Market Insights
Off-road vehicles (ORVs) are specifically designed vehicles that are used for driving on off-highway applications such as rugged roads. These vehicles provide higher durability, increased power outputs, and enhanced traction as compared to the other vehicles. ORVs have a wide range of applications including mining, agriculture, construction, among others. There has been a significant demand for such vehicles due to the increasing popularity of extreme sports, across the globe, which is fueling the overall market growth.
The rapidly growing industrialization along with the rising disposable income of the consumers are some of the major factors that influence the ORV market. These vehicles have increasingly been adopted by the construction, mining, and agriculture industries, among others. Therefore, the ORV manufacturers are largely focused on the development of new ORVs with enhanced features in order to attract more clients and acquire a competitive edge in the market.
Unlike other transportation segments, such as automotive and trucks that recorded a humongous decline amid the pandemic, ORVs emerged as the savior and grew tremendously, especially in North America and Europe. Overall, the market grew by 24% in terms of units in the year 2020, a growth rate that the industry never achieved or even reached close to it in the past decade. The long-term outlook is also extremely pleasing keeping the mind the growth and demand for ORVs, especially SSVs. In market numbers, the powersports market is estimated to grow at a healthy CAGR of 7.6% during 2022-2027 to reach a value of US$ 24.0 billion by 2027.
Segments' Analysis
Based on the vehicle type, the off-road vehicles market is segmented as all-terrain vehicles and side-by-side vehicles. The side-by-side vehicles category is expected to dominate the market as they provide a number of advantages over the ATVs, including a superior riding experience, rollover protection, and portability. When compared to ATVs, these factors dramatically lower the number of accidents and injuries. Therefore, the ORV market has witnessed a steady movement from ATVs to SSVs over the eons.
Based on the product types, the market is segmented as utility, rec-use, sports, youth, and others. The utility is projected to remain the most dominant product type in the ORVs market during the forecast period. All the major players have an excellent product portfolio for the utility ORVs. The sports segment is likely to witness the highest growth during the same period, driven by increasing tourism and recreational activities across the globe. The USA is the largest buyer of both utility and sports vehicles.
Similarly, based on application type, the market is segmented as sports, entertainment, agriculture, military, hunting, and others. Sports and entertainment are projected to remain the growth engines of the global ORVs market over the next five years, driven by increasing demand for SSVs for sports and entertainment applications. More than 50% of the ORV sales come from sports and entertainment applications in 2020.
In terms of regions, North America is expected to remain the largest market for off-road vehicles during the forecast period. In 2021, the region alone accounted for more than 80% of the global ORV sales. Europe, another significant continent, is expected to grow at a significant rate over the next five years. Although Asia-Pacific is a minor market, it is expected to expand the most throughout the projected period, thanks to rising demand for Powersports in various countries such as China, Japan, Australia, and India.
Key Players
The supply chain of this market comprises raw material suppliers, component manufacturers, ATV and SSV manufacturers, and distributors, and buyers. The global ORV is a highly consolidated market with the presence of global as well as regional players. The following are the key players in the off-road vehicles market:
- Polaris Inc
- Honda Motor Company
- BRP Inc
- Yamaha Motor Corporation
- Kubota Corporation
- Arctic Cat Inc.
- Deere & Company (John Deere)
- Kawasaki Motors Corp.
- Kwang Yang Motor Co. Ltd
- Suzuki Motor Corporation
- American LandMaster
Research Methodology
This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s off-road vehicles market realities and future market possibilities for the forecast period of 2022 to 2027. The report segments and analyzes the market in the most detailed manner in order to provide a panoramic view of the market. The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate the growth strategies to expedite their growth process.
This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools. More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data. We conducted more than 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.
Report Features
This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision making for the existing market players as well as those willing to enter the market. The following are the key features of the report:
- Market structure: Overview, industry life cycle analysis, supply chain analysis.
- Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
- Market trend and forecast analysis.
- Market segment trend and forecast.
- Competitive landscape and dynamics: Market share, Product portfolio, New Product Launches, etc.
- Attractive market segments and associated growth opportunities.
- Emerging trends.
- Strategic growth opportunities for the existing and new players.
- Key success factors.
The off-road vehicle market is segmented into the following categories:
Off-Road Vehicles Market, by Vehicle Type
- All-Terrain Vehicles (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
- Side-by-Side Vehicles (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
Off-Road Vehicles Market, by Product Type
- Utility (Trend and Forecast)
- Rec-Use (Trend and Forecast)
- Sports (Trend and Forecast)
- Youth (Trend and Forecast)
Off-Road Vehicles Market, by Application Type
- Sports (Trend and Forecast)
- Entertainment (Trend and Forecast)
- Military (Trend and Forecast)
- Agriculture (Trend and Forecast)
- Hunting (Trend and Forecast)
- Others (Trend and Forecast)
Off-Road Vehicles Market, by Region
- North America (Trend and Forecast)
- Europe (Trend and Forecast)
- Asia-Pacific (Trend and Forecast)
- Rest of the World (Trend and Forecast)
Report Customization Options
With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:
Company Profiling
- Detailed profiling of additional market players (up to three players)
- SWOT analysis of key players (up to three players)
Competitive Benchmarking
- Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances
Custom Research: Stratview research offers custom research services across the sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com
