In my years of working in alot of big companies. The people in power in all the companies don't give a shit if you eat or not. Many I worked for just closed the doors and left you with nothing. Thank God I am retired because all they do is piss people of but they still get paid. Thanks Andy keep it up. P.A.OLD GUY
As a mercury service only dealer (we don’t sell new boats) even with the slow in the economy we are still as busy as we were during Covid, booking out a month. We have seen a difference in mercury in the last year. Parts have all been in stock, Mercury has been trying to compete with aftermarket and the prices of some parts have even come down. As a dealer that does a lot of repowers, we have been able to get engines quickly. Hopefully the engine prices will come down and make it more affordable for our customers to do repowers.
Alot of the " toy" companies are laying off. Arctic cat, BRP have laid off too. People can't afford " toys" anymore after stopping for gas and groceries.
They are profitable. The main problem with public companies is that, if you make 50 million one year you are supposed to do 51 million the next, and so on, otherwise your stock takes a crap, and shareholders begin rioting. Executives get compensated mostly in stock, so they do anything they need in order to keep their compensation up.
The problem isn't the 3600 motors surplus. It's the warranty claims the last 20 to 25 years that is killing them. The Optibombs followed by the Vercrapos and now the V-turds issues might be too hard to overcome. What put OMC out of business was their warranty claims... Sad, but Mercury is following suit. When you have to payout your profits to replace or fix issues, you can't compete.
Omc had their issues but I wish they had never went out. I work on all brands and quality has went to crap on everything because they all cheaped out to stay afloat. It's a shamed . USA used to mean the best to me but Not anymore. We got to get this country turned around. Get Brandon's ass out of office.
@@TeamMarineService You just said in the video that they were not going out, that Brunswick had the resources to keep them going...make up your mind!!! I have made up my mind...they are not going anywhere!
The best way for Mercury to do is push to repower to all older motor and boat owners. Mercury can offer rebates and get the price down to encourage boat owners to get new with warranty. Also they can buy down interest rates for the customers buying the motors. That's the best way to do it and get the motors sold.
Question-if a motor is purchased after sitting in a warehouse what is the affect on the bearings and moving parts- my experience with mechanical engineering is there will be flat spots on the moving parts and quality issues…I smell some problems.
I stand behind what you said in the other video, if you have a huge stockpile of inventory and didnt sell, then you cant keep building. I believe the layoffs are justified it sucks yes but i believe this is for the better.
Well they could always lower the cost of a new motor! All manufacturers seem to be pricing themselves out of existence!!! Bass pro is complaining there boat sales are down! Gee wonder if the cost of a new Bass boat is 70- 100+ thousand has anything to do with the problems????😊
This is the foundation of our society. A working class goes to work every day turning labor into value for the community, and some owner, some landlord, some banker, says "I'll have some of that, thanks!" Regulation is a start, unionization is better, and writing new laws that don't SOLELY benefit owners as a way to move the economy forward are the major ideas here. It doesn't matter how many jobs get created if none of them pay a living wage. The owning class has a philosophical & moral motivation to make a profit at all conceivable legal cost. Capitalism encourages unethical behavior: Given two similar companies that compete for the same customers, both of them acting 100% legal, if one of them burdens themselves with "ethics", they'll be out-competed by the company that is 100% legal and unethical. Every time.
@@TheCarhartt1 Yeah, well it wasn't a good decision for boaters who are still running Evinrude outboards and can't get parts for them now, even though BRP says they are "committed to providing parts that our customers will need for maintenance and repairs".
Result of super high interest rates along with boat prices on average have increased 30k if not more based on model in the past 4-5 years . The industry made their own mind up that a 15% - 20% profit wasn't enough . I know it cost a massive amount of $$ to run a company of that size but with the cost of just living with mortgage/rent, food , Gas , power bills ect vehicles cars , trucks the 70k a year salary for a single person you cant afford a 80-100k boat or a 30k motor. Most people have wized up and simply cant afford what their asking. Demand is down and will continue to go down unless interest rates come back down below 5% and prices come back down a minimum of 20% .
There's more Mercury outboard motors than all other outboards combined everytime I'm on the water 80% of the newer boats have a Mercury on them. There's something going on over there at Mercury and it will come out sooner or later
Basically laying off the temp ratio. Working for an Automotive manufacturer for 20 years, it's the first steps to slow down production. It's a balancing act, production to demand isn't as easy as watching sales and demand qty. A lot is based off your supply base as well as federal rates. So, cutting back on temp workers saves your time employee base and keeps your seniority workers. They are the buffer in today's industry. It's a sad environment to let any employee go for any reason. Automotive industry fights this daily, we plan out as far as 6 years but market conditions can greatly impact plans and direct changes to production numbers and employee count very quickly.
You did a show about whose fault is it that boats are so expensive. I have been in the automotive industry for 40 years, why are outboard engines $1,000 per horse power? Compare to automotive engines! I can buy a new 5.3 Liter engine for $5,000 to $6,000 why are outboard engines so expensive? I can buy a complete car, entry level compact for the cost of a 250 horse outboard!
Yes the market is slow right now so there is going to be a back log and less man power needed. While things are slow this would be a good time for the major players in this market to challenge the validity of the EPA rules they are living under and lower cost across the board.
Mercury has never really been known as a quality product. Now, add tremendous price increases over the last 10 years, and a doubling of the interest rate over the last 3 years, and try to explain to the average weekend warrior why they should sink 75-100k into a boat, and finance it for 10-20 years. That Mercury motor will never last the finance term.
I have a 1993 mercury 175 XR1 2.5 liter EFI still runs great. I will never buy a brand new boat in this economy hopefully things change come November. Maybe people can afford some shit!
