Hopefully a lesson learned, but the grudge will persist. People will eventually get over it.

Judging from most comments all over the country, it's mainly a realization amongst factions of the Middle Class that they got taken. Granted, they made their decisions and should take their medicine. But for a few years, many of them actually thought they were important and could live the good life. Now they find out that they not only can't participate, but their past participation will cost them dearly. I think it goes back to the concept mentioned of Yearning for something, then plotting a course to actually devising methods to obtain it. Too many got suckered into the easy money game with houses and boats and other toys. They naturally get a bit bent out of shape when the dealer tells them what they bought not long ago, ain't worth sheet now. They'll get over it eventually, and hopefully, be more cautious in the future.

You gotta do what you gotta do, and dealers can't afford the luxury of looking in the rear view mirror all day. Since I don;t expect too many new boaters to be jumping into the boating world anytime soon, (except for pontoons and lower ticket items), people need to either enjoy what they have now, or close your eyes and dump it.

TeamShogren.com 03-25-2011 12:51 PM

Very good analogy
 
Very educated response.

I believe the future is Center Consoles, Trailer Boats (meaning up to 30'), pontoons, deck boats, Outboard boats & ski boats along with bigger boats of value.

Why? If you go back to 2005 for example. A buyer may have had a 2002 28' brand X boat with a single brand X motor. He traded it in on a 42 brand X boat with brand X motors and got a bank to do a no doc loan. Shame on the bank number one and shame on the consumer that lied about income. Now this 300K boat is worth 185K and he has a 285K note. He is saying darn, if I just kept that boat I traded I would have it paid for now and would not be in this situation. Instead I am upside down 100K which is more than the boat I traded in.

Face it, there are people that have what I call the "water gene" and will be on the water and boating in some capacity no matter what. This is where the mfg that adjust will have a future. This is just my opinion, not fact but certainly the way things are trending right now.

The bigger the boat the better the value right now. Smaller single engine boats are actually pretty strong right now and the outboard market is growing.

Regards,

Scott Shogren



Originally Posted by VtSteve (Post 3359514)
You're obviously not the average dealer Scott. Providing an indoor facility that size, where one can list their boat for sale, as well as the prep, is extraordinary indeed. It also entails an enormous investment. I had a bird inside my shrink wrap last April, because the dealer was "unaware" of screens for the vents. Most everyone has had, at one time or another, a bad experience of some type with a boat dealer. Part of the problem is the seasonal nature of the business in many climates. It's good to see a dealer or two that really is in it for the long term.

Every dealer should also take into consideration that consumers have had major problems as well. Many became pretty angry when they realized their $200k new boat was not such a good move when they financed it with a home equity loan. Chances are, they got a double whammy with both assets dropping below financed amounts. The little guy gets kicked again when they realize that their dealer now only talks to the hi rollers, because the little guy's boat's is under water in the financing now. Hopefully a lesson learned, but the grudge will persist. People will eventually get over it.

Judging from most comments all over the country, it's mainly a realization amongst factions of the Middle Class that they got taken. Granted, they made their decisions and should take their medicine. But for a few years, many of them actually thought they were important and could live the good life. Now they find out that they not only can't participate, but their past participation will cost them dearly. I think it goes back to the concept mentioned of Yearning for something, then plotting a course to actually devising methods to obtain it. Too many got suckered into the easy money game with houses and boats and other toys. They naturally get a bit bent out of shape when the dealer tells them what they bought not long ago, ain't worth sheet now. They'll get over it eventually, and hopefully, be more cautious in the future.

You gotta do what you gotta do, and dealers can't afford the luxury of looking in the rear view mirror all day. Since I don;t expect too many new boaters to be jumping into the boating world anytime soon, (except for pontoons and lower ticket items), people need to either enjoy what they have now, or close your eyes and dump it.


dodgeman111 03-25-2011 01:38 PM

I digress

VtSteve 03-25-2011 01:42 PM

I've given up on CC;s, deck boats and the like for these cold areas. Although my Sea Ray dealer just took on Proline. One thing that was very enlightening this year, was seeing Cobalt's brand new cuddy. The one with a separate, enclosed head :coolcowboy: Nice to see their return to closed bow, plus an obvious enclosed head in a cuddy.

Pontoons have their role, and they can be as cheap or expensive as you want them to be. Three boats this year gave me hope for something new in boating.

There are tons of fairly decent boats in the price ranges from under $15 k to $30 k. They have to start somewhere.

