An Old American s Perspective On the Importance and Value(s) of Strategic Boating Research

Transcription

1 Information Confirm Persuade Research Leadership Educate Rebut Data An Old American s Perspective On the Importance and Value(s) of Strategic Boating Research 1

2 As scarce as the truth is, the supply has always been in excess of demand! Josh Billings,

3 Men occasionally stumble over the truth, but most of them pick themselves up and hurry off as if nothing ever happened. Sir Winston Churchill 3

4 4

5 Colin s Question: Is MSU/ RMRC willing to conduct the 2015 Health of the Australian Marina Industry (HAMI)??? YES, No Worries, IT S A GOER At least one more HAMI. 5

6 Purposes of the Health of the Australian Marina Industry (HAMI) Survey To provide a comprehensive and continuing perspective on the economic, social, and environmental performance and contributions of Australian marinas. A significant number of the questions remain the same to collect equivalent information for the purpose of identifying patterns or trends. New questions are also added to investigate emerging marina-related issues (e.g., accommodation of super yachts), and topics of emerging and special interest to the marina industry, federal and state legislators, and government agencies. 6

7 Australian Marina Industry (HAMI) Survey Usually marina surveys, especially those sponsored by marina associations, receive responses primarily from the largest and most active of their members and, as a result, they are not even representative of the marinas comprising the organization and certainly not all marinas in the country. These surveys are rarely repeated on a continuing basis (e.g., every other year) employing the same survey questions and/ or methods. Both the quantity and diversity (i.e., large and small marinas, yacht clubs and non-club marinas) of responses achieved by this survey are very uncommon in industry surveys that collect financial performance information. 7

8 8

9 Topics 2011 Registration and Survey 2013 Registration and Survey Stand-alone Registration: name, address, geo-location, marina type, ownership/ lease type, total spaces by type, facilities and services offered by marina itself, facilities and services offered by tenants Yes - Integrated Registration: name, address, geo-location, marina type, ownership/ lease type - Yes Economic Impact Measures and Index: Revenues Yes Yes Economic Impact Measures and Index: Employment Yes Yes Fiscal Impact Measures and Index: Payments to Governments Yes Yes Investment and Expansion Yes Yes Marina Facilities and Services - Yes Accommodation of Unregistered Boats - Yes Capacity and Utilization of Marina Spaces Yes Yes Accommodation of Super Yachts - Yes Business Tenants Yes Yes, incl facilities and services Business Contractors Yes Yes Environmental Protection and Enhancement Yes Yes Social and Recreational Benefits Yes Yes Impediments to Marina Upgrades, Extension, Redevelopment - Yes 9

10 Comparison of size, state and type of marinas that responded to 2011 and 2013 HAMI survey Categories Size of marinas State/ region Marinas responding to 2011 survey 1 Marinas responding to 2013 core survey 1 Small (up to 100 spaces) 30 (31.6%) 55 (38.1%) Mid-size ( spaces) 34 (35.8%) 44 (30.6%) Large (over 250 spaces) 31 (32.6%) 45 (31.3%) New South Wales (NSW) 27 (28.1%) 46 (31.9%) Northern Territory (NT) Queensland (QLD) 21 (21.9%) 29 (20.1%) South Australia (SA) (9.0%) Tasmania (TAS) 5 (5.2%) 9 (6.3%) Victoria (VIC) 18 (18.8%) 22 (15.3%) Western Australia (WA) 17 (17.7%) 24 (16.7%) Northern Territory + South Australia (NT+SA) 8 (8.3%)... Types of marinas Yacht clubs (YCs) 23 (24.0%) 39 (27.1%) Non-club marinas (N-CMs) 73 (76.0%) 105 (72.9%) 1 Reported here are the numbers of marinas included in the financial extrapolations which are slightly smaller than the numbers of responding marinas because of missing data or issues with some responses. 2 Northern Territory is excluded from financial extrapolations by region. 10

