This week the National Marine Manufacturers Association released the results of an online survey of 178 chief executives of member boat, engine and accessory manufacturers on the effects of the BP oil spill in the Gulf of Mexico on the recreational marine industry.
These numbers were the most widely reported:
– 3 of 5 recreational marine businesses have been affected by the oil spillage.
– Nearly 4 of 5 companies anticipate some effect from the oil spillage on their business through the remainder of the year.
– 68 percent of companies were told that a cancellation was directly due to the oil spillage.
– 76 percent of companies had forecast sales growth in 2010 prior to the oil spillage.
– 70 percent of companies have downwardly revised their 2010 sales projection as a direct result of the oil spillage.
But here’s a look at what else the survey found:
Of those companies that have downwardly revised their 2010 sales projections as a result of the spill, 25 predicted their sales would be down 5-10 percent and 23 more believe their sales will fall 11-20 percent, while 14 companies have revised their sales projections to be down between 21 to 50 percent. (It should also be noted the 11 companies upwardly revised their sales forecasts as a result of the spill).
The survey also found that only 1 percent of companies had filed claims with BP, but 14 percent said they planned to file within the next three months.
In response to the question, “What area(s) of your business has the oil spillage affected?,” 99 percent of the companies (who were allowed to select more than one answer) chose “sales,” with 15 percent choosing “operations” as the next most popular answer.
When asked how the spill had affected business operations, 38 percent of the companies that responded said they’d had layoffs while 19 percent said they were developing new products as a result.
More than 25 percent of the respondents said they have facilities in states along the Gulf Coast – Alabama, Florida, Louisiana, Mississippi and Texas. Nearly half (47 percent) of those companies with facilities in Florida expect them to be affected by the spill through the remainder of 2010, followed by Louisiana (18 percent), Alabama (15 percent), Texas (12 percent) and Mississippi (6 percent).
When asked if any of their dealers have experienced any direct physical damage and/or unsold product from the oil spill, 12 percent of the manufacturers selected “Yes” while 33 percent chose “No” and 54 percent responded that they “Don’t Know.”