A leisure boat is a leisure activity marine vessel primarily used for pleasure and tourism. Sailboats, runabouts, towboats, cabin cruisers, jet boats, and watercraft are popularly motorized or non-motorized recreational boats. People commonly utilize them for boating, sailing, fishing, and campaigning. Since boating allows individuals to enjoy themselves while maintaining a social distance, it has become one of the most popular forms of recreation in various regions and countries, increasing the number of people purchasing boats.
The luxurious and spacious cabins of the leisure boat are constructed from premium materials such as wood, plastic, aluminum, and coated fabrics. In addition, it features advanced propulsion systems and a variety of amenities for overnight guests. Adults' growing interest in boating and rising discretionary income are two factors that have contributed to recreational boating's significant rise in popularity. These factors encourage a broader range of recreational participation, including recreational boating.
The rapid expansion of the tourism industry and the introduction of technologies such as the internet of things and intelligent connected devices are driving the growth of the leisure boat market. Due to the low and affordable prices of various recreational boats, boating has become an increasingly popular pastime. The increasing number of people with significant wealth has led to a rise in money spent on leisure activities. In addition, the expansion of trade shows and boating events and the increase in the number of people participating in these events have significantly contributed to the market's growth.
Recreational boat owners are preoccupied with safety and security. When boats are moored and left unattended, particularly during the winter, they risk becoming unmoored and drifting away. To overcome these challenges, boat manufacturers are investing in Internet of Things (IoT) technology to reduce the number of boats that suffer internal damage and sink. The incumbents in the leisure boat market are aggressively adopting new technologies to provide superior products and maintain their competitiveness in light of the market's intensity.
Increasing demand for alternative modes of transportation and lodging also contributes to the growth of the recreational boat market. Diverse forms of recreation have been adopted as a result of individuals' fluctuating spending habits. Recreational boating is gaining popularity as a pastime. People are finding recreational boating to be increasingly enjoyable and exciting. The boating industry is an emerging source of revenue for yacht caterers, clothing stores, chandlers, and boat builders, among others. These factors are anticipated to stimulate market growth.
By 2030, North America will hold the largest share of USD 28,367 million, growing at a CAGR of 4.2%. North America is home to a significant number of both large and small boat manufacturers. The region is expanding due to the region's high demand for various types of recreational boats. The impact of coronavirus has also increased the number of individuals who participate in boating activities.
According to the NMMA, the number of people purchasing their first boat in 2020 was approximately 415,000. In addition, the COVID-19 outbreak was observed to have a positive impact on the leisure boat market throughout the region, particularly in the United States. According to the region's manufacturers and retailers, there was a significant increase in the number of boats sold after the second quarter of 2020.
Europe will increase swiftly at a CAGR of 5.7% and reach a total value of USD 27,186 million during the forecast period. The significant amount of boat and yacht production in the region is one of the most critical factors contributing to the expansion of the market. It is anticipated that an increase in recreational boating participation will also contribute to the regional market's growth.
In addition, Europe has the most lucrative yachting industry compared to other world regions. The growth of the market is aided by an increase in the number of high-net-worth individuals residing in the area and the number of individuals participating in fishing and other watersports. In addition, the region is renowned for hosting numerous trade shows and recreational boating events, both of which contribute to the regional market's growth.
Significant players in the leisure boat market are