As consumers become increasingly aware of their personal impact on the environment, Fond du Lac-based Mercury Marine is working to tailor its portfolio of marine propulsion products to meet modern desires. Over the last three years, the outboard motor manufacturer has continually expanded its offering of electrified products. In 2021, Mercury Marine first introduced the
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Buelow[/caption]
Why did Mercury Marine begin introducing electric products?
Buelow: “This is just a further extension of our industry-leading propulsion systems. We pride ourselves in our understanding of the market and our ability to provide innovative solutions that meet the diverse needs for marine applications around the world. As consumers are transitioning more toward electric (power sources) in their everyday lives, technology continues to advance. This is an emerging area and I want to emphasize this is not a transition. Our core internal combustion engine is not only industry-leading but will continue to be that way for many years.”
Bailey: “The journey started for Mercury in 2021. The question is a good one. Why even produce electrified products in this space? I think what we’re starting to find is that as customers choose electric in their automotive transportation, they’re also starting to look for more sustainable solutions for their leisure activities. The industry as a whole isn’t transitioning to electrification, but we want to make sure that we give customers options as they start to embrace electrification.”
How do you gauge consumer demand for such products?
Buelow: “A core strength of Mercury Marine is our focus on the consumer. Our innovation is really centered around the consumer and driven by their wants and needs. This is an emerging area – we’re talking low voltage products. About the equivalent of lower horsepower. The category is still starting to take shape and develop and it’s still relatively small. It’s more prominent in Europe, which is our larger market. Also, there’s an increasing number of waterways around the world where internal combustion engines are prohibited, and these products solve a need there.”
Bailey: “We know what the capability of the technology is and we also have over 80 years of history in marine propulsion, so we understand how customers use their current propulsion systems. We try to do our best to match or pair technology with customer-facing use cases and we get direct customer feedback to ensure the products resonate with the consumers we’re targeting.”
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Bailey[/caption]
What applications are these electrified products best suited for?
Bailey: “Aluminum and composite pontoons, along with aluminum fishing boats and skiffs, are products that we’re targeting. We’re also seeing ice-restricted waterways start to surface across the globe. As consumers live near these restricted waterways, they’re starting to look for more electrified propulsion products.”
How does the addition of these products affect your supply chain?
Buelow: “All of our product development occurs here in Fond du Lac, so all of our propulsion systems were designed here. It leverages our existing supply chain, which includes the best suppliers around the globe, as well as our own internal manufacturing abilities. I would say we’re also developing new capabilities in house and expanding our supply chain. In the introduction of our Avator, our electric product, we have partnered with new technology leaders to bring the best solution to the marketplace.”
Have your facilities physically changed to support production of electric products?
Buelow: “We continue to add new capabilities on the design and tool side, also new manufacturing capabilities. The company is leveraging our global manufacturing footprint that’s already in existence. It really complements what we already have in place.”
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The Avator 110e[/caption]
Has the company’s workforce grown to support electric work?
Buelow: “We’re early in our journey so I would say there are unique abilities and skillsets that are going to be added. Over time, it will continue to position us as the leader and keep us as a large employer in Wisconsin. I wouldn’t yet say there’s been a big increase in headcount.”
What made the acquisition of Fliteboard attractive to Mercury Marine?
Buelow: “We see this as a rapidly emerging market that provides access to an extended consumer base. When you take the capabilities of flight and combine that with state-of-the-art, advanced foiling with electric propulsion, which is our expertise, we view it as a great opportunity. It’s actually going to be disruptive in other large markets.”
Bailey: “The Fliteboard is a really exciting product. Anyone that’s ever had an experience on a Fliteboard will tell you the same thing. There were many synergies in the Fliteboard technical capabilities and their philosophy around products and customers. Obviously, going forward we’ll be sharing some manufacturing capabilities with Fliteboard. We’ll also be collaborating on other synergies like battery technology and other customer-facing products.”
What is the company eyeing next in terms of electrified products?
Buelow: “At the Consumer Electronics Show, we’ll be introducing the next models in our low voltage lineup – the 75e and 110e. That will be the fifth model in our Avator low voltage offering. We’ll also be sharing the concept for another step in our electrification journey and that’s a concept, high-voltage outboard.”
Bailey: “As mentioned, we’ll soon have five low-voltage products on the market and we have ambition to go into higher voltage offerings in the near future. We’ll be offering a range of products that will encompass propulsion systems developed right here in Fond du Lac and then partnering with (sister companies) Navico and Mastervolt to provide battery solutions for those products.”
Do you ever see a fully electric future for the company?
Buelow: “Internal combustion will not go away for a long, long time – if it ever does. Today, there are many different constraints. Right now, while it’s not that difficult to make an electric solution, constraints on battery packs significantly limit the applicability of pure battery electric vehicles when it comes to boats.”
Bailey: “I don’t see electrification displacing internal combustion engine technology in the near future. Some form of electrification will accompany other technology as the space continues to evolve. If we think about some of the larger vessels, we can’t pack enough battery power in those vessels to make them fully electric simply because of the energy density would require so much battery that the vessel wouldn’t be able to operate.”