SOURCE: Luxury Institute

June 18, 2008 11:00 ET

Superyachting Index Sheds Light on $10 Billion Market for 80-Foot-Plus Yachts; Camper & Nicholsons International and The Luxury Institute Provide Market Education for Wealthy Buyers

NEW YORK, NY--(Marketwire - June 18, 2008) - Nearly 3,800 yachts of at least 80-feet in length -- also known as superyachts -- are currently afloat around the globe, and another 918 are scheduled to float out of shipyards this year. Despite these large numbers of huge yachts, the $10-billion superyacht market has offered outsiders little visibility into how it works. Until now.

In conjunction with the Luxury Institute, luxury yachting leader Camper & Nicholsons International (CNI) has released the first worldwide Superyachting Index, an in-depth look at the state of the global superyacht market. The Luxury Institute assisted in the Index's conceptualization, verified research data to ensure objectivity, and reviewed findings to ensure that the index meets the needs of wealthy consumers worldwide.

In 1997, just 241 yachts of 80-feet in length or greater were under construction around the world, but by the end of 2007, 916 yachts were in production. Sales have accelerated since 2000, and especially since 2005. Orders for superyachts over 130-feet increased from 134, in 2005, to 254 last year, making this the fastest growing segment of the market. So far in 2008, new orders for superyachts are up 18 percent over last year; almost two-thirds of orders are for yachts of 100-feet or longer. Motor superyachts sold for an average price of $10.3 million in 2007, sailing yachts for $9 million.

"Clearly this market is still expanding rapidly," says Milton Pedraza, CEO of the Luxury Institute. "Even in an economic downturn, the global wealth boom is still producing new potential customers at a rapid clip, especially in emerging markets. In surveys, these customers have told us they're interested in yachting but they need substantial education before making such a large purchase. The Superyachting Index will play a significant role in their understanding of the market, from charters to brokers, crew placement firms, and the entire cottage industry of service providers."

One constraint that threatens the continued growth of the superyacht niche is the availability of qualified crew. About 25,000 crewmembers are necessary for today's fleet of superyachts, but only about 15,000 currently work aboard yachts. Shortages of captains and engineers are especially acute.

About the Luxury Institute

The Luxury Institute is the uniquely independent and impartial ratings, research and executive education institution that is the trusted and respected voice of the high net-worth consumer. The Institute provides a portfolio of proprietary publications, research and courses that guides and educates high net-worth individuals and the companies that cater to them on leading edge trends, high net-worth consumer rankings and ratings of luxury brands, and best practices. The Luxury Institute also operates the Luxury Board (www.LuxuryBoard.com), the world's first global, membership-based online community for luxury goods and services executives, professionals and entrepreneurs. To reach the Luxury Institute, please call 646-792-2669 or go to www.LuxuryInstitute.com.

About Camper & Nicholsons International

Camper & Nicholsons International has long been at the forefront of the luxury yacht industry. For more than 40 years CNI have been trusted to inform, introduce and entice their clients with new ideas, information and innovations in every aspect of luxury yacht charter and sales.

CNI has five divisions that work hand-in-hand to provide a professional service in all aspects of yacht brokerage, management, build, charter holidays, charter fleet management, and crew placement. For more, visit www.cnconnect.com.

Contact Information

  • FOR IMMEDIATE RELEASE
    Contact:
    Martin Swanson
    Vice President, Business Development
    The Luxury Institute, LLC
    (office) 914-909-6350
    (cell) 914-715-3357
    Email Contact
    www.LuxuryInstitute.com