West Marine Inventory

[Rick D]

I had to pick up a simple through hull fitting for my bilge pump outlet. I didn't order it on line here since I wanted the part in-hand for comparison. Anyhow, I went to two WM's and was struck by the empty bins and shallow inventory. Fortunately, there was an independent chandlery near by who had the part. So, I had to wonder if the lack of basic inventory is a reflection of capital constraint or a management tool to control costs? Maybe it's a local issue? Have you noticed similar in your area?

 

[Straycat22296]

The store in Alameda CA looks to be more into fishing, trailer supplies, clothing and Kayaks.
They do not have alot of blocks and sailing hardware. They do have electrical parts, some plumbing parts (almost no hoses).
There are also other limited parts but it is hit and miss in my opinion.
I find I have to order online for most of what I need.
Definately not the West Marine of old.
I guess I am also at a good place as I never find antything I need in any of their sale catalogs.

 

[jssailem]

The gossip I have heard deals with a new ownership out of Shanghi, and overload of inventory that in part is stale. I had an issue with a PFD replacement charge. The shelf stock looked new in package. Staff said they had just been restocked. There should have been multiple years (at least 5) of useful life. There was 6 months, still selling a list price. Store staff said this was happening frequently.

Hope they have deep pockets.

 

[twodzusfittings]

As I understand it from a West Marine manager, its latest model is to take orders and have it available the next day or two. This way they are not sitting on inventory which is cash spent. Keeping their cash in banks getting interest and paying their purchase orders at a 30, 60 or 90 day Net, is good business practice. Unfortunately we, the consumers are affected. I sometimes go to WM just to browse. The aisles are sparsely stocked. Daily I get WM notices via email, but it's not items I would like. Someone mentioned more fishing, clothing and shoes. That has changed with the new CEO, however it's not happening fast enough. I recently went to a used parts place. If you're not fussy, and have good cleaning or refurbishing capabilities, these places can be good for the thrifty amongst us. I just picked up a 3 blade bronze prop for $95. It cleaned up nicely and all the edges are in good shape. I also put it on a balancer and it was good all around. It will get installed next year when the boat gets hauled for bottom paint.

 

[Don S/V ILLusion]

Anytime my wife has more stuff to look through than I do means I’m in the wrong place!
The local WM here looks more like a REI store or Marshall’s than a boat store

 

[shemandr]

I think that WM is trying to manage inventory and as Rick D posted may be constrained in capital. I read somewhere that they've had an infusion of capital, I guess from new investors. But fundamentally they are being squeezed by Amazon, who sell at an average of 30% discount from WM prices. Hence the new retail options at WM such as BOPUS (Buy online, pick up in store) and other options. They are challenged by Amazon who doesn't have to carry the inventory. I think WM has to move toward an online store - maybe with pickup locations. I've noticed that they are using "Pickup Services" which are independent carriers that pick up BOPUS orders at the store for clients willing to pay a modest delivery fee. The pick up drivers are comparable to Door Dash or other delivery services.
It isn't the WM of old, but then it isn't the world of old.

 

[Rick D]

I think that WM is trying to manage inventory and as Rick D posted may be constrained in capital. I read somewhere that they've had an infusion of capital, I guess from new investors. But fundamentally they are being squeezed by Amazon, who sell at an average of 30% discount from WM prices. Hence the new retail options at WM such as BOPUS (Buy online, pick up in store) and other options. They are challenged by Amazon who doesn't have to carry the inventory. I think WM has to move toward an online store - maybe with pickup locations. I've noticed that they are using "Pickup Services" which are independent carriers that pick up BOPUS orders at the store for clients willing to pay a modest delivery fee. The pick up drivers are comparable to Door Dash or other delivery services.
It isn't the WM of old, but then it isn't the world of old.

Yes, I lost a solar vent during a tack. Totally my fault. I checked WM. $249. Checked Amazon. $189 from the mfg. I don't mind spending a bit more when I need it quickly, but $60?

 

[dlochner]

West Marine has suffered from Private Equity firms that buy businesses and then take the profits and sell it off. About a year ago they were in bankruptcy proceedings when an agreement was reached with the Private Equity firm that owned WM, where the firm would provide a cash infusion. The PE firm has backing from a French firm according to the article linked below. No connection to any Chinese firm was mentioned in the article.

WM has really increased the frequency of it sales and seems to be trying to drive business back to the stores. They are also doing a lot drop shipping, i.e., taking orders and having the manufacturer ship from their warehouse. This is not an uncommon practice for businesses for items that inventory costs are high and turn over low. In the past year I've purchased a couple of Lewmar products through West, in both cases the items were drop shipped with very good delivery times, 2 or 3 days.

Prices at WM are sometimes lower than anywhere else, a Lewmar hatch I purchased was cheaper than anywhere else, including Defender. On the other hand, I often find Defender to be less expensive than my WM Pro account price.

Another example of the demise of a quality speciality equipment store, is Eastern Mountain Sports. EMS when from a well respected and well staffed outdoor equipment provider, rivaling REI. They were bought out by a PE firm and now they are a mediocre outdoor clothing store with a smattering of quality camping, climbing, and kayaking, etc inventory.

https://sgbonline.com/west-marine-reaches-restructuring-deal-to-avoid-court-proceedings/\

Just search for West Marine Bankruptcy to find more articles.

 

[Foswick]

Specialty retail stores are hurting, in general, with not too many exceptions. Around here, West Marine seems to be doing OK...ish. I can usually find what I need and usually at a decent price. They are noticeably quieter than ... say ... 10 years ago. But, they don't look like they're going out of business.

