Occupancy is Horrible for Measuring Marina Performance
Having a boat in every slip might be 100% occupancy, but this does not mean you’re making maximum potential revenue.
The best method for analyzing marina performance is slip differential. Slip differential is the measurable difference between the size of a boat and the size of a slip. If you have a 40-foot boat docked in a 50-foot slip, you would have a slip differential of 20%. If every foot is worth $10.00, then your marina is losing out on $100.00.
If your marina has a slip differential of 0%, your making maximum potential revenue. A marina can even have a negative slip differential if allowable overhang is properly managed.
Calculate your slip differential
The easiest way to calculate your marina’s slip differential:
Establish the length of all the slips in your marina combined
Establish the length of all the boats in your marina combined
Subtract your total combined slip length by your total combined boat length to get your total measurable slip difference
Divide your total measurable slip difference by your total combined slip length
Multiply by 100
Let us know if you’d like us to calculate this for you.
How to achieve a slip differential of 0%
Achieving a slip differential of 0% is no easy task. Properly organizing boats is time-consuming and complex.
The newest marina tool, Swell Advantage, calculates the best slip to assign to a boat for you. This saves dockmasters time that would’ve been spent on dock plans while producing your marina additional revenue.
Next week we'll continue discussing how to maximize marina performance by analyzing the four marina pricing strategies.