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David Lewin

Sustainability – the real story | David Lewin, GMBA – United Kingdom

Our world is facing two existential crises at present. The first immediate concern is to prevent further global warming and to do that we have to cut down on ‘greenhouse’ gases – fast. That means reducing the liberation of stored carbon in the form of carbon dioxide from fossil fuels and the even greater threat from other hydrocarbons such as methane and the chlorofluorocarbons.

 

The rush to electrification is therefore welcome but only if that electricity is produced with zero emissions. Batteries and their associated electronics use a lot of rare metals and energy to produce so unless it can be proved that that energy has been produced emission free over a sufficient period to provide a payback, the move to electrification is pointless.

 

Of course there are other emission free energy sources such as hydrogen which in many ways makes a lot more sense than electrification. Many would argue that in the time available to save the planet from catastrophic warming we don’t have time to install enough charging points and create enough infrastructure as well as build and sell the vehicles. We have been building internal combustion engines for 150 years and their use is ubiquitous. Taking everything into consideration, it would be a lot more cost effective if we could convert them to run on hydrogen even although it requires electricity to produce. A hydrogen infrastructure would also promote and sustain the use of fuel cells.

 

Of course when thinking about emissions we tend only to think about what comes out of the exhaust pipe of an engine and thankfully we see much less now of people starting up their boat engines with clouds of black smoke. However if you are a boat manufacturer or refit yard, what about the volatile organic compounds (VOCs) being released from moulding, glueing and painting in the workshop? Are we fitting air filtration systems to our factories? Most of these compounds are ‘super-insulators’ and score double points against CO2 in terms of global warming!

 

A production process can only be said to be sustainable when it is economically sound, emission free (with or without treatment) and has no negative environmental impact on the surrounding area and population.

 

It is often said that we come into this world with nothing and that we should go out with nothing. By that we should not leave behind something that will negatively impact the planet. So, if by chance we should be regarded, by current thinking, as successful and amass enough wealth to buy and run a boat, in theory it should not create greenhouse gases in its manufacture or in its running and all parts should be capable of being reused and returned to their natural state. Only that way can the world be sustained. It would be interesting for our industry to reflect on the products they produce, maintain, store or park as to how close they currently come to that theoretical norm. Not very close I would suggest.

 

Sustainability therefore is an all-encompassing state of mind. If we are producers, then how is our factory powered, heated and operated? Are we minimising VOC emissions? What powers our forklift trucks and any other equipment? Banning plastic drinking straws and charging for plastic bags may all be very admirable but cleaning up our industrial infrastructure would be a major advance and one we often overlook.

 

As an example, Baltic Yachts in Finland has been working for some time on reducing its environmental impact. As a low volume builder of high quality large sailing yachts in a very cold country, it might be thought that controlling waste and emissions from heating might be difficult but it is forging its way to a zero emission future.

 

All the electricity used in the production facilities is locally produced, sourced from nearby windfarms or hydropower, fossil fuels for heating the production facilities have been replaced by organic, pellet-fuelled furnaces as well as reducing energy consumption throughout the operation to reduce the environmental impact even further. Since 2017, they have been tracking production-related waste, reducing unsorted waste to zero, and waste produced per labour hour by more than 10%.

 

They have even started a project to improve the impact of their labour force travelling to work with an environmentally-geared ‘mileage race’ – where all commutes to and from work by bicycle are logged. This is then converted to CO2 equivalents saved. To help promote this initiative, there is a friendly competition with other companies in the region. In addition to being good for the environment, it helps the staff stay physically fit!

 

And then to the product. Can, or should we still be producing boats and equipment that can’t be recycled? Is old-fashioned GRP still acceptable or should we now only be using bio-resins with natural fibre reinforcement? Just think of all those hulks in the back of boatyards and on foreshores that will not break down like the wooden hulls of old. They will be a blight for a long time to come.

 

Take Baltic Yachts again. Most production tooling is made from organic and recyclable materials as is the move to organic build materials such as flax and bio resins. Producing sailing yachts also brings the possibility of building zero emission boats with electric drives and solar and hydro-regeneration.

