Dec 14 2023
ATV (all-terrain vehicle) and UTV (utility task vehicle) market, also known as ROVs (recreational off-road vehicles), have experienced a remarkable rise in popularity in recent years, becoming a driving force in the powersports industry. According to a Fortune Business Insights report, ROVs claim 63.4% of the global powersports market share in 2022. The annual revenue for ATVs and UTVs in the North American market is expected to grow from $8.52 billion to $13.6 billion in the next 5 years (2023-2028). As such, there is a growing need for accurate and complete powersports vehicle data for businesses in the space to remain competitive.
This article delves into the factors contributing to the surge in ROV popularity and why a comprehensive powersports data solution is increasingly more important for businesses in, or closely aligned, with the powersports industry.
What is the explanation for this unprecedented boom in ROV sales in recent years? Some sources, including SEMA, attribute the increase in these sales to COVID-19 shutdowns and the need for recreational activities. Some other contributors to the rise in ROVs popularity include the flexibility for on-road use in 20+ states, due to recent supportive government regulations, and their reasonable pricing with UTVs ranging between $5k-30k and ATVs ranging, even lower, between $3k-15k.
The ROV market is expected to grow significantly in revenue by 2031. According to Allied Market Research, “The global ATV and UTV market size was valued at $9.4 billion in 2021, and is projected to reach $18.6 billion by 2031, growing at a CAGR of 7.3% from 2022 to 2031.” As consumers and businesses continue to see the value in these vehicles for more than just recreational use, especially UTVs, there will be ongoing demand. One variable that will be interesting to see play out is the increase in on-road use and how this could impact traffic-related fatalities. ROVs offer more safety features than they did in the past but are not designed with on-road use at the top of mind.
The need for a comprehensive VIN data solution has never been so prevalent for businesses dealing with ROVs as this vehicle market continues to grow in popularity and complexity. Advancing safety equipment, navigation systems, and other features will need to be identified with a greater degree of accuracy, in order to put together the ideal marketing strategy and messaging for their inventory. A commercial powersports VIN decoder, such as DataOne’s, will offer the level of granularity required for powersports dealers to effectively highlight key selling points, insurers to accurately assess the value and risk, and auto parts and service to properly maintain and repair.
The powersports industry is thriving, especially in the ROV segment, with new ATV and UTV models and trims introduced each year by some of the biggest names on the market. Make sure your business is leveraging a detailed powersports VIN decoding solution that will properly represent all of the nuances of these vehicles that could otherwise be overlooked.
If you are in need of a more robust powersports data solution for your business, DataOne would be excited to discuss the ways in which our data offerings can help give you that competitive edge you are seeking.
