Saudi Arabia Yacht Charter Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 85.35 Million |
| Market Size (2029) | USD 170.5 Million |
| CAGR (2024 - 2029) | 8.25 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Saudi Arabia Yacht Charter Market Analysis
The Saudi Arabia Yacht Charter Market size is estimated at USD 85.35 million in 2024, and is expected to reach USD 170.5 million by 2029, growing at a CAGR of 8.25% during the forecast period (2024-2029).
The yacht charter market in Saudi Arabia has been experiencing a notable surge in popularity, driven by a combination of factors. The kingdom's picturesque coastline along the Red Sea and Arabian Gulf, characterized by pristine waters and scenic landscapes, provides an ideal backdrop for yacht charters. As tourism gains momentum in the region, there is an increasing demand for luxury experiences, with yacht charters emerging as a favored choice among both local and international tourists.
The Saudi Arabian government has taken steps to facilitate the growth of the yacht charter market. Regulatory developments, such as the easing of restrictions on maritime tourism, have encouraged private investment in the sector. These measures aim to position Saudi Arabia as a premier destination for yacht enthusiasts, contributing to the broader goals of economic diversification outlined in the Vision 2030 initiative.
Infrastructure development has played a crucial role in fostering the yacht charter market. Investments in modern marinas, equipped with state-of-the-art facilities and services, have been instrumental in attracting yacht owners and charter operators. This strategic focus on creating a yacht-friendly infrastructure aligns with the broader vision of positioning Saudi Arabia as a leading hub for maritime tourism and luxury experiences.
The Saudi coastline offers a myriad of exclusive coastal destinations, each with its unique charm and appeal. From the vibrant cityscape of Jeddah to the serene beaches of the Red Sea, yacht charters provide an exclusive means to explore these diverse locales. Charter companies often tailor experiences to cater to different preferences, offering everything from leisurely cruises along the coast to adventurous journeys to hidden coves and islands.
Saudi Arabia Yacht Charter Market Trends
The Crewed Segment to Lead the Market
Crewed charters, where the yacht comes with a professional crew to handle navigation and service, are particularly popular in the Saudi Arabian market. This is attributed to the desire for a hassle-free and luxurious experience, often favored by those seeking a high level of service and comfort during their yacht voyage.
Bareboat charters, offering a do-it-yourself sailing experience without a provided crew, also hold a notable share. This appeals to more experienced sailors or those looking for a private and independent journey. Bareboat charters allow passengers to navigate the waters at their own pace, providing a sense of freedom. However, stringent regulations and licensing requirements for bareboat chartering (renting a yacht without a captain) might be present in Saudi Arabia. This could limit the availability of bareboat options compared to crewed charters.
Cabin charters, where individuals can book a cabin on a shared yacht, are an emerging trend. This type of charter appeals to those who wish to experience yacht travel without the exclusivity and cost associated with chartering an entire vessel. It allows for social interaction with other passengers on board.
As the Saudi Arabian yacht charter market matures, cabin charters could gain traction, especially if they cater to specific demographics like young professionals or smaller groups seeking a more social yachting experience.
- The focus on luxury tourism development in Saudi Arabia, as part of Vision 2030, suggests that crewed charters might hold an advantage in the near future, catering to high-end clientele.
- Increased awareness and promotion of yachting as a leisure activity could lead to a rise in demand for all charter types, including cabin charters, in the long run.
Therefore, while crewed charters are likely to hold the lead due to the emphasis on luxury experiences in the current Saudi Arabian market, cabin charters could emerge as a viable option in the future, driven by market maturity and changing consumer preferences.
Motor Yachts are Expected to Lead the Charge in the Saudi Arabian Yacht Charter Market
According to global trends, motor yachts account for a larger share of the yacht charter market compared to sailing yachts. Yacht charters and luxury boat rentals estimate that motor yachts comprise around 80% of all charters globally. Also, Saudi Arabia's emphasis on luxury tourism development aligns well with motor yachts. They typically offer larger spaces, more amenities like hot tubs, jet ski storage, and advanced entertainment systems, catering to a clientele seeking a luxurious experience.
The Red Sea, a potential hub for yacht charters in Saudi Arabia, experiences calmer waters and consistent winds. These conditions are generally more favorable for motor yacht cruising compared to sailing yachts that rely on wind power for optimal performance. Also, the infrastructure for sailing, such as dedicated marinas with experienced sailing crews, might be less developed compared to facilities catering to motor yachts. This could limit the availability and accessibility of sailing yacht charters in the current market.
- The Red Sea Development Project, a large-scale tourism initiative, focuses on creating luxurious resorts accessible by water. This project is likely to prioritize infrastructure for larger yachts, potentially favoring motor yacht charters.
- However, a growing number of international yachting companies are entering the Saudi Arabian market, offering a wider range of yacht options. This could lead to increased availability of sailing yachts in the future, catering to a niche segment of adventurous charterers.