Of course, they are worried, and of course, they have excessive inventory. They were staying ahead of boat manufacturers, and now the boat makers are slowing down. Exactly what's happening to Ford and Chevrolet at the moment
Boat sales slowed because of higher interest rates and people over paying during the shortage. If bought during the shortage you paid full retail. Now you go to trade and the difference is thousands more than expected plus you are getting a higher interest rate on the new loan. For a lot of people it’s just too much so they are keeping the boat longer. The manufacturers of boats, motors, and electronics need to figure out how to get some quality boat packages at a better price. IKON might be on the right path with the VLX series. Basscat has a package deal on the Cougar but they should drop the Cougar and concentrate on making an affordable Puma STS package.
Figures.....I bought a brand new 30 hp etec for a repower, first brand new piece of equipment I ever bought, 2 yrs later they went under. I just bought a brand new boat 16ft fishing boat with a merc on the back, now I hear this, fml.
Guess they won't be the best company to approach to get the Champion build back on. I personally run a 2022 Yamaha SHO 250 (unaffected by the bulletin) and am happy with that. Long time follower.
The chickens are coming home to roost for mercury. I own the largest oldest and busiest freshwater Guide Service in the State of Florida with 12 full time captains that work for us and we have been in business for 54 years. Each one of our captains that has a 2020 or newer Mercury engine on their boat is swapping their Motors out for either a Yamaha or Suzuki engine with the Suzuki being the biggest choice of our captains mainly because they can run in the hydrilla like no other engine made today. But that being said we do have captains with older earlier 2000 PRO XS Mercury Engines that outperform everything on the water. It is well known now within professional the bass fishing community and especially the charter boat community that the new Mercury Engines are junk and if you haven't had a problem with one consider yourself lucky but the problems are going to come for most 2020 or newer Mercury Engines. One of our top captains this past weekend fished a large Bass Tournament here on the Kissimmee Chain of Lakes in Central Florida and caught a 10 and a half pound bass and would have had a total weight approaching 35 lb for that torment butt the guy he was fishing with had a new Mercury engine that wouldn't start and he wasn't able to weigh in his fish and his weight was over 10 lb larger than any other boat in the tournament. If you need a motor that's reliable to get you back so you can weigh your fish in and collect a check in a tournament don't rely on new Mercury Motors. It's a real shame with what has happened with Mercury I have been a Mercury man from way back in the early 1980s when I first started as a charter boat captain and I would never put a new Mercury motor on the back of my boat ever again. I don't say these things about Mercury Motors lately but I say these things to bring the attention to all of you that may read this comment by lifelong charter boat captain so that maybe some of you will avoid the problems that we have experienced with Mercury Motors in the last 4 years.
@@TheStephenspann27 On Lake Toho here in Kissimmee Florida the vegetation is extremely thick especially the hydrilla which is virtually everywhere in Lake Toho. Mercury Motors do very good in the heavy grass that we have in Florida and the Yamaha engines overheat all the time while idling or running on plane through hydrilla here in Florida. Almost all of the commercial Shiner fishermen use Suzuki motors because they are able to idle or even power through hydrilla without ever overheating. The Suzuki engine is the only engine that can power idle or run on plane at any speed through hydrilla without any problems here in Florida or on Lake Toho without ever having any water pressure issues or overheating problems. So as far as the State of Florida goes where we have lots of vegetation the Suzuki motors are the most reliable and best suited engines for dealing with the heavy vegetation that we have on Lake Toho.
Executive positions won't be effected and I wonder what their salaries are. Most boat dealers aren't taking trade ins now which makes sales even worse. If you are looking to repower, since used outboards are really worthless on 2 strokes. I foresee big changes coming with some boat manufacturers going under.
that's what big Corp do, they fill warehouse put it up for sale and then the new buyers have to buy bussneiss and inventory, seen it to many times at my company.
Yep it is the same in every industry to much inventory no one is buying. It was build until you explode, then everyone over built and now is sitting on a ton of inventory.
We gave them a big break to stay here. I think they screwed up average people can’t afford a boat with a 250+ motor on it. I think the market is more like me looking to upgrade to a new 25 to a 115 because everybody is holding on to their boat, they can’t afford to buy a new bigger boat with the big motors on it and when you really think about it why do you need that much speed on the water anyway spend that much money to get there 5 minutes faster. The average guy up here in in the north woods (I’m from GreenBay and fish all the way up into the Upper Michigan) doesn’t need the big 200 plus big motors. Make a good motor from 50 to 200 and make it reliable at a fare price that’s where I think you’re money is.
Hello Andy ! I had Stopped the video to leave a comment About the Possibility of Mercury going Out of Business. Never say Never. In today's Crazy world, Anything is possible. IMO, If Mercury Don't take care of the Outboard Breaking the motor brackets, That could be a Major problem for Mercury IDK ?
Currently own a 2014 Twin Vee 2600 w/ twin Suzuki DF140's. One of them needs to be rebuilt, which is going to cost around the same price that it's worth. Thinking of re-powering with twin Merc 150's, or 175DTS's, but the cost of new outboards makes me puke. There is NO justification for the "$100 per HP" industry standard. NONE !! I might just have to choke on the rebuild cost, because it's WAY cheaper than re-powering.
