 Marine consumers unite for a fairer markets!
Wow what a thread that was, 7 pages.
Since the days of GPS boating has become a much more consumer friendly recreation. The more consumer friendly the boating industry is the more the industry will grow and NMMA was formed with this in mind. Many practices are done in industries, "because it's always been done that way", which is where old molds need to be broken. The tractor industry is much more similiar to the boating industry than the auto industry will ever be with the same type of manufacturer service policies.
Price fixing by brand is common and isn't illegal as long as it is confined to one brand or selection. Minimum selling prices, from Shimano reels, Montblanc pens, Rolex watches, Capresso coffee machines, to Honda mowers.
Territory assignment also isn't illegal as long as it's confined to one brand again, as long as that brand isn't the majority of the market of such product. (can we say Microsoft, Intel or IBM?)
Priority service isn't uncommon also. 'Elite clubs' at airlines for first class upgrades or front of the line seating.
Incentives for buyers aren't uncommon also, free loaner cars, break-in service. As long as they are just 'incentives' and you aren't holding back supplying what seller promised 'warranty work'.
Cyclic industries have problems staying in business during downturns. Boating is cyclic, because it's a luxury expense, as well as seasonality with hiring professional techs to only be needed a couple months out of the year in winter places. Debeers was formed to flatten out pricing in diamonds and OPEC for oil, the only true monopolies in the world.
Everybody is practicing economics, the manufacturers don't pay full retail rates, dealers don't want to get reimbursed lower rates when they are busy, consumers don't want to pay list price.
From what I understand boat builders provide some holdback for new boats sold for warranty work to selling dealer. They don't reimburse retail shop rates either. Dealers need the brand sales, but are left holding the bag with service. My dealer would have to call another dealer/service facility to negotiate warranty work if I was travelling or moved.
We are the consumers and this whole scheme is setup to open our wallets, policies are set by the manufacturers in response to our actions.
What gets me is with strict territory policy I may not get along with that dealer for whatever reason. I have chosen Kubota over John Deere, because of exclusive policies of John Deere. Now if the majority of the manufacturers have those practices as in boating, therein is our problem, but there is nobody to sue, nobody colluded to have the industry as a majority practice these policies. I understand service depts are busy, but we all end up at non-selling dealer service facilities for various reasons, but alas it's the manufacturer who won't reimburse service facility fairly for their servicing their product and fulfilling their promise to consumer (yes I read those little warranty cards and they do say selling dealer). We as the consumer need to demand these practices stop, but alas there are times when we get what we ask for and don't want it, example GM's Saturn division with no haggle pricing, not the runaway hit some thought it would be.
Quick fix for the service issue under the current scheme would be for manufacturers to setup a 'transfer fee', when you buy a boat you are assigned a primary service facility, if you wanted another facility boat owner or selling dealer would pay a transfer fee for boat to be reassigned to a new servicing dealer.
I think the boat manufacturers should adopt a territory plus 1 policy, you would be allowed to buy from the 2 closest dealers from you, thereby enabling some free market competition, but not bringing down their prices to the point they can't survive. I think boat builders should stop tying the sales and service together, it only makes them look bad in the end when their product can't be fairly serviced at an 'authorized dealer', stop the warranty holdback money and pay 85% retail shop rates (builders are entitled to volume discounts and discouragement of warranty fraud) and let the consumer choose the best service facility for them.
Regards,
-Steve | 
