Fawcett, which caters to owners of larger sleep-on boats 30 feet or longer, has been selling fewer luxury items such as onboard grills and fancy kitchen accessories and is instead moving parts and supplies for repairs or necessities. Fawcett’s customers view their boat as a second home, Ripley said, and ‘‘are more conservative” with expensive upgrades when money is tight.
Like many dealers and retailers in the state, Ripley remains optimistic that the industry will bounce back with the economy.
‘‘People are drawn to the water,” Ripley said. ‘‘The industry might be hurting, but people still love the water and will keep coming.”
Party timein Baltimore
Dockmaster Scott Anderson is holding more pool parties and events on land at the bar and restaurant to keep the Baltimore Marine Center financially afloat.
‘‘We’re actually [fuller] than last year, but people don’t seem to be going out as much,” Anderson said of his slips for a range of boat sizes. ‘‘We work hard to keep our customers. We know this is their disposable income, and we try to give them a good value for it and offer good amenities. ... We’re having to entertain.”
The nearby Baltimore Inner Harbor Marine Center caters mainly to transient boaters, who travel from port to port each summer, but business has dropped by as much as 25 percent, said manager Ben Ayres.
With 100 transient boat slips, Baltimore Inner Harbor Marine Center welcomes up to 5,000 boaters in an average summer, or roughly 50 each weekend. This year, some weekends have drawn between 25 and 30 boaters, and sometimes as few as 10, Ayres said.
‘‘We really rely on travel boaters for income,” Ayres said. ‘‘When the price of fuel jumps from $3 one summer to $5 the next, it really hurts people. You might put $40 in your tank with a car, but most boats have 100- to 200-gallon tanks. You can pay as much as $800 for one fill-up. ... We’re going day-to-day and getting by. There’s not much we can do about it.
‘‘Marinas are going to be the first thing to suffer,” he said. ‘‘Right now people are trying to hold onto their homes – the boats will go first.”
Fuel prices run higher at marina stations because they pay higher insurance premiums for being on the water, are open fewer months of the year and have fewer customers than gas stations on land, said Kevin Little, national sales director for marine sales with Mansfield Fuel Supply of Gainesville, Ga.
‘‘Historically, marina consultants ... try to achieve a 20 [percent] to 25 percent markup over on-land gas stations to cover costs.” Little said. ‘‘With today’s market, that’s not possible.”
‘Boat salesdefinitely down’
Boat dealers throughout Maryland are shouldering a larger inventory that is becoming outdated as newer models are introduced. Like dockmasters, dealers blame rising energy prices and sagging consumer confidence as the primary reasons for the weakness, but are also concerned about the financing market.
‘‘Boat sales are definitely down in Maryland,” said Susan Zellers, executive director of the Marine Trades Association of Maryland, and dealers are hungry for other revenue-generating ideas. One dealer started carrying cigars to pump up profits, she said.
At the association’s September meeting, members are scheduled to discuss money-producing ideas for marinas and boat sales, such as encouraging boaters to picnic on the water.
‘‘Marinas are getting creative with their slip holders,” Zellers said. ‘‘The name of the game is to keep people boating. The last thing we want to see is people not using their boats. We’re worried everyone will grab their golf clubs and head to the country club because it’s cheaper.”
Resorts see more interest in rentals, smaller watercraft
At the state’s western- and eastern-most points — Deep Creek Lake and Ocean City — boat rentals and sales of personal watercraft are bucking the downward trend, dealers say.
Gary Pfirrmann, owner of Deep Creek Lake Boat Rentals, said that while he’s noticed fewer boats on the water, rentals of pontoons, ski boats and fishing boats have remained steady.
‘‘I don’t know if they spend $200 or $500 on gas, but they still are renting,” Pfirrmann said.
In Ocean City, Eric Fiori is expanding his Action Watersports Jet Ski sales and rental shop to about 9 miles south, to Berlin. The business has been absorbing the fuel increases instead of passing the costs on to customers.
‘‘When money’s tight, we really try to boost our customer service, so people keep coming back year after year,” Fiori said. ‘‘Our sales are about same as last year – better in some ways. Jet Skis are a little more fuel-efficient” than boats.
Maryland boating industry
Registered power boats in 2003: 176,842
Registered power boats in 2007: 172,245
An estimated 6.5 registered boats creates more than one full-time job.
In 2006, the boating industry was responsible for 31,755 jobs.
The boating industry contributed $1.8 billion to the gross state product in 2006, $1.04 million more than farming, fishing and hunting combined that year.
Source: Maryland Department of Natural Resources, University of Maryland Sea Grant Extension, RBC Capital Markets
Boat registrations in Maryland decline
2004: 209,760
2005: 209,302
2006: 207,279
2007: 205,838
Source: Maryland Department of Natural Resources