According to Power Systems Research intelligence, the global powersports market size was valued at $31.41 billion in 2023, and is projected to reach $53.64 billion by 2032, growing at a CAGR of 6.1% from 2023 to 2032.
Power Systems Research is a Minnesota-based research firm that has been tracking global production of power equipment since 1976.
The recreational powersports segment represents activities ranging from off-roading, motocross, and all-terrain and side-by-side vehicle riding to on-road motorcycling and enjoying water equipment such as pontoon boats and jet skis.
Powersports Market Trends. A number of important trends are supporting growth in the global powersports market. These trends include:
- Growing participation in powersports events and competitions, such as cross-country, drag racing, wakeboarding, and road racing.
- Increasing consumer interest in outdoor activities, such as camping, off-roading, and water sports.
- Implementation of government policies that promote tourism and support the development of recreational areas and ATV trails.
- Introduction of electric powersports vehicles that are environmentally friendly, reduce carbon footprint, require low maintenance, and generate low noise.
- Integration of advanced safety systems in powersports vehicles, such as stability control and anti-lock braking system to enhance driver safety, improve performance, and prevent accidents.
- Utilization of smart connectivity features, such as Bluetooth, navigation, and touchscreen displays, which provides real-time information and improves the overall riding experience.
Powersports Market Drivers. Therecreational powersports market continues to grow because of the depth and breadth of its products, ranging from snowmobiles in the winter to pontoon boats and jet skis on summer lakes.
- Growing disposable income
- Expanding adventure tourism options
- Technological developments that improve machine performance and convenience
- Growing consumer interest in outdoor activities
- Government funding and initiatives that support active tourism
- Aggressive marketing and promotions by OEMs and destinations
Global PowerSports Market Restraints. There are several factors that could restrict growth of recreational products. These include:
- Increasing high initial unit cost as OEMs add features
- Expensive maintenance expenses
- Tightened government operating rules
- Growing environmental concerns
- Reduced off-road riding locations demanded by consumer groups
- Changing weather conditions such as heat and reduced snow
- Increasing safety concerns caused by accidents and expanded machine power
- Growing economic uncertainty
- Stiffer competition from other recreational activities
The recreational powersports industry has experienced significant growth recently, with more individuals seeking riding experiences and outdoor recreation. The demand for e-power sports equipment is expected to continue rising as consumer interest in outdoor activities and adventures activities continues to grow and demand for features offered by electric vehicles increases. PSR
Michael Aistrup is a Senior Analyst at Power Systems Research
