Larger, Imported Yachts Continue to Sell Well
As we reported back in March, overall new boat sales were somewhat down in February 2016 over the same time last year. However, as also reported, a segment of the motoryacht industry that continues to do well, are import, and larger vessels.
According to Trade Only Today, there has been a recent trend of many more overseas boat makers who want to expand the presence of their brands here in the States. While this is hardly new to the marketplace, it has been increasing in recent months, thanks to a strong dollar and a still rebounding North American boating market. Speaking to the magazine, Thom Dammrich, president of the National Marine Manufacturers Association, said, “Clearly there are more boat companies outside the U.S. putting their foot in the water in the US because of a favorable exchange rate and a healthy market…”
Bigger is Better
The expanding import market is also being spurred by an overall interest in larger boats. According to the latest figures, the only segments of the market that showed growth in the early part of 2016 were vessels 46 feet and up. The strongest was from 56 to 79 feet, in which sales rose from 37 boats to 58 and total value increased from $36.4 to $49.0 million. Sales grew incrementally in the 46- to 55-foot range, from 115 to 121 boats sold, and value increased $4 million to $38.1 million. Sales of boats 80 feet and over increased from 10 to 11, but as mentioned, the boats sold were much less pricey, selling for $20.4 million, down from $50.7 million a year earlier.
This is all good news for yacht importers. There are significant costs involved in delivering a boat overseas, and it just does not make sense to incur those expenses for boats any less than 40 feet, which is why “bigger is better” for foreign yacht builders.
Brands to Watch
The “import impact” could certainly be seen at the recent Yachts Miami Beach show. In addition to more boats on display from the usual European yacht builders such as Azimut, Princess, and Sunseeker, there were several imported brands that were on newly on display. There were a few Brazilian boat builders at the show for the first time, along with Polish yacht builder Galeon.
According to Trade Only Today, part of the upswing in import interest is due to the so-called “Beneteau Group effect.” The French Beneteau Group saw the recent recession as the perfect opportunity to penetrate a once-saturated U.S. marketplace because companies were hard-pressed to invest in research and development. A spokesman for the Group said, “Some of the American builders didn’t push as hard, and we had the right product at the right time.”
The article went on to say that newer imports such as the Polish Galeon, are coming in with more “entry level” models at more competitive price points.
This echoes 26 North Yacht’s own experience with Asian brands such as Horizon Yacht and Dyna Yachts, where we have seen quite an interest in new models from these Taiwanese Yacht Makers. For Example the all-new Dyna 60 can come in at a price point for a brand new, built to spec luxury motor yacht, comparable to used yachts from other makers of similar size and style.
Understanding the complexities of motor yacht ownership can be hard. If you would like to benefit from our expertise in these areas, or if you have any questions or comments about this blog post, do not hesitate to contact our Sales Specialists, or call us at 954-900-9988.