Understanding the Challenges of 2021

Feb 2, 2021

In this edition of Boating Industry Canada News Week Digest, we have a story from Hanse Yachts describing their very strong order book, but also the challenges of meeting the consumer demand that seems to have resulted from the COVID-19 pandemic. Last week we ran a story from Brunswick about returning three of their plants to production due to overwhelming demand for new boats.

The CTV television network reported that a recent Canadian boating survey found that in 2020, Ontario boat and yacht dealers saw a 26% increase in sales over the previous year. The survey also found among boat dealers that 80% anticipate low supply, or to be sold out by May of this year. There was also a 17% increase in rentals and leases of boats over the previous year.

Conversations with yacht brokers tell us a similar story. There is a lot of demand for a limited number of boats and in some cases, buyers are taking boats that are of questionable quality.

Will buyers who wind up disappointed this year, still be in the market in 2022?

My opinion is that some new boaters will drop out and do something else with their time and money. We may lose them as customers forever. More experienced and committed boaters may fix up their old boat if they can, go to a bigger/better used boat, (and will bid up used prices in the process) or they will put in a new boat order and wait till 2022 or maybe longer. What ever happens though, it’s looking like there will be disappointment for some in the summer of 2021.

As an industry, we need to have a more data-driven picture of our marketplace and the real inventory shortages.

Below, in Feature 1. “COVID-19 PRODUCT SHORTAGES? JOIN THIS SURVEY – LEARN WHERE YOUR BUSINESS STANDS” – we are asking our News Week Digest readers to answer a simple 8-question survey to connect with the COVID-19 survey we did last May. That establishes a baseline and hopefully a trendline for future simple surveys.

We also welcome your input and questions for survey’s in the coming weeks.

As always, we will gladly share the results with our readers. This year more than ever, you will need to know where your business stands and how your peers are handling this emerging situation.

Please invest a few minutes to answer this 8-question survey.

Andy Adams – Editor

COVID-19 PRODUCT SHORTAGES? JOIN THIS SURVEY – LEARN WHERE YOUR BUSINESS STANDS
Is your business suffering product shortages? 2020 brought us many new boaters. Can we satisfy the 2021 demand for new and used boats? Are parts available?

We have heard from several boat builders that they are at maximum capacity. Some are adding shifts, or opening new plants.

Please fill in this background survey now. This spring, we plan a series of surveys and will share the results with you through Boating Industry Canada.