"Market Intelligence for High-Geared Performance"

Powersports Market Size, Share & Industry Analysis, By Vehicle Type (Heavyweight Motorcycle, Recreational Off-road Vehicles (ROVs), Jetski, and Snowmobile), By Application (On-Road, Off-Road, and Others), By Fuel Type (Gasoline, Diesel, and Electric), and Regional Forecast, 2024-2032

Last Updated: November 04, 2024 | Format: PDF | Report ID: FBI105156

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global powersports market size was valued at USD 37.96 billion in 2023. The market is projected to grow from USD 39.77 billion in 2024 to USD 60.51 billion by 2032, exhibiting a CAGR of 5.4% during the forecast period.


Powersports vehicles are high-performance vehicles intended for off-highway as well as on-highway use. They are designed to withstand extreme operating conditions such as shock/vibration, debris, and other environmental hazards.


Increasing demand among the youth for off-road adventure tourism and leisure activities, a rise in disposable income, clubs, and state organizations promoting powersports activities drive market growth. Additionally, government policies supporting the development of recreational infrastructure also increase the market growth.


The impact of COVID-19 on the market was characterized by the shutdown of production and assembly plants along with reduced parts supply. However, this market witnessed a surging demand during the pandemic, owing to exponential sales compared to previous years. For instance, according to data published by Solomon Partners, the U.S. witnessed a 24% YoY growth of ATVs/SxS vehicles.


Powersports Market Trends


High Demand for Vehicle Modifications with Additional Accessories to Influence Market Growth


According to the Specialty Equipment Market Association (SEMA), around 82% of powersports vehicle owners plan to purchase accessories for their vehicles within three months of purchase. Powersports vehicles are used across diverse terrains for various activities. Enhancing functionality using utility-oriented modifications is a top priority for off and on-road enthusiasts. The vehicles in the powersports market are designed with customization considerations. Thus, various vehicles models are widely created to support aftermarket performance and vehicle upgrades, further driving the market growth.


The trend of vehicle electrification is also expected to grow during the forecast period. Since major OEM manufacturers aim to introduce their electric variants of ATVs, heavy motorcycles, jetskis, and snowmobiles, introducing electric models will further reduce fossil-fuel dependence as these vehicles consume fuel at a higher rate. Furthermore, the major players in the market are highly motivated on launching EV models in the market to further promote electrification in powersports and reduce the overall impact of the powersports industry on the environment. Thus, major players are focusing on developing EV models of their vehicles to promote green energy and sustainability.


Request a Free sample to learn more about this report.


Powersports Market Growth Factors


Increasing Adoption of ATVs to Drive the Powersports Market Growth


ATVs have lesser age restrictions and lower maintenance costs than other powersport vehicles, and are easier to maneuver, owing to their low vehicle weight. Therefore, these factors and their affordable pricing have made powersports highly popular among the younger population and older adults.  ATVs are an excellent alternative to mobility in tight spaces and narrow roads especially in parks, natural forestry, and national parks as they are nimble and do not take up much space. Additionally, lower carbon footprints and lower congestions are some of the major factors leading consumers to opt for ATVS and SxS vehicles.


Government initiatives in North America and Europe to increase the number of ATV pathways in parks have also increased. For instance, in Georgia, a federal grant was awarded for the growth of a new recreational facility, Bush Head Shoals ATV Park. Hence, the high adoption of ATVs is expected to drive the development of the market.


Economic Impact of Snowmobiling to Augment Market Growth


Snowmobile tourism is keenly endorsed through trail maps and information guides by state and regional travel agencies, as it has become a significant outdoor activity. For instance, according to the data issued by the International Snowmobile Manufacturers Association (ISMA), approximately USD 36 billion is expended on snowmobiling annually in the U.S. and Canada.


Snowmobiling generates approximately USD 350 million in terms of overall economic impact in Maine. Similarly, an economic impact study by the Quebec Federation of Snowmobile Clubs revealed that the snowmobile industry generated around USD 2 billion in Quebec. Hence, these factors are promoting the growth of snowmobiling, which will, in turn, drive the global market growth.


RESTRAINING FACTORS


Environmental Impact and Safety Aspects to Restrain Market Growth


Most powersport vehicles operate on conventional fuel and have highly polluting engines. Heavyweight motorcycles, in particular, consume a high quantity of fuel and emit larger emissions. Regulatory norms aimed at reducing the harmful impact of such vehicles and the greater consumer need for fuel-efficient vehicles are leading to decreasing sales.


