Brunswick Corporation, known for boat brands such as Sea Ray and Boston Whaler, is turning to advanced technology and recurring revenue models to combat sluggish new boat sales projected to remain weak through 2026. The company is focusing on innovations like autonomous docking and AI-driven navigation systems to simplify boating and make higher-end models more attractive to consumers. CEO David Foulkes noted that while premium boats are performing well, more affordable, value-based models are experiencing slower demand due to financing and interest rate pressures.

A significant part of Brunswick’s strategy involves enhancing technology integration through its Navico Group, which develops marine electronics. Since 2025, Navico has introduced over 30 new products, including the Simrad AutoCaptain system that aids in navigating and docking boats autonomously. Increasing electronic sophistication on vessels allows Brunswick to generate revenue beyond initial boat sales, as aftermarket parts and technology now represent about 60% of the company’s earnings, providing a buffer against fluctuating new unit sales.

Recurring revenue is also being driven by Brunswick’s Freedom Boat Club, a membership program offering boat access across more than 450 locations globally. This club has expanded its membership to over 63,000 since 2019 and recorded a fourfold growth in trips and reservations. With roughly 90% of its sales recurring, the club supports Brunswick’s goal of creating stable revenue streams despite a slow new boat market. The popularity of this model highlights consumer interest in boating experiences even when purchasing new boats becomes less frequent.

Looking ahead, Brunswick aims to reach $7 billion to $8 billion in revenue by 2030, with operating margins between 10% and 13%, supported by pricing strategies, premium product offerings, and market-share growth. The company has also taken steps to reduce supply chain risk by cutting reliance on China-sourced parts by up to 75%, thereby lowering tariff exposure. Analysts see Brunswick as well positioned to achieve solid earnings growth as it leverages innovation and recurring revenue, even if new boat sales growth remains modest.