Global Recreational Boats Market - 2024-2031

Overview

The global recreational boat market size was worth US$ 21.90 billion in 2023 and is estimated to reach US$ 37.65 billion by 2031, growing at a CAGR of 7.01% during the forecast period (2024-2031).

Recreational boats, often known as pleasure craft boats, are built for having fun on the water. Most people use them for amusement and pleasure during outings with family and friends. Boat racing, sailing, campaigning, fishing and other water sports games are all examples of recreational boating. Plastic, metal and coated textiles are used to construct recreational boats.

Runabouts, towboats, fishing boats, sailboats, pontoon boats, sterndrive powerboats, jet boats, personal watercraft, propulsion systems and cabin cruisers are all examples of recreational boats. Changes in boat technology, increased boat size, growth in the number of high-net-worth individuals, a growing economy, growing tourism industry and boat engine innovation entice more people to recreational boating. Its increased interest in recreational boating is fueling the global recreational boating industry.

Market Scope

Metrics

Details

CAGR

• 7.01%

Size Available for Years

2022-2031

Forecast Period

2024-2031

Data Availability

Value (US$)

Segments Covered

Boats, Activity, Boat size, Material, Engine, and Region

Regions Covered

North America, Europe, Asia-Pacific, South America, and Middle East & Africa

Fastest Growing Region

Asia-Pacific

Largest Region

North America

Report Insights Covered

Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, Porter's Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis, and Other key Insights.

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Recreational Boats Market Dynamics

The market will be boosted by the developing tourism industry and people's increasing disposable income levels. Developments in autonomous maritime technology will drive up demand for recreational boating, putting more pressure on less experienced sailors. The existence of many manufacturers in the well-integrated and fragmented business means that the demand for recreational boats worldwide is met consistently.

The growing tourism industry

The recreational boat market is growing with the tourism industry's upward trend. This sector has demonstrated its ability to grow in tandem with the tourism industry over the last decade, particularly in the sales of pontoons, cruises and water sports vessels. Personal watercraft and used boat sales have surged in recent years, resulting in a fantastic holiday for consumers and leasing companies. Small sea and river cruises have become increasingly interesting for small and medium-sized operators, according to research released by the European Ministry of Foreign Affairs in February 2021. Meanwhile, larger cruises are mostly used by major tour operators and have a seasonal demand for functions, parties and other events.

On the other hand, pontoons and water sports boats are in high demand due to local tourists. Pontoons and water sports have grown a market in many tourist destinations worldwide with adjacent lakes, rivers and beaches. Depending on demand, tourism firms and local governments purchase these vessels. They are available for tourists to rent and serve as an extra tourism attraction. For example, in Kerala, India, the government recently purchased pontoons to be installed across the state's lakes to create a new boating ecology. With the expanding tourism trend in the region in the coming years, it will increase.

Online selling of boats

The rapidly expanding online channel for boat sales has opened up a new outlet for selling these vessels. Previously, most boating firms relied heavily on dealers and boat fairs to sell their boats. As a result, the boats were only sold in a few important areas worldwide. The increase has aided the expansion of the market for boat manufacturers in online boat sales. Through these internet platforms, many manufacturers have been able to sell their boats in newer markets without setting up massive dealership networks.

Online boat sales significantly reduce dealership costs, making the bulk of these boats more affordable. All the factors have increased recreational boat demand via internet sales. Manufacturers should expect a rapid increase in online sales of recreational boats in the next years, particularly from new markets throughout the world. Various major brands such as Intex, Bris, Classic, Solstice, Sea Eagle, FRP and others are sold via e-commerce corporations such as Amazon, Walmart and Alibaba. The most popular boats sold online are inflatables, pontoons and watersports boats.

