One of the most interesting conversations I had on the docks today at the Newport charter show was with Sharon Bahmer, a charter broker with (CharterWave home page sponsor) BoatBookings.com. She was telling me about business being slow among the $20,000- to $30,000-per-week boats not because they are too expensive in today’s sagging economy, but because airfare has risen so much that, for a group of eight charter clients to fly from the United States to the Caribbean, airfare becomes almost as costly as the charter yacht’s entire weekly expenses budget.

We’re talking smaller crewed yachts at that price point, the entry-level variety among the worldwide megayacht fleet. Even still, it’s a trend that is likely to worsen in the near future because of rising fuel prices, airline route cutbacks, and increasing ticket prices.

It’s hard to interpret just how bad this news is for the charter industry at this point, since most people won’t start booking airfare for their winter Caribbean charters for another few months. My guess, though, is that rising airfare prices will continue to be a problem, and that perhaps that problem will expand into ever-larger segments of the charter yacht industry (just as the strong euro already has dampened American bookings on yachts up to 130 feet in the Mediterranean this summer).

Stay tuned.

Last year here at the Newport charter yacht show, the biggest motoryacht on the docks was the 145-foot Curt-C. This year, she’s one of seven motoryachts in the show larger than 120 feet, and one among four motoryachts larger than 143 feet (the largest is the 165-foot Oceanfast Mystique).

What’s odd about this is that the New England show, historically, has featured far smaller yachts–and primarily sailing yachts, at that. This year, in addition to so many larger motoryachts, there are more motoryachts in general, with just six sailboats among the 25 charter yachts in the show.

What’s going on? Word on the docks is that the economy has forced a larger number of motoryachts to stay on this side of the Atlantic for the summer (some are sitting idle in Florida, not even wanting to pay fuel costs to come to New England). Instead of seeking charter business in the Mediterranean, these yachts are hoping to find it in New England.

Unfortunately, it doesn’t seem like that is happening. New England is traditionally a market where charters are booked at the last minute, or close to it,  but it’s already the end of June, and more than one motoryacht captain told me today that he was still without a July Fourth holiday charter. The captain of a 125-foot motoryacht (a stunner) told me his yacht didn’t have a single charter booked yet for this summer from Newport to Maine.

None of this is good for the charter industry, of course, but it could be good news for you as a client seeking a last-minute charter in New England. Boats sitting idle sometimes have owners who are willing to entertain offers below their regular weekly rates. Not all charter yachts deal this way, but some definitely do.

It’s a good time to call a reputable charter broker if you want to figure out which of these gorgeous yachts wants and needs your business more than the next.

If you’re reading this on Monday, June 23, then I am en route from metro New York to Newport, Rhode Island, where the annual, industry-only Newport charter show will kick off on Tuesday.

As always, I’ll be blogging daily with the latest news and information from the show docks, typically posting here on the CharterWave Editor’s Blog at the end of each workday.

Stay tuned, and I’ll see you here with the latest news tomorrow night!