Saudi Arabia Yacht Charter Industry Overview
Renowned international yacht charter companies with experience managing luxury experiences globally are likely starting to set foot in Saudi Arabia. These companies possess a strong reputation, extensive fleets with diverse yacht types (primarily motor yachts catering to luxury preferences), and established networks for crewed charters. Examples could include Burgess Yachts, Fraser Yachts, or Northrop & Johnson.
Emerging Local Players: Local companies are starting to enter the yacht charter market in Saudi Arabia. These players might have several advantages:
- Local Expertise: They understand the specific needs and preferences of Saudi clientele, potentially offering more culturally appropriate experiences.
- Focus on Niche Segments: They could cater to a broader range of budgets by offering cabin charters or even bareboat charters (subject to regulations) alongside crewed options.
- Strategic Partnerships: Collaborations with established marinas or tourism operators could give them a competitive edge.
The competition is likely to intensify as the market matures. International brands offer established luxury experiences, while local players can cater to specific Saudi preferences and potentially offer more diverse charter options. The future might see a blend of these players, with international brands solidifying their presence in the luxury crewed charter segment and local companies catering to a wider range of clientele through diverse charter types and cultural understanding.
Saudi Arabia Yacht Charter Market Leaders
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Burgess Yachts
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Fraser Yachts
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Northrop & Johnson
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Yachting Partners International (YPI)
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Gulf Craft
*Disclaimer: Major Players sorted in no particular order
Saudi Arabia Yacht Charter Market News
- November 2023: Ahead of Sindalah's anticipated opening in 2024, Saudi Arabia envisioned the island to undergo a global transformation into a premier yachting destination, marked by the recent agreement with a prominent luxury yacht provider. NEOM, the USD 500 billion mega-project in the Kingdom, revealed a strategic collaboration with Burgess to deliver a comprehensive array of services catering to Sindalah's yachting clientele.
- June 2023, IGY Marinas forged an exclusive partnership with NEOM, a development initiative in northwest Saudi Arabia, to undertake the development and future operation of a new superyacht marina situated within the Sindalah region of the project.
Saudi Arabia Yacht Charter Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Drivers
- 4.2 Market Restraints
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4.3 Industry Attractiveness - Porter's Five Force Analysis
- 4.3.1 Threat of New Entrants
- 4.3.2 Bargaining Power of Buyers/Consumers
- 4.3.3 Bargaining Power of Suppliers
- 4.3.4 Threat of Substitute Products
- 4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (In USD)
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5.1 Charter Type
- 5.1.1 Bareboat
- 5.1.2 Cabin
- 5.1.3 Crewed
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5.2 Yacht Type
- 5.2.1 Sailing Yacht
- 5.2.2 Motorboat Yacht
- 5.2.3 Other Yacht Types
6. COMPETITIVE LANDSCAPE
- 6.1 Vendor Market Share
-
6.2 Company Profiles
- 6.2.1 Burgess Yachts
- 6.2.2 Fraser Yachts
- 6.2.3 Northrop & Johnson
- 6.2.4 Yachting Partners International
- 6.2.5 Gulf Craft
- 6.2.6 Pheonix Yachts
- 6.2.7 FGI Yacht Group
- 6.2.8 TWW Yachts
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablitySaudi Arabia Yacht Charter Industry Segmentation
A yacht charter refers to the rental or lease of a yacht, providing individuals or groups the opportunity to enjoy a private and customized sailing or cruising experience on the open seas. Charter services typically include a crew to operate the yacht and cater to passengers' needs during the agreed-upon rental period.
The Saudi Arabian yacht charter market is segmented by charter type (bareboat, cabin, and crewed) and yacht type (sailing yacht, motorboat yacht, and other yacht types). For each segment, the market sizing and forecast have been done based on the value (USD).
| Charter Type | Bareboat |
| Cabin | |
| Crewed | |
| Yacht Type | Sailing Yacht |
| Motorboat Yacht | |
| Other Yacht Types |
Saudi Arabia Yacht Charter Market Research FAQs
How big is the Saudi Arabia Yacht Charter Market?
The Saudi Arabia Yacht Charter Market size is expected to reach USD 85.35 million in 2024 and grow at a CAGR of 8.25% to reach USD 170.5 million by 2029.
What is the current Saudi Arabia Yacht Charter Market size?
In 2024, the Saudi Arabia Yacht Charter Market size is expected to reach USD 85.35 million.
Who are the key players in Saudi Arabia Yacht Charter Market?
Burgess Yachts, Fraser Yachts, Northrop & Johnson, Yachting Partners International (YPI) and Gulf Craft are the major companies operating in the Saudi Arabia Yacht Charter Market.
What years does this Saudi Arabia Yacht Charter Market cover, and what was the market size in 2023?
In 2023, the Saudi Arabia Yacht Charter Market size was estimated at USD 78.31 million. The report covers the Saudi Arabia Yacht Charter Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Saudi Arabia Yacht Charter Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Saudi Arabia Yacht Charter Industry Report
Statistics for the 2024 Saudi Arabia Yacht Charter market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Saudi Arabia Yacht Charter analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