@TheFISHIN14 idk about honda. Only people I know that like them are pretty remote in their location. As in honda has a mechanic and dealer somewhere 300 miles of you. Mercury is popular because of the American aspect of it mercury racing heritage and local boat dealers inland freshwater all sell merc. But the business model has kinda changed where certain boat companies have deals with merc. But I think the brand loyalty is kind of fading. They do make some awesome fuckin motors tho. if it didn't matter if you blew one up every five years. If it wasn't going to cost me anything I'd run merc over everything else heck yea. I think if suzuki marketed focused towards freshwater sport fishing and they developed a performance line of motors for that market say 60 to 250hp people would eat it up and merc would be in trouble. Honda just like a generic motor that just works good. And will always have parts available to you. And a service center dealer somewhere. Idk that they care too much about marine. But they are good motors. Probably pretty big in Latin America, India , places your just not going to see mercury. Yamaha is kinda more like a cross between merc and honda. They always have a model that's just badass. But has reliability issues. I like that they have racing heritage. Idk I think suzuki is just kind of bulletproof without being totally lame like the honda motors. If that makes any sense. Suzuki is a pretty cool company and I like there philosophy on motors. Love their bikes. Sorry for the ramble . I'm stoned. 😎
@alphacapo Good stuff buddy👍🏽 I do own myself a 200 Pro XS Mercury since 2016 w/. not one issue yet🤞🏻🤞🏽Been great hot running motor! I must say my very first boat had a Yamaha that was a running machine!
Mercury kept the employees as long as possible. Once they inventory threshold has be met Mercury has no choice but to let people go. How would it be possible to keep people at work with nothing to do? No matter how you slice it the work force has to be cut at some point unfortunately.
It’s almost all industries slowing. I work with many electrical and industrial distributors most of businesses are down a good bit. Mercury also moving some stuff to a Mexico!John Deere is also laying off a good amount of people.
I blew up a 2014 Rude at 502 hours, I rebuilt it at $3800 and it blew in 27 hours. Put a merc 250pro zs on my boat 1 year ago. Sold my rude for parts and the guy that bought it said I hope u get 200 hours out of ur merc! He said most of that motor is built in China and put together in the US.
After the 1st 8 mins of watching the issue is always management …they don’t understand supply and demand..they have boat manufacturers that order from them every year so their planning should be based on that number with scrap and other stuff that might slow production… Covid just slowed the logistics of getting the parts they shouldn’t have expected to sell more motors cause they were behind they should have just continued pace but engines are still selling look up duck river marine they sell about 5+ engines a week when they get them all problems with companies start with poor MANAGEMENT!
Dang look at what these things cost now add a boat 100,000 dollars and up what the heck same boat as 30 40 50 years ago fiberglass carpet and some wiring. I bought a brand new boat in 94 picked out the colors and everything ordered it and paid 16,400 dollars can even buy a used boat for that today
@@chestophercolumbo4561 I bought a nice reconditioned 2002 188 Champion Elite with a 200 EFI VMax for 14,500 this January. Deals are out there if you look. This retired guy couldn't justify a new bass boat. The VMax runs perfectly. If it craps out I'll replace it.
Boating is very cyclical, the cycle ended. Companies cranked the price of engines through the roof, now the pendulum will swing back. Lots of people would repower if they started some decent incentives, Brunswick is going nowhere.
The stock pile of motors doesn’t make sense to me I blew my 2017 mercury 250 opti in December of 2022 and I decided to repower with the 4 stroke I didn’t get my new motor until march of 2023 and the dealership in Oklahoma that ordered my motor only got in 2 new motors. I personally know of probably 15-20 guys that have repowered there boats I would think the demand for those motors is still high I don’t know why they have so many stock piled….oh wait probably because they are $25,000 f…ing dollars 😂
Up in Canada , I’m a tech at dealership, had a 2023 150 pro xs seize up 25 hrs. Had new complete motor delivered 4 days. Last year…. Was 8 -15 month wait
This is how manufacturing works. The workers worked their self out of a job. If demand slows down and the warehouse is full.there are Layoffs. Its always the blue collar people that get laid off.
That’s how companies operate. John Deere has ran that way for years. Put the product out as fast as possible just to lay people off. Cheaper to pay unemployment than benefits and higher pay than the employees are worth.
Are they not made by BRP? Yes a Canadian company but still not Mexico or China. I think the real issue is that the engines are far too complex and made too light. A few of my buddies still have their 2 strokes and vow to never give them up.
@@GJohnson-zp3vo BRP screwed up the Evinrude. The 4 strokes are heavier than 2 strokes. I have a 1997 150hp Johnson that is about 375lbs a 150hp 4 stroke is almost 100lbs heavier. I want to see an American company make the Johnson a good and reliable 4 stroke like the Japanese brands
$4.50 plus a gallon of premium gas! Who can afford to run a Mercury? $100,00 plus boats! True problem- build a Quality product. Tired of of companies treating customers as if they’re doing you a favor for buying their product. High dollar products/ better provide quality. Not seeing it at Mercury!
This is how rumors are started people talking out their butt. So much that has been said is wrong information. Just guessing, without facts. Why do some people feel like businesses and government has to let everyone know the plan. I love people say they are American but buy China. People say I’m American, Go Suzuki Or Yamaha, really? How is that being for America? Also like it when people compare boats to cars, way two different products and applications. People don’t understand that boat OEMs buy a bunch of parts and make a boat, many different manufacturers involved. Not the same with auto OEMs. Years ago boating was for the wealthy only. Bad salespeople tricking people to buy a boat because they can afford the payment but not the real cost of boating, using and maintaining cost. Covid has caused so many problems, not even going to go there, but we are still being affected by it. People not dying as much or don’t hear about it, but the way it has affected the economy. In the beginning mad rush to buy a boat because that’s all people could do and didn’t want to be trapped in their houses. With that people bought things online and got use to it. Why malls and shopping centers doing worse than they were. Overall economy has the most to do with the situations.
