A greener shade of blue. Why the new breed of tech billionaire could be the driving force in yachting’s increasingly eco-conscious future.

What does the archetypal modern billionaire look like? One thing is for sure, it is a question much harder to answer than it was ten years ago.

The planet’s wealthiest percentile is getting younger. Accruing wealth through technological innovation, they have created entirely new industries from scratch, rapidly scaling their offering to the point of near universal adoption. Products and services used by millions. Facebook, Twitter and Dropbox were not traditional enterprises, but the dorm room conceived love-children of students. At the helm of each, a raw innovator; all embodying the idea of ‘being the change’ they want in the world- creating what they feel is missing, from scratch. The byproduct? A staggering level of personal wealth on a par with the most heavyweight oligarch.

The character of this dressed down extreme wealth is fundamentally different. Having never competed in a traditional market, or needed to prove their worth relative to competition, their world view is unencumbered and their vision gin clear. They are characterised by bringing big dreams to fruition without compromise.

Like an aircraft carrier’s ability to project power internationally, superyachts are stereotypically seen as a status symbol, a means of projecting the net worth of the owner in waterline length. For this new breed, bypassing to billionaire status in a bounce between their mid-twenties and thirties, there’s no particular need to prove anything to anyone. Their achievements are unspoken, unparalleled and self-assured.

So, considering they certainly have the means, will these people buy into yachting? Well, like the rest of their age group, they value experiences over physical property. The superyacht is increasingly used as a way to access and experience the extraordinary- something they certainly buy into. Diving to the wreck of the Titanic in a miniature submarine, rounding Cape Horn or yacht based heli-skiing in Svalbard are the visceral experiences sought by adventurous young minds. A yacht could be the mechanism to realise many of them. Innovation is at the crux of their success and will manifest in the custom yacht projects they commission. Acutely aware of the planet’s most fundamental sustainability challenges, with many in actively involved and invested in plans to reverse climate change; any venture into yachting will be eco-friendlier than we have seen before. Expect groundbreaking efficiency.

The impact on the direction of the industry as a whole shouldn’t be underestimated. Like the role of Formula 1 racing car design in mainstream car development, the trickle down affect from groundbreaking superyacht projects has a track record of changing the status quo for good. Already first time yacht owners in the young millionaire bracket are demanding electric and hybrid drive systems that are testing what is possible to the limit. Solar energy and more environmentally friendly build methods are regular demands placed on boatyards. Furthermore, they are buying into the yachting dream younger as well; an increasing number sailing away for a sabbatical to take a break from serial entrepreneurship. Rationalising on the reality of the time they have on earth to experience as much as possible.

We could soon be entering another golden age of yachting. One driven forward by groundbreaking projects that challenge the status quo of what’s possible and using yachts as they should be- as a means to experience the extraordinary. An exciting prospect for all involved.

The Young Turks. Why YouTube sailing vlogs are a disruptive market force to learn from, not lambast.

On a lee shore, with their engine struggling, an increasing number of marine businesses are finding themselves caught out by a market in flux. Why? Well for one, that ever-dependable cash cow, the baby boomer, is starting to die out.

So what is the strategy going forward for marine businesses? In the case of many, there doesn’t appear to be one. In an increasingly complex market that’s more challenging to understand, some are hoping for the best on a falling tide; failing to adapt to the situation they are facing. What does the new breed of consumer look like? We’re into uncharted territory, but what is clear is that the new market fails to conform to stereotypes.

Entrepreneurial, independent and uninterested in the conventions of the past; many coming into yachting see it as a mechanism to access the incredible, rather than a pursuit in itself. A yacht unlocks another angle on the world and offers a means of escape that differentiates them from their peers. In short, the millennial is knocking at the door of the industry looking for something new. Having failed to adapt to this demand, some businesses playing by the old rules are finding what they offer doesn’t match up.

Mechanism to access. The universal appeal of yachting. Credit: Sailing La Vagabonde/Outremer

So how can the market get to the root of the millennial yachtie zeitgeist? The internet is our friend…

Spend any time on yachting forums online (or don’t, save your soul) and you will read about You Tube channels like SV Delos and Sailing La Vagabonde . Yachts that cruise full-time and make videos about their experiences. Ritually lambasted for their lack of technical knowledge by the keyboard rear-admirals, they are generally to be found in tropical anchorages around the world; soaking up sun and social media likes in equal measure. Thousands follow in their wake online, living vicariously through their travels and learning what yachting has to offer at the same time.

But what do these young Turks of yachting and their aspirational disciples mean for the market? Should they be loathed or loved? Perhaps what we should consider first is how they might influence the future. I can’t imagine a better barometer on the enduring appeal of yachting to a younger audience. Some viewers will follow through and buy into the equation, which is great news. Furthermore, unlike the previous generation, the millennial moves fast on their goals; executing long before retirement in case it might be too late. It’s a different mindset. Will everyone that watches open mouthed on their miserable commute buy into the dream? No, but enough will to make a difference to the status quo. The question is which marine businesses are ready to embrace them and react quick enough? They don’t want to wait.