 

As we’ve discussed earlier it’s great to see technology being advanced through the use of electric power but is it so ‘green’ when that motor and its batteries are little used – as on inland waters or as auxiliary power, yet the boat is made of non-recyclable elements and the energy expended, VOCs released and rare metals shipped from around the world greatly overwhelm any idea of eco-friendliness.

 

It is for that reason it is often said in the automotive trade that the most environmentally friendly car is the one you currently drive! Perhaps the same could be said for boats and with companies like Setag Yachts, you can have your boat refurbished and restyled without having to build a new hull, superstructure and the basic engineering – a considerable saving in money and resources.

 

Reducing the environmental impact also starts with design. Because marina fees have traditionally been based on overall length, boats have become ever wider with chines for more buoyancy outboard and fuller bows for larger fore-cabins. These boats then require more power to make them go faster. If parking your boat was based on displacement or a formula based on length times beam we might see the development of boats like Clara Belle, a Nigel Irens design, built in ‘renewable’ cedar strip construction – long and thin, easily driven and now recently converted to having an electric pod drive built into the rudder.

 

Have motor boaters ever considered that it might be nice to travel at 12 knots again? To my mind it is generally the most comfortable speed and one where it is still possible to hold a conversation and not be overwhelmed by the noise of the engine. With the right hull design, as in Nigel’s LDL (Low Displacement/Length ratio) series, it is also a speed easily attainable in displacement mode. This means that no extra energy has been used to drive the hull over the ‘hump’ and on to the plane – the power curve required is linear so the amount of fuel used is directly related to speed, rather than pushing a wall of water as does a planing hull at low speed. These designs again lend themselves to low energy density / high torque propulsion systems such as electric.

 

Nigel’s latest project is an 8m ‘LDL’ plywood launch suitable for electric propulsion but rather than construct it locally, he is supplying a total list of the requisite hardware plus a CNC programme to cut out all of the 800 parts so that plywood and labour can be sourced close to wherever the boat is being built in the world for a much lighter environmental footprint.

 

I have spent 40 years in the leisure boating industry and enjoyed all of it. Some of the best times have been spent simply cruising with family and friends and I still enjoy getting together to race a sailboat with the ‘boys’ but we must always remember, the products we produce are not essential. No-one needs a leisure boat. Life will go on without them however much our life experience would be the poorer so from that base it is imperative that we clean up our act. We can’t leave a message for future generations that we are sorry that we left the world in such a mess but that was the only way open to us as people needed boats for their own gratification.

 

So let’s start thinking ‘cradle to grave’. We have no excuse. Bolting on some solar panels, banning the odd hazardous substance and installing an electric motor are all very admirable but done in isolation is simply ‘greenwash’. Banning plastic water bottles and installing ‘drinking points’ at exhibitions should be a matter of course, not used as an example of eco credentials

 

We must start now. The good news is that a lot of work has already been done to produce checklists and advice in how to achieve these sustainable aims. Walk into your business tomorrow and start looking around you and the building and then your product or service. Will you be able to leave a note for your great grandchildren to say you no longer contributed to the planet’s degradation?

 

David Lewin, GMBA UK
Tel: +44 7767 687 987
Email: david.lewin@gmba.blue


 

Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA.

GMBA Honoured with British Marine Association Export Award | David Lewin, GMBA-UK

Global Marine Business Advisors (GMBA) was last night awarded the 2021-2022 David Coleman Excellence in Exporting Award at an enthusiastic and well attended UK Marine Trades Association Awards dinner at the Grand Cafe in Southampton.

 

British Marine is the trade association for the UK leisure, superyacht and small commercial marine industry. Our 1,500+ members come from a broad range of businesses including boat builders, chandlers, brokers, marinas, passenger boats and engines.

Receiving the award on behalf of GMBA was chairman David Lewin pictured here with Suzanne Blaustone, CEO (and owner) of Barton Marine who presented the award and gave the following citation:

 “GMBA has created a unique group of some of the world’s most experienced marine professionals located in most of the developed boating countries around the globe, ready and able to offer any company or organisation increase their business through enhanced foreign trade.”

