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Cost Of A New Boat Will Increase

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Old 12-03-2004 | 10:22 AM
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Default Re: Cost Of A New Boat Will Increase

One of our manufacturers/suppliers, after a 4%-6% increase in Sept. for '05 models, has just informed us that there's another 3%-4% increase coming first of the year. This is in direct proportion(they're telling us) to increased materials cost in resin/stainless steel, as well as transportation costs. I do know that it's costing $150.00 more to ship a boat from
So. Fla. to our location, than it did this time last year. I too, feel that It's going to shrink the margins that allow us to do top shelf service and follow-up: the very things that we all do to cultivate good business relationships with our clients. If the dealer has to absorb all the price increases (how much $^ can the public take?), it will be bad for everyone involved. It'll mean lower production at the manufacturing level, less operating capital at the dealership, and ultimately, lower levels of customer satisfaction!
Hugh/Offshore Performance
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Old 12-03-2004 | 10:28 AM
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Default Re: Cost Of A New Boat Will Increase

Originally Posted by Semper Fi
Sounds like concrete. Concrete has tripled since 2 yrs ago here in SoCal

60 .OO a yard here .
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Old 12-03-2004 | 12:25 PM
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Default Re: Cost Of A New Boat Will Increase

We have seen huge cost increases, the customers are not understanding why our prices are where they are. actually *****in bout pricing!!! As boat manufacturers arent we entitled to make a profit?? by the way thats a 6 letter word not a 4 or am I wrong?.Not to mention the amount that the EPA regs have become far more stringent, and the costs that go with it. Gone are the days of 188th St. (read cheap labor, cheap materials!)
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Old 12-03-2004 | 12:49 PM
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Default Re: Cost Of A New Boat Will Increase

Manufacturers, as well as the dealers who represent the product, are ABSOLUTELY entitled to(have to) make profit, other wise no one will be there to support the industry.
It will be interesting to see the immediate as well as long term effects on the consumer side of the equation...with the winter boat show season fast approaching, we'll see soon enough.
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