B oating gets into your blood. There’s something incomparable about the purling of water against the hull, the happy sounds of children splashing off the swim platform, the crispness of the fresh lake air, and the whirr of a fishing reel. It’s unlike anything else. Embracing the boating lifestyle is not always as simple as just buying a boat, however. Today, young adults are bombarded with recreational opportunities. Parents are juggling work, home life and too many summertime activities for the kids. Retirees are downsizing in the hopes of minimizing workload and hassle. And, for those who are brand new to boating, it’s easy to become overwhelmed with the sheer number of available choices. How on Earth can you decide which boat will be right for you? There’s a single innovative solution. It’s called a boating club, and it presents an appealing alternative to boat ownership. You don’t need to have a lot of time, and major effort is not required. Just get to the dock, and the club will take care of the rest. Join the Club 40 april 2015 | LAKELANDBOATING.COM photos courtesy of freedom boat club by Heather Steinberger photo courtesy of discover boating With a growing movement towards recreational boating rentals, Freedom Boat Club offers would-be boaters the option of hassle-free time on the water. An innovative vision John Giglio, 40, is the enthusiastic chief executive officer of Freedom Boat Club, the world’s largest members-only boating club. From one Florida location in 1989, FBC has grown to incorporate 86 corporate and franchise locations nationwide, including Great Lakes franchises at Chicago; Lake Charlevoix, Michigan; and Catawba Island, Sandusky, Rocky River and Huron, Ohio. Giglio grew up in Rhode Island. Despite the state’s reputation as a boating hotspot, he says he didn’t really get into boating until he studied business at Florida Southern College in Lakeland. “I started dating a girl from Winter Haven, and we went boating together,” he says with a smile. “We got engaged in 2000.” Armed with an MBA from Florida Southern University, Giglio became part owner in a chain of auto body repair shops with 20 locations, yet he still found himself drawn to the water. He purchased a 17-foot waterski boat and logged many hours fishing aboard a previous employer’s 42-foot Hatteras. “I got addicted to boating,” he says. That addiction informed his decision when he decided to move into a new career, joining FBC as operations manager in 2004. Since its 1989 founding, the Sarasota-based company had new owners roughly every four to five years, which Giglio attributes to a time-share model that was deeply flawed. “When I started in November 2004, the company had just been purchased by a Cincinnati investment group,” he recalls. “The existing model wasn’t very solvent, and the new owners were excited about the idea of growing through franchising. So, in the next two years, we invested in new boats and cleaned up our procedures.” Giglio, who became sales manager in 2007 and director of sales and operations just six months after that, had his work cut out for him. “It was so difficult to sell these expensive memberships, because the club got all the money up front,” he says. “It cost between $12,000 and $15,000 to join. So we created a lower entry fee and recurring monthly payments, and club members could stay as long as they liked at a locked-in rate.” This sustainable new business model made the club accessible to many more people. By 2009, the club’s franchises were gaining traction, growth spiked — and the company owners decided they wanted to leave. “I still don’t know why,” Giglio muses. “I tried to help sell it. We had six to eight offers, but there’s so much involved with a business like this. It’s hands-on, with a big capital investment. The last potential buyer eventually fell off, (so) I made an offer.” He and a partner purchased FBC in March 2011, and Giglio bought out the partner in May 2012. Today, the company has 15 corporate locations and 71 franchise locations in 13 states, with more than 800 available boats serving approximately 10,000 members. Why do the club thing? “Our members are united by their passion for boating,” Giglio says, “and their desire to find an alternative way to be on the water.” Their numbers are growing. Urban locations see younger members, including singles, couples and families with small children. In places like Florida, Savannah, Hilton Head and Charleston, more retirees are involved. “Right now, probably 60 percent of our members are ages 55 and up,” he says. “Seventy percent are retired, but as our concept becomes more mainstream, the numbers of younger people are increasing. “Young professionals and parents just don’t have time, plus they’re cost-conscious and don’t want to take on more debt,” he continues. LAKELANDBOATING.COM | april 2015 41 42 april 2015 | LAKELANDBOATING.COM often for perch and walleye fishing. We also use the boats for tubing, clubhouse, green space, patio, party facilities, social events, and waterskiing, entertaining and touring Cleveland-area locations. If community networking opportunities. we want to boat around Cedar Point, Put-in-Bay or any of the other Both Ginter and Spreng are excited to see what the future holds. islands, we can simply reserve a boat out of Sandusky or Catawba “Boating is such a great way to bring families together,” Ginter comments. “The community is still getting to know us; we’re expecting and leave from there.” One of the newest FBC franchises is the Chicago location at to see faster growth as we go forward.” Montrose Harbor. Mike Ginter, a longtime general manager in the “Every day is a fun day for us right now,” Jim Spreng says. “We’re hospitality industry and former owner of a Highland Park dive shop, buying more boats, and we’re providing a really good service. John has was introduced to the club through the Cleveland franchise and opened taken (Freedom Boat Club) to levels that we never dreamed possible.” H his own location in 2014. He says he’s seeing a surge of interest from young families. “Time is the driver,” Ginter says. “Most of our members could afford to own a boat, but they