According to Italian Marine Industry Association, the global yachting market has grown significantly, reaching a total turnover of 33 billion euros in the most recent year, an 11% increase from the previous year. This growth, which has averaged a compound annual growth rate (CAGR) of 10% since 2014, is primarily driven by increased demand and rising prices. North America and Europe dominate the market, accounting for approximately 70% of global sales. Motorboats represent about 90% of the market, with outboard engines prevalent in North America and inboard engines more common in Europe.
Superyacht Market Sees 21% Growth
The superyacht market alone reached a value of 25.3 billion euros, a 21% increase from the previous year. The order book recorded 600 units, with the segment for yachts over 60 meters contributing significantly. The primary demand is for yachts between 30 and 40 meters, often constructed with steel and composite materials.
Increased Penetration in the Luxury Market
Although superyachts remain a niche within the luxury market, the segment has shown a CAGR of 5.4% since 2019. The industry’s profitability has been improving, with a 5.5% increase in margins from 2015 to 2022. Despite a slight drop in potential demand due to fewer billionaires in 2022, the superyacht order book showed a positive trend, indicating significant untapped potential in the market.
Mergers and Acquisitions in Yachting
From 2021 to 2023, there were approximately 400 M&A deals in the yachting sector, with North America seeing the majority. Most deals were in downstream segments of the value chain. Marine operators were involved in around 60% of these transactions, and financial investors accounted for about 20%. Italy saw 30 M&A deals, mainly in marine components and equipment.
Italian Shipyards’ Growth
Italian shipyards produced 4.4 billion euros worth of yachts in 2022, a 20% increase from the previous year. Superyacht production is a major contributor, with 70% of the value coming from this segment. Italian yards focus mainly on inboard boats and have seen a CAGR of 15.6% from 2017 to 2022. About 90% of Italian production is exported.
Italy’s Leadership in Superyacht Production
Italy remains the world leader in superyacht production, holding a 54% market share by volume and 31% by order book value. The country ranks second globally in overall yacht production, with a 15% market share, which increases to 25% for inboard yachts.
Positive Market Outlook
For 2023, the Italian shipbuilding segment is expected to grow by 5% to 15%. Globally, the retail yacht market is projected to grow by 8%, with a CAGR of 6% from 2024 to 2026. Large yachts will drive market growth, while the craft boat segment is expected to slow. The sailing segment is forecasted to continue its positive trend with a growth rate of 3% to 5%.
Credits: Confindustria Nautica
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