11 11

12 12

13 13

14 Some Conclusions From the 2013 Survey Marina regulations should be BASED ON FACTS and NOT PERCEPTION, ASSUMPTION or FEAR. Marinas are not exploiters/miners, they are investors and stewards. Marinas are ACCESS and SERVICE PROVIDERS. Marinas continue to pay more each year in lease payments and federal, state and local government taxes. Marinas are contributors to ECONOMIC AND COMMUNITY DEVELOPMENT. The cost and the anticipated cost of regulatory, planning or approval processes or requirements inhibit marina development and enhancement. 14

15 Enhancing the Measurement/Estimation of Occupancy Rates 15

16 Occupancy Rates Simple On the Surface, But Damn Complex to Estimate Define occupancy - Occupancy rate was defined as a percentage of nights all marina s boat storage spaces were occupied during all nights all marina s boat storage spaces were available. Occupancy of what type(s) of storage? Transient, seasonal, annual (rental) occupancy. Annual or seasonal occupancy (e.g., prime boating season). Number of nights various types of storage spaces are available to be occupied? The total number of nights that berths (or other storage options) are occupied or rented (reserved). 16

17 Data is King, Collin Bransgrove, 2015 No Not Exactly! Information is King, and Data is a King Maker and Assumption Slayer. Data is collected and analyzed to create information suitable for making/ influencing decisions. Data becomes information by interpretation. Data is a series of symbols, while information occurs when the symbols are used to refer to something 17

18 How to Maximize the VALUE of Research Data and Information Anticipate issues and decisions that are strategically important to marinas, industry association and recreational boating. 2. Evaluate currently available information and information that is required or can assist to verify, to assess, to correct misperceptions, to educate, to forge partnerships 3. Consider what valid and reliable data can feasibly be collected, from what sources, employing what methods (e.g., surveys, focus groups). 18

19 How to Maximize the VALUE of Research Data and Information Define target audiences to be informed, educated, persuaded. 4. Decide on optimal communications methods (e.g., facts sheets, briefing papers, public relations). 5. Commit to an on-going effort collect, analyze, communicate. 19

20 NMMA - Boating Matters - 1 Boating United is a community of boating businesses, enthusiasts and supporters. Together we shape policy that affects our industry and our interests. The recreational boating industry supports jobs, economic development and recreational activities for millions of Americans. We're not just weekend boaters; we're employers, manufacturers, taxpayers and citizens who make a difference in all 50 states. Our industry has legislative and regulatory issues that are important. Issues that affect a uniquely domestic industry that reaches millions of businesses, community members and voters. We can't be ignored by policymakers. 20

21 NMMA - Boating Matters - 2 NMMA staff presents at TTIP negotiations on behalf of recreational boating industry interests. On Thursday, April 23rd, Nicole Vasilaros, NNMA's director of federal and legal affairs, presented during the stakeholders forum at the 9th round of negotiations for the Transatlantic Trade and Investment Partnership (TTIP). NMMA and the European Boating Industry have jointly supported efforts to streamline regulatory, legal and technical standards applicable to the boating industry. NMMA's presentation focused on the recreational boating industry's support for the creation of a regulatory forum that would evaluate existing and future differences in laws impacting boating. The boating industry also hopes to see the creation of a "one stop shop" for certification that would eliminate the need for dual certification. 21

22 A Proposed Australia National Recreational Boating Survey - 1 How many persons go boating and how many days/hours do they go out on boats every year? How many recreational boats of different types are owned in Australia? How many and what types and sizes of boats are operated annually? How many days and hours are boats operated? How many persons on average go out on different types and sizes of boats? 22

23 A Proposed Australia National Recreational Boating Survey - 2 Where are boats stored? E.g., permanent waterfront homes, permanent non-waterfront homes, waterfront second homes, marinas (berths, moorings, dry stack). How many and what types of boats are trailered/ launched and how many times annually. 23