As with many marine industry events, due to Covid this normally annual event has not been held for 2 years. It is one of the biggest events of the year organised by the largest leisure marine association (part of the British Marine Federation) in UK.

 

David Lewin, GMBA UK said, “It’s always nice to be recognised by one’s peers but I’m thrilled that the award went to a group of people who together have invested over 500 years in the leisure marine industry and have now come together to help others develop their global strategies. We’ve all known of each other during our careers and now by forming GMBA we are able to invest our knowledge in international trade as well as local market intelligence.“

 

The international presence of GMBA extends to 18 countries around the globe ensuring a significant global footprint and the ability to offer extensive expertise to the marine industry.

 

The consultants currently reside in the UK, France, Finland, Holland, Singapore, Australia, Dubai, Spain, Italy, South Africa, Turkey, Poland, USA, Sweden, Norway, Germany, Croatia and China. Their combined expertise and experience is impressive. The contacts GMBA consultants have and the extensive networks GMBA has access to, are assisting marine businesses across the globe to drive growth and success in this current environment.

 

The Global Marine Business Advisor group (GMBA) has grown considerably over the past 2 years with their main focus on working with businesses who wish to expand their export markets. Currently there has been strong emphasis from businesses wanting help with securing supply chains, developing award applications and support with environmental and sustainability issues.

 

Congratulations to David Lewin and the Team at GMBA

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue

 


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

The Benefits of Award Ceremonies | David Lewin, GMBA-UK

 

We’ve all watched the Oscars. All the ‘stars’ on the red carpet, gushing on stage when they win a category, name-dropping and thanking everyone they can think of – not forgetting their mothers! It is undoubtedly narcissistic and to some extent self-serving – but we all watch it and it does the participants, even as just nominees, no harm in their search for greater publicity and awareness of their ‘brand’.

 

And so it is with award ceremonies in our industry. It may look like an excuse for a good dinner and a night out on company expenses while we pat each other on the back and hand each other dubiously styled ‘nautical’ trophies but there is a competition and whether the winners are technically the most superior, they have communicated it best to the judges and that’s what’s important and makes award ceremonies relevant.

 

To win an award you have to have done something new, well or for a long time, but not only that, you are using the award ceremony to tell everyone about it. It is a means to notice and be noticed, to be driven along with the impetus of the ceremony but then to drive the publicity offered by the awards to build the business.  After you have extolled the virtues and technical prowess of your product so many times there is nothing better than third party approval of that product in the form of an award that can be trumpeted loud and clear to your desired market. It indicates that your product or service is amongst the best in its category and that there is a compelling argument to check it out.

 

To win an award category, however contrived you might think it has been, is a golden marketing tool to be used at every opportunity to spread the word about your business. But you have to be in it to win it, so next time the opportunity presents itself to take part in such a competition, don’t say to yourself that you don’t like going to industry dinners, think longer term about what you could do with the PR from winning a category. It’s not the prize, it’s what you do with it!

 

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue

 


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

Design for Profit | David Lewin, GMBA-UK

Times are good – at least for the boating industry. Order books are full and dealer inventories are low so everyone is pushing on to produce as many boats as possible in the shortest possible time.

But there is a line squall up ahead. We can all see it – Covid has left the supply chain fractionated, interest rates have been too low for too long and we now have rapidly increasing inflation. The war in Ukraine has shocked us all as energy costs have spiralled and grain and fertilizer becomes scarce.

It has to have some effect. However we try to navigate around this squall it will require some change of direction.

It has always been my contention that to make money building boats (or any other complex low volume capital item) it’s not just about the margin you feel you can apply, but the amount of extra costs you can avoid whilst constructing the craft. How many times have I been told when things aren’t going well that ‘we are where we are and we just have to get this thing over the line’! So money is thrown at it, the production process is compromised and another chunk of cash comes off the bottom line.

Several things usually come into play when this happens. Often the production schedule is unrealistic, based on cash flow requirements or an upcoming boat show launch rather than current supply chain realities. Materials that once had a lead time of 8 weeks are often now quoted at 12 weeks plus so if the deck has been planned to be fastened down in the former time period, the furniture might not fit through the apertures and certainly won’t be so easy to fit.