Do you think the the build up of inventory was on purpose so they could lay off the workers later? This is a tactic in manufacturing because the cost of start up and shut down is expensive. I worked in manufacturing where we worked 4*12 and there were 2 shifts so they did not have to shut down the line and restart it but once a week, you don't just turn it off and pick right back up a day later like it never stopped. Paints, adhesives, petro based stuff does not do well sitting idle in equipment for a day. Every time you shut down the massive air compressor systems there is a chance it does not come back as they should. Having said all that if you work in the Marine or any industry based on an elastic good then the peaks and valleys will be bigger than other industries. If you do not know that well isn't that on you?
People and companies wanted all this this and now companies have to pull back do to high wages and low sales. Restaurant's and every fast food business can go down the sewer pipe also. I do feel sorry for the people that lost or will be losing their jobs. It's about time that they all feel the pain. Mercury inventory is high because boat manufactures are not selling. No boat sells equals no Mercury engine sells. Not everyone can afford a new motor today, due to the rising cost of everything else. Wisconsin wake up and remember how things were 3 plus years ago.
I knew this was coming.. mercury will survive . But boat sales are going for a shit. Can’t keep going with prices that high…… it will soon e a rich mans sport.
Let it fail, overpriced boats, i bought my phoenix phx20 with a 250 pre covid , fall of 2019. For 62k now it’s basically 100k boat GTFOH. Let them all fail and learn a lesson
Back in early 90's would you have thought OMC would have become the crap show it ended up? The FICHT killed OMC will electric be the end of Mercury? I repowered with a Suzuki 250SS instead of Mercury.
Perhaps Mercury needs to fail. Perhaps some boat builders need to fail. Perhaps thats the message that needs to be sent. People may buy expensive boats but not expensive boats with high interest rateson loans. The prices are too high, the interest on loans are too high. A reset is needed badly!!!
McDonald's isn't even reel food anymore as of most of our food supply. Do a lil research on what we are really buying and what is in our food and u will be in shock and disgusted it's sad how they get away with putting all this stuff in our foods and can legally do it. America needs to really put our feet down and demand they stop putting all theses chemicals in our food. U can leave a McDonald's burger out for 2 yrs and it won't mold it will look the same as it did. And no animals will eat it
All these big companies the CEO can screw up as much as they want try this try that they even get to keep their jobs and there retirement without any consequences
Mark my word.. they are going to outsource all of it. Seen this before very sad. That's why you see so many merc advertisements every where you go. Last gasp. You vid is over the top. But merc has a bullseye on its back
In my years of working in alot of big companies. The people in power in all the companies don't give a shit if you eat or not. Many I worked for just closed the doors and left you with nothing. Thank God I am retired because all they do is piss people of but they still get paid. Thanks Andy keep it up. P.A.OLD GUY
The energy that Andy brings to his videos and the boat industry is well deserved, much needed and appreciated.
As a mercury service only dealer (we don’t sell new boats) even with the slow in the economy we are still as busy as we were during Covid, booking out a month.
We have seen a difference in mercury in the last year. Parts have all been in stock, Mercury has been trying to compete with aftermarket and the prices of some parts have even come down. As a dealer that does a lot of repowers, we have been able to get engines quickly. Hopefully the engine prices will come down and make it more affordable for our customers to do repowers.
Alot of the " toy" companies are laying off. Arctic cat, BRP have laid off too. People can't afford " toys" anymore after stopping for gas and groceries.
Don’t blame Biden blame corporate greed
Let’s face it, prices have gotten wayyyy out of hand.
@@traceywithers7278 FJB
@@traceywithers7278the Corporations were greedy wayyy before Biden! This is on Biden and everyone knows it.
@@traceywithers7278 Can't I blame BOTH?
I can’t possibly imagine how a company that charges more for an outboard than a civic can not be profitable.
They are profitable. The main problem with public companies is that, if you make 50 million one year you are supposed to do 51 million the next, and so on, otherwise your stock takes a crap, and shareholders begin rioting. Executives get compensated mostly in stock, so they do anything they need in order to keep their compensation up.
The problem isn't the 3600 motors surplus. It's the warranty claims the last 20 to 25 years that is killing them. The Optibombs followed by the Vercrapos and now the V-turds issues might be too hard to overcome. What put OMC out of business was their warranty claims... Sad, but Mercury is following suit. When you have to payout your profits to replace or fix issues, you can't compete.
Mercury is NOT following OMC down the drain...sorry!!
@@jimmywarren6685 I wouldn’t bet the farm on that
@@ralphe4711 We can see that
Omc had their issues but I wish they had never went out. I work on all brands and quality has went to crap on everything because they all cheaped out to stay afloat. It's a shamed . USA used to mean the best to me but
Not anymore. We got to get this country turned around. Get Brandon's ass out of office.
@@TeamMarineService You just said in the video that they were not going out, that Brunswick had the resources to keep them going...make up your mind!!! I have made up my mind...they are not going anywhere!
Inflation and interest rates hurt all businesses. Until that changes bad things are going happen.
Yes! Let's put the blame where it belongs. On the people in power in DC.
Insurance rates skyrocketed too
Don't think it's hurting Yamaha or Suzuki like it is Merc
The best way for Mercury to do is push to repower to all older motor and boat owners. Mercury can offer rebates and get the price down to encourage boat owners to get new with warranty. Also they can buy down interest rates for the customers buying the motors. That's the best way to do it and get the motors sold.
Question is how much of the processes they are going to bring in house is via robotic automation?
that takes years to fully impact, either automate more or just be done with it and off shore it all😢
Every American citizen knows exactly who is behind all these financial problems. LGB... 👍🇺🇸
Question-if a motor is purchased after sitting in a warehouse what is the affect on the bearings and moving parts- my experience with mechanical engineering is there will be flat spots on the moving parts and quality issues…I smell some problems.
