NMMA Year in Review | 2021

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2021: YEAR IN REVIEW FY2021 | October 1, 2020 – September 30, 2021


The National Marine Manufacturers Association (NMMA) is a unifying force and powerful voice for the recreational boating industry, working to strengthen and grow boating and shape public policy to protect the interests of NMMA’s 1,300 members. NMMA member companies produce more than 80 percent of the boats, engines, trailers, marine accessories, and gear used by millions of boaters in North America.

Our Vision: Recreational boating is the #1 leisure activity in North America Our Mission: To ensure the growth and success of the recreational boating industry Our Core Values: Respect / Serve Others / Be Curious / Collaborate / Focus on the Consumer Our Promise to Members: NMMA will help shape the future of recreational boating through advocacy, self-regulation, business insights and Discover Boating promotion. We will: ● Convene, unify, and expand the North American recreational boating market ● Foster a favorable business environment for members ● Cultivate a best-in-class boating experience for consumers ● Encourage continuous improvement of recreational boating products ● Champion industry information, learning and knowledge ● Ensure the health and success of NMMA and Discover Boating

NMMA is a unifying force and powerful voice for the North American recreational boat industry.


Note from the President

Frank Hugelmeyer

President Fiscal year 2021 was an exceptionally NMMA challenging year for most trade associations. Thanks to the incredible resiliency, commitment and agility of our board and staff, combined with early actions that eliminated risk and protected the balance sheet, I can say with high confidence that NMMA has weathered the storm and emerged from the pandemic as a more nimble, stable, and influential association. While facing significant headwinds, your NMMA team delivered an uninterrupted portfolio of highly valuable member benefits and the long list of outstanding successes outlined in this report. Thank you to all our members for the ongoing confidence, support and engagement that has allowed us to persevere and provide a strong member ROI during an unpredictable and unprecedented year. It is an honor to serve your business.

Note from the Chairman

Steve Heese

President/CEO The work of the NMMA team, to provide service Chris-Craft Corp. and value to our marine businesses, has helped the recreational boating industry navigate the unique headwinds and tailwinds of the past year. The association’s strategic emphasis on advocacy and market expansion resulted in a number of wins through government relations and Discover Boating efforts in 2021. As we look to the future with a clear focus on preserving the well-being of our industry, NMMA remains centered on growing and protecting recreational boating in North America.


Looking Back 2021 At A Glance Looking back at the last year, it is not hyperbole to say that America has experienced the greatest societal and economic shifts in a generation. Huge sectors within the economy evaporated and millions of consumers have migrated to new homes and workplaces. We have seen significant supply chain disruptions and upheaval in our political landscape. Through it all, the recreational boating market has remained strong as the country reassessed how it lives, works, and plays. Essentially, Americans have chosen what is most important in the lives of their family and boating, fishing, and the Great Outdoors made the list for most. During this time of significant change, NMMA has remained determined to emerge as a stronger and more relevant trade association. To do that, NMMA remains focused on two key strategic areas of focus on behalf of the industry—advocacy and market expansion.

To emerge from this time of significant change as a stonger and more relevant trade association NMMA remains focused on two key strategic areas of focus on behalf of the industry advocacy & market expansion.


Secured top industry priorities in the bipartisan infrastructure deal, including funding for recreation-based ports and waterways, incentives for next generation marine products and propulsion systems, and reauthorization of the $750M Sport Fish Restoration and Boating Trust Fund.

NMMA’s accomplishments on behalf of the recreational boating industry in fiscal year 2021 included:

Advocacy ● Prevented the European Union’s retaliatory tariffs on American made boats from doubling on June 1, 2021, and led the effort to eliminate the European Union’s 25 percent tariff on American made boats, restoring fair and free access to the industry’s second largest international market. ● Secured top industry priorities in the bipartisan infrastructure deal, including funding for recreation-based ports and waterways, incentives for next generation marine products and propulsion systems, and reauthorization of the $750M Sport Fish Restoration and Boating Trust Fund. ● Engaged the Biden administration throughout the development of the America the Beautiful report – an initiative commonly referred to as 30x30, which aims to conserve at least 30 percent of lands and waters by 2030 – resulting in favorable language about the need to balance recreation access and conservation. ● Prevented punitive boating access restrictions in more than 10 states and established a multipronged, rapid-response issue campaign apparatus to defend against future access challenges. ● Raised more than $400K in political contributions by leveraging targeted bundling campaigns and direct BoatPAC solicitations. ● Hosted a virtual American Boating Congress with more than 400 attendees, nine members of Congress and top congressional and administration officials. ● Conducted high-level meetings with 14 congressional committees and 12 federal agencies to educate policymakers on industry priorities, including: ○ ○ ○ ○ ○ ○ ○

Deb Haaland, Secretary, Department of the Interior Shannon Estenoz, Assistant Secretary of the Interior, U.S. Fish and Wildlife Service Tom Vilsack, Secretary, Department of Agriculture Ambassador Katherine Tai, U.S. Trade Representative Janet Coit, Assistant Administrator, NOAA Fisheries John Armor, Director, NOAA’s National Marine Sanctuaries Cedric Richmond, Senior Advisor to the President


