Yacht Industry Overview
The global yacht market size is expected to reach USD 13.95 billion by 2030, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 5.8% from 2023 to 2030. The market is expected to witness significant growth owing to the increasing coastal and marine tourism activities across the globe. Furthermore, the rising standard of living and growing corporate tourism activities globally are expected to further drive the market.
The sports segment is expected to exhibit high growth owing to its use in personal activities as well as sporting events. The increasing number of recreational sporting events, yacht trade shows, and events organized by OEMs are supporting the growth of the market in developed regions such as North America and Europe. A significant increase in the number of people participating year-on-year in marine recreational activities is also expected to further boost the market growth in these regions. Moreover, rising marine tourism and the growing population of high-net-worth individuals are also likely to contribute to the growth of the regional markets.
According to the World Bank, HNWI accounts for less than 1% of the world’s total population and more than 40% of the world’s total wealth. The growing HNWI population is driving the spending on leisure activities, including yacht travels. The demand for modern leisure yachts is particularly growing as it provides a connected experience while cruising, fishing, and so on.
The increasing adoption rate of yachts has compelled manufacturers to invest in research and development on building yachts using high-strength composite material for physical structures. Significant amounts of RD budgets are also assigned for the integration of technologies such as IoT that enable the exchange of information through a single network. Furthermore, the digitalization of propulsion systems has also significantly increased the efficiency of yachts, thus reducing fuel consumption.
Yacht Market Segmentation
Grand View Research has segmented the global yacht market on the basis of type, yacht length, propulsion, and region:
Based on the Type, the market is segmented into Super Yacht, Flybridge Yacht, Sport Yacht, Long Range Yacht, and Others.
- The super yacht segment dominated the market with a revenue share of more than 31% in 2022. The high share of this segment can be attributed to the high popularity of these yachts among the end-users. Sport yacht is expected to emerge as a fast-growing segment in the market. This can be attributed to the high demand for sports yachts in countries such as China and France.
- The recreational tournaments are also offering employment opportunities. They are emerging as a source of revenue generation for yacht caterers, clothing outlets, chandlers, and boat builders, among others. Boating can be considered a year-round activity, as people tend to enjoy outdoor water sports activities in all seasons.
Based on the Length, the market is segmented into Up to 20 Meters, 20 to 50 Meters, and Above 50 Meters.
- The growth of the segment can be attributed to benefits such as low maintenance costs and light wind sailing capabilities that help save fuel and ensure traveling in a favorable wind direction. Additionally, benefits such as lower moorage costs and shallow drafts for water anchorages are also making this length size a preferred choice among the users.
- Yachts with length sizes ranging up to 20 m can be used for both competitive as well as recreational purposes. Furthermore, in North America and Europe, the emerging trend of using renewable energy such as solar energy and wind energy in sea vessels is most likely to play an important role in reducing fuel usage and emissions from ships.
Based on the Propulsion, the market is segmented into Up to 20 Meters, 20 to 50 Meters, and Above 50 Meters.
- The motor yacht segment was dominant in the global market for yachts, with a share of more than 82% in 2022. The high share of this segment can be attributed to the benefits offered by these yachts including the high speed and power, and large distance coverage, among others. Also, these yachts are highly preferred by people for their advanced systems and equipment installed in the motor yachts.
- The sailing yachts use sails as a propulsion system and therefore depend upon the speed of the wind for movement. Although the sailing vessels can cover long distances, the design, deck space, and onboard facilities offered by motor yachts makes them a more attractive option to the buyers. The rising focus on recreational activities and the increasing technological advancements is further anticipated to bolster the growth of motor yachts in the global market. The motor yacht segment is expected to grow at a CAGR of 5.9% from 2022 to 2030.
Key Companies Market Share Insights
In order to gain a higher market share, the key market incumbents are undertaking initiatives and adopting strategies such as entering into partnerships, making investments, engaging in mergers acquisitions, launching new products and services, and maintaining competitive prices for their products and services.
In July 2020, Azimut Benetti Group announced the launch of a new yacht model under the Magellano collection. The new yacht, Magellano 30 METRI, is designed by Ken Freivokh. In August 2019, Bavaria Yachtbau GmbH announced the launch of two new sailing yachts, C45 and C50, in France. The sailing yachts are designed by Cossutti Yacht design. In March 2019, CRN, a brand of Ferretti S.p.A., announced the launch of a new 79-meter mega yacht 135. The new boat is capable of accommodating 12 guests in 5 VIP cabins. Some of the prominent players in the yacht market include:
- Azimut Benetti S.p.A.
- Damen Shipyards Group
- Heesen Group
- The San Lorenzo S.p.A
- Sunseeker International
- Ferretti S.p.A.
- Alexander Marine International Co., Ltd. (AMI)
- Princess Yachts Limited
- Viking Yacht Company
Order a free sample PDF of the Yacht Market Intelligence Study, published by Grand View Research.
About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research Helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.
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