But there are ways mitigate these losses with some judicial design work.

One of the best ways is to design out the ‘difficult bits’. How many different door designs and sizes does your range of boats have? One boat builder recently told me they had over 30 different shapes and sizes and were working on cutting it down by two thirds. With the advent of ‘repeatable’ veneers such as Alpi or the modern trend to HPL or painted finishes, doors and frames (and maybe other parts) could then be held in stock.

If the facades of the interior furniture have different or special finishes, then design them so they can all be fitted separately and after the base carcass. I recently came across an assembly that incorporated lacquered panels, upholstered panels and inserts of stainless steel and carbon fibre – all integrally constructed into a wooden frame. It looked wonderful but it was a logistical nightmare as it could not be installed until all the items from several  different subcontractors had arrived and been assembled. If this had been designed such that the frame could have been installed and then the façade pieces attached via Fastmount or similar, the build process would not have been interrupted.

If the deck should need to be fitted before sub-assemblies have arrived, design all assemblies so they can fit through the companionway where possible. As an example, designing the master bed so it can be made in two parts might be prudent. This will also help with any warranty work if necessary later.

There has been a scrabble over the last year to find more production. There is definitely a shortage of skilled labour in all sectors but with headwinds on the way should we be so keen to expand in-house production. In 2008/2009 many companies went bust because they could not shed personnel fast enough. Many European countries (rightly) have employment laws that prohibit the simple laying off of workers and if any downturn is severe that can cause problems.

However by outsourcing some of the production, whether it be complete boats, sub-assemblies, detail work or finishing, if volumes fall back, their services can easily be curtailed.

Using sub-contractors is therefore attractive but brings its own disciplines. Drawings, specifications and control systems have to be a lot tighter; no fudging can be allowed here as you can’t walk down to the workshop to get it fixed. It might have been made in another country. Again, design is the key, so that outsourced items with possibly extended and less reliable delivery times can be seamlessly integrated into the build schedule.

So remember, it’s not what we earn, it’s what we don’t lose so let’s start designing that out now.

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

The Perception of Country-Specific Risk in the Marine Industry Related to Finland has Changed – But What is the Reality? | Dr Jouko Huju, DBA, GMBA Finland

As we went to sleep on February 23rd 2022, the overall international perception of the country specific geopolitical risk affecting Finland was zero, or at best negligible.

As we woke up to the bleak morning of February 24th, all this changed, literally overnight. Whilst not discounting or belittling the complete and utter humanitarian catastrophe and the plight the Ukrainian people currently face, we still remain as an industry directly responsible for some 3,500 jobs in Finland generating almost a billion € in revenue. However, while doing our best to help the Ukrainians, we simultaneously need to focus on matters closer to home. To paraphrase our President, Mr. Sauli Niinisto in a recent CNN interview reflecting upon the situation specifically for Finland, “Finns are not scared, but surely we are fully awake.” Despite this, we have to accept the fact that the country specific geopolitical risk affecting Finland has changed in terms of perceptions, and also potential outcomes – even if military outcomes still seem less than likely. In this story we will try to reason around why we feel there is certainly no need to panic, despite recent global events.

Over 60% of the Finnish population now supports a NATO membership (61%, Helsingin Sanomat, March 30th 2022 – survey done by Kantar) whilst in the decades prior to the Ukrainian crisis support was on a stable level hovering around 25% (continuous survey 1998-2021 as done by EVA) – a significant increase. In other words, joining NATO now seems closer than ever.

A description of the constitutional, parliamentary process would be good (i.e. favourable vote in the Finnish parliament required PRIOR to sending membership application) and the application still needs to be unanimously ratified by ALL existing NATO countries. Also, the Kremlin already considers Finland to be very much a part of the Western sphere of influence, despite the optical “sovereign, neutral nation” moniker.

The real risk here is less the ending of exporting goods to Russia or lack of Russian customers buying boats to be kept outside Russia, and more the lack of belief in a stable future operating environment. Further, rather than geopolitical, the risks are: inflation and the increasing price of raw materials; both leading to challenges of remaining competitive. This combined with “decision anguish” on behalf of customers and dealers (often related to economic or geopolitical instability) can have detrimental effects on short term revenue.