Riley Whitelum. A different angle on yachting for a different audience.

In 2017 I went sailing with Sailing La Vagabonde and wrote a feature about my experience for UK yachting magazine Yachting Monthly. Above all, I was curious. As viewers we are given a beautifully edited window on their lives, but what is the reality like? Reassuringly, their early productions, those that propelled them to success, are fundamentally self-depreciating. Like most amateur sailors, for a long time, they didn’t have a clue. The fundamental difference is that they were happy to share their ineptitude and take viewers on the road to competence with them. They, shock horror, are like the rest of us. So if they can do it, why can’t the person watching the video? The negative response from some readers of my article was as good an indicator as any to me that I’d touched a nerve of discontent amongst an old guard that is perhaps increasingly irrelevant.

Striking a deal with performance catamaran builder Outremer, Sailing La Vagabonde pulled off a blinder, cementing their position as a pioneering YouTube channel sailing a yacht most will only ever dream of. For Outremer it was a win win too. With a goal to define their position in the market as builders of a different kind of catamaran, for a new kind of customer, La Vagabonde would put their product centre stage for years, whilst fostering an emerging market for Outremer.

At Düsseldorf Boat Show last month it became even clearer to me how marine businesses are starting to be defined by two things; how clear their offering to the market is, and, their ability to react quickly to demand. But how fast to move? Perhaps for guidance on this we should look to outside the marine bubble and think bigger; to quote Facebook founder Mark Zuckerberg “Move fast and break things. Unless you are breaking stuff, you are not moving fast enough.”

Going back from whence we came. The compelling narrative of the sea and how to harness the power of storytelling for marine brands; a lesson in authenticity from JFK.

President John F. Kennedy was never a man short of something profound to say. When invited to speak to a room full of America’s most experienced sailors, he didn’t didn’t let anyone down; neatly distilling the unique place the sea holds in the human psyche.

“it is an interesting biological fact that all of us have, in our veins the exact same percentage of salt in our blood that exists in the ocean, and, therefore, we have salt in our blood, in our sweat, in our tears. We are tied to the ocean. And when we go back to the sea, whether it is to sail or to watch it, we are going back from whence we came. “ JFK, Americas Cup dinner 1962

Authenticity is a powerful drug and Kennedy was the doyen of delivering a well timed dose to an audience. Sharing a curious nugget of wisdom they perhaps hadn’t heard before, the lifelong East-coast yachtsman seamlessly tapped into the mythical relationship with the ocean that sailors share. A few lines into his after-dinner speech, he had their full attention.

In an age of bright lights vying for our attention in every waking minute it can be all too easy to forget the value of an authentic narrative. If your message resonates, strikes at what the audience feels, you win a customer for life. Furthermore, they are likely to be the kind of customer you actually want long term. Someone that connects with your offering precicely because it is a reflection of themselves, and, though they might not realise it; their own personal narative.

Simon Sinek explains in his hugely popular TED talk Start With Why, ‘people don’t buy what you do; they buy WHY you do what you do.’ Apple, Patagonia and Tesla all clearly articulate their why; we buy into that sense of brand purpose and want to associate ourselves with it. In relation to the sea, the importnace of why is only amplified.

As a yachting journalist exposed to the good, bad and the ugly of the marine industry, brands that actually manage to stand out are a rarity. Those that excel possess a grounded and self-assured understanding of why that runs through everything they make or do. Like sailing with an old salt that’s seen it all before; they instill confidence in their audience naturally.

Marine industry customers are an increasingly discerning bunch. Reading more deeply than they did into what they are buying. In short, they read into the why of their favoured brands much more. What’s behind the brand? What’s their story? And, the clincher, what does buying into that brand say about me?

The yacht, the waterproof jacket and the new iPhone app are part of the conduit that links the marine industry customer to the sea. The mechanisms to their own adventures. Brands that lose track of this strong thread of connection to the environment are missing the fundamentals that drew their customers onto the water in the first place.

Storytelling starts at the core of a business and works outwards. Shaping a narrative demands hard work at the beginning, laying a solid foundation and reference point for the rest of the build; the varnish of social media comes last.

The effect can be profound, acting as an exercise in self-realisation in a competitive and volatile market where it can be easy to loose track of what’s so great about our role in a still unusual industry. Good stories, well told, immediately differentiate a business from the competition.

As the first boat show of 2019, BOOT Düsseldorf, kicks off this week, who will stand out in a veritable sea of chrome and polish? Almost certainly those with a story to tell.