JANUARY - JUNE ( H1 ) 2024
EXECUTIVE SUMMARY
LATEST GLOBAL CHARTER MARKET TRENDS
GLOBAL CHARTER BOOKINGS 2024 YTD BY LOCATION
SUMMER SEASON 2024 YTD CHARTER BOOKINGS BY LOCATION
WINTER SEASON 2024 - 2025 YTD CHARTER BOOKINGS BY LOCATION
GLOBAL CHARTER FLEET OUTLOOK IYC
DISCLAIMER
The charter market exhibited a slowdown in total number of weeks booked during the first half of 2024. Reservations across all major destinations have recorded a decrease for both Winter and Summer seasons, compared to the strong market observed in 2023. Additionally, driven by lower demand, the market recorded a decline in the average charter days booked per yacht. We anticipate an increase in bookings as the season progresses driven by last-minute requests and special rate offers. Nonetheless, booking patterns by destination across key cruising locations remain in line with 2023.
The 2024 Summer season is expected to reach 2021 bookings, with the East Mediterranean nearing last summer’s figures. Greece maintains its position as the top yacht charter destination claiming the largest booking market share. Conversely, the West Mediterranean, notably Italy, has lost grounds compared to last year.
For the upcoming Winter charter season, bookings are being secured at a slower pace versus the same period last year. Approximately 70% of bookings are in the Caribbean and The Bahamas, which has recorded a decrease in market share versus last year. The South Pacific, Southeast Asia and the Indian Ocean are showing healthy charter activity.
The purpose of this report is to provide a synopsis of the prevailing state of the charter market in 2024 year-to-date for the summer season and an outlook to the upcoming winter season. IYC is closely following the charter market and client trends, which are shaping the industry as a result of global events.
The IYC Intelligence Team
IYC closely monitors the global charter market to provide insight and advice based on the latest trends and developments. The Charter Market remains in growth, with robust activity in key cruising grounds around the globe.
Following a normalised yet strong charter market in 2023, the pace of bookings in the first half of 2024 was slower, with fewer weeks and yachts booked compared to last year. As of now, the charter market has already secured 77% of the total charters booked in the entirety of 2023. The lower pace observed thus far in 2024, spanning both Winter and Summer seasons, confirms a return to pre-pandemic levels within the charter market. However, we maintain an optimistic outlook, with current bookings for summer charter destinations at 80% of last year’s levels, and the Winter season already taking reservations for the upcoming winter months.
The reduced demand for charters in 2024 to date has led to fewer yachts securing bookings compared to 2023. Additionally, the current decrease in bookings seems to be impacting the average number of charter days booked per yacht, currently standing at 65% of the total average days booked in 2023. This indicates that charterers are booking for shorter periods versus a year ago.
The overall booking pattern across the charter destinations remains stable compared 2023. To date Greece continues to be the most sought-after charter destination accounting for 27% of all charter bookings and 32% of total summer bookings to date. Notably, the East Mediterranean, including Greece, represents 54% of total summer bookings in 2024 year-to-date, marking a 3% increase in market share compared to last year.
Currently, summer destination bookings are at 80% compared to previous summer. The West Mediterranean region is still trailing behind the East Mediterranean in secured charter bookings reaching only 42% of all bookings for the current peak season. However,
we anticipate additional reservations in the Mediterranean as the season progresses, driven by an increase in last-minute bookings and the availability of special charter rates offers. Based on the current booking levels, we anticipate this summer season to reach approximately 12,000 charter weeks booked, a figure closer to levels observed in 2021.
During the firs six months of 2024, the charter market saw an increase in activity across most size categories aimed at stimulating bookings for the summer season. Charter management companies are implementing discounted weekly rates on available vessels and promoting last-minute offers to fill remaining spots. These strategies encourage potential clients to secure their charter before availability becomes limited for the remaining summer period.
The 2024 winter charter season witnessed its lowest booking figures in recent years, including the holiday season, with total bookings reaching 56% of 2023 winter charters booked. For the upcoming 2025 Winter season, bookings at present stand at 40% compared to the previous season. The Caribbean and The Bahamas represent 67% of weeks booked, with a significant drop in The Bahamas compared to last winter. At the same time, the South Pacific and Southeast Asian regions record an increase in bookings to date, while the Indian Ocean maintains a stable market share versus last year.
IYC boasts the largest charter management fleet worldwide, featuring 160+ vessels ranging from 66’ (20m) to 246’ (75m) in size. With this leading position, IYC also claims the top spot among main charter brokerage companies in terms of the total number of bookings recorded in 2024 to date.
Year round bookings, attracting US based clients.
Niche summer charter destination attracting US based clients.
MEDITERRANEAN
The most popular destination for the summer season with the majority of bookings in Greece, France, Italy and Croatia.
REQUEST YOUR PERSONAL
COMPLEMENTARY COPY OF OUR LATEST ISSUE OF THE CHARTER MARKET REPORT AND ENJOY READING THE FULL EDITION.
Winter destination with the highest number of bookings and a peak during the New Year’s period.