Great stuff........... Happy BD Andy...!!!
I stand behind what you said in the other video, if you have a huge stockpile of inventory and didnt sell, then you cant keep building. I believe the layoffs are justified it sucks yes but i believe this is for the better.
Well they could always lower the cost of a new motor! All manufacturers seem to be pricing themselves out of existence!!! Bass pro is complaining there boat sales are down! Gee wonder if the cost of a new Bass boat is 70- 100+ thousand has anything to do with the problems????😊
This is the foundation of our society. A working class goes to work every day turning labor into value for the community, and some owner, some landlord, some banker, says "I'll have some of that, thanks!" Regulation is a start, unionization is better, and writing new laws that don't SOLELY benefit owners as a way to move the economy forward are the major ideas here. It doesn't matter how many jobs get created if none of them pay a living wage. The owning class has a philosophical & moral motivation to make a profit at all conceivable legal cost. Capitalism encourages unethical behavior: Given two similar companies that compete for the same customers, both of them acting 100% legal, if one of them burdens themselves with "ethics", they'll be out-competed by the company that is 100% legal and unethical. Every time.
Everyone thought Evinrude wasn't going away either...
Brp made a good decision their best sales are with rotax engines and can-am
@@TheCarhartt1 Yeah, well it wasn't a good decision for boaters who are still running Evinrude outboards and can't get parts for them now, even though BRP says they are "committed to providing parts that our customers will need for maintenance and repairs".
@@omcbob37 now on that note they should have kept making parts for what they had out there cause that’s sales lost I didn’t know that
When it comes to big business. It's growth or failure. It's so short sighted at times.
Result of super high interest rates along with boat prices on average have increased 30k if not more based on model in the past 4-5 years . The industry made their own mind up that a 15% - 20% profit wasn't enough . I know it cost a massive amount of $$ to run a company of that size but with the cost of just living with mortgage/rent, food , Gas , power bills ect vehicles cars , trucks the 70k a year salary for a single person you cant afford a 80-100k boat or a 30k motor. Most people have wized up and simply cant afford what their asking. Demand is down and will continue to go down unless interest rates come back down below 5% and prices come back down a minimum of 20% .
I see it now! "Andy For President" t-shirt. 👍😊 The Team Marine administration.
Let’s make it happen!!!!
That works for me!!
There's more Mercury outboard motors than all other outboards combined everytime I'm on the water 80% of the newer boats have a Mercury on them. There's something going on over there at Mercury and it will come out sooner or later
Happy Birthday Andy!!!!!
Keep maken waves 🌊 and calling shit out! Absolutely love this channel. It’s a drink a beer and listen to some good perspectives.
Basically laying off the temp ratio. Working for an Automotive manufacturer for 20 years, it's the first steps to slow down production. It's a balancing act, production to demand isn't as easy as watching sales and demand qty. A lot is based off your supply base as well as federal rates. So, cutting back on temp workers saves your time employee base and keeps your seniority workers. They are the buffer in today's industry. It's a sad environment to let any employee go for any reason. Automotive industry fights this daily, we plan out as far as 6 years but market conditions can greatly impact plans and direct changes to production numbers and employee count very quickly.
The corporate/government greed is a rubber band that is starting to snap back, and I’m here for it.
You did a show about whose fault is it that boats are so expensive. I have been in the automotive industry for 40 years, why are outboard engines $1,000 per horse power? Compare to automotive engines! I can buy a new 5.3 Liter engine for $5,000 to $6,000 why are outboard engines so expensive? I can buy a complete car, entry level compact for the cost of a 250 horse outboard!
High interest rates and high fuel prices always kills the Marine Industry! Let’s Go Brandon
Sad what happened to OMC
Happy birthday Andy 🎉! Hope mercury doesn’t fail 😢😢my motor has been good… tell mercury your birthday wish is to tour their facility 👍👍
Yes the market is slow right now so there is going to be a back log and less man power needed. While things are slow this would be a good time for the major players in this market to challenge the validity of the EPA rules they are living under and lower cost across the board.
Mercury has never really been known as a quality product. Now, add tremendous price increases over the last 10 years, and a doubling of the interest rate over the last 3 years, and try to explain to the average weekend warrior why they should sink 75-100k into a boat, and finance it for 10-20 years. That Mercury motor will never last the finance term.
The 2.5 Merc that they produced for around 20 years was one of the best outboards ever built…
I have a 1993 mercury 175 XR1 2.5 liter EFI still runs great.
I will never buy a brand new boat in this economy hopefully things change come November.
Maybe people can afford some shit!
Of course, they are worried, and of course, they have excessive inventory. They were staying ahead of boat manufacturers, and now the boat makers are slowing down. Exactly what's happening to Ford and Chevrolet at the moment
A great shirt would be Andy's face hawk tuah at the underboard or OMC! Haha
With the total (outrageous) cost of fishing rigs, or boats in general, no wonder why lay offs have occurred!
Holy smokes what’s going on in the industry. Crazy!
Hell yeah brother 🤘
Boat sales slowed because of higher interest rates and people over paying during the shortage. If bought during the shortage you paid full retail. Now you go to trade and the difference is thousands more than expected plus you are getting a higher interest rate on the new loan. For a lot of people it’s just too much so they are keeping the boat longer. The manufacturers of boats, motors, and electronics need to figure out how to get some quality boat packages at a better price. IKON might be on the right path with the VLX series. Basscat has a package deal on the Cougar but they should drop the Cougar and concentrate on making an affordable Puma STS package.
Figures.....I bought a brand new 30 hp etec for a repower, first brand new piece of equipment I ever bought, 2 yrs later they went under. I just bought a brand new boat 16ft fishing boat with a merc on the back, now I hear this, fml.
