Supply chain relief? – Trade only today
After months of declining new boat registrations nationwide, some vessel categories showed signs of recovery in June.
Registrations of some classes of yachts and jet boats rose in June from June 2021 totals, according to monthly data compiled by Statistical Surveys, a Michigan company that tracks new boat registrations.
Before June, only the sailboat category had seen regular increases in registrations in the first half. In June, yachts and custom yachts rebounded by 27.7% and 18.2% respectively, compared to the monthly comparison of the previous year. Jetboat registrations increased by 15.3%. The sails category also continued its positive momentum, gaining 12.1% year-over-year.
David MacGregor, an analyst at Longbow Research, said some of the higher totals could be the result of boatbuilders’ supply chain issues easing somewhat in the second quarter. This could lead to a slight reduction in wait times at the retail level, compared to the first quarter of 2022.
“Stocks remain significantly depleted and delivery times remain long but improving, with delivery times for smaller boats averaging around two to four months, while larger boats remain at over six months” , says MacGregor in a research note.
However, 11 of the 15 boat categories tracked by the statistical surveys had lower registration numbers in June compared to the previous year. Among vessel types with 30 or more registered units, the largest declines were seen in electric boats (down 36.4%), cruisers (down 27.4%) and personal watercraft (down 27.4%). down 23.6%). Fiberglass inshore/offshore pontoons and outboards nearly broke even as each was down less than 1%.
The industry total fell 10.9 percent to 28,147 registrations in June. The core motorboat segment outperformed, down just 5%. The June figures from the statistical surveys included data from 30 states, representing about two-thirds of the U.S. boat market.
MacGregor noted that “the negative impact on sales from the lack of inventory was less pronounced compared to the previous few quarters,” but that inventory should still be considered very low by historical standards. American consumers are beginning to worry about the impact of the economic downturn on their wallets, and potential boat buyers aren’t finding much to see at retailers anyway.
“Lead generation and in-store foot traffic moderated in the quarter,” MacGregor says. “Dealers attributed the slowdown in foot traffic to the lack of available boats in stores, rising inflation, rising interest rates, economic uncertainty and rising oil prices. essence.”
Although boat inventory overall hasn’t recovered yet, MacGregor says retailers are already taking steps to avoid carrying too much unsold inventory as we approach 2023. ordering habits for smaller boats with shorter lead times over the next few months so they aren’t stuck with excess inventory heading into the winter months,” MacGregor says.
He wrote that boat stocks are expected to normalize as early as the first half of 2023, compared to previous projections that it wouldn’t happen until the second half of next year.
This article originally appeared in the September 2022 issue.