Brunswick CEO Remarks from METS 2017
Posted: Wed Nov 15, 2017 2:00 pm
Mark Schwabero, the CEO of Brunswick, delivered the keynote speech at the 30th Anniversary of the METS tradeshow yesterday in Amsterdam. There is a recording of the speed available at
https://www.youtube.com/watch?time_cont ... 119HtUjnBs
A very interesting moment in the speech occurs about ten minutes in.
For outboard engine sales, Mr. Schwabero shows that the outboard market has recovered to about ten percent greater sales than it had at the pre-downturn level. He says:
That outboard engines of 300-HP or more have become such a factor in the market is quite surprising. There is one qualifier in the statement, however, that can explain the observation. The 20-percent share is the dollar share, not the unit share. Since engine sales price is directly proportional to horsepower, we can be certain that 300-HP or higher engines are much more expensive than engines of less horsepower. So even if the unit sales of 300-HP or higher engines were at a much smaller fraction of total unit sales than 20-percent, their dollar-share of total sales could easily be 20-percent of the the outboard total market dollar figure.
https://www.youtube.com/watch?time_cont ... 119HtUjnBs
A very interesting moment in the speech occurs about ten minutes in.
For outboard engine sales, Mr. Schwabero shows that the outboard market has recovered to about ten percent greater sales than it had at the pre-downturn level. He says:
If you look at the two-hundred-plus horsepower category, it is now the largest category, and it's also the one that is well beyond what it was pre-recession. And the second bullet point...the fact that almost 20-percent of the [outboard] dollar market today is three-hundred-plus horsepower engines--which didn't even exist in 2006.
That outboard engines of 300-HP or more have become such a factor in the market is quite surprising. There is one qualifier in the statement, however, that can explain the observation. The 20-percent share is the dollar share, not the unit share. Since engine sales price is directly proportional to horsepower, we can be certain that 300-HP or higher engines are much more expensive than engines of less horsepower. So even if the unit sales of 300-HP or higher engines were at a much smaller fraction of total unit sales than 20-percent, their dollar-share of total sales could easily be 20-percent of the the outboard total market dollar figure.