Water Passenger Transport in Australia - Market Research Report (2014-2029)
Melbourne, Australia
Last Updated: May 2024
ANZSIC I4820Revenue
$1.5bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
5,425
Businesses
313
Wages
$XXX.Xm
Water Passenger Transport in Australia industry analysis
The Water Passenger Transport industry in Australia encompasses services like ferries, water taxis and cruises. The industry experienced a severe decline in prosperity during the pandemic. Lockdown measures and border closures led to the absence of passengers, notably tourists, causing a corresponding dip in turnover and profitability in 2019-20 and 2020-21. Many businesses had to adjust or suspend their schedules and bear the additional costs of enhanced health and safety measures to survive. Government assistance via the JobKeeper Payment scheme spared many businesses from insolvency, allowing them to retain their workforce and setting up a vital backdrop for recovery.
Trends and Insights
- The rebound in tourism post-pandemic has bolstered the industry’s revenue streams. Rising fuel costs have seen purchases rise but operators have offset this impact by raising prices - a strategy met with minimal resistance due to pent-up travel demand.
- Local water transport, particularly ferries, provided essential support for the industry during the pandemic despite reduced revenues. As restrictions eased, long-distance water transport recovered, though concerns about viral spread on cruises have persisted.
- Over 60% of marine transport firms in Australia are located in New South Wales and Queensland. This is primarily due to the popular tourist destinations along the East Coast and the integration of ferry services into their metropolitan public transport systems.
- Barriers to entry in the industry are high. Access to government-backed service contracts is scarce, while initial capital investment into marine vessels can be a significant deterrent to potential entrants.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has declined at a CAGR of 3.8 % over the past five years, to reach an estimated $1.5bn in 2024.
Trends and Insights
The COVID-19 outbreak caused a collapse in passenger numbers in all segments of the industry
- The Australian Water Passenger Transport industry comprises various services, including ferries, water taxis, boat hires and cruises for local and overseas travellers. All segments cater to tourists, while some service local business commuters as well. Urban and long-distance ferry services witnessed a sharp decline in passenger numbers during the COVID-19 outbreak, driving down turnover and profitability.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
A booming tourist economy is set to grow demand for Water Passenger Transport services
- While tourism metrics are approaching pre-pandemic benchmarks, continued growth in international and domestic tourism is set to increase demand for ferry services in Australia over the upcoming years.
Biggest companies in the Water Passenger Transport in Australia
| Company | Market Share (%)
2024 | Revenue ($m)
2024 |
|---|---|---|
Kelsian | 210.2 | |
Spirit of Tasmania | 204.0 | |
Transdev Australasia | 165.8 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Boat hire with operator, Local water transport and Long-distance water transport. Boat hire with operator is the largest segment of the Water Passenger Transport in Australia.
Trends and Insights
Local water transport supported the industry during the pandemic
- Local water transport includes short-distance travel, like water taxis and ferries in capital city harbours. Ferry services offer an affordable mode of transport that escapes traffic on roads. They're especially popular for commuter transport in Perth, Sydney and Brisbane.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Interurban and Rural Bus Transport in Australia
- Domestic Airlines in Australia
- Scenic and Sightseeing Transport in Australia
Complementors
- Tourism in Australia
International industries
- Water Passenger Transport in New Zealand
- Sea & Coastal Passenger Water Transport in the UK
- Inland Passenger Water Transport in the UK
- Güterbeförderung in der See- und Küstenschifffahrt
- Sea & Coastal Passenger Water Transport in Ireland
Table of Contents
About this industry
Industry definition
Companies in the industry operate vessels that transport passengers between destinations over water. Water passenger transport activities that do not transport passengers between destinations, including sightseeing services, are excluded from the industry.
What's included in this industry?
Local water transportLong-distance water transportBoat hire with operatorCompanies
KelsianSpirit of TasmaniaTransdev AustralasiaPurchase this report to view all 3 major companies in this industry.
Related Terms
WATER TAXIFERRYCAR FERRYIndustry Code
ANZSIC 4820 - Water Passenger Transport in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The rebound in tourism post-pandemic has bolstered the industry’s revenue streams. Rising fuel costs have seen purchases rise but operators have offset this impact by raising...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Local water transport, particularly ferries, provided essential support for the industry during the pandemic despite reduced revenues. As restrictions eased, long-distance wa...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Over 60% of marine transport firms in Australia are located in New South Wales and Queensland. This is primarily due to the popular tourist destinations along the East Coast ...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Barriers to entry in the industry are high. Access to government-backed service contracts is scarce, while initial capital investment into marine vessels can be a significant...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Kelsian and Transdev have competed for valuable government service contracts. These agreements give a long-term assurance of revenue and provide a useful hedge against future...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Kelsian's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Spirit of Tasmania's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Transdev Australasia's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Kelsian, and factors influencing its performance in the industry
- Description and key data for Spirit of Tasmania, and factors influencing its performance in the industry
- Description and key data for Transdev Australasia, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The Water Passenger Transport industry relies heavily on both international and domestic tourism for revenue. Growth in these areas presents potential opportunities for the i...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Purchase costs have considerably increased over the past five years. Volatile fuel prices, disrupted supply chains and a decline in the Australian Dollar's purchasing power h...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Water Passenger Transport industry in Australia in 2024?
The market size of the Water Passenger Transport industry in Australia is $1.5bn in 2024.
How many businesses are there in the Water Passenger Transport in Australia industry in 2024?
There are 313 businesses in the Water Passenger Transport industry in Australia, which has grown at a CAGR of 0.1 % between 2019 and 2024.
Has the Water Passenger Transport industry in Australia grown or declined over the past 5 years?
The market size of the Water Passenger Transport industry in Australia has been declining at a CAGR of 3.8 % between 2019 and 2024.
What is the forecast growth of the Water Passenger Transport industry in Australia over the next 5 years?
Over the next five years, the Water Passenger Transport industry in Australia is expected to grow.
What are the biggest companies in the Water Passenger Transport market in Australia?
The biggest companies operating in the Water Passenger Transport market in Australia are Kelsian, Spirit of Tasmania and Transdev Australasia
What does the Water Passenger Transport in Australia include?
Local water transport and Long-distance water transport are part of the Water Passenger Transport industry.
Which companies have the highest market share in the Water Passenger Transport in Australia?
The company holding the most market share in Australia is Kelsian.
How competitive is the Water Passenger Transport industry in Australia?
The level of competition is moderate and steady in the Water Passenger Transport industry in Australia.