Guess they won't be the best company to approach to get the Champion build back on. I personally run a 2022 Yamaha SHO 250 (unaffected by the bulletin) and am happy with that. Long time follower.
The chickens are coming home to roost for mercury. I own the largest oldest and busiest freshwater Guide Service in the State of Florida with 12 full time captains that work for us and we have been in business for 54 years. Each one of our captains that has a 2020 or newer Mercury engine on their boat is swapping their Motors out for either a Yamaha or Suzuki engine with the Suzuki being the biggest choice of our captains mainly because they can run in the hydrilla like no other engine made today. But that being said we do have captains with older earlier 2000 PRO XS Mercury Engines that outperform everything on the water. It is well known now within professional the bass fishing community and especially the charter boat community that the new Mercury Engines are junk and if you haven't had a problem with one consider yourself lucky but the problems are going to come for most 2020 or newer Mercury Engines. One of our top captains this past weekend fished a large Bass Tournament here on the Kissimmee Chain of Lakes in Central Florida and caught a 10 and a half pound bass and would have had a total weight approaching 35 lb for that torment butt the guy he was fishing with had a new Mercury engine that wouldn't start and he wasn't able to weigh in his fish and his weight was over 10 lb larger than any other boat in the tournament. If you need a motor that's reliable to get you back so you can weigh your fish in and collect a check in a tournament don't rely on new Mercury Motors. It's a real shame with what has happened with Mercury I have been a Mercury man from way back in the early 1980s when I first started as a charter boat captain and I would never put a new Mercury motor on the back of my boat ever again. I don't say these things about Mercury Motors lately but I say these things to bring the attention to all of you that may read this comment by lifelong charter boat captain so that maybe some of you will avoid the problems that we have experienced with Mercury Motors in the last 4 years.
What is it about the Suzuki motors that makes them good in vegetation?
@@TheStephenspann27 On Lake Toho here in Kissimmee Florida the vegetation is extremely thick especially the hydrilla which is virtually everywhere in Lake Toho. Mercury Motors do very good in the heavy grass that we have in Florida and the Yamaha engines overheat all the time while idling or running on plane through hydrilla here in Florida. Almost all of the commercial Shiner fishermen use Suzuki motors because they are able to idle or even power through hydrilla without ever overheating. The Suzuki engine is the only engine that can power idle or run on plane at any speed through hydrilla without any problems here in Florida or on Lake Toho without ever having any water pressure issues or overheating problems. So as far as the State of Florida goes where we have lots of vegetation the Suzuki motors are the most reliable and best suited engines for dealing with the heavy vegetation that we have on Lake Toho.
And my 98 Evinrude OceanPro 200 just keeps purring along!
Andy , I would love to see a video on best fishing pontoons it’s summer it’s a great family man boat and you would rock a video on this topic
The workers were right to worry.
High interest rstes and Happy Birthday
Executive positions won't be effected and I wonder what their salaries are. Most boat dealers aren't taking trade ins now which makes sales even worse. If you are looking to repower, since used outboards are really worthless on 2 strokes. I foresee big changes coming with some boat manufacturers going under.
It definitely takes time to set up in house processing eg. re tooling etc.
that's what big Corp do, they fill warehouse put it up for sale and then the new buyers have to buy bussneiss and inventory, seen it to many times at my company.
Lets hope that an American manufacturer can continue to succeed....Go Black!
American as in they sold Yamaha engines.
This time around the South, Texas, Idaho, and Arizona going to take it bad man! 2008 all over.
When the Californians moved into your neighborhood, you people felt like you had to keep up. It was a cancer! You all screwed!
Yep it is the same in every industry to much inventory no one is buying. It was build until you explode, then everyone over built and now is sitting on a ton of inventory.
We gave them a big break to stay here. I think they screwed up average people can’t afford a boat with a 250+ motor on it. I think the market is more like me looking to upgrade to a new 25 to a 115 because everybody is holding on to their boat, they can’t afford to buy a new bigger boat with the big motors on it and when you really think about it why do you need that much speed on the water anyway spend that much money to get there 5 minutes faster. The average guy up here in in the north woods (I’m from GreenBay and fish all the way up into the Upper Michigan) doesn’t need the big 200 plus big motors. Make a good motor from 50 to 200 and make it reliable at a fare price that’s where I think you’re money is.
Hello Andy ! I had Stopped the video to leave a comment About the Possibility of Mercury going Out of Business. Never say Never. In today's Crazy world, Anything is possible. IMO, If Mercury Don't take care of the Outboard Breaking the motor brackets, That could be a Major problem for Mercury IDK ?
And Andy when I was working (I’m retired now) I walked the walk and talked the talk I would have really asked that question
Currently own a 2014 Twin Vee 2600 w/ twin Suzuki DF140's. One of them needs to be rebuilt, which is going to cost around the same price that it's worth. Thinking of re-powering with twin Merc 150's, or 175DTS's, but the cost of new outboards makes me puke.
There is NO justification for the "$100 per HP" industry standard. NONE !!
I might just have to choke on the rebuild cost, because it's WAY cheaper than re-powering.
If their product wasn't so dang expensive they wouldn't have excessive inventory.
Suzuki is gonna be king of outboards
You right! Suzuki, Honda probably rise up!
@TheFISHIN14 idk about honda. Only people I know that like them are pretty remote in their location. As in honda has a mechanic and dealer somewhere 300 miles of you. Mercury is popular because of the American aspect of it mercury racing heritage and local boat dealers inland freshwater all sell merc. But the business model has kinda changed where certain boat companies have deals with merc. But I think the brand loyalty is kind of fading. They do make some awesome fuckin motors tho. if it didn't matter if you blew one up every five years. If it wasn't going to cost me anything I'd run merc over everything else heck yea.