The new Chap bowrider/cuddy, that has a cabin that is full-beam width and performance

The Cobalt I mentioned above.

The new Four Winns Cruiser. Only 30', but will sleep six comfortably.

Somebody's been thinking the past two years.

On Time 03-25-2011 02:46 PM


Originally Posted by Team Shogren (Post 3359523)
Very educated response.

I believe the future is Center Consoles, Trailer Boats (meaning up to 30'), pontoons, deck boats, Outboard boats & ski boats along with bigger boats of value.

Why? If you go back to 2005 for example. A buyer may have had a 2002 28' brand X boat with a single brand X motor. He traded it in on a 42 brand X boat with brand X motors and got a bank to do a no doc loan. Shame on the bank number one and shame on the consumer that lied about income. Now this 300K boat is worth 185K and he has a 285K note. He is saying darn, if I just kept that boat I traded I would have it paid for now and would not be in this situation. Instead I am upside down 100K which is more than the boat I traded in.

Face it, there are people that have what I call the "water gene" and will be on the water and boating in some capacity no matter what. This is where the mfg that adjust will have a future. This is just my opinion, not fact but certainly the way things are trending right now.

The bigger the boat the better the value right now. Smaller single engine boats are actually pretty strong right now and the outboard market is growing.

Regards,

Scott Shogren

I have heard exactly that, from my close dealer friends who own South Austin Marine and Ski Dock Marine here in Austin. So I bought a used CC, had it refurbed, and now it looks great and my friends like it. We are a water gene family be it cruising, fishing, wakin', or hauling ass.

Unfortunately the demographics of our nation are changing rapidly, right before our very eyes, with a shrinking and struggling middle class. Boating is also hugely cultural, being mostly associated with and marketed to the ever decreasing percentage of WASP/Js in our country. Many of the "new arrivals" even if they have the money and qualifications don't have a water gene. The "Yearning" phenomenon I introduced to this thread was a feeling most of us had since we were young and our Dad/uncle/etc. first took us out on a boat (or we saw the girls). Most of the new arrivals in the medical, IT and engineering professions I work with without being too specific haven't yearned for anything other than to come to Amerika. Most don't even like to go outdoors to exercise or do anything (it could darken their tan - this is a real concern to them not a joke). Many live in the Chicago, Detroit or Dearborn area and could afford a new boat every year if they want but it's not in their culture. So until this demograhic is convinced otherwise they are not doing anything that requires being outdoors for extended periods. And the traditional boating demographic just keeps getting smaller, and smaller...

On Time 03-25-2011 03:08 PM


Originally Posted by VtSteve (Post 3359514)
You're obviously not the average dealer Scott. Providing an indoor facility that size, where one can list their boat for sale, as well as the prep, is extraordinary indeed. It also entails an enormous investment. I had a bird inside my shrink wrap last April, because the dealer was "unaware" of screens for the vents. Most everyone has had, at one time or another, a bad experience of some type with a boat dealer. Part of the problem is the seasonal nature of the business in many climates. It's good to see a dealer or two that really is in it for the long term.

Every dealer should also take into consideration that consumers have had major problems as well. Many became pretty angry when they realized their $200k new boat was not such a good move when they financed it with a home equity loan. Chances are, they got a double whammy with both assets dropping below financed amounts. The little guy gets kicked again when they realize that their dealer now only talks to the hi rollers, because the little guy's boat's is under water in the financing now. Hopefully a lesson learned, but the grudge will persist. People will eventually get over it.

Judging from most comments all over the country, it's mainly a realization amongst factions of the Middle Class that they got taken. Granted, they made their decisions and should take their medicine. But for a few years, many of them actually thought they were important and could live the good life. Now they find out that they not only can't participate, but their past participation will cost them dearly. I think it goes back to the concept mentioned of Yearning for something, then plotting a course to actually devising methods to obtain it. Too many got suckered into the easy money game with houses and boats and other toys. They naturally get a bit bent out of shape when the dealer tells them what they bought not long ago, ain't worth sheet now. They'll get over it eventually, and hopefully, be more cautious in the future.

You gotta do what you gotta do, and dealers can't afford the luxury of looking in the rear view mirror all day. Since I don;t expect too many new boaters to be jumping into the boating world anytime soon, (except for pontoons and lower ticket items), people need to either enjoy what they have now, or close your eyes and dump it.

Lots of logic.


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