yacht charter market is expected to reach USD 93,506.3 million by 2024 and is expected to show a CAGR of 6.9% during the forecast period 2024-2031, according to a new report published by Coherent Market Freight Forwarding Market Insights growth has been driven This is mainly due to the increasing number of high-income individuals (HNWIs) around the world and interest in marine recreational activities is increasing.
According to the Knight Frank Wealth Report 2021, the number of HNWIs worldwide is increasing at an annual rate of 5% and reaching 30 million in 2021.Moreover, increase in spending capacity of middle-class families have also fueled the demand for yacht chartering services in recent years. The rising popularity of yacht tourism and cruising has compelled manufacturers to develop advanced luxurious yachts with multiple amenities which in turn is promoting the market growth. However, fluctuating fuel prices and high initial investment associated with yacht charters are some of the factors expected to hamper the growth of yacht charter market over the forecast period.
Key Market Trends: Luxury yacht rentals are gaining significant traction in the market. Manufacturers are focusing on developing multi-cabin luxury yachts with premium fixtures, entertainment systems, spacious staterooms, swimming platforms, and open-air seating areas. For instance, in 2021, Americancustom yachts launched a 149-foot luxury yacht ‘Fathom’ equipped with 6 cabins, ocean-view spaces, expansive deck, and ultra-modern amenities. Growing adoption of artificial intelligence (AI) and Internet of Things (IoT) technologies in yachts is another major trend witnessed in the market. AI-enabled systems aid in optimizing fuel consumption, route planning, performance monitoring, and remote diagnostics & repair activities. Meanwhile, integration of IoT allows monitoring yacht operations and providing enhanced customer experience through connected devices. Development of hybrid-electric and fully electric luxury yachts is also gaining prominence to reduce environmental footprint of yachting activities.
Yacht Charter Market Opportunities : The yacht charter market by type is segmented into motor yacht, sailing yacht and others. Motor yacht segment held the largest market share of around 60% in 2024 owing to the preference of customers for luxury experiences on motor yachts. Motor yachts offer amenities like swimming pools, Jacuzzis, fully equipped kitchens and multiple cabins which enhance the leisure experience for customers.
The yacht charter market by consumer type is segmented into corporate and retail. The retail segment is expected to witness highest growth during the forecast period owing to rising high net worth individuals interested in luxury yachting experiences for leisure and holidays. Retail customers want to spend time with families and friends in exclusive yachts while cruising in scenic destinations. This will drive the growth of retail consumer segment.
Key Market Takeaways: Yacht Charter Market size in 2024: USD 93506.3 Mn; CAGR: 6.9%, Forecast Period: 2024- 2031
The yacht charter market is anticipated to witness a CAGR of 6.9% during the forecast period 2024-2031, owing to rising interest of high net worth individuals in luxury cruising experiences.
On the basis of type, motor yacht segment is expected to hold a dominant position, owing to preference of customers for amenities and experiences offered on motor yachts.
By consumer type, the retail segment is expected to witness highest growth due to increasing inclination of high net worth individuals towards luxury yachting holidays.
Regionally, North America is expected to hold a dominant position over the forecast period, due to large population of high net worth individuals and presence of scenic cruise destinations.
Competitor Insights: Key players operating in the yacht charter market include Sunsail Ltd., Antlos, YachtCharterFleet, Camper & Nicholsons International Ltd., Dream Yacht Charter, Incrediblue, Boat International Media Ltd., Charterworld Limited, Mertello Yacht and Super Yacht Logistics. These players are focusing on expanding their fleet of luxury yachts to tap the growing opportunities.
Recent Developments: In June 2023, prominent yacht builder Sunreef Yachts announced plans to launch a new line of fully electric catamarans. The first model, scheduled to debut in early 2024, will be a 60-foot catamaran capable of carrying up to 10 passengers. It will feature a range of approximately 100 nautical miles on a single charge from its lithium battery banks. Sunreef Yachts believes this electric catamaran line will appeal both to environmentally-conscious charter clients as well as those seeking a quiet, low-maintenance experience. The introduction of high-end electric charter yachts shows that the industry is embracing new technologies. More information in full report.
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