The golf cart market is anticipated to increase from US$ 1.41 billion in 2023 to US$ 2.07 billion in 2033. According to FMI, the market is expected to expand at a CAGR of 3.9% throughout the projected period.
The demand for golf carts is fueled by several causes, including the rising popularity of golf and the increased urbanization that goes hand in hand with rising disposable income. During the forecast period, it is also anticipated that the need for such vehicles expands across several businesses, including hotels, tourism, amusement parks, and others, due to growing golf penetration in these sectors and expanding opportunities for golf cart rental services.
| Attributes | Details |
|---|---|
| Golf Cart Market CAGR (2023 to 2033) | 3.9% |
| Golf Cart Market Size (2023) | US$ 1.41 billion |
| Golf Cart Market Size (2033) | US$ 2.07 billion |
The golf cart market is expanding due to the demand for low-speed vehicles for various uses, including short-distance commuting in parks, business districts, colleges, and other places. Additionally, the expansion of golf society and clubs in developed and developing nations is anticipated to speed up industry expansion.
The industry is supported by future investments in both infrastructure and equipment as the leisure and tourism sector grows. In addition, as utility vehicles find more and more uses outside golf courses, the global demand for golf carts is predicted to expand.
Additionally, modern developments like electrification are expanding the golf cart market by addressing issues with cost and the environment. Sales of solar-powered golf carts benefit from consumer preference for eco-friendly options, giving new opportunities to golf cart dealers.
Commercial Potential of Golf Cart
Sales of golf carts are expanding in small communities, apartments, university campuses, at train stations for carriage movement. For other purposes, golf carts are utilized as utility vehicles and mobility aids. Moreover, a golf cart may be adjusted to meet the needs of end customers because of its modular architecture and range of modification possibilities, which enables the owner to run a successful business.
Additionally, improving sales and service operations in developing nations and forming long-term alliances with local distributors pave the way for the channel's reach to be expanded.
Tourism Sector Contribution
The golf cart market share expansion is anticipated to be accelerated by the demand for these vehicles in the tourist, hospitality, academic, and other sectors. Furthermore, government programs to encourage golf tourism and an increase in the use of low-speed vehicles in various industries for effective transportation operations are also anticipated to fuel the demand for golf carts over the forecast period.
In 2023, the golf course industry held the biggest market share and is anticipated to maintain its hegemony during the forecast period. These vehicles are mostly used on golf courses to transport golfers and their equipment.
During the projected period, the commercial services segment is anticipated to increase at an impressive rate. In addition, the rising demand for golf carts that can be customized to meet the requirements of different commercial applications would help the market flourish.
In 2023, the electric golf cart segment had an 80.34% market share. Reduced electric golf cart battery prices and strict emission regulations enforced by the government favorably impact the golf cart's sales. Additionally, as fewer moving parts in an electric golf cart, maintenance costs are practically nonexistent, contributing to the segment's expansion.
The golf cart market ownership sector is developing rapidly. With the expansion of car rental services worldwide, public awareness of the use of golf carts for rent has also grown, particularly during special events like weddings and trade shows.
However, in these situations, customers only require a golf cart for a short period, such as a few days or weeks. As a result, end users are favoring rental services, which is growing the market share of the rental golf cart category.
| Report Attributes | Details |
|---|---|
| Region | North America |
| Factor | Active Key Players |
| Details | The United States is anticipated to continue to be one of the golf cart industry's most lucrative markets. Numerous major businesses, like Club Car, LLC, Yamaha Golf-Car Company, E-Z-GO, and others fuel growth in the US. For instance, the National Golf Foundation estimates that more than 16,100 golf courses are operating in the United States by the year 2023. |
| Report Attributes | Details |
|---|---|
| Region | Europe |
| Factor | Infrastructure development |
| Details | Europe had the second-largest market share. The market is expanding in the region due to growing golf tourism, an increase in the number of aging villages and resorts, and the rising popularity of golf across developed European nations. Currently, the golf cart business has a strong foothold in the north and west of Europe and is expanding steadily into the continent's southeast and center. |
| Report Attributes | Details |
|---|---|
| Region | Asia Pacific |
| Factor | Golf Awareness |
| Details |
Asia Pacific is anticipated to see a striking CAGR during the predicted period. The industry is being pushed by rising golf awareness and an increase in golfers in Asia Pacific's developing nations. For instance, Japan ranked second globally in terms of the number of golf courses in 2023, according to R&A. In 2020, there were 3,140 golf courses in Japan. India has been one of the most prosperous markets for golf carts. The "Make in India" initiative is anticipated to foster an atmosphere that is favorable for the production of golf carts.
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The existence of numerous regional companies has led to a moderate level of market fragmentation. However, businesses are making use of strategic alliances with national and international competitors to broaden their geographic reach.
Moreover, golf cart dealers are building their product portfolios to attract more customers and bolster their position in the global golf cart market.
Companies like Infosys, Yamaha, and E-Z-GO are working on autonomous product designs to have best-in-class opportunities
The majority of the golf carts that are now for sale are electrically propelled. As manufacturers focus on developing and delivering new generation electric models with improved travel range and battery capacity during the projection period, the golf car sector is likely to continue electrifying quickly.
For instance, E-Z-GO debuted the E-Z-GO Liberty in June 2021, the company's first golf car with four forward-facing seats in a small cart.
Along with electrification, one of the new mega-trends in the golf vehicle sector is increasing autonomy. Golf cart manufacturers are putting a lot of effort into creating and constructing autonomous or driverless variations in order to seize the earliest prospects for revenue development in industrialized nations.
For instance, Infosys revealed its first driverless golf car in Bangalore in August 2017. Similar to Yamaha, significant participants in the golf business are concentrating on creating autonomous golf cars as future mobility options.
Moreover, the Yamaha Golf-Car Company officially became the National Golf Course Owners Association's ("Official Golf Car Partner") "Official Golf Car Partner" in January 2021. By providing incentives on Yamaha golf vehicles and utility vehicle purchases/leases through NGCOA's smart buy marketing purchasing program, the cooperation is likely to benefit Yamaha's consumer base.
At the 2019 PGA Merchandise Show, Yamaha Golf-Car Company unveiled its new vehicle with new technology, which also features Yamaha's Drive2 fleet golf car with QuieTech EFI technology.
In addition, the demand for golf carts is expected to increase, as they are seen as an alternative mode of transportation for local and convenient travel. This has led to a shift in consumer preferences toward personal mobility.
These businesses have been introducing new models using cutting-edge technologies to cater to novel applications like short-distance travel and electric mobility.
The relationship between Columbia and Inventus Power, a leader in the design and production of innovative battery systems, was made public in October 2021. Beginning in 2022, the alliance wants to offer a lithium battery pack alternative for Columbia Utility products.
Growing public interest in golf due to health issues drives sales.
Future investments in both infrastructure and industry is the key trend.
The market is forecast to register a CAGR of 3.9% through 2033.
The market is valued at US$ 1.41 billion in 2023.
Eco-conscious consumers drive solar golf cart demand, as a key opportunity.
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