Sea Ray Marketing Plan
The boating industry has suffered serious revenue losses since the 2008 downturn in the economy. Our strategy for Sea Ray of Knoxville minimizes risk yet strengthens and refines the current marketing campaign. Analysis indicates a concentration on families and communities would coincide with Sea Ray’s current image that “Where land ends, life begins.” Sea Ray is a private subsidiary of Brunswick Corporation. The company sells four product lines which include Sport Boats, Sport Cruisers, Sport Yachts, and Yachts. The company was founded in 1959 and was one of the first to use fiberglass in the construction of recreational boats. To differentiate itself, Sea Ray focuses more on selling a boating lifestyle as opposed to a boat product. This is a tough era for the industry. Optimistically, our “Sea Ray Community” marketing plan should increase revenues by two percent over the next three years. We recommend that Sea Ray continue primarily marketing through print and radio. The company should expand to also include advertising in reader markets proven to reach customers in Sea Ray’s affluent 35-55 age bracket. Sea Ray Community events include sponsorship of the annual News-Sentinel golf tournament. The focus should continue attracting new customers as well as retaining current customers. When families of all ages think about recreational boating, we want them to visualize one dream – The Sea Ray dream. I. General Company Description
A. Mission Statement
The Sea Ray mission statement is as follows: “Emphasizing our 50-year history, tradition and heritage, Sea Ray will continue to lead the marine industry in the manufacture and sale of an extensive line of superior quality fiberglass boats.”1 Sea Ray is a private subsidiary of Brunswick Corporation. Sea Ray describes itself as, “the world's largest manufacturer of superior quality pleasure boats, producing more than 40 models ranging from 17 to 60 feet. No other pleasure boat manufacturer in the world offers such variety. The four families of Sea Ray products include Sport Boats, Sport Cruisers, Sport Yachts and Yachts.” B. Company History
Founded in 1959, Sea Ray was one of the first boat builders to use fiberglass and other high-tech composite materials in the construction of pleasure boats. The company's continuing innovations include: unique styling, performance, interior design, technical systems, and other attributes. Many revolutionary breakthroughs in technology and quality manufacturing processes have placed Sea Ray at the top of the world's pleasure boat builders for more than half a century.
In 1986, Sea Ray became part of the Brunswick Corporation. Sea Ray, together with the other divisions, allows Brunswick to hold the title as the world's largest producer of marine engines and boats. At twice the size of the next largest marine company, Brunswick's strength and expertise gives Sea Ray the resources to employ the industry's best people. As a subsidiary of Brunswick, this also allows them to fund ideas, to support innovations and, to invest proportionally and appropriately to be the industry leader. 2 C. Future Challenges
Brunswick’s cyclical success mirrors changes in the economy, which affects the overall demand for consumer goods and luxury items. As a result, boat demand plummeted during the economic crash of 2008. By the end of 2008, Brunswick marine sales dropped 21% from the previous year. Bowling-and-billiards and fitness equipment’s year- round sales helped weather the downturns in the market. In 2008, however, bowling & billiards sales were flat and fitness equipment sales were down 2% for the year. Moreover, alternative sports equipment items provide only modest revenue.3 On a more positive note, lending for expensive vehicles remained steady at the high end. Overall though, boat sales dropped because of...