prices

[gride300]

hold up. dealer A said this 230 was lets' just say 80,000 and dealer B said the same boat was 100,000? i mean we all know you don't pay the initial asking price, but what in the world.

[Oletimeskier]

Being in the market for a new 230. I have found out the reason for no MSRP, lets the dealer control the price more for their profit margin. Every market is not the same. I have priced boats from defferent states and not mentioning dealers. There have been as much as 20k or lets look at it the right way $20,000.00 price difference. Lots of zero's. I am talking apples for apples, 230 SANTE.

Nah that cant be...They would never do that. ...saying with sarcasim

[ClemsonDave]

If you were in business and created a product that sold out every year despite price increases, what would you do? Lower the price??? I don't like the price tags either, but as long as they continue to sell just about all the boats they want, I'm guessing they will continue to increase the price. Simple supply--->demand. As soon as the demand decreases, the prices will follow.

As I mentioned earlier, the price on my '11 200 is only slightly more than my '10. Very reasonable increase considering they sold their production out in late March of this year.

[gride300]

ya they might sell them out, but didn't they cut production by a whole lot and fire a bunch of people?

[j2nh]

Numbers through 2nd qtr 09. CC is not selling out its production capacity. Remember when they opened their new production facility they increased their capacity by 70% (Bill Yeargin Fall 08).

ClemsonDave, "If you were in business and created a product that sold out every year despite price increases, what would you do? Lower the price???"
or how about the question is changed to match another reality.

If you were in business and created a product that DID NOT sell out every year despite your rising fixed cost price increases (new factory to be paid for), what would you do? RAISE the price??? YUP.

They built a new factory, fortunately so did MC and Malibu, and they ALL got caught with their shorts down. New factories have to be paid for and the original model of more boats sold, higher profits is gone for the foreseeable future. So they make MORE with LESS sales. Seriously why should there be ANY price increase this year? No inflation, raw material suppliers are cutting costs to keep the doors open, only answer I can come up with are their fixed costs are eating their lunch and the consumers are going to have to pick up the tab.

Again, fortunately not my business, just an observation.

[ClemsonDave]

Do you have the numbers for 2010? I'm talking about 2010, not 2009. Didn't they sell 500 200's. Either way, they stopped taking orders for 2010 200's in March. Maybe they decreased capacity, but when I was there, it was packed with boats in production. Didn't they end up hiring most of the laid off workers back? There are a lot of assumptions on here, but the fact is, they continue to sell a bunch of boats despite the price increases. From what I have seen, unless a new model is introduced, they have only increased prices by 3-4% each year.

You are welcome to your opinion, but I firmly believe it all comes down to supply and demand. As long as people keep paying $75-$100k for boats, they will continue to have increases. As would most business people.

And to answer your question:
"If you were in business and created a product that DID NOT sell out every year despite your rising fixed cost price increases (new factory to be paid for), what would you do? RAISE the price??? YUP."
No, I would find a way to decrease the fixed costs and either keep the prices the same or lower them to increase demand.

[j2nh]

It would be interesting to see the numbers for 2010, all I have seen is from Bellweather and they report the ski boat segment down about 21% in June. Consumer credit remains tight and in my opinion they get the money where they can and that is from cash and financeable customers. Lowering the price in these conditions won't work because credit is the limiting factor.

[Oletimeskier]

Do you have the numbers for 2010? I'm talking about 2010, not 2009. Didn't they sell 500 200's. Either way, they stopped taking orders for 2010 200's in March. Maybe they decreased capacity, but when I was there, it was packed with boats in production. Didn't they end up hiring most of the laid off workers back? There are a lot of assumptions on here, but the fact is, they continue to sell a bunch of boats despite the price increases. From what I have seen, unless a new model is introduced, they have only increased prices by 3-4% each year.

You are welcome to your opinion, but I firmly believe it all comes down to supply and demand. As long as people keep paying $75-$100k for boats, they will continue to have increases. As would most business people.

And to answer your question:
"If you were in business and created a product that DID NOT sell out every year despite your rising fixed cost price increases (new factory to be paid for), what would you do? RAISE the price??? YUP."
No, I would find a way to decrease the fixed costs and either keep the prices the same or lower them to increase demand.

With total production down guessing by 70 -75% and not moving up much I doubt very seriously they built 500 200's this year as they maybe built 750 -800 boats total of all models from what a current dealer told me based on his orders for 2010. Dealers say they could only build 3-4 200's average a week so that would defianlty fall short of the 500 units.

[cedarcreek216]

I personlly like the fact that they don't sell out every year, I pick up the brand new year old model and save a ton of money. They may be selling out at the factory to the dealers, but if you look right now there are hundreds of new 09 models, all models, for sale and occasionally you can find a new 08 boat. I say keep over producing so those of us who are patient can wait a year and keep getting new boats for a good price, maybe the price they should be the year they were in production.

[ClemsonDave]

Or, hook up with a promo guy and pre-order the exact boat you want. A buddy of mine is doing that for my '11. He gets the boat he wants at a great price and supports the skiing community.

[2gofaster]

CC built 167 200OB and 123 200CB in 2010.

[Oletimeskier]

Or, hook up with a promo guy and pre-order the exact boat you want. A buddy of mine is doing that for my '11. He gets the boat he wants at a great price and supports the skiing community.

Great deal for CC, promo guy, and the buyer but bad deal for the dealers being cut out of a retail sale at normal market prices.....right?

[Oletimeskier]

CC built 167 200OB and 123 200CB in 2010.

Interesting #'s how did you get those? And from my dealer website searches there is fair amount of those boats still in the field at dealers.

[2gofaster]

My ski partner is a nautique dealer.

[Oletimeskier]

My ski partner is a nautique dealer.

Fair enough. Close to the #'s I had heard but yours are a little higher.