KENNESAW, Ga. – Yamaha Marine Group, a unit of Yamaha Motor Corp. USA, achieved record results for its marine business in 2005, the company stated in a recent report.
The Marine Group reported only a modest unit sales growth, but strong mix growth which resulted in record revenue for the 2005 calendar year, despite hurdles that included two devastating hurricanes, higher fuel prices and a legal challenge by a competitor that alleged dumping, a case which Yamaha ultimately won.
Yamaha Marine Group’s profit generated from the sale of outboard motors in 2005 rose more than 40 percent over the previous year. In addition, all three of Yamaha’s boat companies, Skeeter, G3 and Century, showed a clear, healthy profit for the year. Yamaha Marine Group currently maintains approximately 1/3 market share for all outboard motors in the United States, with even greater share in the high-horsepower segments that are dominated by 4-stroke engines.
“This is our seventh consecutive year of growth, and the resulting profitability is what now allows us to invest in the future and maintain our collective success,” said Phil Dyskow, Yamaha Marine Group president.
Yamaha also revealed its strategy to become a more autonomous stand-alone organization so that it can better serve its U.S. customers.
“Creating a more autonomous structure will let us manage all the functions that impact the boaters’ experience,” explained Dyskow.
In the last 18 months, the company created a dedicated headquarters-based customer service group. Previously, the function had been handled within Yamaha’s larger corporate structure and did not have line responsibility to the marine unit.
Early last month, Yamaha Marine Group created a dedicated marine rigging and parts group, a function that had also formerly operated outside of the marine unit’s structure. With the new structure in place, Yamaha will concentrate on supplying complete power systems to its OEM and retail customers, rather than just outboards. The company believes the move will significantly improve the consumer experience.
“In our industry, issues often emerge when the outboard is not matched to the boat or properly integrated with the boat’s other components,” said Dyskow. “If we integrate the boat and the outboard through a system concept, we will meet or exceed the boaters’ expectations. That’s our plan.”
In addition, Yamaha is investing in and expanding its production and distribution resources as part of an effort to handle increased business and better support its customers by shortening transit times.
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