Catalina 275 Inboard Diesel

[Codybear]

Yes, I know you were talking about internal cost rate. But no company is going to give labor at cost. Even if you they were your own employees, there would be a lost opportunity of revenue you would need to consider.

Have you considered picking up a used C275? The oldest is only 6 years old so the boats won't be too abused and the gelcoat should still be in reasonable shape. My gelcoat looks really good still and I get compliments on keeping it clean. Though, it is hard to keep up with the birds. If you purchase new, take a look at the "pimp" thread for ideas.

 

[Joe]

I don't think you understand my question so I will explain in more clarity.

Yanmar 2YM15 14 HP Diesel Engine Inboard Sale

New Yanmar 2YM15 14 HP Marine Diesel Engine Inboard For SaleYM Series NEW 2YM15 (14HP/10.3kW) The all-new big displacement two-cylinders diesels from Yanmar gives you the easiest start, provides more power and produces outstanding torque at low engine speeds. It is even quiter with smoke virtually e

inboardengineprice.com

The exact same motor Catalina is selling is being sold online at that website with a manufacturer's warranty. It looks like it is inclusive of the saildrive but I am not 100% sure. The price is $3,170 and I am sure Catalina would be buying it for less. I believe this point addresses your comment that the sailboat is small because the economies of scale would be inclusive of this online price. A few different online retailers are selling the motor online in the low $3,000's and all appear inclusive of manufacturer's warranty and saildrive.

The difference between the price of the motor online and the price adder for it is about $14,500. Yes there is a lot more involved than just buying a motor but the difference feels disproportional when considering the base price of the boat is $64,302. I don't believe the cockpit controls and running the control wire to the cockpit would be more than $1,000 in material. I can't see thousands of dollars in added labor costs being necessary to install this at the factory.

The point you make about warranty is valid but most manufacturer's include a fixed estimated warranty cost of 1-5% of the historical warranty cost in their cost estimate which they take from gross margin. This is how I have seen other manufacturer's do this in my professional career.

My best estimate of this is that Catalina's direct material cost for this would be about $5,000 but maybe it could be as high as $6,000.

Now let's address labor cost. Assuming typical manufacturing rates the internal labor rate may be $60 per hour. This is a good value for estimating that I have seen in manufacturing industries. It would be inclusive of employee benefits, training and tools. It is a good average to estimate and a forklift operator would be less than $60 per hour and a licensed electrician would be greater than this. My professional experience with large manufacturer's is that they have an internal labor rate they try to control their cost to with wages, benefits, training, and tool expenditures. I was told this boat may ship in 1 to 3 months depending on backlog. I think assuming 40 manhours to install this is reasonable. That would be a labor cost of $2,400.

Let's assume my labor cost and manhours for this adder are low. A new estimate of $75 per hour and 60 manhours is $4,500.

Unless I am off base I am seeing an estimated cost of this ranging from $7,400 to 10,500 and personally I think I would be closer to the low end than the high end.

Now adding in a healthy 25% gross margin would bring a cost range of $9866 to $14,000.

You will never find a new 14 hp yanmar... or practically any other marine diesel ... that includes drive train, prop, electronics, fuel tank and filtration system, cooling system heat exchanger, etc. installed for anywhere near what you're guesstimating at. Just saying... Even if you were to find a bare engine in the 10k range, you can easily double that to end up with a complete, warrantied auxillary system.
Second point... I honestly think the 275 sport is not going to be the right boat for you unless you plan to do a lot or racing or simple daysailing. Just look at the lack of accommodation compared to the 270. there's much less room in the cockpit and it doesn't appear to have a pilot berth but rather a large sail locker instead. How many sails were you planning to carry?... The 275 is certainly sexy.... I'd buy one... but not for the same reasons as you.