24 Survey's Benefits to the Boating Industry Better understanding and capability to monitor the MARKET Recreational Boating. Opportunity to estimate and forecast the demand for boating services. Availability of data to estimate Boating Safety and Exposure and Risk Ratios. 24

25 Recreational Boating Exposure Depending on the application, Recreational Boating Exposure (RBE) rate can be calculated and presented in the following ways: 1. Boat day - any day that a boat is used out on the water regardless of the amount of time that day it is used; 2. Boat hours - the number of hours a boat is used out on the water during a given period of time (e.g., a day, month, year); 3. Boat-person day - an estimate of the number of persons on a boat on the day that it is used; 4. Boat-person hours - the total number of hours persons are aboard a boat in use out on the water. 25

26 Recreational Boating Risk Ratio (RBRR) RBRR is a fraction where exposure rate (boat days/ hours, or boat-person days/ hours) is the denominator and either the number of recreational boating accidents or fatalities is the numerator. For example: number of recreational boating accidents/ boat days, number of boating fatalities/ boat-person hours. 26

27 Distribution of Recreational Boats in 2011 in the U.S. Regions by Registration Status REGION REGISTERED BOATS 1 (000) UNREGISTERED BOATS 2 (000) TOTAL BOATS (000) United States 12,749 9,468 22,217 Northeast 1,592 2,014 3,606 Midwest 4,211 2,047 6,258 South 5,059 3,544 8,603 West 1,887 1,863 3,750 27

28 Household Participation in Recreational Boating in 2012 in the U.S. Regions REGION U.S. HOUSEHOLDS (SOURCE: 2010 U.S. CENSUS) Number (000) (%) Number (000) (%) HOUSEHOLD PARTICIPATION IN RECREATIONAL BOATING IN 2012 Overall Participation Rate 2 (%) Fished from a Recreational Boat (%) Used a Canoe/ Kayak (%) BOAT OWNERSHIP RATE (%) United States 1 118, , Northeast 21, , Midwest 26, , South 43, , West 25, , Puerto Rico 1,

29 Exposure Hours by Boat Type in 2012 BOAT TYPE NUMBER OF BOATS 1 (000) AVERAGE NUMBER OF USE DAYS PER YEAR AVERAGE NUMBER OF HOURS ON WATER PER USE DAY AVERAGE NUMBER OF PEOPLE ABOARD PER USE DAY BOATING PERSON-HOURS (000,000) Power Boat 10, ,035 Sailboat PWC 1, Canoe 2, Kayak 3, Pontoon Boat Row/Inflatable/ Other Boat 1, All Boats 21, ,584 29

30 Adult Participation in Recreational Boating in 2012 in the U.S. Regions by Type of Boat Used REGION ADULT PARTICIPATION IN RECREATIONAL BOATING IN 2012 ADULT PARTICIPATION IN RECREATIONAL BOATING IN 2012 BY BOAT TYPE Number (000) (%) Power Boats (%) Sailboats (%) PWCs (%) Canoes (%) Kayaks (%) Pontoons (%) Other (%) United States 57, Northeast 11, Midwest 15, South 21, West 10, Puerto Rico

31 Adult Participation in Recreational Boating in 2012 by Type of Boat Used out On the Water 100% 90% 80% 70% 70.4% 60% 50% 40% 32.7% 29.0% 30% 20.8% 20% 12.2% 26.1% 26.1% 10% 0% Power Boat Sail Boat PWC Canoe Kayak Pontoon Other 31

32 2012 Boating Days and Hours by Boat Type in the U.S. BOAT TYPE NUMBER OF BOATS 1 OWNED IN THE US (000) NUMBER OF BOATING DAYS (000) NUMBER OF PERSON-HOURS (000,000) AVERAGE NUMBER OF DAYS / BOAT 2 NUMBER OF HOURS / BOATING DAY MEAN NUMBER OF PERSONS ABOARD/ BOATING DAY All Types 1 21, ,203 3, Powerboat 10, ,865 2, Sailboat 735 8, Pontoon Boat , PWC 1,704 18, Canoe 2,508 21, Kayak 3,916 43, Row/ Inflatable 1,747 17,

