1999 Dealer of the Year

Lodder’s Marine
Cruises into the Future

Each year Lodder’s Marine takes its customers on a cruise. For only a small dock fee and a covered dish, every customer is invited in August to go on a four-hour cruise down the river followed by an evening of food and dancing. Lodder’s even provides the pig, the music, and the beverages. Why? Because it’s just one more way to show their customers how much they care.

Sonny Lodder, owner and operator of Lodder’s Marine in Fairfield, Ohio, believes that customer satisfaction must be a top priority in a successful dealership. “Each customer should be a customer for life,” said Lodder.

With a recently completed 37,000 square-foot facility, including a 13,000 square-foot service area, Lodder’s Marine boasts a state-of-the-art complex where customers can come to shop for a new boat or get their old one serviced by the most experienced service staff in the area.

But Sonny Lodder didn’t always run a boat-lover’s paradise. Lodder began his business more than 30 years ago with two unique skills: fixing motors and water-skiing. While working at his family’s flower and garden store repairing and selling lawnmowers, Lodder spent about five years as a professional water skier at Coney Island.

When customers began bringing their outboard motors for repairs, Lodder realized that he was staring at an opportunity to help the family business. In 1966, the hundredth anniversary of the family business, Lodder began selling Chrysler outboard motors and Silverline boats. In 1968, a dealer nearby went out of business and passed its Mercury line along to Lodder’s Marine. The company continued to grow and eventually split off from the flower and garden business to pursue its own fate.

Then in December 1997, having grown exponentially through four locations and almost 30 years, Lodder realized that it was time for yet another change.

“Our service department was located 20 minutes away from the showroom,” explained Lodder, “and it was inconvenient for our customers to get their boats serviced.” So after two years of planning, Lodder decided to move forward with a new building. Now, with the new location along Rt. 4 between Cincinnati and Dayton, Lodder’s Marine is easily visible to the 50,000 cars that pass by each day and convenient to the two million people in the area. “This new facility puts our sales people and our service staff under the same roof, which makes administration and service much more effective,” said Lodder.

Just how impressive is Lodder’s new building? Large windows practically surround the entire building. The roofline is angular and interesting, making the exterior of the building aesthetically pleasing and giving the interior a spacious and inviting feel. Bright, cheerful lighting and decorative signal flags also contribute to the friendly atmosphere. There is even a window between the main counter and the service department so customers can see the people who will be working on their boats. “We built this building to look like boat stores of the future,” said Lodder.

The service department has seen dramatic increases in productivity and efficiency since the new building was completed. Having increased their space from 8,000 to 13,000 square feet, Lodder’s now has six service bays, each capable of holding two boats. “The marine industry is becoming more and more service-oriented, and we have equipped ourselves to provide customers with the quality of service they deserve,” commented Lodder.

This quality of service is made possible not just by the size of the facility at Lodder’s Marine but by the quality of the staff. There are currently six service technicians on staff, and four of them have a combined 80 years of experience in the marine industry. The service manager has been with the company for 14 years, and the parts manager has been in the marine industry for 24 years. Lodder added that, with 25 years under his belt, the sales manager also brings an incredible amount of experience and talent to the mix.

“In order to keep the service department as productive as possible, our technicians specialize in their work,” said Lodder. One technician works solely with Volvo and early model outboard repair, another with yacht repair, yet another with Sea-Doos, and another with rigging. With the birth of the new building and the increase in productivity, there is now only a two-day back log on service jobs, and customers who have recently purchased a boat receive next-day or even same-day service. “Over all of last year we had 1,758 repair orders go through our department,” said Lodder, “but in the first two-and-a-half months of being in the new location, we registered 661 repair orders.”

Elements of a Successful Dealer

“We’re successful because everybody here has the right attitude,” said Lodder. “Running a successful business is all about relationships with customers.” After a customer buys a new boat, the salesperson immediately follows up with a thank-you letter. After several weeks, the salesperson calls the customer to see how the boat is running and if the customer is satisfied. “We feel it is important to not wait for the customer to contact us,” explained Lodder, “and it’s valuable for the customer to hear a familiar voice instead of a person who has no previous contact with the customer.” Lodder’s even sends out Christmas cards and takes groups of customers to Cincinnati Reds baseball games.

“We are not a high pressure company,” said Lodder. Fifty percent of the customers at Lodder’s Marine have shopped there before. “We still have people come in here that bought a boat 20 years ago.”

“Our employees are trained and trained and trained, so that as soon as you walk in that door, you feel like you’re appreciated. We want to make sure the customers know that we’re glad they’re here,” explained Lodder.

Lodder’s also attributes much of its success to its aggressive and innovative marketing strategies. According to Lodder, “You can’t just wait for customers to stumble through the door, you have to find new and exciting ways to make them want to visit your facility.” When promoting their new facility, Lodder’s had four open houses, one for Bayliner, one for Regal and Mariah, one for Fisher, and one grand opening for the general public. Using advertising through multiple media such as radio, television, and newspaper, Lodder’s drew people out to its new location to see what the excitement was all about.

The dealership also holds regular tent sales and auctions of pre-owned boats and were one of the first dealerships to utilize the truckload sale by parking two truckloads of boats alongside the highway.

The people who sell the boats are also required to be well-equipped with the current knowledge about what they are selling. “Each year we send our people to factory-sponsored training seminars to gain the knowledge they need to perform at their best,” said Lodder.

A Challenging Industry

“In the automobile industry, dealers have to adjust to cyclical changes in the economy,” said Lodder. “But in the marine industry, we have to accommodate yearly cycles and economic cycles because of the seasonal nature of boating.” Since customers buy boats more during certain parts of the year, careful administration and planning are essential.

In his more than 30 years of running a business, Lodder has chiefly realized one thing: Business is hard. “In 1972,” reminisced Lodder, “we were selling boats, fertilizer, and a lawn maintenance service. We grossed $500,000 that year, but when all the expenses were paid, and everything worked out, we ended up losing $4,000.” Lodder said he remembers being shocked at how he could have lost money even after having such a busy year.

According to Lodder, one of the things that has helped him immeasurably in knowing how to run a successful business is Spader 20 Group 101. A member of the 20 Group since 1977, Lodder said it’s “like having 19 other boat dealers on your board, all sharing what they’ve learned about the industry.” Lodder observes that most people go into the marine industry because of their genuine love of boating-and Lodder is no exception—but many of the them have no idea how to run a business. Lodder said his 20 Group has helped him make most of his major business decisions along the way.

“Bayliner has also played a big part in my success.” He said he’s learned that there aren’t that many boat lines you can count on. But Bayliner, he said, has been a partner in his success for some 20 years.

“I learned everything I know about selling boats the hard way, but my sons have had the chance to learn about the business by watching me and helping me as they’ve grown up.” Sonny Lodder’s sons, Matt and Kevin, plan to take over the business after their father retires, and so far they’re off to a good start. “The only reason I built this new building was for them,” said Lodder. “Without their help and the knowledge that they will carry on the family business, I could never have gone forward with this new facility.”

With its experienced and knowledgeable service staff, state-of-the-art facility, innovative marketing techniques, and, of course, attention to customer satisfaction—right down to cruising with customers—Lodder’s marine is poised to excel in the new millennium.