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Bertram Entering the Outboard Market

Discussion in 'General Yachting Discussion' started by German Yachting, Oct 29, 2019.

  1. German Yachting

    German Yachting Senior Member

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  2. olderboater

    olderboater Senior Member

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    Definitely a good idea as so much of the market growth is in outboards. I do question the wisdom of signing an exclusive agreement with any engine manufacturer as they did with Mercury. CC customers and outboard customers in general have very strong preferences. I think that eliminates as much as 20% of potential sales.
  3. Oscarvan

    Oscarvan Senior Member

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    Oh yeah. Right up there with their Chevvy-Ford-RAM truck pulling it.
  4. captholli

    captholli Senior Member

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    I would venture that Mercury Marine Financing gave Bertram's principals a VERY good interest rate if any % at all on the reported 15 million that Bertram is going to spend for tooling up this new line if Bertram would commit to a strategic term for sole contractual supplier of OB power. These people (Bertram) aren't blind to brand loyalty but they're smart enough to leverage their brand for interest free financing of new tooling... Just speculation or a SWAG on my part but why or who would limit their center console market / buyer pool like this unless your getting something in return??
  5. PacBlue

    PacBlue Senior Member

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    Viking envy? Who's next, Hatteras??
  6. olderboater

    olderboater Senior Member

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    I'm quite sure they did and that on the surface it makes a lot of financial sense. I do think they underestimate the number of buyers though who will not buy a Mercury.
  7. Capt Ralph

    Capt Ralph Senior Member

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    Is Merc still in bed with Yam?
    I may be remembering something from long ago.

    I'm sure the boat can be ordered with out power.
  8. olderboater

    olderboater Senior Member

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    No, they are definitely not in bed with each other. As to ordering without power, don't bet on it. It's a different situation, but you can't order Boston Whaler without power. Obviously though Whaler is owned by Brunswick. Yamaha has some very tight agreements with quite a few brands as well and own some brands, and now Evinrude has purchased a boat builder and headed that way. The big money is still in motors.
  9. Capt Ralph

    Capt Ralph Senior Member

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    Would this effect inboard power?
  10. olderboater

    olderboater Senior Member

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    No, an outboard only deal. However, doesn't mean they won't make inboard deals with others. The engine brand I've seen gaining share by making deals the past couple of years is Volvo. They've gained quite a few European builders.

    Bertram is big on CAT. Only offer Yanmar as an option on their smallest boat and everything else is CAT. That makes sense because fishermen have been and are very much CAT fans.

    Certainly Brunswick only allowed Mercruiser inboard outboards in their boats. Then they cost themselves dearly by refusing to use Volvo IPS for pod drives and developing and getting in bed with Zeus and Cummins.
  11. Maxwell

    Maxwell Senior Member

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    A couple years back, I helped a friend as he was looking at a cc from a company that had an exclusive contract with Yamaha. We both have a fairly deep relationship with this mfg and when asked if we could order without power, they said yes, however if he hung anything but Yamaha on the boat that it would void the hull warranty. Assuming this is how they enforce the “exclusive” part of the contract.
  12. olderboater

    olderboater Senior Member

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    Yes, one thing you'll notice about the CC builders in South Florida is the alignments. For instance you have Seavee with all Mercury and Contender with all Yamaha. When you're thinking about buying a CC, it does play a role in your decision. Jupiter is Yamaha. Intrepid offers anything you want. Deep Impact is Mercury.
  13. gr8trn

    gr8trn Senior Member

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    It seems nothing unusual for a boat builder to strike a relationship (strong one) with an OB brand.
    I like Yamaha, I have only had Honda, never Merc. For some reason, I don't think I like Merc as well as Yamaha.
    I can't imagine that current Merc design, engineering, workmanship, warranty to be so inferior to Yamaha that I would not look at a Merc. boat. My history and gut and wants the Yamaha but the if the boat is right and the engines have good warranty and the service centers are reputable, I would not dismiss a boat due to which egg beaters are hanging off of the back.

