Companies cited domestic economic conditions in an Institute for Supply Management survey.
This could have implications for the boating industry, said Info-Link’s Jack Ellis. “People need to feel they’re settled in before buying toys.”
Dealers are optimistic after record sales in 2018 and a strong start to 2019.
The middle class’s growing reliance on credit, rising interest rates, and increasingly expensive boats could mean trouble for the marine industry.
Bruce Van Wagoner says inventory levels are “reasonable,” and that dealers and manufacturers are operating with more cooperation.
A new study shows marine trades had a 13 percent economic output in 2016.
The economic indicator that Navico CEO Leif Ottosson watches first and foremost is consumer confidence, and The Conference Board’s measure of the American consumer’s mood delivered good news to Navico and the rest of the recreational marine industry at the end of August.
Consumer confidence remained strong in two surveys released in late July, and employers added 157,000 jobs during the month, indicating that the economy continues to expand despite fears about President Donald Trump’s tough trade policies.
Consumer confidence remained high in surveys released at the end of June, but there were signs that concern about the impact of President Donald Trump’s aggressive trade policies has begun to creep into consumers’ minds.
Consumer confidence is near an 18-year high and consumer spending is rising, leaving Imtra’s Eric Braitmayer, who puts both high on the list of indicators he watches, optimistic about the short-term outlook for the recreational boating industry.
Sales of new yachts and aluminum fishing boats helped bolster overall new boat sales in April, while sales in segments including pontoons reflected a chilly, wet spring across much of the country.
At the start of May, Americans’ faith in the economy was strong and economic indicators pointed toward rising consumer activity, suggesting that the recreational boating industry could find continued success during the spring and summer selling seasons this year.