Marina Dock Age, March/April 1996

Make the Right Business Decisions for Your Marina
by Dennis P. Kissman

Marina owners and operators often ask the question: “How do I know if I am making the right operating decisions for my marina?”

To begin with, anyone who owns or operates a marina and expects to be successful must quickly realize that this is a capital-intensive service industry. One of my favorite sayings is, “ If you do not take care of your customer, someone else will.” Your marina may be the most conveniently located, the most competitively priced and have the most upscale amenities, yet it may still fail to achieve its income potential or occupancy levels of other marinas in your market.

Chances are, the reason for this deficiency is the level and type of services you offer compared to your competitions services. Most owners in this situation come to the conclusion that if they increase the services offered, they will be able to attract more customers. Most of the time that conclusion is right, but if it is wrong, the mistake can cause a financial disaster—with a long recovery period.

Don’t lose sight of the purpose of your business: to make a profit. The best way to achieve that is to know your customers needs and expectations.

Determining how to meet those expectations with the greatest financial benefit can be tough. To reach the right decision, focus on the greatest financial benefit and the least amount of risk.

Ask yourself if the decision will result in direct or indirect benefits. When will these benefits be realized? It is impossible to evaluate the results of your decision if you don’t know when to expect this return and in what form. If you can’t evaluate the results, most likely you will become reluctant to implement your ideas in the future. Continue »