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Sam's Club, which is ownedr by Bentonville, Ark.-based , is the latesy non-traditional sales outlet that Genmar has begu as a way to lure new customere in a slow market formotord boats. Selling boats in parking lots isnothing new, but it has never been this Genmar CEO Irwin Jacobs said. In 1995, Genmarf started a program to sell boatain Sam's Club parking lots. The program lasted only two years because of hassles with municipakl zoning and inconsistent boat inventoriesand "We weren't organized for them or for Jacobs admitted.
Jacobs has had a long relationshiopwith Wal-Mart, including a co-branded professionao bass fishing tournament A partnership also exists between Wal-Mart and anotheer Irwin Jacobs-owned company, Jacobs Trading Co., which resells merchandise that has been returnedf to Wal-Mart stores. Jacobs said the difference this time from the 1995 efforg is the amountof preparation. For example, Genmar has creates an entire department to plan and execute parkinhglot sales. Also, this time around, boats will be sold only to Sam'w Club members and only with no-haggle pricing.
Whicn models of boats are sold on the lots will stilkl depend on thelocal dealer, but the options are greatly expanded becaused of the addition of a new joingt Web site, . A spokeswoman for Wal-Mart did not return calls seeking comment. A parking lot sale is " non-threatening environment," said George senior vice president of marketing at And unlike a traditional boat show that can cost a familyg offour $100 to attend, it is free to browsse at Sam's Club lot sales. Genmar also has started marketing its boats in General Motorsautomobilre dealerships.
This month, it hosted its first "Genmar-only" free-admissionh boat show at Canterbury Park Racetracik and Card Club in Louisa Rudeen, editor of MotorBoatinv Magazine, South Norwalk, Conn., praised Genmar's new marketing programs because they appeal to families. Rudeenm cautioned there could be a backlashgif first-time buyers don'tg enjoy their experience, based on other examplees where companies have marketed to It will be important for Genmar to followw through with good service after a Sam's Club customer buys a she said, adding that the makert has a good reputation for after-sal e service.
Charlie Hunter, a service manageer at Rilar Marinein Rosemount, said the progra at Sam's Club will benefitf from the popularity of the fishing tournament. Hunter, who also participated in pro fishing tournaments, predicted that the less expensivs $5,000 to $7,000 boats -- Crestliner and Lund -- are likely to sell well at Sam'x Club.
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