Moomba/Supra 7 year Indmar warranty

[larry_arizona]

SC just added 7 year Indmar warranty sales incentive.


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[sandm]

guessing raptor motors have been out long enough that the beancounters have decided 7 years doesn't open up any more claims than 5 year.
speaks to the motors.....

[larry_arizona]

I think skiers has done this for a few years now.

Typically it was 7 years powertrain plus $2500-$3000 in options.

I doubt SC needs incentives this year.

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[sandm]

I doubt SC needs incentives this year.


soooo true. 2020 and likely 2021 spring were good for boatbuilders.
even mc/'bu/axis I don't see the holdovers on onlyinboards that they seem to have year over year.

[haknslash]

I think skiers has done this for a few years now.

Typically it was 7 years powertrain plus $2500-$3000 in options.

I doubt SC needs incentives this year.

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Yup mine was a 7 year deal as well and free Flow 2.

[Yzfguy06]

soooo true. 2020 and likely 2021 spring were good for boatbuilders.
even mc/'bu/axis I don't see the holdovers on onlyinboards that they seem to have year over year.

I have seen on the gram that axis and bu are having year end sales events right now.

[larry_arizona]

I have seen on the gram that axis and bu are having year end sales events right now.

Kinda makes sense with high volume boat builders like MaliBU. They can simply crank up the production line.

Boutique builders like SC are volume limited.


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[brad460]

If all slots are sold out as everyone loves to say, why release a sales incentive?

[larry_arizona]

If all slots are sold out as everyone loves to say, why release a sales incentive?

Keep in mind, dealers will still have inventory they ordered with their own build slots.

The point about build slots being gone are for buyers who walk into a dealer and want to custom order.


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[sandm]

Kinda makes sense with high volume boat builders like MaliBU. They can simply crank up the production line.

Boutique builders like SC are volume limited.


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just curious what makes you think bu can "crank up the line" and skiers can't? I would wager a dinner than processes in both plants are similar based on build pics I have seen over the years from many manufacturers. space is ultimately the challenge but there are ways around that.

[larry_arizona]

just curious what makes you think bu can "crank up the line" and skiers can't? I would wager a dinner than processes in both plants are similar based on build pics I have seen over the years from many manufacturers. space is ultimately the challenge but there are ways around that.

I have not toured SC or any boat manufacturer for that matter.

However, I believe SC puts out under 2000 boats a year and Bu is well over 6000. Plus I believe Bu is vertically integrated which allows them to ramp up production volume more easily that an OEM that relies on outside supply base.

Even a 5-10% volume increase based on economies of scale are in Bu’s favor.


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[brad460]

Keep in mind, dealers will still have inventory they ordered with their own build slots.

The point about build slots being gone are for buyers who walk into a dealer and want to custom order.


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Got it..

Interesting thing about the custom build...I was told I better order right away this fall otherwise I might not get a boat until July...

Truth is: The boat has already now been built 5 months early...

[larry_arizona]

Got it..

Interesting thing about the custom build...I was told I better order right away this fall otherwise I might not get a boat until July...

Truth is: The boat has already now been built 5 months early...

My situation......grab a build slot to guarantee the custom build I wanted. I was told exactly when the build month would be.

When spending this much money, I was not willing to buy a dealer built boat, no offense to some salesman....... but most don’t build good looking combinations.


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[sandm]

I have not toured SC or any boat manufacturer for that matter.

However, I believe SC puts out under 2000 boats a year and Bu is well over 6000. Plus I believe Bu is vertically integrated which allows them to ramp up production volume more easily that an OEM that relies on outside supply base.

Even a 5-10% volume increase based on economies of scale are in Bu’s favor.


