How the US Press are Reporting the Fort Lauderdale Boat Show

With the 53rd Fort Lauderdale Boat Show drawing to a close yesterday the local press have been around to interview exhibitors in a bid to gauge the market

At CNBC, Robert Frank works as their wealth correspondent.  On the Feadship stand he spoke with Henk De Vries who told him, “The business is bad, and it’s been bad since 2008 when the crisis hit yachting incredibly hard. Orders were running at 80 to 100 vessels a year before the crisis in 2008. In 2009, new orders dropped to about 10 — a fall of 90 percent.
“Currently,” he told the CNBC reporter, “Orders have picked up again, to about 20 to 30 a year. While many say the industry’s current cruise speed is more normal compared to the euphoria of 2007 and 2008, there are still far more mega-yachts than rich people who want to buy or rent them.
Other industry executives have cited several factors. While many of the world’s super-rich have recovered their fortunes, stock markets remain volatile. Yachts have also become highly visible signs of conspicuous consumption and “the leisure class,” and many of today’s wealthy want to keep a lower profile.
“I think there’s a little bit of a taint to owning a yacht,” said one yacht-builder. “You go to the Mediterranean in a giant yacht now and everyone on the shore hates you rather than admires you.”
Industry executives say that orders from the United States and Europe remain especially weak.
The reporter has found that one bright spot is the “BRICs”, the emerging economic powerhouse of Brazil, Russia, India and China; the new rich from Hong Kong to Rio de Janeiro are slowly starting to acquire a taste for yachting. 
“In China, they are just starting to understand the meaning of buying a yacht,” said Vincenzo Poerio, CEO of one of the largest yacht builders, Benetti Group, which recently sold two boats of more than 170 feet to Chinese buyers. “But China needs time. They are growing fast, but there is no fast in this business.”
The good news is that for bargain hunters in the super-yacht world — an admittedly small club  — prices for used yachts and charters have rarely been lower.
At the Ft. Lauderdale yacht show, which gathered over 1,000 yachts from around the world for sale or charter, the docks were crowded with signs for “special deals” and “reduced price.” One of the largest yachts for sale is the 61 metre Feadship April Fool.
April Fool just lowered its sale price by $10 million, to $59.5 million.
“It’s an amazing price,” said Jonathan Beckett, president of Burgess, the yacht brokerage and charter company, told the CNBC reporter “The great thing about Americans compared to other countries is that Americans appreciate a deal.”

Follow Robert Frank on Twitter: @robtfrank