Additionally, according to the Consumer Product Safety Commission (CPSC), around 81,800 people were injured in the U.S., owing to ATV-related incidents in 2018, with children younger than 16 involved in 26% of the incidents. Lack of appropriate safety equipment while off-roading is attributed to the high number of rollover and collision incidents. Hence, increased focus on the environmental impact of these vehicles and their unmanaged use by children contributing to high fatalities is responsible for restraining the market growth.


Powersports Market Segmentation Analysis


By Vehicle Type Analysis


Higher Demand for Short and Off-road Cargo Transportation is Driving the Demand for Recreational Off-road Vehicles (ROVs)


By vehicle type, the market is segmented into heavyweight motorcycle, ROVs (all-terrain vehicles, side by side, and utility terrain vehicle), jetski, and snowmobile. The ROVs segment dominated the market share and is expected to grow at a steady growth rate owing to features such as multiple seating configurations, enhanced rollover protection, versatility in off-road use, including forestry and agriculture, and utility as well as luxury tasks.


Snowmobiles are highly popular for recreational use due to growing tourist attractions, and snow recreational activities provide a popular sport for North America and Europe regions. Additionally, major players are aiming to introduce new electric models to support the adoption of electrification technology to tackle climate change.


To know how our report can help streamline your business, Speak to Analyst


By Application Analysis


Off-road Segment to Grow at a Significant Pace Owing to Increasing Versatility of Vehicles


Based on application, the market is segmented into on-road, off-road, and others. The off-road segment held the dominant share in 2023. Powersport vehicles can drive on uneven and rocky surfaces and steep trails, providing versatility across all terrains. They provide impressive handling with compact size and can maneuver in tight spaces such as crowded forests (ATVs and side by side vehicles) and snowmobile trails (snowmobiles).


Increasing demand from consumers for recreational activities in various regions such as North America and Europe with higher popularity for power sports is also expected to drive market growth. Moreover, off-road vehicles offer a robust structure and chassis to endure uneven surfaces. Thus, they are highly suitable for off-roading applications such as leisure, motorsports, and cargo transportation. Hence, these few factors fuel the growth of the segment.


By Fuel Type Analysis


Lower Cost of Gasoline-fueled Vehicles as Compared to Electric Vehicles Helped the Growth of Gasoline Segment


Based on fuel type, the market is segmented into gasoline, diesel, and electric.


The gasoline segment held the largest market share in 2023 due to high reliability and performance delivered by higher octane, pure gasoline fuel compared to other fuel types. Thus, these factors drive the demand for gasoline-powered vehicles.


The electric segment is expected to grow significantly during the forecast period owing to the rapid penetration of electrification technology across the automotive sector. Additionally, major players focus on reducing their carbon footprint by introducing electric models and aiming for sustainable manufacturing processes. Thus, electric vehicles are expected to acquire a significant market share over the forecast period, owing to growing environmental concerns.


REGIONAL INSIGHTS


North America Powersports Market Size, 2023 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


High Popularity of Powersports in North America to Dominate the Market


North America held a dominant powersports market share, owing to favorable weather conditions, availability of a large number of recreational facilities, and the presence of established players, which include Arctic Cat, Yamaha Motor Corporation, BRP, and Polaris. Furthermore, the state and federal governments in the U.S. and Canada also provide extensive support (for example, surveying & designing trails), owing to the high economic impact of powersport activities. Hence, these reasons are expected to influence the dominance of this region in the market.


Europe accounted for a significant growth in the market, owing to the rise of recreational clubs and provincial organizations that are heavily promoting off-road & recreational leisure activities. Additionally, the popularity of powersports in this region is expected to fuel market growth.


Asia Pacific is expected to witness good growth in the market. High vehicle costs and lack of extensive servicing infrastructure hamper the adoption of powersports in this region. However, owing to a rise in disposable income and greater consumer awareness regarding recreational activities, there is a higher demand for heavyweight motorcycles and side by side’s in this region. Hence, these factors are predicted to drive market growth in this region.


List of Key Companies in Powersports Market


Major Players are Aiming Toward Introducing Technological Advancements to Offer Additional Value for Products for Consumers


The key players include BRP, Arctic Cat Inc., Honda Motor Co., Ltd., Polaris Inc., and Kawasaki Heavy Industries, Ltd. The companies aim to launch new models equipped with advanced technology and electric models to lead the competitive landscape.