Recent events have brought into focus the importance of democracy, transparency and real facts rather than alternative facts or outright lies. Therefore we need to keep a level head also within our industry, and make sure that customers and partners have access to REAL facts to support their decisions. Some of the conclusions may be that, while the optics are definitely leaning towards an increased geopolitical country risk concerning Finland, the fact is that:

  • we do not have strong signals that military aggression from Russia to Finland is viable in the short term.
  • The Kremlin may have underestimated the disastrous effects on Russia that the current aggression has caused, as the full impact of international sanctions is yet to hit the Russian economy.
  • There is significant pressure; both political and economic to resolve the Ukrainian crisis, and President Zelensky understands that a peace treaty allowing Putin to save face with a “graceful exit” is necessary- hopefully increasing the odds for ending the current war sooner rather than later – giving way for a period of relative stability.

So, there is really no reason to believe that Finnish industries by and large, and even to a lesser extent the leisure marine industry should be adversely affected by the above. We expect the impact to be of a more long term nature possibly concerning big strategic, non-mobile investments such as large scale manufacturing plants, infrastructure related projects and such.


Dr Jouko Huju DBA, GMBA-Finland
+358 40 5509310
jouko.huju@gmba.blue

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

Industry focus: will Russia burst the boating boom? | David Lewin, GMBA-UK

David Lewin, Global Marina Business Advisors (GMBA) UK, asks if the marine industry is sufficiently futureproofed or is the bubble set to burst?

Just when we thought it was safe to get out on the water – another shark has come to encircle us. Life was improving, we were coming out of covid, people had decided that family time was precious and that boats provided a very good way to achieve that. The order books were (and still are) full and apart from some supply and manpower issues everything looked rosy.

And for many it is. Boatbuilders haven’t seen order books like this for years; one of the problems for the re-emerging boat shows is lack of inventory to put on the stands. Suppliers are being pushed to increase volumes and the superyacht industry has work until 2027.

Certainly we were beginning to see signs of inflation creeping in with increases in raw materials such as aluminium and stainless steel but with such a strong order book would this really be a problem?

The pandemic was coming under control and people just wanted to get out there and enjoy themselves again.

But what started as ‘weak signals’ with living standards coming under pressure again has started to feel much more urgent. The unthinkable idea that we could have a war in Europe has cast a depressing shadow over everything in this part of the world, practically and mentally.

From a practical point of view, costs are rising faster than income, the latest UK figures showing inflation running at 6 per cent and likely to rise to 8 per cent before falling back. That’s the fastest rate of increase in 30 years and those costs are partly driven by all the ingredients required by the boatbuilding industry: energy, oil, steel and aluminium.

So the question is how will the small to medium boatbuilding industry (and thereafter all the ensuing service sector) fare when the new costs start feeding through?

Leisure boating is a very discretionary spend and tends be a good bellwether for the direction of the economy. Small boats are easy to buy and operate but easy to sell too. [GMBA’s David Lewin, pictured left].

Will boats become too expensive or will people start to think that just now might not be the best time to buy a boat?

Medium size boats are more of an investment in one’s leisure time if not necessarily in money. Many people in later life sell a business or downsize their house to spend more time afloat but eventually economics will have an effect and they may need to reassess their boating activities.

In the large-yacht sector, the scene is for the first time very different. The order books are full so there is no panic in the short term. However, whereas Russian owners make up only around 20 per cent of yachts up to 30 metres, they disproportionately represent a huge part of the market over 30 metres. With plenty of boats in build it will depend upon how long the current emergency will last to see if sanctions really start affecting stage payments and slipways become congested with craft that cannot move.

There is also a deeper worry. A magnifying glass has been put on the loves and lives of the Russian ‘oligarchs’ and not everyone likes what they have seen – incredible amounts of money, possibly at the expense of the Russian populace, spent in selfish and self-centred ways on houses and ‘toys’ that very few can enjoy.

Spanish authorities impounded the 135-metre megayacht Crescent, which is docked in the port of Tarragona.

