Ocean Alliance 2017 - The Year in Review

As 2017 comes to an end, here is a breakdown of the Australian yacht market and the developments Ocean Alliance (opens in a new tab) have enacted. It serves to give a better understanding of the value and benefit the Australian market brings to the global yachting industry.

Australian Ownership

Australia (opens in a new tab) punches well above its weight in terms of yacht ownership. Wealth-X, in their recent report commissioned by Camper & Nicholson, found Australians account for 4% of the world yacht ownership (opens in a new tab) and are in the top five yacht owning nationalities. In comparison, the country has 3.5% of the world’s HNWI and only 0.33% of the world’s population. So, Australians are affluent and keen yachtsmen.

Two leading yachts have recently been launched for Australian owners – CRN’s M/Y CLOUD 9 (which was on display at the 2017 Monaco Yacht Show) and Feadship’s M/Y HASNA. Aside from these launches, Gulf Craft delivered M/Y GHOST II (opens in a new tab) to a Sydney Owner in 2016 and a number of brokerage yachts have been purchased by Australians including the 40-metre Mondomarine, M/Y INFINITY PACIFIC, and 34-metre Alloy Yacht, M/Y AKIKO (opens in a new tab) – both of which are managed by Ocean Alliance (opens in a new tab) for charter.

M/Y INFINITY PACIFIC

M/Y GHOST II

M/Y AKIKO

Australian New Build Market

There is a long boat and yacht building heritage in Australia (opens in a new tab) through the likes of Oceanfast. Unfortunately, there was a sharp decline in activity which recently has reversed to make small gains. The lion’s share of yacht building in Australia (opens in a new tab) is in Perth (opens in a new tab) shared between Echo Yachts and Silveryachts.

Echo Yachts launched the 46-metre M/Y CHARLEY which is the support yacht to the 86-metre trimaran, M/Y WHITE RABBIT GOLF, currently in construction. Aside from being the largest yacht ever built in Australia (opens in a new tab), M/Y WHITE RABBIT GOLF it is also the world’s largest aluminium Trimaran and has her exterior and interior styled by Sam Sorgiovanni.

Silveryachts are also developing their own yachting product with the 85-metre M/Y Silverloft. The explorer style is a collaboration with renowned designer, Espen Øino, for maximum efficiency. Whilst the yacht was under construction, Silveryachts and Espen Øino announced a new investor in Hong Kong – listed Aluminium Group China Zhongwang. This new partnership should allow the yard to increase efficiency in construction material making their yachts some of the most exciting, glamorous and cutting edge.

Australian Charter Market

Aside from Australia (opens in a new tab) having some of the most magnificent and undeveloped coastlines in the world, it should come as little surprise that a thriving charter market has evolved. A number of yachts ranging from 30 to 45 metres are cruising much sought-after destinations such as Sydney Harbour (opens in a new tab), The Whitsunday Islands (opens in a new tab), The Great Barrier Reef (opens in a new tab), The Kimberley (opens in a new tab), Ningaloo Reef (opens in a new tab) and Tasmania.

Ocean Alliance (opens in a new tab) holds the CA’s to Australia (opens in a new tab)‘s leading charter yachts and has added three new yachts to the charter market so far in 2017 – M/Y AKIKO (opens in a new tab), M/Y AURORA (opens in a new tab) and M/Y INFINITY PACIFIC (opens in a new tab). Demand has grown in part due to the accolades received at the World Superyacht Awards in Florence when The Kimberley (opens in a new tab) region and M/Y GLAZE (a privately owned Trinity) won the Voyager Award.

Once reluctant Government agencies are now working hand in hand with the Australian yachting industry to grow charter. Tourism Australia has supported and will continue to support Ocean Alliance (opens in a new tab) to host international brokers and media on familiarisation trips on Australian yachts – to both the Whitsunday Islands (opens in a new tab) and The Kimberley (opens in a new tab). The Great Barrier Marine Park Authority has also designated 21 new dedicated superyacht anchorages in the Whitsunday islands  (opens in a new tab)to give safe and exclusive harbour to cruising yachts up to 70-metres.

Further afield, the team also forged into new cruising grounds such as New Caledonia (opens in a new tab). Ocean Alliance (opens in a new tab) launched M/Y MASTEKA II (opens in a new tab) into the South Pacific charter market as the first yacht to obtain a commercial cruising licence for New Caledonia (opens in a new tab) – a destination for charterers wishing to explore the “real South of France” in the exotic paradise. A short familiarisation trip took place weeks after the announcement, receiving encouraging global feedback for the region.

The Economic Impact of Yachting in Australia

In May 2017, Superyacht Australia tabled an Economic Impact Statement detailing the contribution of yachting to the Australian economy. Reputable economic modelling consultancy, AEC, found the industry currently contributed AUD$1.97 Billion to GDP and could grow to as much as AUD$3.4 in less than four years given the right regulatory environment. Most of that growth would come from charter.

Ocean Alliance Initiatives

Ocean Alliance (opens in a new tab) is currently in a growth phase investing into new human resources, promotional activities and community engagement programmes to keep momentum in the Australian and South Pacific markets. Charter enquiries are on the increase as is the interest from Australians in yacht ownership.

Ocean Alliance (opens in a new tab) has launched a new website which has a firm emphasis on user experience. It allows the client to research yachts, destinations and experiences through multimedia and intuitive navigation. The crew play an important role in the new website with personal videos. There are destination videos, sample menus and itineraries and some detailed yachting experiences for inspiration.

Aside from working on expanding the product offering, Ocean Alliance (opens in a new tab) launched ‘Sea-Through – The Superyacht Beach Clean Project’ (opens in a new tab). The initiative brings together yachts and their crew to take a hands-on approach to environmental management by selecting a well-loved yachting destination from which they clean debris. The first event was in Sydney (opens in a new tab) in July and over 35 crew and industry professional operating a fleet of yacht tenders removed debris from three popular harbour beaches. The Ocean Alliance team (opens in a new tab) are planning more such events in Sydney (opens in a new tab) and other Australian yachting destinations.

Ocean Alliance is a Sydney-based full-service superyacht brokerage house. The company represents a large portion of the superyacht charter fleet operating in Australia and the South Pacific, and source international charter yachts and destinations for clients looking abroad. Their services also include yacht brokerage, charter marketing, commercial structures and yacht management. Whether you are an experienced yacht owner or charterer or making your first steps in yachting, the team can support your needs.