Yacht market is anticipated to grow at a CAGR of 29.4% during the forecast period (2024-2031).  The global yacht market is on a up swinging, fueled by the growing interest of ultra-high-net-worth individuals in luxury cruising and yacht tourism.

Market Dynamics

Implementation of stricter environmental regulations

The introduction of stricter environmental regulations is having a profound impact on the market. As global awareness of environmental issues grows, there is increasing pressure on industries to reduce their carbon footprint and adhere to sustainable practices. In line with this, yacht manufacturers are compelled to innovate and develop eco-friendly yachts that align with both regulatory requirements and the values of environmentally conscious consumers. The integration of renewable energy sources such as solar panels, wind turbines, and hybrid propulsion systems is part of this initiative.  The 109 metre Bravo Euganiais highly efficient despite her impressive size. The Oceanco built super yacht is powered by a hybrid propulsion engine that offers a quiet electric mode and which allows her to consume 30% less fuel than other motor yachts in her size class. She is also equipped with a waste heat recovery system and an integrated battery for optimal operation and performance. Manufacturers are also focusing on using sustainable materials and reducing waste during construction. These environmentally friendly practices are not only meeting legal obligations but also enhancing the appeal of global yachts among a new generation of affluent clients who prioritize sustainability. This combination of regulatory compliance and consumer demand drives substantial investment in research, development, and implementation of green technologies within the industry, setting a new standard for the entire sector.

Growing emphasis on experiential luxury

The concept of experiential luxury is another pivotal driver in the market. The high-net-worth individuals are increasingly seeking unique and personalized experiences that reflect their tastes and values. This goes beyond mere ownership and extends to how the yacht can provide a one-of-a-kind, luxurious experience. Yacht manufacturers and designers are collaborating closely with clients to understand their specific needs and desires, allowing them to craft yachts that are more than mere vessels but extensions of their owners' personalities and lifestyles. This focus on experiential luxury is meeting and exceeding customer expectations, reinforcing the allure of owning a global yacht.

Market Segmentation

Our in-depth analysis of the global yacht market includes the following segments by type, size, and application:

• Based on type, the market is sub-segmented into Sports, Cruiser, Flybridge, Motor, Superand Long RangeYacht

• Based on size, the market is bifurcated into upto 50, 50 to 100 and above 100 meters.

• Based on application, the market is augmented into personal and commercial use. 

Motor Luxury Yachts segment is anticipated to contribute the largest market share in 2028.

The motor yacht segment is embracing new technologies like fuel-efficient engines and improved stabilization systems. This makes them more appealing to environmentally conscious buyers and those who prioritize a smooth ride. People seeking the ultimate luxury experience on water are drawn to motor yachts. These vessels offer more space than sailing yachts because they don't rely on sails for propulsion. This translates to room for lavish features such as Jacuzzis, movie theaters, and even helicopter pads on superyachts.

Yacht upto 50 Meters Sub-segment is Expected to Grow Over the Coming Years

The up-to-50-meter segment is anticipated to be the fastest-growing within the luxury yacht market. This range offers a good balance between manageable size, cruising capabilities, and luxurious amenities. These yachts are easier to handle and require less crew compared to mega-yachts. Compared to larger yachts, the up-to-50-meter segment offers a more attainable entry point into the world of yacht ownership for high-net-worth individuals. These yachts can be used for both private enjoyment and chartering, maximizing their value for owners.

Regional Outlook

The Global yacht market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia), and the Rest of the World (the Middle East & Africa, and Latin America). Asia-Pacific is anticipated to emerge as the fastest-growing regional market during 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 with respect to 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 during the projection period.

Global Yacht Market Growth by Region 2024-2031

Europe Region Holds Major Market Share

Europe holds the most prominent share of the global yacht market. With its vast maritime history, Europe boasts a captivating market defined by its coastlines and inclination for extravagant living standards. The European market reflects the continent's diversity and variety, offering various yacht sizes to cater to different preferences. In this enchanting landscape, smaller yachts up to 20 meters and larger-sized yachts exceeding 50 meters hold prominent positions. The market thrives as a traditional yachting hub, with countries like Italy, France, and Germany leading in manufacturing and innovation.

Market Players Outlook

*Note: Major Players Sorted in No Particular Order.

Global yacht market, include major players such as Azimut Benetti, Ferretti Group, Fedshipp, Lurssen and among others. Azimut is also the world’s largest maker of 24-metre plus yachts. In March 2023, Ferretti Group announced the acquisition of a production site in Ravenna, Italy, spanning over 70,000 square meters. The acquisition involved an initial investment of approximately EUR 40 million. The company also plans to invest an additional EUR 40 million over the next three years to develop new production areas and establish a dedicated research and development at the site.

The Report Covers

• Market value data analysis of 2023 and forecast to 2031.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global yacht market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.