The majority of segments showed declines in new-boat registrations in December, with the total industry being down 15.8% compared with a year earlier. Year-to-date numbers were similar at 258,791 for 2022 compared with 301,613 for the previous year, a 14.2% decrease.
The data was provided by Statistical Surveys, a Michigan-based firm that compiled information from 32 states representing 67.46% of the U.S. recreational boating market.
In his summary report of December registrations, Eric Wold, a research analyst for B. Riley Securities, called the numbers “even-keeled,” adding that “when people look at the comparisons to last year or the year before, the knee-jerk reaction is that things are not good because of the current environment.”
He added: “The conversations I’ve had with management teams in this space, I’ve found that the middle and higher-end buyer are still looking for a boat.”
Two segments defied the downward trend. Personal watercraft continued to lead the way with 1,828 new units registered, a 47.8% increase from 2021’s 1,237. Sailboats were also up, increasing 48.6% with 107 new units to finish 2022 compared with 71 new registrations in 2021.
Wold also reports on the powersports industries and says it’s having a similar experience as PWC manufacturers and dealers. Dealers have units that are 75% complete and waiting for a part or two. When a bunch of those parts comes in, units that are already paid for get delivered. “You’re seeing a lot of catch-up that’s happening across many industries,” Wold said.
Looking at the most popular segments, bowriders/deckboats saw the biggest decline in December compared with the prior year: 86 new registrations in 2022 compared with 171 in 2021, a drop of 49.7%. That resulted in the biggest year-to-date decline as well: 5,888 in 2022 after 7,946 in 2021, a reduction of 25.9%.
Next came pontoon boats, which were down 43.3% from 2021 to 2022, with 801 boats registered at the end of last year compared with 1,413 in 2021. Stronger earlier sales kept 2022 from looking as bad for the year to date. The final tally was 56,129 versus 63,249, a difference of 11.3%.
Cruisers from 31 to 40 feet checked in at 18 registered in December 2022, while 31 were registered in the last month of 2021, a 41.9% decline. The category was down 21.8% year-to-date, with 749 units in 2022 and 958 in 2021. Just behind, wakesports boats, which had been strong through the pandemic, had a 41.6% drop from 397 in December 2021 to 232 in the final month of 2022. That resulted in an 11.6% decline for year-to-date figures.
Wold said his research shows that demand for new boats is still there. “You saw that in the boat shows late last year,” he said. “I don’t expect to see a 180-degree change from that.”
This article was originally published in the March 2023 issue.
