Continued growth in the super-yacht sector (boats over 24 metres), is supported by a 40% increase in sales during 2015 compared with 2014 (Boat International Media).
As people become more focused on the lifestyle experiences associated with yachting, we see the choice of destinations shifting from the traditional havens of the Mediterranean and Caribbean, to more adventurous locations such as the Antarctic and Asia.
In order to navigate the intricacies of doing business in emerging markets such as Africa, brands will have to re-calibrate their product offerings.
We have seen more top-end marques such as Bentley release off-road models more suited to rougher roads. Appealing to a rapidly growing and youthful population heavily influenced by the strength of the continent’s online community is also key for luxury marketers to get right.
Private jet ownership levels are very low in Asia, despite the region’s strong economic growth in recent years. Underdeveloped infrastructure, lack of qualified professionals and stringent civil aviation regulations in important markets such as China are contributing factors.
However, the industry continues to watch the region in order to capitalise on rapid wealth growth. The entry of fractional ownership operators into China may boost demand.
As individuals in emerging markets become wealthier, we expect to see the numbers of collectors increase. Not only do collectables represent a safe asset investment, they are a way of illustrating status and a sense of having ‘arrived’.
Last year, the world’s top 200 art collectors came from 36 countries, compared with 17 in 1990. Many of these were emerging markets such as China and Brazil (Art News).