    Bertram plans to spend in excess of $15,000,000 on new product development over the next four years to expand our portfolio of products into premium outboard powered boats starting in the high 20 foot range

    I am impressed with the investment and happy to see US building doing well. I wish them the best, they seem to be doing will internationally, are CC's selling any where other than Florida/Bahamas and maybe Texas?
  14. motoryachtlover

    motoryachtlover Senior Member

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    I own 3 Yamaha OBs and have paid a price premium for the readily available service in most of my cruising area and what I think to be great reliability. That being said I was having a discussion with an Everglades dealer amongst other brands and he sold Yamaha, Mercury, and Suzuki. He could only sell Mercury and Suzuki if attached to the boat provided by the manufacturer. In other words, his agreement did not allow him to sell Mercury and Suzuki separate from the boat. I think I got that right. At any rate, he said that Yamaha must not rest on its past as he thought Mercury was really stepping up their game. Also said that the new Yamaha 425 was uncomfortably loud and was a legitimate issue. My point is give the new mercury some time in the field and they may prove to be superior to the Yamahas.
  15. MountainGuy

    MountainGuy Member

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    Not strictly related to this thread, but what is it about the diesel outboards? I read several articles and tests about the OXE and the Cox Powertrain CXO 300.

    Why is none of the builders adding them to their lineup? Is it as they have contracts with the traditional gas brands or is technology still not ready?

    The benefits in consumption and maintenance should outweigh the higher price within the first few years, or?
  16. captholli

    captholli Senior Member

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    There's been a trend for producing very large center consoles (40 to 60ft) on the east coast the last couple of years. A few prominent sport fish builders in south Florida have been filling the gaps of their post recession empty order books with these OB rigged monsters. Tribute performance Boats now produces an exquisite example of a two million dollar open center console in lieu of the larger speed machines of the past. Of course Rick Schafer would happily build you a 75ft Tribute go fast S/F to go with your OB powered unit. Jim Smith and a couple of other custom builders in Stuart have been busy in this sector with designs and a couple of builds. It seems that this market has been driven in part by the large number of charter yachts towing 30 - 40 ft. center consoles as tenders and dive / activity boats for their charter guests. The other market seems to belong to the international set on Star Island etc. that can afford the latest and greatest water toys so 1.5 -2.0 million for a luxury OB powered monster is great fun and is quite the statement pulling up to the dock to go take your friends or family out restaurant hopping on the weekend or blasting over the Bahamas @ 50 knots in comfort.
  17. gr8trn

    gr8trn Senior Member

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    Roger that.
    I note also that The Porters in Indiana are designing 35 to 40 foot day cruisers with triples and quads hung out back. Certainly not a fad.
  18. olderboater

    olderboater Senior Member

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    CC's are in no way limited to FL or TX as they are popular in other areas as well. One of the target customers they appeal to is the person who would like a SF but simply can't afford or isn't willing to pay the price. There was a time a CC wasn't a decent compromise but with the larger engines and larger CC's they are.

    People own CC's for many reasons. We have one that is solely for our crew to use when they're home in FLL. They love it and as we talk of updating or replacing it remains their choice. Great for day trips as well as short fishing trips. Dependable and largely trouble free. Good ride, great performance. Great boat to jump in, cruise a little and go to lunch on the water.

    CaptHolli mentions Tribute, well in high performance, Fountain, Nor-tech and others have joined that as they can match the performance they've gone for in the past as much less cost.

    People like Mag Bay and Cabo have found the demand for CC's to be great so not surprising Bertram is following that path.
  19. PacBlue

    PacBlue Senior Member

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    It IS quite surprising to see Bertram get in the CC game this late. They could have done it when they introduced the 35 FB quite a few years ago. Nothing like being late to the party.

    The playing field is crowded and the saturation point may have already been hit. MB has seen the difficulties in getting distribution channels established and access to the market. They are now introducing an Inboard Express, away from the CC scene.

    How many different builders of a Michael Peters design stepped--hull CC do you need? Is Bertram really going to be able to do a CC better than Viking, Mag Bay, Invincible or Contender and a host of others?
  20. Pascal

    Pascal Senior Member

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    Look at the transom of any mission critical boat like launches, yacht tenders, etc. 90% will have Yamahas / Hondas / Suzuki hanging back there. There is a reason for this.

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