Luxury Yacht Market Trends

Global Luxury Yacht Market Overview

Luxury Yacht Market Size was valued at USD 6,900.7 million in 2022. The Luxury Yacht Market industry is projected to grow from USD 7,404.4 Million in 2023 to USD 14,199.9 million by 2032, exhibiting a compound annual growth rate (CAGR) of 7.50 % during the forecast period (2023 - 2032).  The luxury yacht refers specifically to the marine industry sector that focuses on buying and selling high-end, lavish, and extravagant yachts. These yachts are typically larger and boast cutting-edge technology, luxurious features, and top-quality finishes. The luxury yacht industry has been on an incredible growth trajectory in recent decades, largely fueled by the increasing wealth of individuals around the world. These magnificent vessels, often likened to floating mansions or palaces, represent the pinnacle of design, technology, and onboard opulence.

As per Analyst at MRFR, “The luxury yacht industry has seen several growth factors in recent years, fueled by rapid urbanization that has boosted disposable income and a booming tourism industry driving demand for experiential luxuries. With rising consumer spending power, these dynamics have expanded the potential customer segment for luxury yachts market.

Figure 1: Luxury Yacht Market Size 2019-2032 (Usd Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

 Luxury Yacht Market Trends

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  Rising Expenditure Capacity Of The Consumers

  
  

The rising expenditure capacity of consumers presents an opportunity in the luxury yacht market. As consumers' wealth and disposable income grow, they have the financial resources to indulge in luxury activities like owning a yacht. This trend opens up a larger pool of customers for luxury yacht manufacturers and sellers. Higher purchasing power makes consumers more likely to buy luxury yachts to showcase their status, prestige, and lavish lifestyle. They can afford the substantial costs associated with yacht ownership, such as the purchase price, upkeep, crew, and other related expenses. The rising expenditure capacity of consumers also allows for the development of cutting-edge and technologically advanced luxury yachts. Manufacturers can invest in research and development to create innovative features, luxurious amenities, and eco-friendly technologies to meet the demands of wealthy consumers.

Additionally, the growth of emerging markets and the global distribution of wealth presents opportunities for luxury yacht companies to expand their business and tap into new markets with an increasing demand for luxury goods and experiences. Overall, the growing expenditure capacity of consumers creates a favorable environment for the luxury yacht market, enabling companies to cater to the desires of affluent individuals and provide them with exclusive and extravagant yachting experiences.

 Luxury Yacht Market Segment Insights

 Luxury Yacht Size Insights

Based on size, the Luxury Yacht Market has been segmented into 75-120 feet, 121-250 feet and Above 250 feet. 121-250 feet would be the majority shareholder in 2022, contributing 47.8 % to the market revenue. Yachts in the 121-250 feet range are luxurious and sophisticated, catering to an elite client. They provide expansive interiors, cutting-edge technology, and the capacity to host larger groups of guests. The major factors driving the growth of the sector include the increasing demand for extended and opulent voyages, corporate yacht charters, and the desire to make a memorable touring event. The customer for these luxury Yatches mainly is from Ultra-high-net-worth individuals and businesses, who are drawn to the allure of these larger yachts, which can offer a range of amenities from gourmet dining options to wellness centers.

 Luxury Yacht Type Insights

Based on type, the Luxury Yacht Market has segmented into sailing luxury yacht, motorized luxury yacht and others. The motorized luxury yacht held the largest market share in 2022, as theses luxury yachts are well-known for their speed, power, and modern design. These yachts are equipped with strong engines that allow them to cruise quickly and efficiently, making them perfect for covering long distances and exploring various destinations. The main reasons behind the popularity of motorized luxury yachts include the desire for convenience and speed, particularly for those who want to make the most of their time on the water and visit multiple places in one journey.

 Luxury Yacht Material Insights

Based on material, the Luxury Yacht Market is segmented into FRP/composites, metal/alloys, others. Fiber-Reinforced Plastics (FRP) and composites held the majority share in 2022. Fiber-Reinforced Plastics (FRP) and composites are materials that are used in yachts. Fiber-Reinforced Plastics (FRP) and composites offer several advantages in yacht construction. The growth of the sub-segment is mainly driven by the advantage it offers. These materials are preferred for their lightweight nature, making yachts more fuel-efficient and easier to handle. Additionally, they provide exceptional strength and durability, offering resistance against impacts and harsh weather conditions that are common in marine environments. One of their key benefits is corrosion resistance, which is crucial in preventing damage caused by saltwater. Moreover, FRP/Composites allow for creative and personalized yacht designs, as they can be molded into intricate shapes. This high strength-to-weight ratio means they are both robust and lightweight.

