cunninghams marine

[Tinspo]

Dare I say it but with the $$ being so important to everyone in every purchase, leasure or otherwise, all indistries will find vertical diversification is the only answer. To me that means manufacturers retailing their own gear direct. Probably from a mix of online and boat show type mediums.

Just not enough room for everyone in the pie anymore. Especially when competing on an ever increasing global market.

Sorry for those involved.

[geoffmck]

Bought my current boat (Brooker Safari) from them a couple of years ago, but picked it up from the factory in Sydney. Took the time to call in and see them when I was in Brisbane on holidays this year. Peter was great to deal with so I hope they do the right thing and look after their staff.

[chris69]

From what i heard to this arvo they were in to much for boats purchased over seas that they had in the lot and a lot of rent for that big site to be paying every mounth.

[WalrusLike]

.... I hope they do the right thing and look after their staff.

If a company goes into receivership they no longer have control of the money so whether the staff are looked after is in the lap of the gods and the receiver irrespective of the companies wishes.

I could be wrong.... But that's my laymans understanding.

[Stuart]

That's direct to the point, to many fingers in the pie and not enough to go around. As I have always said, Australia is the land of the middle man. It has nothing to do whether your a nice guy or not, its how you run the business. In the current economic climate most just aren't diversifying. Its much like Gerry Harvey's constant bitching but he has done nothing to change with the times, to little to late. Its really a case of trying to do something once the horse has bolted. Its really unfortunate that they have gone into receivership, I hope they can trade out of it, I suspect they wont. How many are left in Brisbane now? If you cant compete on price then you have to offer great customer service, quality products. The recipe is so simple yet many businesses cant see it. Like most tackle shops, they are all fighting on price alone, who can sell a cheap crap product for the least amount, It doesn't make any sense to me. Im not suggesting they sell crap products. You should at least aim to meet or exceed customers expectations.

[Mrs Ronnie H]

I will not elaborate on my feelings for Cunningham marine but sympathise deeply with the staff. In these tough times i know only too well how hard it is when you are forced out of work and trying to find another job. Wish the staff great success in the future.


Ronnie

[fisho8]

Now we nothing on the peninsula.

Yeah Seahorse I will be driving to Bribie now to get my engine serviced I have had no dramas with them I got my 115 opti fitted there on 1750 service from Pete was great and the techs there really knew their stuff. It is sad to see things like this happen just shows how tough things are. Alot of dealers are doing it tough things are definatly not what they used to be.

[Boat Hog]

So .... where do I take my Seaswirl Striper now for warranty claims?

There was a lot of great staff at Cunninghams. Personally, I dealt with a few of them and yes they were more than helpfull. Sad for sure that the've lost employment and quite possibly entitlements.

I also feel for anyone who had paid a deposit on a boat and now has to wait to see what if any money they will get back. I'm certain there's probably a couple of boats on a ship halfway to Aus that won't find there way to the people who have paid a big deposit for them (we paid $20k deposit on our Striper last year).

No doubt, there are some boats locked in their yard that were in for services. The private owners would probably have to prove ownership to get them back.

There's a lot of people gonna lose out from this.

Cheers,

[LittleSkipper]

How ironic is that? I made a comment yesterday in the thread created "Buyer Beware Springwood Marine" stating that I hope "Cunninghams Marine were taking notes" and low & behold I read this thread created "Cunninghams Marine" and they have gone into receivership.

Absolute SHOCK! is the word. I bought my Polycraft from them 2 years ago, the sales staff were okay to deal with but my praise goes to Warren and the guys in the workshop.

They did a numerous amount of things to my boat over the last couple of years, eg dual battery & switch fitment, trim/tilt stop switch, gps/sounder fitment, self drain for the anchor well and some minor sikaflex work.

Found Warren to be of excellant character and always full of helpful information, very SAD indeed that there is now no more dealerships that close to my home and numerous staff now without a job?

What's the industry coming too? Where to get Service & Maintenance for my BMT on the Northside?

[Giveitacrack]

First of all my best wishes to all involved.This seems to be a trend over the last few years.Here is some of the boat yards that have closed due to varying circumstances in SEQ corner in that time...

Cunninghams Marine Redcliffe
Crew Marine Redcliffe
Sundown Marine Redcliffe
Logan River Marine Yatala
Satisfaction Marine Labrador Gold Coast (Claimed to be Qld's biggest yard at the time)
Hinterland Marine Burleigh Heads Gold Coast
Leisure Marine Capalaba
Mr T's Tinnies Capalaba
Motorama Bayside Marine Capalaba

All were new boat and new motor dealerships.