It’s heartening to see some superyacht owners and yards developing world firsts in green propulsion and sustainability as a ‘moral offset’, but might the days of acceptability for such gross displays of conspicuous consumption be numbered or will the boats morph into expedition yachts with a tame science project as their raison d’etre?

Whichever way you look, people are beginning to keep their hands in their pockets, some even to the extent of keeping some cash under the mattress in case cyber warfare takes hold on financial institutions and banks. There is a worrying time ahead and we should take heed of the signs. We know of old that our business is extremely fickle and is the first to go from boom to bust when things turn down but the really clever part is to know and foretell when and how fast that might be.

In the spring of 2008 life was pretty good; order books were healthy and credit was everywhere but by October the world economy had fallen off a cliff. Suddenly companies were over staffed, over geared and under pressure and many fell by the wayside because they could not shed overhead, or staff, fast enough.

With the strength of the current order book and lack of inventory worldwide, the feeling on the other side of the world is that what we now have is primarily a European problem and the fact that covid has left us deprived of two years of fun, the cliff might be levelled off to a gentle downward slope. All the signs are that we will see some retraction in the market so can we navigate round the sharks?

Original article published in Marine Industry News: https://marineindustrynews.co.uk/industry-focus-will-russia-burst-the-boating-boom/

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

Sea of change | David Lewin, GMBA-UK

So how has the world been doing since the great shock of spring 2020 when we shut our doors and wondered what would become of us all? In our industry’s case, rather well it seems.

There is no getting away from Covid-19 and how different countries have dealt with the pandemic and their ability (or preparedness) to open up their economies again. The ramifications of slow vaccination policies may well be felt over the coming period as interestingly, those countries that were so admired in the early days for shutting down quickly to effectively exclude the virus are now being seen as slow to open and being prepared to live with it, whereas those who concentrated on vaccinations seem to be reaping the benefit, despite seemingly high levels of new infections.

But staying at home has had its benefits; many city commuters saved considerable sums of money from not travelling – and by staying at home they also realised that family time can actually be enjoyable and so with nowhere to go, the purchase of a boat would give them Covid security and communal fun.

We also see that the demographic of the boat buying public has got younger for the first time and naturally the increase in sales has been seen mainly in motor boats as the skillset required for a sailing boat requires a longer entry period. Certain caution should be taken here as motor boats can be seen as more transient than sailing boats which are more of a lifestyle and resilient to sudden fluctuations in the market. It will be up to our aftersales and service sectors to see if we can retain those new entrants.

We all believed we would come through the pandemic but I think we were all surprised at how strongly and quickly the demand for boats (and caravans and RVs) overcame us. In the UK – but by no means a singular example of this trend – many companies had laid off staff and social distancing within the workplace made things very difficult if not nearly impossible. Add to that half the world’s ships and containers were all in the wrong place plus a hangover from three months of non-production of materials and parts and the world economy still has some catching up to do!

These supply chain issues aside, we are now feeling the effects of a lack of suitably trained staff from CAD engineers to laminators to boat builders. So much so that subcontracting has really moved forward, whether it be design houses, interior joinery or simply finding self-employed engineers. Small marine engineering companies or self-employed tradesmen are being drafted in to work on the production of new boats. This also makes good commercial sense as anyone knows the market can – and usually does – go down after a period of boom and it is easier to downsize by letting go of subcontractors than closing wholly owned factories.

The shortage of boat inventory has seriously advantaged the refit market. For instance, the ‘third way’ is the new proposition from Chris Gates of emergent company SETAG Yachts. If you can’t find a suitable craft, buy a pre-owned boat and let them re-style and refit it. In this case, not a simple repair of the interior but a complete upgrade package can be had to your taste and pocket. In other areas, services like re-spray, PVC ‘wrapping’ and the ‘textile’ trades such as covers and upholstery are doing well as is the aftermarket chandlery trade for the first time in a while.

Where boating density is high, the lack of available craft, along with its often high price of entry to the sport, has seen new growth in shared ownership arrangements and in ‘clubs’ whereby you pay a subscription and have access to a range of boats for a given number of days. This also appeals to a growing number of ‘pay and play’ participants that wish to do many other things as well as boating.