Several key players are investing heavily in expanding their digital footprint, which can enable more seamless powersport ownership. For instance, in April 2023, Polaris launched its new electric Ranger XP Kinetic product line. The new vehicles feature a fully-electric powertrain engineered for off-road operations under the exclusive 10-year partnership between Polaris and Zero Motorcycles.


LIST OF KEY COMPANIES PROFILED:



KEY INDUSTRY DEVELOPMENTS:



  • October 2023 – Kayo Electric, showcased its latest line up of electric ATV models EA70 and EA110. The vehicles are specifically designed for a safer and thrilling off road driving experience for ATV enthusiasts.

  • September 2023 – Tesla announced its plan to launch Cyberquad, an all-electric ATV vehicle for non-commercial use. The company aims on entering the ATV market due to its recent upsurge in demand for ATVs in past few years.

  • April 2023 – Polaris provided one of the major equipment rental companies, United Rentals, Inc., with its all-electric range of Polaris Ranger XP Kinetic UTVs. The company also announced to expand its partnership with Polaris Commercial to increase the fleet of electric UTVs further.

  • March 2023 – Honda Motors introduced a new product line of Multipurpose ATVs and compact Side by Sides (SxS). These vehicles feature a refined vehicle body suitable for multi-terrain purposes with higher weight endurance and comfort characteristics.

  • March 2023 – Taiga Motors Corporation introduced its long-distance electric snowmobile capabilities that offer fast charging on a few beta releases. The EV snowmobile can speed charge up to 80% in 30 minutes with a full range of 100 km.


REPORT COVERAGE


The research report covers a detailed analysis of the market and focuses on key aspects such as leading companies, product types, and leading applications of the product. Besides this, the report offers insights into the powersports market trends and highlights key industry developments. In addition to the aforementioned factors, the report delivers an in-depth market analysis of several factors that contributed to the market growth in recent years.


An Infographic Representation of Powersports Market

To get information on various segments, share your queries with us



Report Scope & Segmentation



















































ATTRIBUTE



DETAILS



Study Period



2019-2032



Base Year



2023



Estimated Year



2024



Forecast Period



2024-2032



Historical Period



2019-2022



Growth Rate



CAGR of 5.4% from 2024-2032



Unit



Value (USD Billion) & Volume (Units)



Segmentation



By Vehicle Type



  • Heavyweight Motorcycle

  • ROVs

  • Jetski

  • Snowmobiles



By Application



  • On-road

  • Off-road

  • Others



By Fuel Type



  • Gasoline

  • Diesel

  • Electric



By Geography



  • North America (By Vehicle Type, Fuel Type, Application)

    • U.S.

    • Canada

    • Mexico



  • Europe (By Vehicle Type, Fuel Type, Application)

    • U.K.

    • Germany

    • France

    • Rest of Europe



  • Asia Pacific (By Vehicle Type, Fuel Type, Application)

    • Australia

    • China

    • India

    • Japan

    • Rest of Asia Pacific



  • Rest of the World (By Vehicle Type, Fuel Type, Application)






Frequently Asked Questions

Fortune Business Insights says that the global market size was USD 37.96 billion in 2023 and is projected to reach USD 60.51 billion by 2032.

In 2023, the North America market value stood at USD 21.23 billion.

The market is projected to exhibit a CAGR of 5.4% over the forecast period (2024-2032).

The ROVs segment is expected to be the leading segment in this market during the forecast period.

Increasing adoption of ATVs is the key factor driving the growth of the market.

Polaris Inc., Harley Davidson, and BRP are the major players in the global market.

North America held the largest share of the market in 2023.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts
Speak to an Expert
  • 2019-2032
  • 2023
  • 2019-2022
  • 160
Multi-report Purchase Plan
    A Customized Plan Will be Created Based on the number of reports you wish to purchase
Automotive & Transportation Clients
Asahi
KIA
Bosch
Deloitee
Hitachi
Client Testimonials

“We are quite happy with the methodology you outlined. We really appreciate the time your team has spent on this project, and the efforts of your team to answer our questions.”

- One of the largest & renowned medical research centers based in the U.S. on a report on the U.S. NIPT Market.

“Thanks a million. The report looks great!”

- Feedback from a consultant on a report on the U.S. Beef Market.

“Thanks for the excellent report and the insights regarding the lactose market.”

- Brazil based company specializing in production of protein ingredients.

“I liked the report; would it be possible to send me the PPT version as I want to use a few slides in an internal presentation that I am preparing.”

- Global Digital Services Agency on a report on the Global Luxury Goods Market.

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X