The Global Yacht Charter Market, By Yacht Type (Motor Yacht (Displacement Type, Semi-Displacement, Planing, Catamaran and Trimaran) and Sailing Yacht (Sloop, Schooner. Catamaran and Ketch)), By Consumer Type (Corporate, Retail (Individual, Family/Group, Couple and Others), and By Yacht Size (Large (over 50m), Medium (30m – 50m) and Small (up to 30m))and by Region (North America, Latin America, Europe, Asia Pacific, Middle East and Africa) - Global Forecast to 2027”, is expected to be valued at US$ 79.0 Billion by 2027, exhibiting a CAGR of 6.7% during the forecast period (2020-2027), as highlighted in a report published by Coherent Market Insights.
Yacht chartering is the practice of chartering or renting motor yacht for leisure and vacation activities. Skippered charters are yachts rented with a professional crew, which consists a skipper or captain who is responsible for maneuvering of the yacht. In many cases, skipper is aided by other crew members as well. Super charter can cost around US$135,481 to US$ 260,124 per week plus expenses. Yacht charter companies are focusing towards vertical integration with major yacht manufacturers in order to increase their revenue
The global Yacht Charter Market was accounted for US$ 47.7 Bn in terms of value in 2019 and is expected to grow at CAGR of 6.7% for the period 2020-2027.
Increasing celebrity endorsements of yachts is expected to support growth of the global yacht charter market during the forecast period
Increasing number of celebrity endorsements of luxury products such as yacht has increased consumer interest in these products. This, in turn, has significantly increased the number of potential consumers for yacht charters. Furthermore, various celebrities perceive yachts as a leisure product, which in turn, is expected to boost the demand for yacht charters among wealthy population. For instance, in February 2015, Burgess Yachts during its 40th anniversary showcased REGINA, a luxury yacht featured in Bond movie Skyfall. Hollywood star Daniel Craig, who plays the role of James Bond in the movie, was present at the product launch in the Bahamas. Thus, these factors are expected to boost the global yacht charter market growth over the forecast period.
Increasing number of promotional events showcasing yacht charter services can present lucrative growth opportunities
Yacht charters are being used in various boat shows across the globe. This, in turn, has increased visibility of yachts among potential consumers, which, in turn, drives demand for yacht charters. For instance, in March 2015, various yacht manufacturers such as Prestige Yachts, Bavaria Yachts showcased their latest yachts at the Moscow Boat Show – the largest boat show in Russia.
Presence of unregistered yacht charter providers is expected to hinder the global yacht charter market growth over the forecast period
Presence of unregistered yacht charter providers is the major restraining factor in the market. Several boat owners do not possess concerning license and yet offer yachts for charter services, which is illegal and negatively impacts the yacht charter market. For instance, in 2012, Malta Yacht Charter – a company based in Malta, Europe, that offers both skippered and bareboat charter yachts – made several reports to the Transport Malta (formerly known as Malta Maritime Authority) about unregistered yacht charter companies in the region. Thus, these factors are expected to hinder the global yacht charter market growth over the forecast period.
Thailand is the most popular charter destination in Asia Pacific. The number of super yachts in Phuket is increasing due to the rising high-tier population in the region. For instance, Yacht Solutions, a super yacht marine consultancy based in Phuket, entered into joint venture with Italthai Marine Limited – a ship building company based in Bangkok. The objective of the joint venture was to cater to growing demand for super yachts in the region.
Turkey is the most popular charter destination in Eastern Europe. Gulets, a type of motor yacht, is the most common type of yacht used in the region. These yachts have a strong construction, good performance, and large internal capacity. For instance, in 2011, Charterworld.com launched Gulet Yacht DOLCE MARE – a luxury gullet fitted with the latest equipment – for easy navigation and sailing across Turkey.
Dubai is the most popular charter destination in MEA. Harbours around the country are being developed in order to cater to the growing number consumers visiting the charter destination. The International Dubai Boat Show is conducted every year since 2008 showcasing various yachts for charters.
Key players operating in the global yacht charter market are Fun2Rent, Sunsail Ltd., Boatbound Inc., The Moorings, Yachtico, Hanse Group, Sailogy S.A., Fraser Escape Bareboat Charters, Dream Yacht Charter, Incrediblue Limited, and Antlos.
Keu companies in the market are focused on business expansion, in order to gain competitive edge in the market. For instance, May 2020, Dream Yacht Charter inaugurated a new Caribbean base in U.S Virgin Islands.