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Author Topic:   Bombardier a little recent news
bigz posted 12-14-2001 04:36 AM ET (US)   Profile for bigz  
For those interested here are the article links published yesterday --

"A focus group study conducted in cities around the world in September, October and November told a story to Canada-based Inc."

"Canada-based Bombardier Inc.has formed the new Evinrude/Johnson Parts & Accessories Division to build up this part of the company's outboard marine engine business."

jimh posted 12-14-2001 09:01 AM ET (US)     Profile for jimh  Send Email to jimh     
Tom--Thanks for posting these links. I find them interesting.

Regarding the first link, wherein the details of some market research are presented, I have to make these comments:

By limiting their study to a particular target (boaters with ten years experience and income above $40,000) they probably selected older respondents. The older you get the more your brand preferences become fixed. In the advertising business an older target audience is not worth much compared to 18-25-year-olds because of this. Younger people have not formed brand loyalties yet; they can be converted. Older people tend to be brand loyal and are unlikely to be affected by advertising of a competing product.

So it is not surprising that the study finds customers are brand loyal and have emotional attachments to the product--an ouboard motor--a mechanical device.

Another astonishing thing is the ignorance of the subject pool about the OMC bancrupcy. This clearly shows that most of them are getting their information via the advertiser-controlled traditional boating publication. They cannot be new-age, internet-aware boaters.

Again, the results reflect the ability of the traditional boating media to control editorial content so as to minimize any harm done to potential advertising customers. More sophisticated consumers of boating information are aware of the relationship between magazine publisher and magazine advertiser and evaluate the editorial content of the magazine with an eye to the advertiser influence on it. They also gather information from other sources, including on-line and independent sources.

I dare say that if the pool of respondents of this market research had included a sizeable number of folks who are reading this message, the results would have been far different.

Finally, the information was gathered by the company, filtered by the company, and presented by the company to the "press", which in this case probably means the boating press (see above). They are only going to tell the good things they found out.

On the plus side, it is very interesting to note that following the research the company produced advertising that reinforced the perceptions already in place. In the case of Johnson they emphasize longevity of service.

To tie this back to our principal interest, Boston Whaler, it would be amusing to speculate what sort of results would obtain from a similar study by Boston Whaler of a similar group of boaters.


hauptjm posted 12-14-2001 10:57 AM ET (US)     Profile for hauptjm    
jimh, I agree that the general public really has no idea of the general state of the recreational industry, much less the state of affairs at J/E - Bombardier. However, I disagree as to the marketing concept used for the study. For most purchases, the study would be wildly naive by not including the younger age groups. But, in this instance, we are talking about an average purchase that probably comes in somewhere around $6,000.00 or higher.

Frankly, the person earning 40k may not even be purchasing anything larger than a 40hp engine new. You are correct that this testing group will already have opinions regarding brand, and that the information forming this opinion are probably out of the monthly rag industry. Nonetheless, they are the ones spending the money.

What Bombardier has to do is permeate the buying public with the notion that their product is "still" the dependable workhorse J&E's were known for, regardless of recent setbacks. This won't be easy. Mercury and Yamaha won't sit idly by.

If we were to look at the average forum member right here, I'm sure we would find a fairly affluent, mid 30's to mid 60's group that spends the dollars that these manufacturers drool over. Now the difference is that this group is definitely more astute than the average Bayliner guy/gal. With that said, the people buying the floating cocktail lounges are still in the same age/income group. They just have more dollars than sense.

JFM posted 12-14-2001 03:54 PM ET (US)     Profile for JFM  Send Email to JFM     
hauptjm, I have to disagree with your ending remark. Perhaps not 100% on the subject, but the local Ranger dealer sells more Ranger boats than any other dealer in the world. Their average sale is $27,500 for boat motor and trailer. Most boats are 150HP on up. There average income customer is a $40,000 blue colar working man. Regards, Jay

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