Yacht Charter Market to Cross USD 50bln by 2020
Yacht charter market is set to grow at a compound annual growth rate (CAGR) of 6.5% through 2020, says Future Market Insights in its research report.
Yacht charter market revenues were estimated at US$ 37 billion in 2015, and by 2020, the market is expected to surpass US$ 50 billion mark.
A renewed interest is being witnessed in spending on leisure and entertainment, giving a fillip to the global yacht charter market.
The economic downturn of 2007-08 had a dampening effect on the yacht charter market, however, recovery in global economy has revived interest in yacht chartering, with the global market poised to witness annual growth rates of over 6% through 2020.
High seasonal pricing, steep taxes, and predatory pricing by unregistered yacht chartered companies are the key challenges that can impede growth of the yacht charter market in the future.
Rest of Europe (West, North, and South) was the most preferred destination for vacationers and corporate travellers alike, accounting for nearly US$ 12 billion in revenues in 2015. Popularity of yacht charter destinations, such as Athens, Aegean Islands, Cyclades, Dodecanese, and Ionian Island is a key factor driving the growth of the Rest of Europe yacht charter market.
Eastern Europe (including Russia and Turkey) yacht charter market was valued at US$ 9.6 Bn in 2015, and it is expected to expand at over 7% CAGR through 2020. Turkey is the most popular yacht charter destination in Eastern Europe, and is expected to witness high number of vacationers in the near future.
Chartered yachts fall under two broad categories – motor yachts and sailing yachts. Revenues from the sailing yacht segment totalled US$ 29.3 Bn in 2015, and this segment is expected to increase at over 6% CAGR through 2020.