Powersports Market size worth over $50 Bn by 2027
Published Date: March 12, 2021 Authors: Ankita Bhutani, Prasenjit Saha
Powersports Market size is set to surpass USD 50 billion by 2027, according to a new research report by Global Market Insights, Inc.
The power sports unit shipments estimated to witness around 4.5% CAGR from 2021 to 2027. Rapid increase in the popularity of recreational and leisure activities along with the positive outlook of the global economic conditions is likely to propel the market revenues. Improving participation of individuals in water-based and off-roading leisure activities will contribute to the rising industry growth.
The significant increase in the revenues from the travel & tourism sector across the globe will provide lucrative market opportunities for the powersports market. High inclination of travelers toward power sports events will fuel the market demand. According to the World Bank, the number of tourists in the world have increased from USD 2.13 billion in 2017 to USD 2.28 billion in 2019.
Developments in the power sports industry including introduction of new models and integration of advanced technologies into the vehicles will assist the market statistics through 2027. For instance, in March 2021, Polaris announced its plans to introduce its 2022 electric Ranger utility side-by-side in December 2021. The company partnered with Zero Motorcycles to leverage Zero’ expertise in the development of electric powertrains.
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Analyst view: “Upward market trend of electrification in the powersports market will accelerate the demand. The adoption of all-terrain vehicles in off-roading events in the global market will support the industry expansion.”
Rising safety concerns on account of the increasing number of injuries and fatalities are hampering the global market. According to the industry statistics by the U.S. Department of Homeland Security and U.S. Coast Guard, the number of accidents occurred due to water sports activities in 2018 exceeded over 4,000. Growing safety concerns are hampering the market representation for power sports vehicles. The implementation of safety regulations by government authorities is reducing the impact of this industry challenge.
The sales of power sports vehicles and market statistics witnessed a steady increase in the second and third quarter of 2020 due to the growing inclination toward socially-distanced outdoor recreational activities. In response to the pandemic, market players including Harley Davidson, Kawasaki, and Honda rolled out their vehicle-home delivery programs.
Browse key industry insights spread across 170 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 Watercrafts, Snowmobiles, Heavyweight Motorcycles), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 – 2027” in detail along with the table of contents:
High demand for snowmobiles during the forecast timeline
The snowmobiles segment held around 4% of the powersports market in 2020. These power sports vehicles are designed for winter recreation and travel on snow. Growing awareness related to snowmobiling through recreational clubs is accountable for surging market revenues. Companies are focusing on launching new products to enhance their product portfolio and gain a maximum share in the snowmobile market.
Growing travel and tourism industry in Europe will escalate the market growth
The Europe powersports shipment is expected to reach more than 650,000 units by 2027. The high demand for power sports in various countries including France, the UK, Germany, Italy, and Spain is set to support the regional market for power sports. Several initiatives taken by various government and public authorities are supporting leisure and recreational activities.
The positive outlook of the travel and tourism industry in the region has propelled the adoption of powersports vehicles. The increasing number of tourists visiting European countries with high inclination toward recreational activities is contributing to the escalating market penetration. As per the United Nations World Tourism Organization (UNWTO), in 2019, Germany witnessed 39.5 million tourists in 2019 in comparison to 38.8 million in 2018. Similarly, Italy witnessed 95.3 million visitors in 2019 compared to 93.2 million in 2018.
The companies are focusing on partnerships and collaborations to attain a competitive edge in the market during 2021 to 2027. The key powersports market players include Arctic Cat, Inc., Polaris Inc., Bombardier Recreational Products, Kymco, Arctic Cat, Inc., Deere & Company, Honda Motor Co., Ltd., Suzuki Motor Corporation, Harley Davidson, Yamaha Motor Co., Ltd, and Kawasaki Motors Corporation.
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