The Personal Touch
01 May 2003
Over 30 years in the global marine industry has given me an insight to the hardware sector that has spanned through many good and sometimes difficult times.
Over that period some constants have been maintained - the average boat has got bigger and far more complex, navigation aids have developed from basic to almost aircraft spec and many more people are travelling greater distances with their boats.
The industry has polarised with the emergence of mass production yards and, in the USA, mass retailers, both of which have put more pressure on the suppliers to provide better pricing and service.
End customers also expect worldwide service and distribution outlets to look after them during their travels.
Europe has unified to a degree within the EEC that may well mean that we will have to consider what changes we will have to deal with in future:
will the "United States of Europe" require more USA-like marketing and distribution techniques?
And there will be added pressure from emerging countries, like China and Poland, which are now building up supply chains providing low cost product into our markets.
The Internet has provided a new challenge in recent years and is growing in its power to provide a global marketing medium and, for some, a direct marketing route.
Throughout that 30 year period there were also three recessions that ebbed and flowed with roughly a 10 year timescale.
Household names with the marine industry have come and gone, but the main players have hung in there and the new boys keep appearing with innovative ideas that keep all of us on our toes.
Looking back, the changes in our industry have been immense. Yet the industry has generally coped well and flourished, despite some seemingly unfair brickbats that have been tossed its way.
In particular, the UK has benefited from a strong trade federation that now provides excellent export assistance to its members together with a growing range of other activities.
However, in many ways, all of the above is history and we have to ask where do we go next? If I was to gaze into my own crystal ball what would I see? Well here goes.
The marine industry will continue to polarise and if we do not do something to get more people involved in water based activities it will continue to decline.
Where are the new customers going to come from, as we are facing more competition from other leisure activities that ever before?
Added to this is the fact that we increasingly live in a "pick up and drop" society that expects to have the activity presented in a form that allows perhaps a weekend's sailing, and then maybe skiing the next weekend, then a race track day the next, etc.
The British Marine Federation/Royal Yachting Association initiative to investigate this situation and come up with some suggestions is welcome, but what are we doing to promote our sport against the heavy competition we now face?
For simple products with no need for service and backup the market route could become more direct and any cost between the manufacturer and the retailer will come under pressure.
Simple product is also easy to copy, so expect further pressure from low cost manufacturing countries.
The emergence of specialised representative groups servicing Europe has already happened in other market areas and could, with the help of a centralised European warehouse, work for some products in the marine industry.
We could even see the emergence of a pan-European retail chain like the giant US West Marine. Perhaps that's still some way off as there are still language and other cultural difficulties to overcome I certainly do not pretend to know the answers, but have an unwavering feeling that the marine industry will find a way to continue to develop through whatever is thrown at it.
Certainly the times we live in are seemingly, to me anyway, more turbulent than times passed. However, I still continue to see new innovative items being generated at an ever-increasing pace together with bigger, more elegant boats to put them on.
A rare thing within this industry is that for many it is a lifestyle that is lived and breathed daily. Many of us work and socialise together and lifetime friendships are forged.
Myself? I am looking forward to the next 20 years.
The opinions expressed in ThePersonal Touch are those of the author and not necessarily those of Boating Business .
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