Insider Takeaways from FLIBS 2024
Electric boats are getting bigger. Inventory is definitely BACK.
Another year, another show… And even though our focus is usually about cool, new products, you could feel FLIBS 2024 was more about economics than innovation. Inventory is slowly accumulating, and buyers were hunting. That doesn’t mean innovation was non-existent. We saw the rollout of fully electric and “kind-of-electric” boats, improved variations of stabilization and a bevy of vessel management apps. Yet one word reigned supreme: INVENTORY.
We’ve Come Full Circle. Inventory is BACK.
I enjoy walking shows alone. Not only do I get my steps in, but I can enter brand booths as a bystander, listen to conversations around me, and get an overall sense of the show’s economic energy. In walking solo, I learned two things for sure: 1. Buyers are a-plenty, and 2. Inventory is piling up. Spend more than a few minutes with a salesperson and you were pitched a deal on inventory sitting in a yard just miles from where you currently stood. I’m not saying this is bad. For clarity, this is a massive convenience to a boat show shopper. We’ve gone years with delayed deliveries and premium pricing. A full-circle switch up is extremely welcome. With all due respect to brands, I could do without the song and dance about their overflowing order books and ‘business boomin’. A little less of the bullshit is welcome.
I saw most of the surplus inventory in the price-point day boat segment. Brands like Axopar, Nimbus and Saxdor were all shopping significant levels of inventory, likely post-covid dealer orders which fell at the doorstep of an economic cooling. What does this tell us? Factories and dealers got too aggressive raising MSRP’s and consumers are no longer willing to bite off more than they can chew. We should see an MSRP correction very soon, letting dealers buy at more approachable pricing and leave them with sustainable margins. Otherwise, we could see dealer changeups in the next 12-18 months.
Inventory is also apparent on the used market. You had to sign away your first born to get a Valhalla just 18 months ago (the center console brand owned by Viking) but now 2024’s sit patiently in the water at reduced rates. Vanquish had a 2023 demo VQ58 on display and for sale ($3.75m); Pardo has inventory in 38’s and 43’s; Cigarette is offering direct deals. This is fantastic for the market’s overall health. We are back to a manageable equilibrium, where neither buyer or seller has a stranglehold in negotiations, and transactions can flow.
If you’re still hungry for a boat, there is real value floating in the water. Deals are brand dependent. Not everyone is overexposed. Look to the brands with expansive dealer networks who hit their first boom during Covid. They sold well, increased MSRPs, forced dealers to purchase more product at higher levels, and now, dealers are frustrated and stressed at their debt exposure. If you’re considering a purchase, schedule a call with me to talk options.
BONUS CONTENT: I talk about the long-term market effects of high MSRP pricing during a recent episode of the Business of Boating podcast.
Electric boats gave me a SHOCK.
I was shocked at the broad development of the electric boat segment. This shock came sheerly from seeing larger consumer-ready projects floating and ready for purchase. The smaller stuff (35ft and under) has been consumer-ready for some time, which makes sense. Smaller, lighter boats require less energy to get up and go. Current battery-store technology at the smaller sizes allows electric drivetrains to fulfill a standard consumer’s power requirement expectation. Think X-Shore and Candela. Meaning, the electric engine performance and battery life on smaller boats is close enough to a comparable combustion engine setup that consumers are starting to make the switch. Where it gets tricky is with larger vessels.
Larger vessels are heavier and have a larger power draw from air conditioning, refrigeration, outlets, etc. I expected the technology to take more time before we saw 50+ ft electric day boats in the water. I was mistaken.
One project I came across was Sialia, a visually appealing 57-foot ultra-day-boat that hit the water in 2022. The vessel is objectively attractive and functional, with a huge cockpit, modern seating, all the usual/required fixtures, beautiful synthetic teak and a range of attractive tech associated to its battery-based power system.
Whenever I consider an electric vessel, my focus goes to two elements: performance cruising and electrolysis. The big “hole” in electric boat ownership is power draw when seeking performance. You can idle around and have the same experience as a combustion engine, but when you try to push it over cruise, you’re going to drain your batteries at a significant level. If you’re Tesla dies on the side of the road, you call a tow truck. If your electric boat dies in the water, you’ve got yourself a much stickier situation. To Sialia’s defense, the hull is entirely carbon fiber, reducing drag and helping the vessel plane at 12 knots (crazy). But its weight (41,000 lbs) is still similar to fiberglass boats in its class (40,000 lbs), likely due to the weight of the lithium power packs. So I think the fast plane is more due to direct power from the electric engines than being lightweight. The 57 is powered by twin 400kW engines spinning direct drives with a max speed of 25 knots.
Sialia is the lovechild of two technical founders, Stanislav Szadkowski, an expert in stored power, and Tomasz Gackoski, an aerospace engineer. I was — and still am — very hesitant to believe this multi-million dollar boat can provide the same experience as its combustion competitors, but these guys are clearly smarter than me. Take my opinion with a grain of salt.
Per the salesperson: Sialia are in build of a 45 which seems more reasonable. I’ll keep an eye on this project for those interested. It has piqued my interest.
Top Three Day Boats of FLIBS 2024
It was slim pickings this year at FLIBS. Not a ton of big press launches. But I am still eager to judge the boats and give my Top 3.
#3 Maori 46
First introduced in 2023, I blogged on the Maori 46 before the first one arrived in the USA. This was my first time on board. I like the layout of the 46 more than its larger 54 foot sibling. With a sunpad and dining setup, it feels bigger, although I know this is simply an illusion.
#2 Solace 415CS
The 415CS is sturdy, fast, durable and tech-forward, AND its an inboard. I know Solace from its exceptional production quality in outboard fishing boats, but the 415 lets Solace become a little more relevant to my network. Brabus should’ve called Solace instead of Axopar. Underneath the attractive masculine tone of Solace boats is a set of features fluidly incorporated. A electric hi-lo helm floor to assist visibility, custom magnetic seat cushions to make hatch access easier, flush bait wells, beautiful marlin towers and premium proprietary digital vessel controls. At $1,500,000-2,000,000 for a 41 its expensive, but you can’t miss the quality, and don’t forget: BUILT IN FLORIDA.
#1 Bluegame BGX63
There is no boat that personifies the day boat evolution more than Bluegame. This is not the first time I’ve highlighted Bluegame, but it IS the first time I boarded the BGX63. It’s in the running for my favorite boat. My last experience was aboard the BG74, and while it was absolutely sweet, the lack of a true master cabin prevented me from going all-in. In a masterful feat of engineering and design, the smaller BGX63 found a way to solve the problem of its larger sibling. Now, a salon and full-beam master are butted up to one another, accessible from the beach club sliding door. No other boat gives you such a rich experience at water-level than the Bluegame BGX63.
About the Author
Reed Nicol is a licensed yacht broker with experience in all corners of the marine industry. He’s worked as an executive and sales director in yacht manufacturing and distribution, has structured commercial charter operations, and designed and executed notable refits. Read more about Reed’s marine journey, his love of helping 1st time boaters and his entrepreneurial spirit here.
Reed Nicol [Licensed FL Yacht Broker #11926]
201-264-6356 | Reed@RNMarine.com
