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For Immediate Release

Wednesday, May 24, 2006

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Rising Gas Prices Won’t Keep Boaters Off the Water, Study Says

Research indicates 94 percent of boaters are not turned off by rising fuel costs; in fact, overall boating participation actually increased by 2.3 million in 2005

Chicago, IL

FROM:  NATIONAL MARINE MANUFACTURERS ASSOCIATION
200 E. Randolph Dr., Suite 5100
Chicago, IL  60601-6528
312-946-6200

FOR IMMEDIATE RELEASE

CONTACT: Lindsey Savin     (lsavin@nmma.org; 312-946-6204)

CHICAGO, May 24, 2006 – Despite rising gas prices, 94 percent of American boaters say they will be out on the water this summer as usual, according to a recent study conducted by the Recreational Marine Research Center (RMRC), National Marine Manufacturers Association (NMMA) and West Marine.

The national study, conducted earlier this month, examined the boating habits of approximately 1,900 U.S. boaters. The findings are part of the Boat Owners’ Spending Habits Monthly Survey, conducted on a monthly basis from April through September each year. The May study revealed that while 57 percent of boaters’ vacation plans will be affected by rising gas prices, they’re more likely to curtail other activities this summer—dining out (45 percent), entertainment (45 percent) and driving (52 percent)—as opposed to reducing the amount they go boating (25 percent).

“Boaters are out on the water to relax and spend time with friends and family,” says Thom Dammrich, NMMA president. “They cherish time aboard their boats and are reluctant to give it up, even in the face of higher-than-normal gasoline costs. Boating is a lifestyle that isn’t going to be significantly affected by what happens with prices at the pump.”

In conjunction with the gas prices study, NMMA is also releasing initial findings from its 2005 Recreational Boating Statistical Abstract, which highlights boating sales and participation numbers throughout calendar year 2005. Last year, boating participation increased to 71.3 million overall participants, up 2.3 million from the 2004 figures. New boat unit sales remained steady in 2005, with less than a one percent decrease for a total of 864,450 units.

“Historically, boat sales are highly correlated with changes in consumer confidence and the GDP,” Dammrich explains. “Research indicates 2005 was a steady year for the boating industry despite concerns surrounding how increased fuel prices might impact boat sales and boating participation.”

Although unit sales were slightly down or flat in 2005, dollar sales actually increased nearly 8 percent last year to $11.6 billion, compared to the previous year’s numbers. In fact, dollar sales have been on the rise over the past two consecutive years while unit sales remained flat. This finding is attributable to a number of factors, including a trend toward the manufacture of larger, better equipped boats, increasingly fuel-efficient engines and overall improvements in marine technology, gear and accessories.

The 2005 Recreational Boating Statistical Abstract will be available in mid- to late-June. Only a hard-copy format will be offered. All NMMA members will receive one free copy of the Abstract; additional copies may be ordered at the member-discounted price of $250 each. The Abstract will also be made available for purchase to non-NMMA members at a cost of $750 each. Copies may be ordered by contacting NMMA fulfillment coordinator Chris Keil at (312) 946-6209; ckeil@nmma.org.

For more information on the 2005 Statistical Abstract, contact NMMA trade communications manager Lindsey Savin at (312) 946-6204; lsavin@nmma.org.

National Marine Manufacturers Association (NMMA) is the leading association representing the recreational boating industry. NMMA member companies produce more than 80 percent of the boats, engines, trailers, accessories and gear used by boaters and anglers in the United States. The association is dedicated to industry growth through programs in public policy, market research and data, product quality assurance and marketing communications.