I think if suzuki marketed focused towards freshwater sport fishing and they developed a performance line of motors for that market say 60 to 250hp people would eat it up and merc would be in trouble.
Honda just like a generic motor that just works good. And will always have parts available to you. And a service center dealer somewhere. Idk that they care too much about marine. But they are good motors. Probably pretty big in Latin America, India , places your just not going to see mercury.
Yamaha is kinda more like a cross between merc and honda. They always have a model that's just badass. But has reliability issues. I like that they have racing heritage.
Idk I think suzuki is just kind of bulletproof without being totally lame like the honda motors. If that makes any sense.
Suzuki is a pretty cool company and I like there philosophy on motors. Love their bikes.
Sorry for the ramble . I'm stoned. 😎
@alphacapo Good stuff buddy👍🏽
I do own myself a 200 Pro XS Mercury since 2016 w/. not one issue yet🤞🏻🤞🏽Been great hot running motor! I must say my very first boat had a Yamaha that was a running machine!
@TheFISHIN14 I had a 2003 200 opti on a champion was a good motor. Didn't beat it tho. Very Rarely ran wot.
Not likely. Especially Suzuki. Not many shops want to even look at repairs much less regular servicing.
Mercury kept the employees as long as possible. Once they inventory threshold has be met Mercury has no choice but to let people go. How would it be possible to keep people at work with nothing to do?
No matter how you slice it the work force has to be cut at some point unfortunately.
It’s almost all industries slowing. I work with many electrical and industrial distributors most of businesses are down a good bit. Mercury also moving some stuff to a Mexico!John Deere is also laying off a good amount of people.
Any CEO that didn’t account for surplus sales during Covid and didn’t expect a slow down should be fired.
Any promotions next season? I might repower if they plan on giving away motors.
I blew up a 2014 Rude at 502 hours, I rebuilt it at $3800 and it blew in 27 hours. Put a merc 250pro zs on my boat 1 year ago. Sold my rude for parts and the guy that bought it said I hope u get 200 hours out of ur merc! He said most of that motor is built in China and put together in the US.
After the 1st 8 mins of watching the issue is always management …they don’t understand supply and demand..they have boat manufacturers that order from them every year so their planning should be based on that number with scrap and other stuff that might slow production… Covid just slowed the logistics of getting the parts they shouldn’t have expected to sell more motors cause they were behind they should have just continued pace but engines are still selling look up duck river marine they sell about 5+ engines a week when they get them all problems with companies start with poor MANAGEMENT!
Dang look at what these things cost now add a boat 100,000 dollars and up what the heck same boat as 30 40 50 years ago fiberglass carpet and some wiring. I bought a brand new boat in 94 picked out the colors and everything ordered it and paid 16,400 dollars can even buy a used boat for that today
You can buy a nice used boat for under 15k
i dunno, used boats are so expensive that you might as well buy a new boat?
@@chestophercolumbo4561 I bought a nice reconditioned 2002 188 Champion Elite with a 200 EFI VMax for 14,500 this January. Deals are out there if you look. This retired guy couldn't justify a new bass boat. The VMax runs perfectly. If it craps out I'll replace it.
@@DLTJR1959 Great...that's encouraging to hear - if I buy used it wont be a covid era boat!
If they just made all their motors like the EFI, they would have no problems.
Let me guess no one can afford a 90k boat. Sales are down and they tring to cash flow.
Boating is very cyclical, the cycle ended. Companies cranked the price of engines through the roof, now the pendulum will swing back. Lots of people would repower if they started some decent incentives, Brunswick is going nowhere.
I thought I read awhile ago that they were moving everything out of WI and moving to IN
The stock pile of motors doesn’t make sense to me I blew my 2017 mercury 250 opti in December of 2022 and I decided to repower with the 4 stroke I didn’t get my new motor until march of 2023 and the dealership in Oklahoma that ordered my motor only got in 2 new motors. I personally know of probably 15-20 guys that have repowered there boats I would think the demand for those motors is still high I don’t know why they have so many stock piled….oh wait probably because they are $25,000 f…ing dollars 😂
Thank Biden for that.
@@longtimedirt6409 that’s the damn truth
Up in Canada , I’m a tech at dealership, had a 2023 150 pro xs seize up 25 hrs.
Had new complete motor delivered 4 days.
Last year…. Was 8 -15 month wait
A lot has changed since 2022. They were still way behind then, now they have too many
that engine probably cost only 10k to make...greed will be their downfall
Their quality will be even worse now,with disgruntled employees slapping that shit together
This is how manufacturing works.
The workers worked their self out of a job.
If demand slows down and the warehouse is full.there are Layoffs.
Its always the blue collar people that get laid off.
That’s how companies operate. John Deere has ran that way for years. Put the product out as fast as possible just to lay people off. Cheaper to pay unemployment than benefits and higher pay than the employees are worth.
What about Yamaha
What do you think it will do to the independent repair shops over the next 2 years?
Id like for an American company to bring back the Johnson outboard and make it as good or better than the Japanese motors
Would be nice...but won't happen.
Are they not made by BRP? Yes a Canadian company but still not Mexico or China. I think the real issue is that the engines are far too complex and made too light. A few of my buddies still have their 2 strokes and vow to never give them up.
@@GJohnson-zp3vo BRP screwed up the Evinrude. The 4 strokes are heavier than 2 strokes. I have a 1997 150hp Johnson that is about 375lbs a 150hp 4 stroke is almost 100lbs heavier. I want to see an American company make the Johnson a good and reliable 4 stroke like the Japanese brands
This is a classic economic Bullwhip effect.
