Global Yacht Charter Market Leaps as COVID-19 Restricts Air Travel
The recent report by Fairfield Market Research indicates that the global yacht charter market is expected to be worth US$25.53 Bn by 2027. The market has been thriving as the ideas related to vacationing, leisure, and outdoor activities undergo a paradigm shift. Supported by improved incomes and the introduction of nautical tourism, the global yacht charter market is projected to register a CAGR of 22.85% CAGR by 2027.
Key Highlights into Global Yacht Charter Market:
- Yacht charter demand is growing substantially in the European regions as nautical tourism finds support in the growing high-net-worth individual (HNWI) population
- Water sports such as sailing opens an avenue for global yacht charter market
- Luxury yachts become a trend as yacht charter companies expand fleets equipped with intelligent and smart solutions for entertainment and safety
- Motor yacht segment to lead global yacht charter market, registering a CAGR of 24.89% by 2027
- Europe to lead global yacht charter market as sailing activities remain integral to tourism
Realising Aspirational Holidays Gives Global Yacht Charter Market a Leg Up
The global yacht charter market has been experiencing a steady rise in recent years as the element of luxury continues to percolate to the idea of vacationing. The recent research report finds that aspirational holidays have become the undercurrent of renting yachts to sail with friends and family, giving the global market a shot in the arm. The development of ports to enable tourist activities has further fuelled the market, allowing coastlines to generate revenue in newer ways.
The demand for yacht charters is expected to surge in the coming years as young travellers seek new convenience while exploring new locations. As this eliminates air and road travel, it allows tourists to explore multiple ports, islands, and coastlines by renting a yacht within a given duration. The growing number of tourists are expected to take note of this rather new concept as travel remains restricted due to the COVID-19 pandemic.
Motor Yachts to be Preferred Over Sailing Counterparts due to Speed
The global yacht charter market offers motor yachts and sailing yachts. The advantage of speed has garnered this segment noticeable attention in recent years. Motor yachts allow tourists to navigate at the desired pace, giving them a chance to cover more locations in lesser time. Designed to manoeuvre through shallow and narrow passages, motor yachts are expected to outpace sailing yachts between 2021 and 2027. While the sailing counterpart is utilized for a more niche experience of enjoying a sport, a motor yacht gives the end user a safe way of exploring the waterbody. Its larger deck space has also become an important driving factor for the segment as it continues to lure in group bookings.
Europe Leads Global Yacht Charter Market with 48% Share in 2020
Geographically, Europe is expected to lead the global yacht charter market during the forecast period. Fairfield Market Research estimates that countries such as Turkey and Italy in Europe will ensure its dominance, which stood at 48% in 2020. The strong presence of key players, developed coastlines for tourism, and ongoing collaborations with tourism companies for yacht charters are expected to keep the regional market’s sentiment buoyant.
The yacht charter market in Europe is also expected to have a positive outlook as the region has a high number of licenses for watercraft and a significant influx of wealthy tourists.
Meanwhile, Asia Pacific is expected to show a 24% growth rate as high-net-worth individuals opting for yacht charters remain on the rise. The trend is especially prominent in Southeast Asian countries as consumers seek long-range yachts to spend longer duration sailing the seas. Travel restrictions due to COVID-19 are expected to give this market a boost especially on the popular coastlines.
Key Players to Focus on Collaborations to Up their Booking Game
Some of the key players operating in the global yacht charter market are Key players operating in the global yacht charter market are Dream Yacht Charter, Fraser Yacht, Boatbound Inc., Charter Yachts Australia, Mertello Fairline Yacht, CharterWorld LLP, and Thai Charters. Analysts anticipate that collaborations with travel agencies and booking platforms will be key strategies for these players.