By Boating Industry Staff

After years of unprecedented sales numbers brought on following the pandemic as people flocked to boating , members of the recreational boating industry certainly kept Newton ’ s law in mind as we navigate a post-pandemic world with a new string of challenges .

As boat manufacturers and dealers alike – and everyone in between – have navigated a newer normal and new challenges through 2023 , the recreational boating industry has been watching sales across most categories slow or return closer to pre-pandemic numbers . All causing industry members to tiptoe into 2024 with some caution . However , as we begin the new year , some indicators and economists are reporting that caution is necessary , but can be paired with some optimism .

HOW DID YOUR 2022 OVERALL REVENUE COMPARE TO 2021 ?

18 %

Down less than 10 %

11 % Down more than 10 %

40 %

Up more than 10 %

Looking back

Despite some normalization across sales , recreational boating continued to be a significant driver to the U . S . economy due to the estimated 85 million Americans who go boating each year . It drives an economic impact of $ 230 billion , up 36 % from 2018 , while supporting 36,000 U . S . businesses and 812,000 American jobs , according to NMMA ’ s 2023 Economic Impact Study on Recreational Boating .

17 % Unchanged

14 %

Up less than 10 %

U . S . Recreational Boating by the Numbers

Source : National Marine Manufacturers Association Annual U . S . sales of boats , marine products and services totaled $ 59.3 billion in 2022 , up 4.4 % from 2021 .

Boating and fishing are one of the leading drivers of the $ 1.1 trillion outdoor recreation economy , which contributes 2.2 % of our nation ’ s GDP . ( Source : Bureau of Economic Analysis )

The recreational boating industry is an economic driver supporting more than 812,000 American jobs and more than 36,000 American businesses . ( Source : NMMA Economic Impact Study )

Recreational boating is a uniquely American-made industry : 95 % of boats sold in the U . S . are made in America . An estimated 85 million Americans go boating each year . Recreational boating isn ’ t just for the one percent : 61 % of boaters have an annual household income of $ 100,000 or less . Ninety-five percent of boats on the water in the U . S . are less than 26 feet ― boats that can be trailered by a vehicle to local waterways . Leading the nation in sales of new powerboat , engine , trailer and accessories in 2022 were the following states : Florida : $ 6.3 billion , up 16.6 % from 2021 Texas : $ 2.5 billion , up 8.1 % from 2021 Michigan : $ 1.65 billion , up 8.6 % from 2021 North Carolina : $ 1.37 billion , up 10.4 % from 2021 Minnesota : $ 1.26 billion , up 6 % from 2021 New York : $ 1.2 billion , up 4.3 % from 2021 Wisconsin : $ 1.1 billion , up 5.6 % from 2021 California : $ 1 billion , down 4 % from 2021 Georgia : $ 1 billion , up 12.2 % from 2021 Alabama : $ 964 million , up 7.4 % from 2021

On the retail side , last year , Boating Industry asked boat dealers for their insights about various aspects of their past year ’ s business , as well as expectations for the current year ( 2023 ).

Source : EPG Specialty Information

Despite pressures on consumers around inflation , overall revenue trends for 2022 continued positive as 40 % of the boat dealers surveyed reported revenue was up more than 10 % versus 2021 , although that was down from the previous year ’ s 52 %. Another 14 % cited revenues were up less than 10 % and 17 % said revenues were unchanged . The percentage of dealers that stated revenues were down less than 10 % over 2021 more than tripled to 18 % while those dealerships down more than 10 % held steady at 11 %.

Just over half of the dealers indicated sales of new boats increased for 2022 as compared to 69 % in 2021 . However , there was a notable increase in sales of new boats being down ( 25 %) versus the previous year ( 16 %). Dealer mentions that YoY sales of used boats in 2022 were up less than 10 % attained an uptick to 24 % ( 19 % in 2021 ). Conversely , those dealers citing sales were up more than 10 % declined to 27 % from 36 % the year prior .

Analyzing dealership optimism for last year , at the time of the survey , around 20 % of respondents anticipated an increase of 10 % or more in overall revenue for 2023 , a significant drop versus a more confident 44 % outlook in 2022 . In fact , 63 % of dealers expected revenue to be down , with 42 % expecting it to be down more than 10 % and only 21 % believing their sales would be down less than 10 %. The outlook for sales of new boats in 2023 was significantly less positive than 2022 , with 72 % of dealers projecting sales to decrease versus 36 % in 2022 .

During the survey last year , only 15 % of dealers believed new boat sales would increase , which is a notable difference from 39 % for 2022 . The primary driver of the subdued dealer sentiment is the challenging economic environment that is projected to continue into 2024 .

On the consumer side , Boating Industry asked its MyVoiceRewards panel members for their insights into purchasing and decision making when it comes to recreational boats .

www . boatingindustry . com february 2024

21