As the jet ski business continues to evolve, it’s essential to keep well-informed about how the industry is evolving, ensuring you’re prepared to continue riding the wave of success. Pun intended.
Let’s dig into the most up-to-date stats relevant to jet ski tour businesses.
General Jet Ski Overview Trends
Before diving into the nitty-gritty of the business, let’s explore some key statistics and trends shaping the industry, on both a global and national scale:
- According to recent data, the global jet ski market size was valued at around $1.5 billion in 2022, with a projected compound annual growth rate (CAGR) of over 5% from 2023 to 2032.
- The U.S. has a well-established jet ski market, accounting for a significant share of the overall revenue.
- With such a steady growth rate, coupled with advancements in technology, jet skis are attracting a much larger audience as interest and accessibility continue to grow.
How many jet ski rental companies were documented in 2023?
To get a better feel for the industry’s growth, let’s explore both the top 10 U.S. cities with a high number of jet ski rental options and the rough number of rental companies documented in 2023, compared to previous years:
According to top boating and watercraft sources, the top 10 cities that have an ever-increasing demand for jet ski rentals are:
- New York Harbor
- Lake Placid
- Lake Michigan
- Lake Cumberland
- Miami Beach
- Lake Tahoe
- Lake Powell
- Lake Weir
- The Florida Keys
- Lake Ouachita
In 2023, there were roughly 3,400 jet ski rental businesses in the U.S., which is about 1.8% more than in 2022. Comparing data from 2022, 2020, and 2018, there has been a noticeable and steady boost in the establishment of jet ski rental businesses, signaling a thriving market.
How many people went jet skiing in 2022?
Now that we know the top jet ski hotspots in the U.S. and the rough number of businesses out there, let’s look at how many people flocked to these waterways in 2022:
- Despite the social distancing challenges posed by the global pandemic in 2020 and 2021, the jet ski industry had a strong rebound in 2022 when the market size reached over $1.48 billion.
- Following the 2022 demand for outdoor activities and water sport recreation, the jet ski market value is projected to reach a whopping $2.55 billion by 2032.
Where is jet skiing most popular?
Jet skiing’s popularity varies across different cities in the US, with certain places emerging as hotspots for enthusiasts.
Florida was voted most popular destination for jet skiing in 2023. Cities like Miami, Orlando, and the Florida Keys attract a large number of jet skiing enthusiasts due to their scenic coastlines and vibrant waterfronts.
However, California and Hawaii trail right behind, consistently ranking among the top states for the activity due to ideal weather conditions and abundant waterways.
What do you need to do before starting a jet skiing business?
If you’re here, we bet you’re wondering how to break into the jet ski tour industry.
So, where to start? Ideally, you’d want to build a solid game plan based on market and legal research, as well as careful financial projections. If the positive growth statistics were enough to inspire you to operate a jet skiing business, here is a short blueprint to kickstart your journey.
Research and Planning
The very first step is to conduct thorough market research—you want to identify potential locations, your target demographics, and your top competitors.
Develop a Solid Business Plan
A good business plan outlines your objectives, marketing strategies, and financial projections.
Ask yourself, where would I want my business to live? In turn, what type of business would I attract?
Understanding your target audience is crucial to any business plan, as well as researching the current competitive landscape of what you’re building. Knowing your audience can help you discover your unique sales proposition, i.e. what makes your jet ski rental business stand out from the others?
Regulatory Compliance
Familiarize yourself with local regulations and licensing requirements governing jet ski operations. Obtain necessary permits, insurance coverage, and safety certifications to ensure legal compliance.
This is a top priority for your business and should be thoroughly considered in the beginning stages of development since the requirements for regulatory compliance in the jet ski industry vary by location.
Some of the main requirements that your business must have for personal watercraft (PWC) are:
- Coast Guard approved B-1 fire extinguisher
- Appropriate sound signaling device
- The watercraft must be registered with the state and have a registration number displayed
- The hull ID or T/T must be clearly marked and adhere to manufacturer’s capacity limits, among the long list of accessories.
- Other safety equipment for riders include life jackets and whistles for riders.
Equipment and Infrastructure
Consider both your investment and operations cost. Invest in high-quality jet skis, safety gear, and facility amenities to enhance the customer experience. Establish efficient rental processes and maintenance protocols to keep your fleet in top condition.
When choosing the appropriate jet skis, you may want to consider new vs. used, compare brands and models, do thorough research on most reliable engine types, and ensure that the seating capacity is appropriate to the ambition of your business.
Marketing and Promotion
Leverage digital marketing channels, such as social media, search engine optimization (SEO), and email campaigns to promote your jet ski business.
Some examples of this would be showcasing your fleet with high quality content, or offering customer reviews for future clientele. Partnering with local tourism agencies, hotels, and recreational facilities to reach a wider audience and gain traction in a new market is also a great idea. This type of collaboration can also lead to an increase in your audience on social platforms, in turn bringing much more awareness to your business.
There should also be a clear and concise pricing strategy to your services, from everyday prices to seasonal adjustments, as well as promotions and discounts for the year. Something to note is that regularly reviewing your pricing strategy is crucial, as both economy and competitive businesses fluctuate.
Customer Safety
Prioritize safety measures by providing comprehensive instructions, safety briefings, and supervised sessions for riders. Implement strict safety protocols, including life jacket requirements and designated riding areas, to minimize accidents and injuries.
For a more detailed guide on starting your business, check out our DIY Guide to Starting a Tour Company.
How many injuries occur while jet skiing?
There are about 600 to 700 non-fatal injuries resulting from jet ski accidents in the U.S. each year. While jet skiing can be an exhilarating experience, it’s essential to address safety concerns and assess risk factors associated with the sport.
How many people die from jet ski accidents?
While fatalities from jet ski accidents have decreased in recent years due to improved safety measures and awareness campaigns, there are still about 40-50 deaths per year in the US., according to statistics from the US Coast Guard. So it is always important to stress vigilance and caution.
What are the most common causes of jet ski accidents?
The primary causes of jet ski accidents include operator mistakes, sometimes reckless behavior, and on occasion collisions with other vessels or objects. Accidents are rarely due to mechanical failures. Alcohol consumption also contributes to a large number of accidents, impairing judgment and reaction times.
How to keep guests safe?
Prioritize safety education by offering thorough comprehensive training sessions and emphasizing the importance of responsible riding. Many companies enforce speed limits, navigation rules, and designated riding areas to prevent collisions and injuries.
What to do if someone gets injured in your business?
In the event of an injury, immediately provide first aid treatment and seek medical assistance as needed. Thoroughly document the incident, including witness statements and photos, to facilitate insurance claims and legal proceedings.
How to avoid being sued if someone gets injured?
Completed liability digital waivers for guests before participating in jet ski activities is a must, as well as implementing strict safety protocols, conducting regular equipment inspections, and maintaining insurance coverage to protect your business from potential lawsuits.
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As you can see, the jet ski business offers immense opportunities for entrepreneurs who seek a positively growing industry. By staying tuned-in to industry trends, prioritizing safety, and delivering exceptional experiences, you too can have a successful, thriving business in the realm of watersports.
