Re: What's wrong with dive industry economics?

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Posted by Jim Hoffmann on November 22, 2000 at 12:44:15:

In Reply to: What's wrong with dive industry economics? posted by Kendall Raine on November 21, 2000 at 10:24:02:

Kendall, there are alot of things wrong with the dive industry. The industry has been recessary since the early 90's. Student enrollments were down with all the agency's in the 90's. And sales, over all have been down over 30% for most of the 90's.
(My store has saw a reversal of this tread in 99 and 2000 with the classes and sales taking big jumps,lets hope it says that way for a few more years).
Many Dive Stores have used the Basic Class as a lost-leader. This has worked will for me for over 20 years. My Basic Class in $100.00 dollars and includes the text book , Cert., and all the rentals (if they buy personal gear from me). This is a 35 hour NAUI basic class with 4 lectures, 3 pool session(in and indoor heated pool), and 5 ocean dives.It's a fact of life that people shop for classes, they don't know anything about NAUI or PADI, all they care about is price and time.
That is one of the reasons that PADI has been so successful with their 80 min. OW Programs. People shopping for classes are at the mercy of the dive shop personnel. Most people don't research, all they know is what the shop personnel tell them.
The market place dictates the prices of classes and equipment. With Inter-net sales and instruction, and with the large chain stores selling dive equipment, it makes it tough for the dive store to stay in business.
But, a dive store has much to offer customers that the inter-net and chains don't have. We have service and expertise that you will never get with the net or the chains.
I have alway felt that if you give the customer good service and Quality Diver Education you would be successful. I think that is just as true now, as it was in 1980 when we start this business.

Jim Hoffmann
Scuba Toys

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