why arent MC and Nautique increasing production?

[disland]

Its November and its too late to order a 2021 Mastercraft or Nautique?? No wonder they dont want to have a promo program. They are selling everything they want to manufacture by doing nothing. If they can do that every year why sponsor any pros? why spend anything on marketing? hec why even have dealers? (to sell wake barges I guess) Tesla doesnt have dealers.

[Than_Bogan]

(Removed comment. I misunderstood.)

[BraceMaker]

Increasing production is not easy when you are assembling parts from other suppliers.

 

Starting with - how many molds do you want to build for the hull.

How many engines and trans do you buy/build particularly when its for the only DD boats you make and not for the range of V-Drives you assemble.

 

Then there are all the dash and interior bits that don't go on every hull, window frames, glass etc. Aluminum extrusions btw have been in painfully short supply try buying a dock this year?

 

The point being it sucks that they can't meet the supply but it seems like sound business strategy and they are I'm sure thrilled that the economics of this pandemic have lead to people buying boats instead of them having 100 boats they couldn't sell this year.

 

This is the same problem with the current local argument - well why not just build more hospital beds if the rooms are full?

 

[oldjeep]

Just because the mfg are having a banner year due to covid doesn't mean that it'll continue. Malibu has been expanding production for a few years, so they are just lucky to be in a position to take advantage of the extra demand/catchup from the long shutdown. You can't exactly ramp up production quickly on hand built stuff - so the production slots are full. (Likely not very full of 3 event boats)

[jayski]

From what I have learned Nautique is trying to facilitate a 24hr operation to assist in demand, obviously boat mfg's are not hiring for cashier positions at the Cirlcle K, need the right people and training involved, not a quick and simple task.

[Horton]

In terms of the ProStar my understanding is there are two molds and they are both used at or near capacity. They would have to invest in additional molds to increase production.

 

I also understand that MC is more or less sold out of all boats through June 2021. In other words they are slammed.

 

( none of this information comes from official channels. I promote MasterCraft but I'm not an official spokesperson )

[jjackkrash]

Covid is still impacting the supply chain. For example, even GM is reducing production in two N. Am. facilities because of supply chain interruptions. The boat manufacturers lost several months of production last spring (and more productivity than just when the factories were technically closed) and are playing catch up. And this includes not only the big three but the likes of Brunswick (Whaler Bayliner Sea Ray) and all the others big boat manufacturers.

 

In any event, Nautique is in the process of almost doubling their manufacturing campus. So hopefully things normalize and production catches up next year with these vaccines on the horizon and new production capacity.

 

https://www.tradeonlytoday.com/manufacturers/correct-craft-seeks-major-expansion

 

 

 

 

[disland]

@jjackkrash well I guess the answer is they are! great news

[oldjeep]

Curious if the campus expansion is all about growth or more about consolidation of manufacturing of their owned brands.

[hammerski]

CC is ramping up their production pretty significantly starting in Jan ?

[escmanaze]

I have been representing various manufacturers professionally for about 15 years now in my career and I am starting to learn a very interesting truth that started being amplified during the trump tariffs and then really got amplified over covid. The truth is that when people build factories, it is a HUGE investment, and in many cases, there is a very finite range of variability in that plant capacity. Something as significant and large as a boat is such an incredible undertaking that once your factory is set up, your plant capacity simply can't go up or down by a very large amount.

 

So if I'm the CEO of one of these boat manufacturers, sure the market is good now while millions and billions of dollars that would have been spent on airline tickets, hotels, cruise ships etc. instead gets funneled over to boats, bikes, and ATVs. But I also know darn well that we are probably only a year or 2 away from all those billions of dollars heading right back to the hotels, airlines, and cruise ships. The last thing I would want to do is start building a new factory right now, just to have it finish up in 2022 at a time when folks are realizing that they aren't using that boat they bought 2 years ago very much anymore ever since they started spending all their money going on cruises and going to Disneyland and the Caribbean again.

[Jody_Seal]

Boils down to Profit per square foot of manufacturing floor space . Coal barges are more profitable then ski boats plain and simple..

[Stevie Boy]

Good situation for the manufacturers, High Demand, Higher Secondhand Prices, Better turnaround for Boats taken in Part Exchange, Buyers waiting for their product .

WIN WIN !

[ozski]

Global issue with supply of shipping containers is a factor in many supply chains I have been told..