Discover Boating ● Connected consumer prospects with manufacturers, driving more than 2M referrals to manufacturer websites. ● Engaged prospective boaters and supported their exploration of boat ownership with highly relevant and useful information and resources, resulting in 6.2M site visits and 9M page views to DiscoverBoating.com. ● Recruited new boaters and anglers and retained the recent surge of newcomers through our second-year partnership with the Recreational Boating and Fishing Foundation/Take Me Fishing on the “Get On Board” campaign, resulting in 3.4B billion impressions, 20M video views on YouTube, and 3K earned media placements. ● Maintained industry momentum with nearly $1M in equivalent advertising value in top-tier media coverage of the boating lifestyle, including FOX Business (picked up by more than 100 TV stations nationwide), CNBC, USA Today, Women’s Health, PureWow and more. ● Strengthened real-time consumer engagement through robust social media engagement (Facebook: 767K followers, 6.7M impressions; Instagram; Twitter) and partnerships with 40 Instagram and TikTok influencers to share inspiring boating content with their young, diverse audiences (reaching 3.4M followers and generating 2.3M engagements, a 73% increase from 2020).

Engaged prospective boaters and

supported their exploration of boat ownership with highly relevant and useful information and resources,

resulting in 6.2M site visits and 9M

page views to DiscoverBoating.com.


Landmark partnership with Informa Markets to create the Discover Boating Miami International Boat Show, the world’s largest boat show.

Consumer & Trade Shows ● Finalized a landmark partnership with Informa Markets to create the Discover Boating Miami International Boat Show, the first joint production the Miami International Boat Show, Miami Yacht Show and Superyacht Miami, forming the world’s largest boat show. ● Refreshed the Discover Boating brand and created a link across all boat show websites to DiscoverBoating.com, positioning the brand as presenting sponsor of NMMA’s 2022 boat shows in preparation for the full integration of all NMMA boat show assets under Discover Boating in 2023. ● In alignment with NMMA’s future Discover Boating show integration strategy, negotiated the sale of the Chicagoland Travel, Fishing and Outdoor Expo; World Fishing and Outdoor Exposition; Saltwater Fishing Expo; and Kansas City Boat & Sportshow to Sportshows LLC. ● Produced a successful Norwalk Boat Show in September, the first NMMA show since March 2020, with attendance at nearly 13K, up 1% compared to 2019. ● Successfully delivered the 30th anniversary International Boat Builders Exhibition and Conference (IBEX), bringing the industry back together in-person, exceeding attendance goals and selling out dock space with more than 560 exhibitors, 80 new exhibiting companies, and more than 3K visitors. ● Produced the Marine Accessories Pavilion (MAP) at ICAST 2021 which included 20 member companies.


Engineering Standards ● Through active participation in ABYC, ISO, NFPA and SAE standards development and revisions, led improvement of several existing domestic and international standards and regulations. ● Certified 165 boat brands for the 2021 model year and maintained a market share of 85% of the boats sold in the U.S. as NMMA Certified.

● Certified 31 boat trailer brands and 3 personal watercraft brands for model year 2020, and 160 TC-W3 and 113 FC-W marine oils for 2021. ● Supported member manufacturers through application of the MOU with Transport Canada that allows NMMA Certified boats to enter Canada using ABYC standards and with a simplified declaration of conformity and streamlined process. ● Successfully produced the first-ever Virtual Engineering Compliance Seminar, significantly exceeding both attendance and revenue expectations.

In 2021, NMMA certified 165 boat brands for the 2021 model year and maintained a market share of 85% of the boats sold in the U.S. as NMMA Certified.


Business Intelligence ● Informed members and industry stakeholders on the latest industry data, trends and insights impacting their businesses via monthly shipment reports, monthly new boat retail sales reports, annual statistical abstract, and quarterly executive sentiment survey. ● Provided critical analysis to inform NMMA’s policy agenda and consultation to key government agencies, including the U.S. Coast Guard, Transport Canada, Bureau of Economic Analysis, Environmental Protection Agency, and National Oceanic and Atmospheric Administration. ● Identified crucial data supporting NMMA’s opposition to the potential Canadian luxury tax and wakesurfing restrictions. ● NMMA data was a focal point of communicating recreational boating’s role as an economic driver, resulting in top-tier national media coverage on CNBC, USA Today, Fox Business, Wall Street Journal, Bloomberg News, Crain’s, and Car & Driver.

NMMA data was a focal point of communicating recreational boating’s role as an economic driver, resulting in top-tier national media coverage.


NMMA Canada ● A luxury tax on recreational boats was introduced in the federal government’s 2021 budget with a partial win for the boating

industry. While boats are on the list to be taxed, the threshold

moved from CA$100K to CA$250K (only for boats) and applies to boats manufactured after 2022 (not existing inventory), helping to protect thousands of industry jobs.