33 Boating Casualty Numbers and Ratios per 100 Million Exposure Hours for 2012 by State (also DC and Puerto Rico) and Region [excerpts] REGION / MIDWEST STATE EXPOSURE HOURS (MILLIONS) ACCIDENTS DEATHS INJURIES CASUALTIES DEATHS / 100 MILLION EXPOSURE HOURS CASUALTIES / 100 MILLION EXPOSURE HOURS US Total 3,584 4, ,987 3, Midwest Region IA IL IN KS MI MN MO ND NE OH SD WI

34 Why Is It Important that the MIA Conduct and Partner to Produce Valid and Reliable Information? Current and reliable information concerning recreational boating and boating sectors is very limited. Legislators, policy makers, regulators, lenders often opt to, or are required to, make decisions based on invalid, inaccurate and out-ofdate information. Often times, you can t even effectively challenge decisions (No Standing) and/or the information on which they are based without being armed with current and reliable information. MIA requires information to design and effectively carry out its communication strategies. 34

35 Consumer, Producer and Social Surplus - 1 Consumer surplus or consumers' surplus is the monetary gain when customers are able to purchase products at prices less than the maximum price that they would be willing to pay. Producer surplus or producers' surplus is the benefit that accrue to producers/sellers when they sell at prices higher than the least that they would be willing to sell for. Social surplus, which is the amount of societal value or utility from consumption of all goods and services produced or bought, is composed of consumer and producer surpluses. Source: Wikipedia 35

36 Consumer, Producer and Social Surplus - 2 Example: Assume consumers are willing to pay $6,500 per season to rent a marina berth, the marina is willing to rent at $4,800, and 40 berths are rented at average of $5,800. The consumer surplus is ($6,500 - $5,800) * 40 = $28,000, and producer surplus is ($5,800 - $4,800) * 40 = $40,000. Source: Wikipedia 36

37 Economic Impacts - 1 An economic impact analysis is an estimate of the change in economic activity associated with a particular event or activity (e.g., sales of boats, spending by recreational boaters), policy or project. Types of economic impacts: (1) sales, (2) labor income impact - the increase/decrease in total money paid to local employees in the form of salaries and wages, and (3) value added which is an estimate of gross regional product (increase or decrease in regional wages plus local business profits). 37

38 Sources of Economic Impacts Economic Impacts - 2 Each of these impacts can be decomposed into direct, indirect and induced components depending on the effect that caused the impact. 1. Direct effects are the results of the money initially spent. This includes money spent to pay for salaries, supplies, raw materials, and operating expenses. 2. Indirect effects are the results of business-to-business transactions. Businesses that realize direct effects in turn may increase spending at other local businesses. 38

39 Economic Impacts Induced effects are the results of increased personal income caused by the direct and indirect effects. Businesses experiencing increased revenue from the direct and indirect effects will subsequently increase payroll expenditures (by hiring more employees, increasing payroll hours, raising salaries, etc.). Households will, in turn, increase spending at local businesses. 39

40 HAMI FY2014/15 What Needs to Be Done and Relatively Quickly Decide on data/information needs. Discuss and agree to adjustments to various questions. Review the inventory of Australian marinas. Identify and confirm contact persons and current addresses. Secure Supporting Partners. Prepare notifications that MIA will again be conducting the HAMI Survey for fiscal year. Decide on communication pieces. 40

41 HAMI FY2014/15 What Needs to Be Done and Relatively Quickly Decide on data/information needs. Discuss and agree to adjustments to various questions. Review the inventory of Australian marinas. Identify and confirm contact persons and current addresses. Secure Supporting Partners. Prepare notifications that MIA will again be conducting the HAMI Survey for fiscal year. Decide on communication pieces. 41