Stringent emission norms for recreational boats

For new motorboats, sailing boats, jet skis and other recreational equipment, the European Commission has suggested higher restrictions for nitrogen oxide (NOx), hydrocarbons (HC) and particulate matter. According to the proposal, propulsion engines will be designed and built to generate 20% fewer HC+NOx emissions and 34% less particulate matter. The recreational boat market in U.S. is likewise regulated to reduce emissions. Its CBA establishes the maximum discharge restrictions for boats based on state regulations. For example, discharges from these boats that may harm the environment, fish or other wildlife are regulated. To safeguard the environment, it has also established no-discharge zones.

In U.S., the EPA 4 standards announced a 63 percent reduction in emissions compared to the previous EPA 3 regulations for engines with more than 600 kW. The NOX limit in Europe, on the other hand, has been set at 1.8 g/kW-hr. To meet such stringent emission standards, boat engine manufacturers would have to improve their technology. For a limited time in 2020, U.S. government lifted pollution standards from the recreational boat sector, resulting in a dramatic spike in recreational boating demand throughout the months. As a result, environmental regulations in many parts of the world constitute a major stumbling block to the recreational boat market's growth.

COVID-19 Impact Analysis

Due to Chinese supply interruptions and lockdowns, the recreational boat market sustained modest losses from March to May 2020. Once the lockdowns were lifted and logistics were in place by the end of May 2020, the market reopened with normal sales, similar to the previous year. However, after U.S. removed emission rules for recreational boating in June, the demand for personal watercraft skyrocketed. Due to partial lockdowns, people could not travel elsewhere and personal boating provided a safe tourism alternative throughout the pandemic.

Recreational boat production expanded at a quick rate of roughly 20-60% each month in 2020. By September-October 2020, though, sales had returned to normal. Likewise, recreational boat manufacturing has followed demand because this business mostly provides boats after receiving orders. Despite the consequences of COVID-19, this industry has seen significant expansion internationally, with a 12% increase in U.S.

Global Recreational Boats Market Segment Analysis

By activity, the recreational boat market is segmented into watersports & cruising and fishing.

Increasing watersports & cruising activities

The primary drivers propelling the recreational boating sector are people's growing interest in outdoor recreational activities and increased participation rates across all age groups. Watersports are gaining popularity for the thrill or adrenaline rush of getting in shape and the numerous health benefits. As a result, the growing number of health benefits connected with water sports is fueling global market expansion.

The coronavirus outbreak in 2020 drove an increase in recreational boat sales. New-age groups and female boat buyers fueled the development. Since the epidemic, many market players have improved their product offers as the demand for recreational activities increased. For example, in July 2020, Kawasaki introduced eight new models for 2021, each of which features a four-cylinder, four-stroke Kawasaki marine engine, either normally aspirated or supercharged.

Enterprises are also introducing electric people boats as a clean and silent recreational activity. As the electric watercraft space begins to take shape, Taiga, for example, debuted two variants of its Orca electric jet ski in July 2020. A 23-kWh battery pack is included with the boat. Its electric motor produces over 134 kW and can reach a top speed of 104 km/h.

Recreational Boats Market Geographical Share

Growing recreational activities in North America

In the domestic boating business, there is already a trend toward consumers preferring to practice watersports in their own country rather than travel abroad. The trend is helping the watersports business in U.S. According to the National Marine Manufacturers Association, retail unit sales of new powerboats in U.S. grew by over 12% in 2020 compared to 2019, with nearly 310,000 new powerboats sold. Personal watercraft sales increased by roughly 8% to 82,000 units in 2020, while wake boat sales increased by over 20% to 13,000 units.

Boat sales are predicted to remain strong in the coming years too. Furthermore, as the restrictions have been lifted now, the demand for safe outdoor recreational activities such as boating has moved steadily towards normalcy. Around 100 million Americans go boating each year, according to U.S. Bureau of Economic Analysis (BEA). Outdoor recreation generates US$ 788 billion in real gross output, accounting for 2.1 percent of the country's GDP. The country's most popular outdoor recreation activities are boating and fishing, which account for over US$ 23.6 billion in revenue.

