|The big idea|
People bought boats like crazy last year
Between travel restrictions and reduced domestic mobility, dealerships and major manufacturers in both sectors have seen some of their biggest dips since the Great Recession.
But out on America’s waterways, another mode of transport has thrived…
Boats are booming
According to a report by the National Marine Manufacturers Association (NMMA), sales of boats and related marine gear hit $47B in 2020 — a 9% bump from 2019, and a 13-year high.
Per Boating Industry, all types of big-boy water toys saw a bump in 2020:
Experts say this trend has largely been buoyed by first-time boat buyers, many of them on the younger side — a demographic that hasn’t historically been the industry’s strong suit.
As it turns out, boating enthusiasts aren’t as niche of a community as one might expect. Per NMMA:
Collectively, these boaters make up a $12B/year industry — and ~4.3k boat dealers exist to cater to their needs.
But boats in particular seemed to benefit from a perfect storm of more flexible remote work schedules, travel restrictions, and timing (boating “season” is generally considered to run from April to October, which coincided with 2020 lockdowns).
The only people having more fun than the boaters themselves are the people who bought boat-related stocks last March.
MarineMax, the largest boat dealer in the US, has seen its stock jump from ~$8 to $58 per share since March of 2020.
|Spilling the Tea|
Starbucks CEO’s $50m pay bump publicly rejected by shareholders
Since Kevin Johnson joined Starbucks as president and CEO in 2017, the company’s valuation has grown by $39B (~45%).
That’s a latte growth — and Johnson has been handsomely rewarded for it: Between 2017 and 2019, he raked in $44.1m in total compensation.
But now, the CEO has run into a bit of a snag: His latest pay package, which includes a $50m retention award and a $1.86m bonus, has been rejected by Starbucks shareholders.
Public companies report planned changes to executives’ compensation via proxy statements. Shareholders then get to vote on these “say on pay” proposals.
So, what are the implications of a “no” vote?
How often does this happen?
Rarely. In fact, only 10 S&P 500 companies have had shareholders reject pay raises in the last year.
So how do shareholders decide if a pay raise is justified? Starbucks investors turned to 2 influential proxy advisory firms for insight:
The veto likely won’t change Starbucks’ decision. Still, it seems like drama is a-brewing.
Bezos’ decadelong, $10B NFL bet is part of a larger streaming playbook for Amazon
Just how serious has Amazon gotten about streaming live football? Take a look at the before and after:
This latest deal is part of the NFL’s new decadelong $113B agreement spree with broadcasters. And it signifies Big Tech’s first serious foray into the world of Big Sports.
The deals add big points to streaming’s scoreboard
Live football is one of the last bastions of traditional TV. In 2020, 7 of the top 10 shows were NFL games.
The NFL’s new agreements expand networks’ rights to stream games on their own platforms (e.g., CBS x Paramount+, NBC x Peacock, and Disney x ESPN+).
Amazon’s $10B deal, which is good through 2033, will force Thursday Night Football enthusiasts to sign up for Amazon Prime in order to tune in.
Bezos could be eyeing a future in ad revenue and sports betting
Ad spend on connected TVs will total ~$13.4B in 2021, up from ~$9B in 2020. And Amazon is making moves in the space: In 2020, the company’s streaming-TV ad business grew faster than its search-and-display ad segments.
Tech from Amazon’s livestream gaming platform Twitch will also enable in-game betting, commenting, and access to stats and replays.
Bezos is playing the long game here. If history is any indication, that’s a strategy that’s worked out well for him.
|This day in history|
On this day 164 years ago (March 23, 1857), a man named Elisha Otis installed his first elevator at 488 Broadway in NYC.
After years of working as a wagon driver and doll maker, Otis had moved to New York to work as a machinist. He originally developed the concept of his elevator as a way to move debris to different levels of a factory he was working at.
In 1853, he launched Otis Brothers & Co. and debuted his newfangled contraption at the New York City World’s Fair.
Otis died in 1861 — but his sons carried on his legacy, and demand for the elevators exploded during the Civil War.
Today, Otis is the largest manufacturer of elevators in the world, with 64k+ employees and annual revenue of $13B.
The company’s elevators — which have thankfully come a long way since the 1800s — can be found in famous buildings like the Eiffel Tower and the Empire State Building.
Soon to be $350B market with 90% profit margins…
In last week’s Trends newsletter, we set outlined some of the biggest opportunities in a market expected to reach $350B by 2035:
Over the last year, over $1B in funding has poured into 3D printing businesses.
And it’s no wonder, the profit margins are unbelievable.
(Trends members we interviewed told us they were seeing 80-90%)
So, how do you get in on 3D printing while it’s still early?
Well, we put together a guide walking you through the best opportunities and niches our team of analysts could identify.
When you read through, you’ll learn:
- How you can get started with a 3D printer that only sets you back ~$500
- The 3D printing niche that raised $20.6M earlier this year and similar niches you can get started on this weekend
- How one individual makes $225k/month from selling one 3D printed miniature on Amazon
- And much more
If you’re not already a member of Trends, sign up today for a $1 trial to get access to the full discussion.
Editing by: Zachary “Stock Blocker” Crockett, Tai Arde (Guy who needs a nap).