Navigating the Shift: Yacht Brokerage is changing in the Age of Social Media and Alternative Marketplaces
The yacht brokerage industry has always kept premier client service and satisfaction as the top priority, but how to deliver on that service has been evolving. Traditionally, yacht brokers relied on platforms like YachtWorld to showcase their listings, connecting buyers with their dream vessels. However, the tides are turning, and the industry is experiencing a transformation as brokers increasingly harness the power of social media and alternative marketplaces to reach a broader audience.
The Big Shift Is Starting
YachtWorld has long been a staple for yacht brokers, offering a centralized platform where buyers could browse through listings and brokers could showcase their inventory. In the past, it provided a channel for buyers to connect with brokers connecting buyers and sellers within the niche market of luxury yachts. However, with the rise of social media and the emergence of alternative marketplaces, the landscape is evolving.
Many brokers today are still preaching that you absolutely must have your vessel on YachtWorld and Boat Trader to sell it. For years, yacht brokers put their listings on these services and simply waited for the phone to ring (and many still do this). With brokerage companies reporting a conversion rate (the ratio of leads to buyers) of less than .3% from YachtWorld along with significantly decreased consumer ratings of those sites, this is no longer the way to sell a boat for a client.
The largest provider of listing services is Boats Group out of Miami, Florida, and they own YachtWorld, BoatTrader and several other listing sites. The marine industry is moving away from these services due to complaints from consumers about user experience and annual price increases to brokers and dealers of up to 50% every year since 2017.
Consumers have long been dissatisfied with YachtWorld and BoatTrader due to the overwhelming number of ads and amount of “site noise”. These pop ups and advertisements make it difficult to find boats and even more difficult to view them once you do find them. Also, the Boats Group sites frequently display boats that have not been on the market for years and they have frequent performance issues. The technology driving these sites is incredibly old, and it shows in the lack of consumer satisfaction and the effectiveness of these sites to drive buyers to the boats and brokers.
The International Yacht Brokers Association (IYBA) has partnered with other marine industry associations associations to offer what is the best possible solution for the industry and, most importantly, the boat-buying public – a not-for-profit, association-owned marine marketplace called yachtr.com. This is an industry-owned MLS and has no advertising, includes all yacht brokers and boat dealers, and leverages the newest technology to make the experience for the consumer absolutely amazing. Every day, more boats for sale are appearing on yachtr.com and it is well down the path to becoming the primary marketplace where buyers can have a great online experience while finding the vessel of their dreams.
Smart Yacht Brokers are Embracing Social Media
Social media platforms like Instagram, Facebook, and Twitter have become more than just tools for socializing; they are powerful marketing channels with vast reach and engagement potential. The top yacht brokers are using these platforms to display their listings in a visually compelling manner, captivating audiences with breathtaking imagery and captivating stories of maritime adventures.
By curating an online presence that reflects the yachting and boating lifestyle, brokers can attract a larger audience of potential buyers who may not have been reached through traditional channels. Through targeted advertising and strategic content creation, brokers can engage with a broader market of individuals who harbor dreams of sailing the open seas.
For consumers looking for help in selling their vessel, it is wise to follow the brokerages that you are considering on these platforms to see how they promote listings. Do they promote their clients’ boats regularly? Do they have a professional social media presence? Are they hosting events or forums to get potential buyers to see the boats both in person and on their website?
Exploring Alternative Marketplaces
In addition to social media, yacht brokers are exploring alternative marketplaces to expand their reach and diversify their sales channels. The biggest development in online marine marketplaces is yachtr.com. This is the only listing service that is owned by the industry associations, leverages the latest technology, and is absent of third-party advertising, which is a very welcome change for consumers shopping for vessels. Yachtr.com is quickly becoming the site for every vessel listed for sale by yacht brokers everywhere.
Platforms like Facebook Marketplace, YouTube, broker association websites and others offer new avenues for displaying listings and connecting with buyers. These platforms often cater to specific niches within the yachting community, allowing brokers to target audiences with precision on behalf of their clients.
Altering Course to Optimize Service
As the yacht brokerage industry embraces these changes, consumers must ensure that their brokers are navigating the waters ahead with caution and foresight. While social media and alternative marketplaces offer exciting new possibilities, they also present challenges such as increased competition and the need for digital marketing expertise.
The market now demands that brokers customize their marketing approach to each vessel. The plan to sell an 85-foot motor yacht should not be the same as a 23-foot center console. Sellers should make sure that they understand the marketing plan for their specific vessel.
Brokers should not just rely on digital or print marketing to find buyers – they should be getting creative and finding new ways to get the boats in front of a broader audience. Savvy brokerage houses today are hosting events such as open houses, excursions, demo days and other ways to get buyers excited about their next boat.
The days of putting a vessel for sale out on a listing service and waiting for the phone to ring are over. Brokers must adapt to the evolving landscape by honing their digital skills, investing in high-quality content production, and staying abreast of emerging trends and technologies. By cultivating a strong online presence and embracing new marketplaces, brokers can chart a course toward success in the dynamic world of yacht brokerage. Buyers need to hire with the brokers that are actively working to promote their vessel to the widest audience possible.
Improved Client Satisfaction Through Innovation
The shift from traditional platforms like YachtWorld to social media and alternative marketplaces is a significant change in the yacht brokerage industry. By embracing new concepts of promotion and harnessing the power of digital marketing, brokers can better service their clients. Yacht brokerage clients – both boat buyers and sellers – win when their brokers evolve to improve their service.