GOLF CART MARKET ANALYSIS

Golf Cart Market Size and Trends

Global golf cart market is estimated to be valued at US$ 3.08 Bn in 2024 and is expected to reach US$ 4.72 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 6.3% from 2024 to 2031.

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Increasing participation in golf sports and rising popularity of golf tourism can boost demand for golf carts. Golf carts offer convenient means of transportation at large golf courses and resorts. Golf carts with enhanced features such as power steering, USB charging ports and padded seats are gaining traction. Integration of GPS and telematics solutions in golf carts provide opportunities for fleet managers to track usage. However, rising demand for electric vehicles and increasing cost of lithium-ion batteries can hamper the sales of gasoline-powered golf cart. Ongoing development of lightweight and low-cost batteries by major players can provide options for affordable electric golf carts.

Use of electric golf carts

Due to growing awareness about environment protection, users prefer eco-friendly electric versions of golf carts. While gasoline-powered carts have been used traditionally, electricity-based carts are gaining widespread acceptance due to their lower total cost of operation and negligible emissions. The benefits of electric golf carts make a strong business case especially for commercial applications involving large fleets. Golf facilities are proactively replacing aging gasoline carts with new-age lithium-ion battery packs that offer enhanced performance and convenience. The higher upfront costs of electric golf carts are offset by savings on fuel and maintenance expenditures over the lifespan of the vehicles.

Manufacturers are leveraging new technologies to expand battery capacities and introduce fast charging solutions. This addresses the range anxiety concerns which had hindered initial electric golf cart adoption. Improved designs with sleek exteriors and creature comforts draws passionate golfers towards electric vehicle variants.

For instance, in December 2022, Saera Electric Auto Private Limited (SEAPL), a leading player in India's electric vehicle industry, expanded its product portfolio with the launch of its exclusive Electric Golf Cart in the Indian market. The new Saera Golf Cart boasts a monocoque frame, bucket seats for enhanced comfort, a maintenance-free AC drive system, and cabin lights. The vehicle's interior is designed with a luxurious and spacious cabin, while its overall construction is solid and substantial.

Market Concentration and Competitive Landscape

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Increased tourism and recreational activities

Rising number of golf courses around the world can boost demand for golf carts across different regions. Golf has become one of the most popular sports globally. According to industry estimates, there are over 30,000 golf facilities spread across more than 200 countries. A majority of these facilities uses golf carts to ferry players and their equipment between holes.

Municipal golf courses and public parks are allocating land for new golf courses or expanding the size of existing ones. This allows amateur players and families to enjoy the sport at affordable rates. This will boost demand for rental golf carts at such community golf spaces. Several travel operators are also designing golf-focused vacation packages where tourists can explore multiple courses using shared transport. This trend has encouraged more property developers and local administrations to adopt golf carts for internal commute needs. Rising interest in golf as a leisure activity and growth of associated tourism industry verticals can boost demand for cart in the near future.

Key Takeaways from Analyst:

Global golf cart market growth is driven by rising recreational activities such as golf tourism. Golf's expanding popularity internationally has boosted demand for golf carts globally. North America currently dominates the golf cart market, owing to extensive golf courses and high disposable incomes in the U.S. and Canada. However, Asia Pacific is expected to emerge as the fastest growing regional market. Countries like China, Japan, and India are witnessing substantial investment in golf infrastructure and club development.

Carts are mainly sold during the peak season from March to September in most regions. Adverse weather during other months can weaken sales of carts temporarily. High purchasing costs can also hamper the market growth.  However, manufacturers are focusing on launching affordable fleet solutions to counter this challenge.

Furthermore, evolving customer preference toward environment-friendly transportation can also presents growth opportunities. Lithium-powered electric golf carts with enhanced features are gaining traction due to their reduced emissions and noise as compared to gasoline variants. Several OEMs are focusing on connected technological innovations to make carts more comfortable and convenient. Meanwhile, developing multi-utility vehicles for applications beyond golf courses can also help expand the target audience.

