Boat Dealers NAICS 441222

Jan 29, 2026 - Soft Boat Sales Persist, but 2026 Forecast Lifts Dealer Outlook

• According to a report in Boating Industry, US boat dealers entered 2026 navigating a softer sales environment but with cautiously improving sentiment. Through mid-2025, new powerboat sales were down about 10% year over year, with pressure concentrated in entry-level segments where financing costs weigh most heavily. Dealer performance in 2025 was mixed: 36.8% reported revenue slightly up versus 2024, while 21.1% said revenue was slightly down and 19.3% reported flat or significantly lower results. Unit sales were also uneven, with 29.8% of dealers reporting slight declines and 21.1% significant declines. Looking ahead, expectations are more positive: 48.1% of dealers anticipate slightly higher revenue in 2026 and 9.3% expect significant growth. Dealers forecast the strongest performance in service departments, followed by used boats, reflecting a shift toward recurring revenue as consumers delay new boat purchases amid economic uncertainty.
• While five services industries reported contraction in December, 11 industries reported growth, including the Retail Trade industry, according to an ISM Services PMI Report. Executives in the Retail Trade industry reported increases in business activity, new orders, employment, prices paid for materials and services, and inventories, along with decreases in new export orders, imports, and order backlogs in December. Other industries reporting growth during the period were Finance & Insurance; Accommodation & Food Services; Transportation & Warehousing; Arts, Entertainment & Recreation; Mining; Health Care & Social Assistance; Information; Wholesale Trade; Public Administration; and Utilities. Agriculture, Forestry, Fishing & Hunting; Information; Industries reporting contraction during the period include Management of Companies & Support Services; Professional, Scientific & Technical Services; Agriculture, Forestry, Fishing & Hunting; Educational Services; and Construction. Overall economic activity in the services sector continued to expand in December, registering 54.4%.

• Sales for the US boat dealers industry are projected to grow at a CAGR of 1.91% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is slower than the overall economy‘s anticipated growth. The retail and wholesale sectors are driven by consumer spending, along with expenditure by businesses and government. The forecast said retail spending could soften with the growth of spending on consumer services but noted that consumers have maintained strong spending on goods even as costs on some services have risen. High interest rates reduce demand by raising the costs of debt-financed spending. The report noted that interest rates have begun to decline, but new tariffs threaten to renew inflationary pressures and delay further rate cuts. Inflation is subsiding gradually, but it has proved persistent.
• US boat dealers closed 2025 with softer retail demand, though aftermarket activity provided partial support, according to Lightspeed data reported in Boating Industry. Recreational boat sales declined 3.7% year over year in December, based on data from nearly 700 dealers using Lightspeed’s DMS. Regional performance was mixed: the West (+13.9%) and Midwest (+4.2%) posted sales gains, while the Northeast saw a sharp 31.1% decline and the Northwest fell 12.8%. Despite weaker unit sales, service departments grew an average of 2.5%, led by the Northwest (+8.5%) and Midwest (+8.4%). Parts revenue was a bright spot, rising 9.6% overall, with the Midwest up 23.5% and the West up 15.3%. Combined dealer revenue declined 2.0% year over year, underscoring ongoing pressure on boat dealers to offset softer sales with service and parts growth.