Russia-Ukraine War Impact:

The European Union has enlarged the list of products subject to export bans as part of its fourth package of sanctions against Russia since the outbreak of the Ukrainian conflict. Pleasure boats have joined high-end automobiles and airplanes on the list of luxury items that European companies are no longer allowed to sell to Russians. No motorboats, sailboats, or other recreational watercraft valued more than 50,000 euros were allowed to be exported from the EU to the Russian market.

Since the beginning of the conflict, the confiscation of Russian oligarchs' superyachts have dominated headlines. The economic ramifications of the conflict for the European nautical sector included huge yachts, as well as significant effects on local Ukrainian production, which has an important and underappreciated presence in particular segments with brands such as Brig or Grand.

The new sanctions package affects all European shipyards. Even though Russia is not a vital market for the global yachting industry, its activity has grown significantly there. Important marina developments in the Black Sea were specifically discussed. The dispute is likely to call this dynamic into doubt for the foreseeable future.

By Boat

Yachts

Sailboats

Personal Watercraft Boats

Others

By Activity

Watersports & Cruising

Fishing

By Boat Size

<30 Feet

30-50 Feet

>50 Feet

By Material

Aluminium

Steel

Fiberglass

Others

By Engine

Outboards

Inboards

Others

By Region

North America

U.S.

Canada

Mexico

Europe

Germany

UK

France

Italy

Russia

Rest of Europe

South America

Brazil

Argentina

Rest of South America

Asia-Pacific

China

India

Japan

Australia

Rest of Asia-Pacific

Middle East and Africa

Recent Developments

In January 2023, Brunswick Corporation stated that it would launch an all-electric marine outboard. Mercury Marine, a company of Brunswick Corporation, will introduce the Avator 7.5e, the first in a full series of electric outboard motors. A Mercury 3.5 hp FourStroke outboard produces nearly the same output and performance as the 7.5e, with 750 W of power at the prop shaft. It is intended for use in small boats such as tenders, inflatables, and kayaks, and comes with either a tiller or remote steering. The Avator series also features an exchangeable lithium-ion battery. The 48 V/1 kWh battery pack is IP67 water resistant and was developed in partnership with Mastervolt.

In April 2023, Ferretti Group launched the Custom Line 106' hull 14. The Ferretti Group Engineering Department designed the Custom Line 106 Ft, which serves as the brand's entry-level planning line model. The yacht's internal rooms feature a 2-meter-high ceiling, wide windows, and over 200 square meters of interconnected outside space.

In August 2022, Yamaha revealed a new 22-foot platform, replacing the adaptable 21-foot center console line. There are three new 22-foot FSH versions in total, all with top center console technology.

In July 2022, Azimut Benetti Group, an Italian shipyard, added the 37-meter Benetti B.Yond to its model roster. The 395GT yacht has Siemens Energy's cutting-edge E-Mode Hybrid technology, which optimizes energy consumption based on specific usage profiles. This technique can dramatically reduce onboard noise and vibration, reduce consumption and CO2 emissions by up to 24%, and reduce NOx emissions.

Recreational Boats Market Major Players

Major global recreational boats market companies include Brunswick Corporation, Groupe Beneteau, Malibu Boats, Polaris Inc., MasterCraft Boat Company, Sunseeker International, Ferretti Group, Bass Pro Group, Marine Products Corporation and Yamaha Motor Company.

Why Purchase the Report?

Visualize the composition of the recreational boats market segmentation by boat, activity, boat size, material, engine and region, highlighting the critical commercial assets and players.

Identify commercial opportunities in the recreational boat market by analyzing trends and co-development deals.

Excel data sheet with thousands of recreational boats market-level 4/5 segmentation points.

Pdf report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.

Product mapping in excel for the key product of all major market players

The global recreational boats market report would provide access to an approx. 77 market data table, 73 figures and 243 pages.

Target Audience 2024

Recreational Boats Service Providers/ Buyers

Industry Investors/Investment Bankers

Education & Research Institutes

Emerging Companies

Recreational Boats Manufacturers