Brunswick selling off Sea Ray brand

Discussion in 'General Discussion' started by KnotEasy, Dec 5, 2017.

  1. paulswagelock

    paulswagelock Well-Known Member

    Oct 25, 2010
    pa
    2018 SDX 270 OB 300 Verado
    Verado 300
    There are some legal reasons for a MSRP (retail price) especially when there is a third party distribution model (price fixing and collusion are some of the reasons). However, they are complicated/subjective and not the only driving factor. With many large ticket items, culturally people feel the need to negotiate. The US is actually conservative in this arena though. Cars, boats, large furniture purchases, etc. are priced at retail then people negotiate the deal they can tolerate (seller and buyer). In the Asia Pacific region, the expected discount is much higher and therefore the "list" price is also inflated even higher. In many world areas, just about everything is negotiated - cab fare, meat at the grocery store, clothing on the shelf....
     
  2. fwebster

    fwebster Well-Known Member TECHNICAL Contributor PLATINUM Sponsor

    Oct 6, 2006
    Middle Tennessee ; Panama City Beach, FL
    1996 450DA
    3116 Caterpillars
    We have a Tyson's Foods plant here. They imported a bus load of Somolians because of a shortage of local labor who didn't want to process chickens.

    I got caught in line at Walmart behind a Somoli woman who was attempting to negotiate the price of a package of toilet paper. Her husband was the decision maker and she had to run to him to with every response from the cashier who obviously had no authority to do anyting but swipe a bar code and take money.

    Another 10 minutes lost that I'll never see again. I guess they are wondering who left a buggie with 8 gal of Rotella T 15W40 in the check out line.
     
    bbwhitejr and PlayDate like this.
  3. tdgard

    tdgard Member SILVER Sponsor

    335
    Jun 4, 2013
    Atlanta, GA
    05-270 Sundeck
    496 w/Bravo III
    Don’t qualify in the smarts or millennial departments but I have often wondered this myself. It’s not just Sea Ray but the entire boat building industry. There would be a tax advantage by writing off unsold inventory at the risk of higher losses and the company being sold-whoops. Maybe you get a dozen or so people who don’t know the boat buying process and actually pay that price. Or it could be that you offer 22% off while Cobalt only offers 20% off. Doesn’t matter about the price of the boat, you are giving a better deal.

    Just speculation, but those are the ones that come to the top of my bald head.
     
  4. msd58

    msd58 Member

    88
    Oct 3, 2007
    Delaware
    17' whaler for one
    90hp yamaha
    Back on topic here. These number speak for themselves:

    "I took a look at Brunswick's annual report to stockholders and investors. They only broke down sales by group- they now operate in 3 main groups: engines, boats. and fitness. All together they had $4.4 billion in sales last year. Engines were the largest division with slightly more than half of total sales. followed by boats and then fitness.

    What is interesting is that of the 3 groups, boats are by far the smallest contributor to profits. Engines had a 15.5% profit margin, fitness had a 12% profit margin, and boats only had a 4.4% profit margin. That is a thin margin that would quickly turn to a loss in the next recession. They didn't break it out, but I would guess that SeaRay likely was a money loser for them or they wouldn't be trying to sell it. "

    In 2016 Sear Ray sold only 2500 boats. Not sure where the 2017 numbers will total up to.
     
  5. JimT

    JimT Active Member SILVER Sponsor

    Jul 7, 2009
    Charlotte, NC- LKN
    2010 330 Sundancer
    T-350mags w/BIIIs & Axius, 5.0 kw Kohler
    Bill,

    This is exactly what I see at PYC. 5 years ago my dock was 90% cruisers and sailboats. Each year since the cruisers have been sold and replaced by deck boats. I moved my slip last year because I became surrounded on both sides by deck boats on lifts and it felt like I was in a canyon. Every time a cruiser moves out now it's replaced by a deck boat. There is little overnight partying now. Amazing how quickly it changed.
     
  6. seanmclean

    seanmclean Member

    33
    Jun 13, 2017
    NJ
    '03 182
    4.3Merc
    Like PlayDate said, I think a lot of it has to do with Perception Management. SeaRay isn't even as bad as others like Formula. I filled out the order sheet and got a sticker price north of $100K for a 24' bowride - absolutely nuts. But then the sales guy comes back and says I can get it for $70K. These types of shenanigans really annoy me, I'd much rather buy something knowing that the price is nearly fixed, maybe +/-5% based on how well you can negotiate, then walk away with no real barometer on how well you did with the transaction.
     
  7. seanmclean

    seanmclean Member

    33
    Jun 13, 2017
    NJ
    '03 182
    4.3Merc
    Sorry, not in the mood for whiners who think that paying burger flippers fifteen bucks an hour will solve income inequality.
     
    insfnds, CJ Martin, Jaybeaux and 3 others like this.
  8. seanmclean

    seanmclean Member

    33
    Jun 13, 2017
    NJ
    '03 182
    4.3Merc
    #givemeaparticipationpaycheck?
     
  9. CliffA

    CliffA Well-Known Member GOLD Sponsor

    Dec 29, 2009
    Lake Norman, NC
    2001 Sea Ray 340DA
    Name: 'Happy Place'
    4.5kW West. Generator
    Purchased Nov. 2014
    Fresh Water Use
    Twin Merc. 6.2L (MPI)
    Raw Water Cooled
    V-Drive Transmissions
    what's a hashtag?......:cool:.......
     