Market Challenges: High costs of electric golf carts

The high costs of electric golf carts can hamper the global golf cart market growth. Golf carts that run on electricity tend to be more expensive than their gasoline-powered counterparts. This high initial investment required to purchase an electric golf cart poses a major challenge for its widespread adoption, especially in cost-sensitive markets.

Electric golf carts are equipped with lithium-ion or lead-acid batteries that increases the overall equipment costs.

Market Opportunities: Rising demand for fuel-efficient & eco-friendly vehicles

Rising demand for fuel-efficient and eco-friendly vehicles can offer opportunity for global golf cart market growth. With increasing environmental consciousness among consumers and governments pushing for lower emissions, more people are looking for transportation options that use clean energy and produce less pollution. Golf carts that run on batteries charged using solar power or other renewable sources can offer market growth opportunities.

Golf cart manufacturers can tap into this demand by developing more electric and solar-powered cart fleet options for golf courses, hotels, and other commercial customers. Many resorts and country clubs are already replacing their gas-powered carts with electric fleets to offer a better experience to environmentally-conscious customers and comply with emission regulations.

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Insights, By Type- Electric Golf Cart contributes the highest share of the market due to lower operating costs and environmental benefits

By type, electric golf cart segment is estimated to contribute the highest market share of 59.5% in 2024. Lower operating costs of electric golf cart as compared to gasoline-powered alternatives can drive the segment growth. Electric golf carts have no fuel costs as these are powered by rechargeable batteries. Their routine maintenance requirements are also minimal as these do not have engines or transmissions that degrade over time like gasoline carts.

Electric golf carts are more environmentally friendly with zero tailpipe emissions. As environmental sustainability becomes an increasingly important consideration for consumers and organizations, the green attribute of electric carts gives them an advantage. Many golf courses and country clubs have also switched to electric fleets to portray a greener image and align with sustainability goals.

Modern lithium-ion batteries provide longer range on a single charge as compared to older lead-acid batteries. Rapid charging capabilities allow electric carts to be recharged quickly. Features like regenerative braking also enhance battery life and driving range. Advanced electric powertrains have improved torque and acceleration performance nearly matching gasoline counterparts.

 The lack of fumes and vibrations in electric golf carts provides a smoother riding experience. Electric maintenance is simpler for both professional fleet operators and individual users. Highly favorable total cost of ownership coupled with green and performance benefits has made electric golf carts the most popular choice among buyers.

Insights, By Applications- Golf contributes the highest share due to widespread fleet usage

By applications, golf segment is estimated to contribute the highest market share of 65.4% in 2024 due to widespread fleet usage at golf courses. Modern golf courses utilize large numbers of golf carts to transport players between holes efficiently.

Their scale of operations translates to bulk purchase capacities for golf courses. Resorts and private clubs also regularly refresh aging cart fleets to provide a premium service experience. This consistent replenishment cycle from the golf sector forms a stable revenue stream for golf cart OEMs. The very business model of most courses is centered around fast-paced gameplay supported by caddies of golf carts.

Golf cart rental incomes supplement green fees and food/beverage incomes for golf facilities. Repeat players prefer the convenience of not carrying heavy bags between holes. Those with limited mobility also depend on carts to participate actively.

While personal/residential and commercial sectors involve golf cart usage, their overall volumes are much smaller compared to organized golf. Individual buyers purchase occasional recreational carts or utility vehicles.

Regional Insights

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North America dominates the global golf cart market with an estimated market share of 38.3% in 2024. The region has the largest number of golf courses globally with over 16,000 courses as of recent estimates. This thriving golf tourism industry boosts demand for golf carts in the region. American companies like Club Car, E-Z-Go and Yamaha Golf-Car hold major market shares in the domestic as well as international markets, giving the U.S. a clear infrastructure advantage. Stringent emission norms in America have also pushed technological innovations in electric golf carts, improving product offerings for global customers. On the trade front, while the U.S. imports niche models from Asian markets, it largely caters to exports, consolidating its position as the key manufacturing base.

