Yacht Market Size, Share & Trends Report

Yacht Market Size, Share & Trends Analysis Report By Type (Super Yacht, Flybridge Yacht, Sport Yacht, Long Range Yacht), By Length, By Propulsion, By Region, And Segment Forecasts, 2021 - 2028

  • Published Date: Apr, 2021
  • Base Year for Estimate: 2020
  • Report ID: GVR-3-68038-586-1
  • Format: Electronic (PDF)
  • Historical Data: 2017 - 2019
  • Number of Pages: 80

Report Overview

The global yacht market size was valued at USD 8.15 billion in 2020. It is expected to expand at a compound annual growth rate (CAGR) of 5.2% from 2021 to 2028. The demand for yachts has gradually increased over the last few years owing to the increase in disposable income of individuals and their inclination toward leisure or recreational activities. The growing preference of travelers for luxury tourism, personalized service, and exclusive traveling are the primary factors propelling the sales of yachts. The manufacturers are focusing on including luxury features for offering improved performance characteristics and customer experience.

U.S. yacht market size, by type, 2017 - 2028 (USD Billion)

The manufacturing processes have also undergone drastic changes over the last few years. Yachts were manufactured using wood and fiber-reinforced polymers. However, the use of composites has gained popularity owing to benefits such as corrosion resistance, lower maintenance costs, and better strength to weight characteristics. The use of electronically controlled fuel injection systems offers the flexibility to let engines operate at variable speeds and significantly reduce noise, vibration, and emissions in port and coastal areas. It also helps increase the efficiency of the yacht propulsion system.

The market is expected to witness significant growth in Europe over the forecast period. The growing number of High-Net-Worth Individuals (HNWI) and the adoption of technologically advanced yachts are the primary factors driving the growth of the sales of new yachts in the region. High-tech interiors and luxurious amenities provided by the European OEM manufacturers are also predicted to drive the demand in Europe. The OEM manufacturers have been observed to be continuously investing in R&D activities to offer a unique experience while traveling with onboard luxury accommodation.

Despite the high total cost of ownership associated with a personal yacht, the marine travel and tourism activities have not been significantly affected owing to the easy availability of a yacht on a rental basis. Improved maritime security systems, connectivity, and tracking, and increased disposable incomes are further driving the market. Furthermore, advancements in telematics and IoT platforms are expected to improve the industry potential over the coming years. The key vendors that provide yachts on a rental basis include Sailogy S.A.; Boatbound Inc.; The Moorings; Fun2 Rent; and Incrediblue Limited.

The COVID-19 pandemic has adversely affected the market growth, including the yacht chartering business. The emergence of the pandemic and the subsequent lockdowns imposed by the governments on various nations, coupled with the severe travel restrictions, affected the market. Also, the supply chain disruptions became a major hindrance to manufacturability. However, the prolonged stay at homemade people more inclined towards engaging in leisure activities, and therefore, the market started to recover as the restrictions were eased. The manufacturing companies also witnessed an increase in the number of orders for new yachts as more people were willing to travel alone with their families.

Type Insights

The super yacht segment dominated the market with a revenue share of more than 29% in 2020. The high popularity among the end-users is anticipated to bode well for the segment growth. The sport yacht is expected to emerge as the fastest-growing segment in the market. The segment growth can be attributed to the high demand for a sports yacht in countries such as China and France. These countries have witnessed the active participation of adults in recreational boating activities and sporting events. Sports yachts are used for marine tourism, sports tournaments, other recreational activities such as cruising, fishing, and other water sports activities.

Furthermore, increasing demand for recreational tournaments and growing affinity for outdoor recreational activities are expected to drive the segment growth. 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.

Propulsion Insights

The motor yacht segment held the largest revenue share of more than 82% in 2020. The high share of this segment can be attributed to the benefits offered by these yachts including the high speed and power, large distance coverage, among others. Also, these yachts are highly preferred by the people for the advanced systems and equipment installed in the motor yachts. Modern equipment acts as a key enabler for the high sales of such yachts in the global market. Also, the segment is forecasted to emerge as the fastest-growing segment over the forecast period.

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 the 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 market is expected to expand at a CAGR of 5.7% from 2021 to 2028.

Yacht Length Insights

The 20-to-50-meter segment dominated the market with a revenue share of over 54% in 2020. It is expected to continue to dominate the segment over the forecast period. 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.

Global yacht market share, by length, 2020 (%)

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. A yacht of this length size operating on renewable energy is generally compact and lightweight as it requires less energy to sail. This is also a prominent factor augmenting the growth of the up to 20 m segment.

Regional Insights

Europe accounted for the largest market share with a revenue contribution of over 35% in 2020 in the global market. The high share can be attributed to the increased yacht sales in the region. The demand in European countries is majorly driven by factors such as an increasing number of HNWI and the growing popularity of water sports and fishing activities. In the upcoming years, passenger traffic in coastal and marine tourism is expected to increase drastically due to the attractiveness of the region and recent supportive policies. This is anticipated to increase in investments in coastal areas and recreational activities such as fishing, sail training adventures, white-water rafting, kayaking, and one-day boating adventures, in addition to scuba diving, free diving, and snorkeling. The increasing number of trade shows hosted by manufacturers and recreational boating events are supporting the market growth in the region.

Asia Pacific is anticipated to emerge as the fastest-growing regional market over the forecast period. The rise in disposable income and improved standard of living are some of the critical factors responsible for the changing preference of the regions’ populace for yacht travel. Furthermore, government initiatives for the development of tourism activities such as the Swadesh Darshan Scheme and Incredible India are expected to boost the regional market growth over the forecast period. However, countries facing economic crises, political instability, and stringent FDI policies are anticipated to negatively influence growth. Furthermore, the surging demand for recreational activities supported by the increasing participation of people in marine recreational activities in countries such as Singapore, Thailand, China, and Australia is also expected to bolster the growth of the regional market.

Key Companies & Market Share Insights

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 and 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 its two new sailing yachts C45 and C50 in France. The sailing yachts are designed by Coussutti Yachtdesign. In March 2019, CRN, which is 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 global 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

Yacht Market Report Scope

Report Attribute

Details

Market size value in 2021

USD 8.50 billion

Revenue forecast in 2028

USD 12.16 billion

Growth Rate

CAGR of 5.2% from 2021 to 2028

Base year for estimation

2020

Historical data

2017 - 2019

Forecast period

2021 - 2028

Quantitative units

Revenue in USD Million and CAGR from 2021 to 2028

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments Covered

Type, yacht length, propulsion, region

Regional scope

North America; Europe; Asia Pacific; Latin America; Middle East & Africa (MEA)

Country scope

U.S.; Canada; U.K.; Germany; France; China; India; Japan; Brazil; Mexico

Key companies profiled

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

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Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2028. For this study, Grand View Research has segmented the global yacht market report based on type, yacht length, propulsion, and region:

  • Type Outlook (Revenue, USD Million, 2017 - 2028)

    • Super Yacht

    • Flybridge Yacht

    • Sport Yacht

    • Long Range Yacht

    • Others

  • Yacht Length Outlook (Revenue, USD Million, 2017 - 2028)

    • Up to 20 Meters

    • 20-50 Meters

    • Above 50 Meters

  • Propulsion Outlook (Revenue, USD Million, 2017 - 2028)

    • Motor Yacht

    • Sailing Yacht

  • Regional Outlook (Revenue, USD Million, 2017 - 2028)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

    • Asia Pacific

      • China

      • India

      • Japan

    • Latin America

      • Brazil

      • Mexico

    • Middle East & Africa (MEA)

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