Forecasters: Yacht Charter Market Will Increase Steadily Through 2026
Lately, in my personal experience as a charter broker, I have seen more and more yacht owners understanding the benefits of putting their yachts into a charter fleet program. In fact, in the last year, our charter fleet has grown to the point where we now operate the largest luxury motor yacht fleet in South Florida.
It seems our experience here at 26 North Yachts, is not unique. Industry figures indicate that the number of luxury motor yachts available for charter worldwide, is larger now than it has been in years, and the market is growing steadily.
According to a recent press release, issued by Future Market Insights, (FMI), a research firm that tracks global markets for various industries, “the global yacht charter market, which was valued at $ 8.5 billion in 2015, is set to increase at an over 7% compounded annual growth rate (CAGR) through 2026, surpassing over $18 billion in revenues.” The press release went on to say that, yacht chartering is gaining popularity as a leisurely activity, especially among corporate consumers.
FMI also reported that yachts with 3 cabins and 4 cabins were the most popular size yachts among charter consumers. In 2015 these two segments collectively accounted for over 70% of charter revenue. They found that of retail bookers of yacht charters (as opposed to “corporate”) the number of those booking with families was up 65%, which probably largely accounts for the popularity of 3 and 4 state room motor yachts.
Again, this matches up very closely with the most popular vessels in our own charter fleet such as Trilogy and Lady Lex, which have 3 and 4 cabins respectively, and have been very popular with families and groups of friends.
Why Is the Number of Yacht Charters Increasing?
There are several drivers to the increase in the number of available yacht charters. One, of course is the improving economy, and an increased recognition of the actual value of a yacht charter experience.
The FMI report also looked into the reasons why people chartered a yacht, which they identified as: events, vacation, adventure, sports, honeymoon, or “other.” Not surprisingly, their research found that nearly 80% of consumers in the yacht charter market reported “vacation” as their stated purposed for chartering.
In our own experience, we have found that yacht owners are becoming more aware of how placing their yacht into a charter program can help offset expenses. This has spurred growth in both yacht sales, as well as charter bookings.
All of these factors have combined to boost the number of yacht charters globally, and particularly here in South Florida.
New Charter Experiences to Keep Up With the Demand
We see this trend in increased interest in yacht charters, which has prompted us to add new boats and new charter experiences as often as we can. We recently added Chicago and Newport, to our growing list of charter destinations, and we will soon be one of the only charter brokers in South Florida offering unique luxury yacht charters to Cuba!
Choosing the right charter experience can be challenging. 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 Charter Specialists, or call us at 954-235-3468