Powersports Market size is set to surpass USD 50 billion by 2028, according to a new research report by Global Market Insights Inc.
Power sports vehicles are experiencing high demand owing to a shifting consumer focus toward outdoor leisure touring including trails, wild areas, and theme parks. Market players are investing in R&Ds for new product innovations and to increase their customer base.
Government initiatives to revive the tourism industry, which is affected by the COVID-19 pandemic is likely to fuel the powersports market growth. Various governments including Saudi Arabia, Thailand, and the UAE are focusing on constructing theme parks consisting of trails and roads for riding power sports vehicles. For instance, in January 2021, the first recreational adventure park, XQuarry opened in Sharjah, UAE. Adventurers will get to experience mountain bikes, ATV & UTV trails, off-road obstacles, and designed slopes. Visitors need to bring their ATVs, UTVs, and bikes to experience the park’s amenities.
Shifting consumer inclination toward heavyweight motorcycle riding in Southeast Asia is creating a favorable environment for the industry. Companies are participating in various exhibitions in the region to advertise their vehicles to a potential consumer base.
Analyst view: “Shifting consumer focus toward recreational activities and the blooming tourism sector are creating opportunities for the powersports market globally. Industry leaders are focusing on new product innovations and partnering with adventure sports clubs to gain higher profitability.”
High carbon emissions and fuel consumption by power sports vehicles in remote areas are key factors challenging vehicle sales. Moreover, the increasing number of power sports vehicle accidents is hampering net sales. Several governments in North America and Europe are passing new rules for power sports vehicles to minimize accidents.
Strict lockdown measures by the majority of governments worldwide in 2020 due to the COVID-19 pandemic adversely affected the powersports market. The demand for powersport vehicles in the first two quarters of 2020 was declined significantly by temporary restrictions on recreational activities, affecting market shares. However, the sales was increased from mid-2020 led by ease in lockdowns after significant flattening of the pandemic curve. Additionally, various governments in the MEA and Asia Pacific are focusing on reviving their tourism industry.
Browse key industry insights spread across 200 pages with 140 market data tables & 17 figures & charts from the report, “Power Sports Market Size By Vehicle (All-Terrain Vehicles, Side By Side Vehicles, Personal Watercraft, Snowmobiles, Heavyweight Motorcycles), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2022 - 2028”, in detail along with the table of contents:
Robust maneuverability over any terrain is boosting the all-terrain vehicles (ATV) demand
Global ATVs market valued at over USD 3.5 billion in 2021. The high maneuverability of ATVs over any terrain and enhanced riding flexibility will play a vital role in improving their market representation. Industry participants are introducing new ATVs equipped with advanced technologies.
Supportive government initiatives in Asia Pacific
The Asia Pacific powersports market demand is expected to grow at around 7% CAGR through 2028. Growing recreational activities, such as mountain riding, camping & remote traveling, are improving regional industry statistics. Moreover, rising consumer disposable incomes in various countries including China, Japan, and Australia have encouraged outdoor leisure activities, further supporting the business expansion.
Government authorities across Asia Pacific are focusing on the adoption of ATVs and UTVs in military applications, creating a positive market outlook for power sports vehicles. Countries including China, Thailand & South Korea are focusing on deploying ATVs at military locations to improve their remote logistics services. For instance, in January 2021, the Chinese People Liberation Army (PLA) deployed all-terrain vehicles for logistics support in the plateau region that has more than 5,000 meters of altitude. These ATVs have metalloid caterpillar tracks, which allow them to tread over 35-degree angled slopes and supply goods to the troops.
Industry participants are focusing on introducing new power sports vehicles and increasing their footprints across the globe. For instance, in August 2021, Yamaha WaterCraft Group, a division of the Yamaha U.S. Marine Business Unit, launched a new personal watercraft series, FX Waverunner with improved grips and wider handlebars compared to the previous models.
Major participants operating in the powersports market include Yamaha Motor Co., Ltd., Arctic Cat, Inc., Suzuki Motor Corporation, Bombardier Recreational Products, Polaris Inc., Honda Motor Co., Ltd., KYMCO, Harley Davidson, Kubota Corporation, Deere & Company, and Kawasaki Motors Corporation.