Mercury parts are hard to find. This is crazy for as large as they are and their position in the industry. The price point to boot...
No they aren’t hard to find
@melonboi186 Lucky, we have boats wiring on parts, so you're blessed...
Tons of boats with mercury engines sitting in fields in Missouri.
Link ?
@@chuckchambers9565 "Missouri"
Yamaha got out of the Snowmobile business what’s next for them ??? Bosts ? Outboards??
$4.50 plus a gallon of premium gas! Who can afford to run a Mercury?
$100,00 plus boats! True problem- build a Quality product. Tired of of companies treating customers as if they’re doing you a favor for buying their product. High dollar products/ better provide quality. Not seeing it at Mercury!
Mercury Marine doesn't give a shit about their consumers you or their own employees Mercury Marine gives a shit about the bottom dollar
This is how rumors are started people talking out their butt. So much that has been said is wrong information. Just guessing, without facts. Why do some people feel like businesses and government has to let everyone know the plan. I love people say they are American but buy China. People say I’m American, Go Suzuki Or Yamaha, really? How is that being for America? Also like it when people compare boats to cars, way two different products and applications. People don’t understand that boat OEMs buy a bunch of parts and make a boat, many different manufacturers involved. Not the same with auto OEMs. Years ago boating was for the wealthy only. Bad salespeople tricking people to buy a boat because they can afford the payment but not the real cost of boating, using and maintaining cost. Covid has caused so many problems, not even going to go there, but we are still being affected by it. People not dying as much or don’t hear about it, but the way it has affected the economy. In the beginning mad rush to buy a boat because that’s all people could do and didn’t want to be trapped in their houses. With that people bought things online and got use to it. Why malls and shopping centers doing worse than they were. Overall economy has the most to do with the situations.
Mercury most of been top heavy on employee's. As process technology grows less people are needed. Hate to see anyone loose there job.
Everyone will go before any CEO will get fired
You don’t won’t the one built on a Friday can you imagine the ones built on the weekend 😂
Tennessee tuxedo will not fail
They're prices sure haven't dropped 😮
Do you think the the build up of inventory was on purpose so they could lay off the workers later? This is a tactic in manufacturing because the cost of start up and shut down is expensive. I worked in manufacturing where we worked 4*12 and there were 2 shifts so they did not have to shut down the line and restart it but once a week, you don't just turn it off and pick right back up a day later like it never stopped. Paints, adhesives, petro based stuff does not do well sitting idle in equipment for a day. Every time you shut down the massive air compressor systems there is a chance it does not come back as they should.
Having said all that if you work in the Marine or any industry based on an elastic good then the peaks and valleys will be bigger than other industries. If you do not know that well isn't that on you?
When my 98 150 optimax quits Andy you sold me on a Suzuki....
People and companies wanted all this this and now companies have to pull back do to high wages and low sales. Restaurant's and every fast food business can go down the sewer pipe also. I do feel sorry for the people that lost or will be losing their jobs. It's about time that they all feel the pain. Mercury inventory is high because boat manufactures are not selling. No boat sells equals no Mercury engine sells. Not everyone can afford a new motor today, due to the rising cost of everything else. Wisconsin wake up and remember how things were 3 plus years ago.
I knew this was coming.. mercury will survive . But boat sales are going for a shit. Can’t keep going with prices that high…… it will soon e a rich mans sport.
The rich is trying to get richer, simple as that, its just corporate greed
If the employees knew they were getting laid off I would have asked them if they are doing so good then what’s the problem (Bad Management)
Let it fail, overpriced boats, i bought my phoenix phx20 with a 250 pre covid , fall of 2019. For 62k now it’s basically 100k boat GTFOH. Let them all fail and learn a lesson
Future headlines.... mercury warehouse catches on fire and warehouse is a total insurance write-off..
Same with auto industry, trucking industry trucks and trailers it's in every sector. Thank you Minnesota and Wisconsin 4 voting FJBiden
I Didn't vote for the SOB.
Or any of his cronies.
bring the price down
Boat building needs to be increased. Mercury is protecting jobs by temporary lay offs and then bring the employee back. That's a good thing.
Back in early 90's would you have thought OMC would have become the crap show it ended up? The FICHT killed OMC will electric be the end of Mercury? I repowered with a Suzuki 250SS instead of Mercury.
Perhaps Mercury needs to fail. Perhaps some boat builders need to fail. Perhaps thats the message that needs to be sent. People may buy expensive boats but not expensive boats with high interest rateson loans. The prices are too high, the interest on loans are too high. A reset is needed badly!!!
Sell a new 115hp to 150 hp for 50% off retail to me and slow that financial bleeding of that insane amount of excess outboards.
Not to pour salt on a wound, but if you use the McDonald’s app usually can have two people eat a lot for like 12 bucks
Indeed ..the app is where it’s at ..
McDonald's isn't even reel food anymore as of most of our food supply. Do a lil research on what we are really buying and what is in our food and u will be in shock and disgusted it's sad how they get away with putting all this stuff in our foods and can legally do it. America needs to really put our feet down and demand they stop putting all theses chemicals in our food. U can leave a McDonald's burger out for 2 yrs and it won't mold it will look the same as it did. And no animals will eat it
But the co-pays for liposuction and open-heart surgeries will kill ya in themselves.
@@rtm365bnc true but once again everything is bad and fake nowadays unless you grow it yourself In the backyard
All these big companies the CEO can screw up as much as they want try this try that they even get to keep their jobs and there retirement without any consequences
Mark my word.. they are going to outsource all of it. Seen this before very sad. That's why you see so many merc advertisements every where you go. Last gasp. You vid is over the top. But merc has a bullseye on its back