    Woody likes this.
  10. Cruising

    Cruising New Member

    4
    Mar 11, 2017
    Florida
    None
    None
    You are exactly right. The flawed assumption of the wealthy is if they can make a lot of money then EVERYONE else should be able to do the same. The economic truth is there simply are not enough high paying jobs to go around for everyone and never will be. Then they revert to just pure arrogance and label those who can't earn as much as "whiners." Trust me, someday they will pay dearly for their love of money.
     
  11. BillK2632

    BillK2632 Well-Known Member SILVER Sponsor

    Jun 25, 2009
    Lake Norman, NC
    1999 185 Bowrider,
    Mercruiser 4.3, Alpha I
    #IDon'tKnow
    But I think I am going to start a GoFundMe for my new boat, cause my college education didn't work!

    Man this one has gone off the rails -- I thought we were talking about SeaRay getting sold and the number of pontoon boats vs cruisers. I want to go back to summer on the boat where the only conversation is about our boats, the weather and the condition of the beer cooler. Mixing work and political talk with boating is just bad, Bad, BAD!
     
  12. KnotEasy

    KnotEasy Member

    242
    May 14, 2013
    Whitehall, Mi.
    205 Sport
    5.0L MPI
    This Troll,(ADDvanced) with ADD, is ruining this thread. Such a shame it is allowed in this General Discussion area.o_O
     
  13. KevinC

    KevinC Active Member

    799
    Feb 25, 2011
    Long Island, NY
    2004 340 Sundancer
    1988 Proline Center Console - 90hp Mariner/Mercury
    1969 Boston Whaler
    Twin 8.1 V-drives
    Please do not feed the Troll...
     
  14. Lakebum431

    Lakebum431 Member

    135
    Jan 9, 2012
    Norris, TN
    2004 Sea Ray 220 Sundeck
    Mercruiser 5.0
    Bravo III
    Anyone pushing for a higher minimum wage just doesn't understand basic economics. Please go spout your nonsense somewhere else.
     
  15. CliffA

    CliffA Well-Known Member GOLD Sponsor

    Dec 29, 2009
    Lake Norman, NC
    2001 Sea Ray 340DA
    Name: 'Happy Place'
    4.5kW West. Generator
    Purchased Nov. 2014
    Fresh Water Use
    Twin Merc. 6.2L (MPI)
    Raw Water Cooled
    V-Drive Transmissions

    all you have accomplished by collecting, comprehending, and believing this 'data' is making yourself believe you have no chance of becoming successful enough to enjoy certain luxuries in life like the members of this forum enjoy.....congratulations....you have now made your potential road to success many times more difficult than it needs to be because now your mind and heart are not in the fight....
     
    PlayDate likes this.
  16. Jeff h

    Jeff h Member

    32
    Sep 17, 2017
    2017 Sea Ray SPX 210
    4.5 merc, Alpha drive
    Yep. I reported him and suggest everyone else do the same. He's got nothing to add here to the topic at hand.
     
  17. Maggieiscrazy

    Maggieiscrazy Member

    104
    Oct 14, 2016
    Northern Wisconsin
    240 Sundancer
    5.0. Bravo III
    And yet we have a record number of Americans on welfare.
     
  18. seanmclean

    seanmclean Member

    33
    Jun 13, 2017
    NJ
    '03 182
    4.3Merc
    I'm not 'wealthy' by any stretch of the imagination. The economic truth that I think you are looking for is that there shouldn't be 'high paying jobs' for everyone. If there were, who would clean toilets? Dig Ditches? Etc?. But, for those of us in the millenial age group - if you chose to pursue an education in something meaningful there are lots of opportunities out there. I work with hundreds of people my age that did the same thing. Looking around my social media peers, those of us with STEM educations, or those who chose to pursue skilled trades, are all doing pretty well for ourselves. Not to point to too much of a stereotype, but those who went and spent big bucks on an arts education? All but one of them is clamoring for taxing the rich. The other one figured it out and is in law school now.

    What I don't understand, and what trolls like cantADD haven't articulated, is how taxing the 'evil rich' makes things better for everyone - what then? Maybe if they fix the CEOs pay and gave him absolutely nothing, everyone else at the company gets a thousand bucks extra a year? What's that fix?
     
  19. J.Wilt

    J.Wilt Member SILVER Sponsor

    661
    Jan 29, 2010
    W. Mich. / Lake Michigan
    420 Sundancer 2005
    Cumming 6cta V Drives
    Highfield 310 , 15hp Mercury
    I think a picture of my boat should be on the front cover of the new SeaRay Living magazine.
    0E38FD43-9A70-42E9-AB79-E30EBE35C7C1.jpeg
     
  20. KevinC

    KevinC Active Member

    799
    Feb 25, 2011
    Long Island, NY
    2004 340 Sundancer
    1988 Proline Center Console - 90hp Mariner/Mercury
    1969 Boston Whaler
    Twin 8.1 V-drives
    Only one bottle of Rum Chata ??
     

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