Study of China ' s Yacht Market 2016 Executive Summary:
Study of China ' s Yacht Market 2016 Executive Summary:
The traditional markets, of US and Europe, have continued to dominate the yacht industry. As the US recovered from the impact of the global recession, an increasing number of customers from this region regained their interest in the yachting industry. However, the affluence of the Middle East is shifting the industry dynamics towards this region, owing to the larger share wealthy clientele. The other key markets include Brazil and Russia, where the younger wealthy population has shown an explicit interest in yachting.
While North America is globally the largest yacht market followed by Europe, China is the most important emerging yacht market. Even though the current Chinese Government’ s anti-corruption drive has dampened the market for luxury goods in China, the yacht industry’ s outlook is bright. It is projected that the number of leisure boats and yachts in the country will reach 100,000 by 2020 from a mere 3,000 in 2012. The market in 2020 will be worth approximately USD 8.16 billion.
The China anti-corruption campaign which commenced in November 2012 hit the industry and growth slowed down leading to players promoting more affordable yacht models to to an upper-middle-class and high-net-worth as opposed to ultra-high-net-worth crowd. While larger boats did not see much growth in sales in 2015-2016, smaller boats are will maintain the sales momentum.