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you are correct that 'bu builds almost everything inhouse. electronics are the only major thing that I believe they are still sourcing.

that lands the cards in favor of skiers if you ask me. skiers suppliers might have more capacity and more production equipment as they are making parts for other lines. 'bu could be at capacity and not have extra toolings to make more parts.

then it's the number. for skiers to increase 10% they are adding .8 boats a day(based on 250 work days and 10% increase off 2000 units). 'bu has to add 2.5 boats. that's a lot more parts to churn out if your flowjet cutting tower parts is already running 24/7 and a lot more time in the 'glas room spraying hulls.

flip side tho supra might be locked in a contract with indmar for "x" motors a year and would struggle to move beyond that number.

lots of moving parts but I do believe any of them could ramp up but that skiers isn't keeps demand up and pricing steady. smart business move imo.

and soooo true on salesman boat builds. I've seen some good ones as all 3 of our new boats were dealer builds but have seen some that make ya say WTF......

[larry_arizona]

I think the Tinkers know their sweet spot and they are doing just fine.

My dealer does pretty good at building showroom boats.

But man, some dealers lack creativity in styling.


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[haknslash]

I have not toured SC or any boat manufacturer for that matter.

However, I believe SC puts out under 2000 boats a year and Bu is well over 6000. Plus I believe Bu is vertically integrated which allows them to ramp up production volume more easily that an OEM that relies on outside supply base.

Even a 5-10% volume increase based on economies of scale are in Bu’s favor.


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Very close that Drew Tinker has told me during my tour. They make around 500 Supra’s and about 1200 or so Moomba’s. Being in manufacturing myself, I came away impressed with their production lines. Drew told me they purposely keep the Supra numbers low for exclusivity and that they only allow for so many slots.

[MJHSupra]

Drew told me they purposely keep the Supra numbers low for exclusivity and that they only allow for so many slots.

Correct. Supply/demand keeps the used prices higher.

Crazy how many BUs were on social media trying to be sold this past year. Everyone trying to make the most of the high covid prices.

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[MJHSupra]

I think I recall hearing the SC plant running on Saturdays years ago.

I would think paying OT for one day of plant wages drives up the build costs/profits down.

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[jason1973]

i got the 7 year on a boat show promo on my 2019 2 years ago.

[sandm]

I think I recall hearing the SC plant running on Saturdays years ago.

I would think paying OT for one day of plant wages drives up the build costs/profits down.

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I have 94 associates that work for me on my night production shift-not too far off from what I would guess skiers has on the production floor. we budget 5% overtime a year. with our union contract it guarantees a 40hr week(although i have ways around that) and there's a cost model that shows 5% is the sweet spot in paying overtime vs hiring additional staff and paying their monthly carrying costs.
so some overtime can be more profitable to a business than not. depending on your particular model.

[MJHSupra]

5% of a full-time employee is not much. At 40 hours/week that is only a few hours.

But I agree with you. There is a point when a company can leverage OT to gain add'l productivity w/o add'l cost of hiring add'l FTEs. Many do realize the the company expense over someone's basic wages, such as benefit costs. If you hire add'l shifts, you also have the additional overhead plant expense with keeping the shop open and running.

[sandm]

5% of a full-time employee is not much. At 40 hours/week that is only a few hours.

But I agree with you. There is a point when a company can leverage OT to gain add'l productivity w/o add'l cost of hiring add'l FTEs. Many do realize the the company expense over someone's basic wages, such as benefit costs. If you hire add'l shifts, you also have the additional overhead plant expense with keeping the shop open and running.

ya it's only 2hrs/wk but if you run the plant 1 saturday a month that's your 5% on a 40hr week and 8hrs a day and if their business is in "stages" to build a boat, might only need 'glassers in on saturdays and the rest of the plant can keep up so they spend the "plant ot" on saturday and everyone else works 5days.
I only have 1 area that sees overtime consistently and they run 10-15%. the rest of the associates are 40 or less so my 5% is across everybody but only part.

benefits are where the savings kick in. overtime is a small pittance of the total cost of a person for us with the insurance we have to pay for.