Figure 2: Luxury Yacht Market, By Material, 2023 Vs 2032 (Usd Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Luxury Yacht Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, Middle East and Africa and South America. Europe accounted for ~ 46.4 % of Luxury Yacht Market in 2022. Luxury Yachts are becoming more popular in Europe. The luxury yacht market in the Europe region encompasses regions such as UK, Germany, Spain, France, Italy, and Rest of the Europe. According to European Union, the household disposable income per capita in the EU grew in total by 14 % between 2000 and 2009 and by 14 % between 2013 and 2021.The rise in disposable income followed by presence of High-Net-Worth Individuals (HNWI) and the rising adoption of technologically advanced yachts are some of the driving factors of the market. The market is also growing because of the growing tourism industry in the region. With the growing preference for coastal and marine tourism, there has been a rise in investments in luxury yachts.

Asia Pacific is one of the fastest growing markets for Luxury Yacht in the world. The Asia Pacific luxury yacht market is growing rapidly due to several factors. The region has an extensive coastline of over 135,000 kilometres and many picturesque islands, making it an ideal location for maritime enthusiasts. The tourism sector is also driving demand for luxury yachts as travellers seek unique and memorable experiences. The region's rising living standards and growing income levels are further fuelling the demand for luxurious Yachts in the region. China, in particular, has seen a surge in demand for luxury yachts, driven by their utility in hosting business meetings, parties, and various high-profile events. Governments across the region are taking proactive steps to boost the yacht industry, and the demand for luxury yachts continues to rise due to the sizable young population in Asia Pacific showing growing enthusiasm for sailing and maritime activities.

Figure 3: Luxury Yacht Market Size By Region 2023 Vs 2032

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Further, the major countries studied in the market report are the U.S., Canada, Mexico, Germany, UK, France, Italy, Spain, China, Japan, and India, UAE, Saudi Arabia, South Africa, Brazil , Argentina and Others.

 Luxury Yacht Key Market Players & Competitive Insights

The Luxury Yacht Market is characterized by the presence of many global, regional, and local vendors. The Luxury Yacht market has witnessed significant growth over the forecast period due to rapid urbanization, along with significant growth in the recreational tourism sector.There are several domestic, regional, and global players operating in the Luxury Yacht market who continuously strive to gain a significant share of the overall market. During the study, MRFR has analyzed some of the major players in the Luxury Yacht market who have contributed to the market growth. During the study, MRFR has analyzed some of the major players in the Luxury Yacht Market who have contributed to the market growth includes Alexander Marine Co Ltd, Damen Shipyards Group, AzimutBenettiS.p.A, Feadship, FERRETTI S.P.A., Horizon Yacht USA, Princess Yachts International plc, Sanlorenzo Spa, Sunseeker International Limited, and Viking Yacht Company among others.

These players focus on expanding and enhancing their product portfolio and services to remain competitive and increase their customer base. Additionally, these players are focusing on partnerships & collaborations to expand their business and customer base to enhance their market position.

Key Companies in the Luxury Yacht Market include.

• Alexander Marine Co Ltd


• Damen Shipyards Group


• p.A


• Feadship


• FERRETTI S.P.A.


• Horizon Yacht USA


• Princess Yachts International plc


• Sanlorenzo Spa


• Sunseeker International Limited


• Viking Yacht Company


• Others

 Luxury Yacht Industry Developments

Luxury Yacht Market Segmentation:

Luxury Yacht Size Outlook

• 75-120 feet


• 121-250 feet


• Above 250 feet

Luxury Yacht Type Outlook

• Sailing luxury Yacht


• Motorized Luxury Yacht


• Others

Luxury Yacht Material Outlook

• FRP/Composites


• Metal/Alloys


• Others

Luxury Yacht Regional Outlook

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  Brazil
  
  


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  Argentina
  
  


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  Rest of South America