In the main, the world has bounced back well from the Covid pandemic and our industry has been one of the beneficiaries. It’s now time to capitalize on the good time afforded to us by investing in the future, not only in skilled personnel but also in a sustainable boating future. We ignore both these at our peril!

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

Too Much Power? | David Lewin, GMBA-UK

We’re back! People out on the street, in bars and out boating, and what’s more we had a boat show to visit.

Outboards
Photograph courtesy of Pixabay

After 40 years in the industry, being asked to yet another boat show doesn’t always set my life on fire but this time I was excited to be visiting the Southampton International Boat Show, especially after its last minute cruel demise last year.

And it didn’t disappoint. There was a new layout with a large yacht at the entrance, the inclusion of all the new water sports and the addition of a funfair. The weather played its part as the sun shone most of the week and with the current demand for boats, no-one was going to have a bad show. Indeed some say it was the best Southampton Boat Show ever and after two years away I can believe it. It was just nice to talk to people and touch boats again.

However as I made my way down to the pontoons to look at the boats with their transoms facing the dock I could not help but notice the size of the engines being fitted. When boats have inboard engines it’s not easy to see how big they are becoming but with the current craze for outboards it’s big and brash with the horsepower rating written boldly on the cover!

They just seem to be getting bigger and bigger to the point of becoming absurd. Most of the motorboating in this country takes place at weekends in protected waters which often become quite crowded with most people taking their boats out for a trip to another anchorage or just across the bay. Occasionally they may go further afield but once out from behind the shelter of an island or a headland our seas can be very choppy and steep.

Yet I believe we are condoning the installation of quite inappropriate engines for these craft. We are witnessing multiple installations of hundreds of horsepower on boats which a few years ago would be quite happy (and probably more efficient) with a single installation.

Not only do they use inordinate amounts of petrol (gas) but for a lot of the time you simply can’t use that power because of the sea state – it’s just too uncomfortable and dangerous. Even the emergency services such as the RNLI don’t fit motors of this magnitude, efficiency to perform the task being their watchword. In fact within the Solent where I do my boating, however fast your boat is, you will only arrive 20-30 minutes ahead of a slower motorboat as you can only do 6 knots in the rivers anyway!

Proponents of these over-large powerplants excuse it by saying they do so few hours in the year that the emissions and carbon footprint are negligible but that’s not the point. There is a climate emergency. We all know it and we all have a responsibility to act. It felt, standing on that dock at the Show as if nothing had changed, boating had become more elitist and that there was one rule for the public at large but that it need not apply to those that could afford it.

To my mind this trend is totally unacceptable and puts our industry yet again in jeopardy. We need to be looking for sustainability in manufacture and performance. I can agree that it’s early days in the development of alternative solutions but I saw no meaningful move or explanation by any manufacturer towards a carbon neutral future. British Marine offered a prize for the most environmentally friendly stand at the Show, but quite frankly the abolition of some plastic bottles and only using paper straws doesn’t do much for the future of the planet.

We need to sell the fact that we are a responsible industry, looking forward and not just being retro-active. Maybe we need to put more effort into selling wind power – after all it’s served mankind for many thousands of years. Why is sailing still in decline? Do we actually need to travel at 40 knots? Lesser speeds offer more comfort, time to enjoy the surroundings and a lot less fuel!

For those of us who have been around during a few fiscal cycles will know that the current boom cannot last. We have just been through an extraordinary time which always brings extraordinary responses but once the supply chain catches up, international travel resumes and some people discover boating might not be for them, the industry will be exposed to all the pressures of the new (green) normal.

I don’t believe hanging 600 horsepower on the back of a glorified RIB sets the right tone. It may be what the customer still wants but it is fast becoming immoral in this modern world.

28-06-2021

David Lewin, GMBA-UK
+44 7767 687 987
david.lewin@gmba.blue


Disclaimer: Global Marine Business Advisors and its associated website www.gmba.blue are not registered legal entities. GMBA is a network of independent marine industry advisors. In all articles the opinions expressed are those of the author and does not necessarily reflect those of GMBA

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