● Successfully lobbied against changes to regulations proposed by Transport Canada to remove the Rental Boat Safety Checklist.

● Secured nearly CA$140K in CanExport grants to support Canadian manufacturers at METSTRADE 2021.

● Hosted a successful virtual State of the Industry event with a record attendance of 350 industry stakeholders.

While a luxury tax on recreational boats

introduced in the Canadian federal government’s 2021 budget includes boats on the list to be

taxed, the threshold moved from CA$100K to CA$250K and applies to boats manufactured after 2022, not existing inventory, helping to protect thousands of industry jobs.


AWARDS

NMMA Hall of Fame

IBEX Innovation Awards

NMMA’s most prestigious recognition honoring individuals who have made or continue to make substantial contributions toward the advancement of the marine industry.

Recognizes manufacturers and suppliers who bring new, innovative products for the boating industry to market.

Boat Care and Maintenance

Gibco Flex-Mold Inc., Re-Deck

Boatbuilding Methods and Materials Recognizing Bill Watters (L), President of Syntec Industries, & Joan Maxwell (R), President and Co-Founder of Regulator Marine

Sika Corporation, Adekit A236

Deck Equipment and Hardware LilliPad Marine, Ghost Mount

Alan J. Freedman Memorial Leadership Award Honors individuals who, during their careers, have made outstanding contributions to the marine accessories industry through leadership, creativity, and personal motivation.

Recognizing Will Keene, Owner of Edson International

Hammond Marine Industry Leadership Award Through the NMMA Foundation for Recreational Boating Safety, Education and Environmental Awareness, honors individuals who have demonstrated extraordinary service, commitment, and dedication to the long-term health of the recreational boating industry.

Recognizing Bruce Von Wagoner, President, Marine-Group, Wells Fargo

Honorable Mention: Seaworthy Innovations, Scuppers

Electrical Systems

Discover Battery, LITHIUM BLUE Honorable Mention: Raymarine, YachtSense Modular Digital Control System

Entertainment

RideController, LED

Furnishings and Interior Parts GUARDTEX, Kanvaslight

Mechanical Systems

XLYEM, Jabsco Quiet Flush E2 OEM Electronics Volvo Penta, Assisted Docking

Propulsion Parts, Propellers HydroFin, Super Fly

Safety Equipment

OSCAR Navigation, Sentry

Honorable Mention: inteliPlug, The Vault

Trailers, Parts and Trailer Accessories Innovative Group Inc., Roller Bunk


AWARDS

Marine Industry Customer Satisfaction Index Awards Recognizes boat and engine manufacturers who actively measure customer satisfaction and pursue continuous improvement to better serve their customers.

Aluminum Outboard Boats Alumacraft Crestliner Boats G3 Lund Boat Company Tracker

Deck Boats

Chaparral Boats Inc. NauticStar Boats Regal Boats Stingray Boats

Fiberglass Bass Boats Bass Cat Boats Nitro Ranger Skeeter Triton

Fiberglass Outboard Boats

Blackfin Boats Boston Whaler Chaparral Boats Inc. Cobia Boats EdgeWater Boats Everglades Boats Formula Boats Grady-White Boats, Inc. Jupiter Marine International Monterey Boats Nitro Pathfinder Boats Pursuit Boats

Fiberglass Outboard Boats (cont.) Ranger Regal Boats Regulator Marine Robalo Boats Sea Vee Boats Sportsman Stingray Boats Tiara

Inboard Engines Ilmor Indmar PCM

Inboard Watersports Boats

ATX Surf Boats Centurion Boats Supreme Boats Heyday Boats MasterCraft Boat Company Nautique Boat Company, Inc. Skier’s Choice, Inc. - Moomba Boats Skier’s Choice, Inc. - Supra Boats Tige Boats

Jet Boats

Yamaha Watercraft

Outboard Engines

Honda Marine Suzuki Tohatsu America Corporation Yamaha

Personal Watercraft

Yamaha Watercraft

Pontoon Boats

Avalon Pontoon Boats Barletta Pontoon Boats Bennington Crest Pontoons Forest River, Inc. G3 Godfrey Marine Manitou Pontoon Boats Premier Marine Sylvan Pontoon Sun Tracker

Sterndrive Bowrider Boats Chaparral Boats Inc. Formula Boats Monterey Boats Regal Boats

Sterndrive Cuddy & Express Boats Formula Boats Monterey Boats Stingray Boats

Sterndrive Engines Volvo


Looking Ahead Strategic Priorities ● Solidify NMMA’s proactive political influence at the federal, state and international levels ● Drive the industry’s environmental and safety initiatives and advance CSR ● Attract and retain the next generation of boating consumers ● Become the data hub for business and consumer trends ● Align culture, resources, operations, and IT systems to drive our strategic priorities

For more information on NMMA programs serving the North American recreational boating industry,

Visit NMMA.org


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