I have probably missed a couple.

During these tough times small business needs our support.I totally agree with use of a forum to have your say if you have had bad service but if you are not happy speak to the dealer first and tell them why you are unhappy.If there is a poor response then have your say on a forum and remind them of this.Word of mouth is a powerful thing.Hopefully this trend does not continue...

[LittleSkipper]

I can fully understand what it's like to lose income & entitlements, being in that situation losing wages & entitlements a few years ago with a company that went into voluntary administration, the red tape bull@#$% is very very painful.

[Stuart]

I have to say Im a bit sick of hearing how busniesses need our support. While Im all for "Australian" but how far should this extend on the sid of the consumer? How about sharring some of that support by dropping there prices to bring them more inline with the rest of the globe? Im sure its not just there prices but overstocked and posiably mis managed. Its far better to hire a reciever to come in and fix/clean the busniess up and get it on its feet again than see the ship sink. Waiting to the 11th hour in hope that things will pick up is financial stupidity. No one knows the circumstances of this busniesses but from reportsfrom mates that have purchased boats and motors from them all agree on one thing, to much money tighed up in sock and to high a price. To often pride gets in the way of asking or seeking advice and ulimatly brings the busniess to its knees.

[Grand_Marlin]

Shocked and saddened when I heard the news today.
Cunninghams were very genuine people, had been around for a long time and were very well respected.

A few have asked how could this happen?
1. Things are expensive for business... buy price of stock, stock retention costs, wages, rent, general overheads etc.

2. A lot of people don't realise how small the profit margins are in the marine industry.
The main items like Boats, Outboards and Electronics are all somewhere between 5% and 10% markup.
The Boat Show Specials are often at or below cost... so the bargain you are getting is hurting someone.
It is a very fine line that every marine business in Australia is walking at the moment.
Big $$$ items like boats definitely don't mean big profits for the business.

3. A lot of people are concerned about their future and aren't spending money on items like new boats.
Completely understandable, you have to be careful, we are all the same.

4. The cost of stock retention in a yard like Cunninghams is huge. Boats can sit for extended times with very little profit at the end. When you look at buying an $80,000 boat for stock, pay interest etc on it for 12 months, then realise a $4000 profit makes it hardly seem worth it... and in a lot of cases it isn't. Low profits, low stock turnover combined with high overheads = inevitable disaster.

5. Imported boats, electronics and parts... yep, bargains all round... again at the expense of the Australian Marine Industry.
Many items can be landed at your door from the USA for 30% or more cheaper than our wholesale price in Australia.
As much as we want to we can't do anything to bring down our wholesale buying costs. We have definitely grilled our suppliers on the price differences, all to no avail.

6. It has gone past the stage of just good service winning over price. It is an ever increasing trend for many people that price is everything.
Cunninghams is the prime example. Reputable, good service, good prices and yet still couldn't survive the current market.

7. Businesses big and small these days are competing on a world stage. They have to adjust to the world market trends as best as they can.
Obviously there can only be a certain amount of adjustment before it is beyond their ability to compete.
Cost difference between wages and overheads in Australia as compared to USA is at least double and compared to China is about 10 times the difference...
For the Marine Industry in Australia to be competitive, wages and overheads would have to be lower. Obviously thats not going to happen (by necessity)... if anything the gap is continuing to widen thanks to things like current and future rising utility costs, rising cost of living and the impending carbon tax.

Could the future of the Marine Industry in Australia be one that has no chandlery stores, no boat dealers, a handfull of mobile service guys and if you want a marine part you order it online and wait for it to come ... all at inflated prices as the suppliers in USA and China know you have no other choice...

Pete

[antg2378]

Not good news, for all the crap the government tells us about the economy being in great shape there sure seems to be a lot of companys going under. I hope everyone gets what they are entitled to and that no one has been caught out like I was with Leisure Marine.

[SgBFish]

Interesting.
I was talking to them this morning about buying a boat and mentioned they wouldn't be dealers for that brand anymore so could source the model they didn;t have in the yard. My hats to them they didn't try and take my money for a deposit.

I have always bought chandlery from them and the young lady in charge has always been great.

I look back at the Striper 33 they have had in the yard for at least 4 years a sign of what was coming.

Where will people go now to try equipment before they buy it online.