The Pricing Paradox in Boating: Why Truth Might Be the Boldest Strategy Yet
VanDutch has seen prices raise 30+% in the last few years. Does it accurately represent consumer demand?
The boating industry is already one of the most opaque markets a consumer can navigate, no pun intended. Unlike the automotive world, boating lacks price transparency and a large transaction sample size, making it tough for consumers to see trends. Add in the possibility of a widespread pricing bubble, and it becomes nearly impossible for buyers to feel confident in their decision without taking a leap of faith.
Let’s be honest: new boat MSRPs are high, and not just high, but inflated beyond what current demand justifies. You know it. I know it. And yes, the brands know it too. Yet prices remain stubbornly elevated, even as order books thin and market activity slows. Why? One word: perception.
How We Got Here
During the covid boom, the boating industry surged. Boats sold over sticker. Three year waitlists became the norm. Dealers and builders proudly rode that wave, and MSRPs were pushed to record highs, justified by supply chain issues and endless demand.
As the tide rose, so did expectations. Consumers assumed that rising prices meant strong sales. Brands that weren’t selling raised prices anyway, hoping to maintain the illusion of success. A self-fulfilling prophecy emerged, until today where inventory is outpacing demand and prices are outpacing reason.
Now, we’re on the other side. Demand is cooling and inventory is stacking up. Yet instead of adjusting prices, brands are clinging to inflated pricing like it’s their last defense before admitting the party’s over.
The Cost of Denial
Here’s the catch: to lower prices now would be to publicly admit that the boom has passed; that the factories and dealers are mere mortals against gravity. For many who saw covid profits as self-driven achievement, that’s a hard pill to swallow.
Around the industry, I see factories continue to blame soft sales on dealer performance. Dealers, meanwhile, are expected to buy high and sell higher, even if it means piling new inventory atop aging stock. Take—for instance—a brand I was working a deal with before the Palm Beach Boat Show. They were pressing daily for a contract to come in, threatening the boat’s wild popularity and likeliness for sale at the show, only for me to walk past their booth and the boat wasn’t in the display. Had it been sold? No. They didn’t bring it. Too much inventory to sell and it didn’t make the cut. That’s not strategy—that’s optics.
Let’s talk numbers: new boat sales were down 9.1% in 2024, totaling just over 230,000 units. At the same time, some builders are still raising MSRPs. That’s not market strategy; it’s fear management.
A High Stakes Game of Chicken
So we have high prices across the industry, but what happens when dealers finally push back against overpriced allocations? Factories are forced to face reality. And at that point, the leadership has a choice: stall production or reprice the product.
We’re at a critical point in this cycle. Leaders are playing a high-stakes game of chicken, and I hope factories can see the writing on the wall and help their dealers reprice current and future inventory before its too late.
The Opportunity in Transparency
I believe the first brand to acknowledge market conditions and transparently adjust MSRP pricing will gain more than short-term sales. They’ll earn trust.
If done right—with a well-executed PR strategy that frames this move as long-term alignment with consumer realities—it could be transformative. Consumers don’t punish truth; they reward it. Especially in an industry where opacity has become the norm.
Where most ego-laced execs see this as weakness, I see it as a huge opportunity. A bold, data-backed, consumer-first pricing adjustment could reset the standard and establish the leader as an industry truth-teller.
Final Thoughts
The numbers are clear: raw materials are back to pre-pandemic levels, supply chains are normalized, consumer demand is down, and inventory is up. The only things left to normalize are pricing and perception. But perception doesn’t pay the bills. Buyers do. And the first brand to recognize that may not just survive this shift, they might own the next one.
Have an opinion on current MSRP pricing? Am I right or wrong? Contact me via email at Reed@RNMarine.com.
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]
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