 

[Scott T-Bird]

Just my opinion, but I think they have way too many stores. Just in New Jersey, the stores are in numerous locations, some are small and hardly stocked with anything. I just did a count within 300 miles of my house and there are 60 brick and mortar stores. That's a ridiculous number of stores covering the east coast from about Portland Maine to Virginia Beach. In New Jersey alone, there are 10. I think if there were just 3 stores at most, maybe 2 in New Jersey, they could be much better stocked and have more foot traffic accordingly. I think the convenience of a nearby store is way overblown.

I've been to Defender's brick and mortar store more often in the past than to any West Marine store, and there are about 24 WM stores closer to me. WM pricing is very close to Defender. WM could do much better by eliminating at least 80% of their stores.

 

[Stu Jackson]

I think they have way too many stores.

Interesting theory. We've all heard it before. I've "evolved" on this.
When I lived in the San Francisco Bay Area (1978-2016), there were two stores, literally at opposite ends of a short drawbridge over the Oakland Alameda Estuary: the Oakland store was 1/4 mile from the bridge and 1/2 mile to the closest marina; the Alameda side was a full mile from the bridge and within one of the larger local marinas, but not really walkable from other marinas on Alameda - an island.
So, I thought, NOT too many stores, really close together if you have a car.
But, guess what, most of their customers HAD BOATS nearby and those marinas close by also had slips for transient mariners who were sailing from the PNW to MX and beyond. They DID NOT have cars, so those stores were a godsend compared to pre-WM "culture" for boat parts shopping, i.e., "chandleries."
But then they opened another store on Alameda. It was ludicrously far away from the other two large marinas on the Estuary, and was larger than the other two combined in a former large grocery store footprint. Truly overkill!
We also should note the history of WM: a great concept of significantly improving access to boat gear, eventually killed by venture capitalism and a culture change from selling boating gear to ticky-tacky Hawaiian shirts and over priced apparel. This store quantity splurge occurred right as this was happening. The real headache could be long term leases, too.
So, yeah, now too many T shirt stores!

 

[dlochner]

In the early part of this century, WM went on a massive buying binge, buying Goldberg's Marine, E&B Marine, and most notably the BoatUS chain of stores. WM went from being a regional west coast company to a nationwide company, their focus shifted from sailing oriented to general boating, and boating lifestyle oriented. They don't wear it well.

 

[jviss]

In New Bedford years ago there was a great WM on Pope's Island, and a BoatUS store not far away in Fairhaven. WM built a brand new store and consolidate the former WM store and the BoatUS store into the new space. Nice building, but every time I go there seems to be less and less merch, even of the boating lifestyle kind, e.g., shoes and sandals. I used to get new footwear every year, now they never have anything that appeals or fits. Much less sailing hardware. I fear the end is nigh for WM.

BTW, that Popes Island location was the original location of New England Ropes. When it was open there was still a big, old rope making machine in the back of the store. I enjoyed examining it.

Here's a story of WM's acquisition in 2021 by a private equity firm, with a bit of WM history:
West Marine Acquired

 

[thinwater]

Curious, since in 40 years I have never bought a piece of apparel in a marine store that was not obviously marine.

• Deck shoes
• Gloves
• Bibs

I'm vaguely aware they sell tee shirts and shorts but I doubt I have ever even brushed those racks. I don't walk through that quarter of the store. No reason.

---

It's the internet. Yesterday I decided I wanted to replace some gear. There is a well-stocked WM store inside the marina, but I wanted to think on it for a few hours and the internet had the specific product I wanted, which WM does not have in their catalog and Defender wants $5 (17%) more plus shipping. I ordered it off Amazon. Click and buy. I knew WM did not carry it and I just check Defender. I just went straight to Amazon.

 

[jviss]

Yes, the internet. I needed a new masthead light pronto. I found it on Amazon, with next morning shipping! And, the price was very good.

When you factor in the cost of gas, the time, the wear and tear on your car, and the finite, non-zero chance of an accident every time you drive, online is usually a better choice if you know what you want. If you want to browse, different story. But WM has less and less to browse, it seems.

 

[Project_Mayhem]

We're lucky enough to have a well stocked, flagship WM in Chicago. The next closest chandielery is about an hour away from me!

 

[Davidasailor26]

But WM has less and less to browse, it seems.

That is the big problem as I see it. I don’t think WM can compete with Amazon or even Defender on cost. The reasons I’d go there are either to browse or to pick up something I really need that day. If they move to a drop ship model it takes away those two advantages they had.

 

[Davidasailor26]

eventually killed by venture capitalism

More by private equity than venture capitalism. VC’s tend to invest in startups and hope to make money through equity in a business they pump up and then sell. Private equity tends to buy existing businesses, often funding the purchase by taking on debt, then squeezes the business for all they can to recoup the investment and make as much as possible before discarding the shell.

 

[jviss]

That is the big problem as I see it. I don’t think WM can compete with Amazon or even Defender on cost. The reasons I’d go there are either to browse or to pick up something I really need that day. If they move to a drop ship model it takes away those two advantages they had.

Indeed. I have extraordinary good luck with rope at WM, though. It seems every time I "need it now," they have it, and it's on sale!

I used to love to browse their short ends of rope, sold at deeply discounted prices, especially three strand nylon, which is my preferred line for dock lines. But, it seems they have less and less of this these days.

But, then, WM is 3.5 miles away. Defender is 90 miles away.

New Bedford is interesting, as it has a huge commercial fishing fleet and commercial chandleries. And, Edson and Schaefer are on the same street, 7.5 miles from me! I wonder if they do tours?

 

[jviss]

Private equity tends to buy existing businesses, often funding the purchase by taking on debt, then squeezes the business for all they can to recoup the investment and make as much as possible before discarding the shell.

That's a huge problem with hospitals lately, too. Check out what's happened to Steward Hospitals, especially in Massachusetts.