want a no-hassle way to enjoy activities in and around the city. We took a leap of faith, because there was nothing like it in Chicago. We expected the 20- to 30-year-old singles, but the core of the club is turning out to be the urban family.” These families have a variety of interests and enjoy using club boats to watch the city’s Fourth of July fireworks, visit downtown social venues, and participate in the raft-up revelry at “the Playpen.” “We share the boats with friends and use them as much as we can,” says member Richard Coasby. “We took a boat out on the day of a Bears game, and we tailgated by Soldier Field. It was one of the best days we had last summer.” “Going out on a Freedom Boat Club boat is a total escape,” says member Stephanie Saghy. “It’s like our private backyard in Chicago. My husband and I are not distracted on the boat like we are at home. It’s an escape that’s just ours, and it’s wonderful.” This summer, Ginter is planning to add a dock for private parties. Also, a new partnership JOIN THE CLUB! with the neighboring Chicago Corinthian Yacht More Affordable, Less Work & More Fun than Boat Ownership! Club will give FBC members access to the yacht 00970 Marina Drive • Boyne City, MI • 231-582-1540 club’s training and boating classes, bathrooms, www.freedomboatclub.com • www.sommersetpointe.com dog photo courtesy of discover boating; group photo courtesy of freedom boat club None of the Hassle All photos courtesy of freedom boat club is their first experience with boating, we want it “We make it easy for them. Not only do our boats to be a good one.” come with a lower price tag than owning a single boat, they come with less stress.” In fact, FBC has partnered with the Pro-Line, Indeed, the club handles all cleaning, maintenance, Baja, Donzi and Fountain brands to offer a special prep work, fueling and storage. Members don’t need deal. Anyone who joins the club and decides to to worry about dock fees, insurance or trailers. They buy a boat within the first year will get 20 percent simply hit the dock whenever the mood strikes. off the purchase, plus credit toward what they paid to FBC during that year. “On average, boat owners use their boats 12 “People in the industry are saying, ‘We want to times per year,” Giglio says. “Our members get out 24 or 25 times per year. They’re more engaged. John Giglio, CEO of Freedom Boat Club, partner with you,’” Giglio says. “It makes sense, They’ll run out for lunch, or even just for an hour.” has taken the boat club concept and because everybody is our demographic. It’s amazing Then there are the perks. FBC offers unlimited, elevated it to new heights. how one concept can hit such a broad range of people.” hands-on training at no extra cost. A partnership with West Marine means discounts on fishing and boating supplies, electronics and Freedom in the Great Lakes seminars. And social events are a huge draw. FBC first arrived in the Great Lakes at Catawba Island, Ohio, in 2009. Jim and Beckett Spreng, franchisees in Savannah, Georgia, “Boating is a lifestyle, and not just on the water,” he explains. “So had a cottage at Catawba and realized that bringing the club concept while we do have on-water events and docktail parties, we’ll also rent to Lake Erie was a prime opportunity. out an entire restaurant or go to a hockey game.” What’s more, members enjoy reciprocal benefits at all club locations. “We started with four boats in 2009,” says Jim Spreng, who grew That means boaters who are summering in the Great Lakes, wintering up in Ashland, Ohio. “Now we have four locations. Sandusky opened in Florida, or going on vacation anywhere from California to New in 2011, Rocky River (which serves metropolitan Cleveland) opened England have access to club fleets and group insurance coverage. in 2014, and Huron will open this summer.” Club member Scott Van Dootingh says he and his wife, Lisa, joined “I want each member to derive so much value from a membership that it becomes an integral part of life,” Giglio says. “And we add FBC because they couldn’t agree on the right boat to buy. to that every day. We listen to our members, and we’re willing to “My wife wanted a go-to-the-island and tubing boat, and I wanted innovate and evolve. If they don’t like something, we can change it.” something more suitable for fishing,” Van Dootingh remembers. “We absolutely love Freedom for the ease of use. We show up at the dock, Membership costs vary based on location and available fleets, but and they help us load our gear. We do a quick checkout, and they help Giglio says entry fees range from $3,500 to $7,000, and monthly fees us launch. When we come back, a dockhand helps us dock and unload run from $200 to $400. As he points out, even if you only use a boat the boat. Then we drive away while they clean the boat and take care once or twice a year, you’ll still spend less than if you owned a boat. of all the maintenance. It’s truly hassle-free boating, and we love it.” “And if you don’t like it, you’ve still made a smaller commitment They use a Don Juan for cruising to Kelleys Island and Put-in-Bay, and investment,” he notes. The reality is that many club members eventually will become boat while preferring a Mariah for sunning and tubing at East Harbor with their owners, and manufacturers are recognizing this. While some FBC three boys. Van Dootingh also makes sure to get in plenty of fishing time. Member Matt Davis says he and his family have been able to use members are former boat owners who have carefully weighed costs against usage, others dream of buying a boat. As Giglio points out, FBC boats up to four times per year at other club franchises, including gives those people an opportunity to get into boating 10 years early. locations in southwest Florida and Charleston, South Carolina. “Plus, instead of just buying the cheapest, smallest boat at a “We have a fleet of boats across the country at our disposal,” he dealership, they get to try different kinds of boats,” he says. “If this enthuses. “You cannot beat that. Here, my son and I use the club of the Fun! LAKELANDBOATING.COM | april 2015 43
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