China has emerged as one of the fastest growing regional markets for golf carts due to its  rapidly expanding domestic golf industry. China has witnessed a golf boom with over 500 new courses opening in the last decade. Both commercial and recreational interest in golf is surging the Chinese middle class. While import-dependence currently remains high due to limited local manufacturing, Chinese companies are making investments to develop low-cost golf cart models. This includes electric models alongside gasoline variants considering operational costs. Collaboration with international brands also allows technology transfers over time.

Market Report Scope

Golf Cart Industry News

• In January 2022, DSG Global, Inc., a rising player in the Electric Vehicle and Golf Cart industries, unveiled its groundbreaking Shelby Golf Cart line at the PGA Show, the golf business's premier annual event.
• In October 2021, Columbia Vehicle Group announced a partnership with Inventus Power, a global leader in advanced battery system design and manufacturing. The collaboration was aimed at incorporating Inventus Power's lithium-ion battery packs as an option for Columbia's Utilitruck product line.
• In October 2021, Kinetic Green Energy & Power Solutions Ltd, an Indian electric vehicle manufacturer, partnered with Lamborghini to produce Italian-designed and India-manufactured golf carts targeting the global market. The joint venture, in which Kinetic Green holds a 75% stake.
• In August 2021, Club Car, a leading golf cart manufacturer, announced a partnership with ezLocator, the industry's premier provider of daily pin placement management solutions. This new integration allows golfers to seamlessly access precise yardage information through the cloud, enhancing their on-course experience.
• In June 2021, E-Z-GO, a subsidiary of Textron Specialized Vehicles, introduced the E-Z-GO Liberty, a groundbreaking vehicle that revolutionizes the golf cart industry by offering four forward-facing seats in a compact, golf-car-sized frame. Equipped with a high-performance, maintenance-free Samsung SDI lithium-ion battery system, the Liberty delivers an unparalleled driving experience.

*Definition: The Global Golf Cart Market covers golf cart vehicles used for transportation purposes on golf courses and in recreational areas or large resorts. These carts come in both electric and gasoline-powered variants and can carry 2-6 passengers. The market analysis covers the different types of golf carts available, including pull carts, electric cars, and fuel cars. It analyzes factors like increased popularity of golf tourism, investments towards infrastructure and facilities development by resorts/country clubs, and government initiatives to promote golf.

Market Segmentation

•  Type Insights (Revenue, US$ Bn, 2019 - 2031)
  • Electric Golf Cart
  • Gasoline Golf Cart
  • Solar Golf Cart
•  Applications Insights (Revenue, US$ Bn, 2019 - 2031)
  • Golf
  • Personal/Residential
  • Commercial
• Regional Insights (Revenue, US$ Bn, 2019 - 2031)
  • North America
    • U.S.
    • Canada
  • Latin America
    • Brazil
    • Argentina
    • Mexico
    • Rest of Latin America
  • Europe
    • Germany
    • U.K.
    • France  
    • Russia
    • Rest of Europe
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
    • ASEAN
    • Rest of Asia Pacific
  • Middle East & Africa
    • GCC Countries
    • South Africa
    • Rest of Middle East & Africa
• Key Players Insights
  • Cario
  • Club Car LLC
  • Columbia ParCar Corp.
  • Cruise Car Inc.
  • E-Z-GO (Textron Inc.)
  • Garia Inc.
  • Guangdong Marshell Electric Vehicle Co.
  • Hawk Carts
  • HDK Electric Vehicle
  • KT Pan Company Limited
  • Polaris Industries
  • Sayulita Life.com
  • Suzhou Eagle Electric Vehicle Manufacturing Co.
  • Textron Specialized Vehicles
  • Yamaha Golf-Car Company