Welcome to Extreme Investor Network, your go-to source for exclusive business news and insights. Today, we are diving into the world of superyachts and how the market has been impacted in 2023.
According to a recent report from SuperYacht Times, superyacht sales experienced a significant decline last year. Sales of new superyachts, defined as yachts over 100 feet long, fell 17% in 2023. This drop can be attributed to long waiting lists, soaring costs, and sanctions on oligarchs, which have all contributed to decreased demand in the market.
Ralph Dazert, head of intelligence at SuperYacht Times, highlighted the challenges faced by potential buyers, with wait times for new yachts over 200 feet currently ranging from three to four years. Additionally, prices have surged due to higher labor and material costs, further impacting sales.
Notably, the largest superyachts took the biggest hit, with sales of yachts over 200 meters falling by 40%. This decline is partly due to wealthy Russian buyers exiting the market following the Ukraine invasion in 2022. On the other hand, American buyers have been stepping in to fill the gap, accounting for nearly a quarter of all superyacht sales in 2023.
Despite the decrease in new sales, yacht completions have been on the rise. The number of completed superyachts surged by 31% in 2023, reflecting the orders placed during the pandemic that are now being delivered. This uptick in completions has led to a growing demand for the entire yacht ecosystem, including builders, brokers, marina slips, and crew.
Looking ahead, Dazert predicts that the pool of wealthy buyers entering the market during the pandemic will continue to drive growth in the yachting economy. With an increasing number of superyachts and a broader customer base, the industry is poised for continued expansion in the coming years.
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