Fueled by a strong comeback, 2023 is shaping up to be a positive year for the cruise industry
For fans of cruising, it’s heartening to know that the industry is sailing toward a swift recovery. In fact, cruise bookings are breaking pre-pandemic travel records. To say there is pent-up demand would almost be an understatement.
After the COVID-19-caused shutdown that started in 2020 and lingered well into 2021, cruising began to return in 2022 and appears to be back to normal in 2023.
Kim Marshall, general manager of U.S. Tours, says, “2022 was a rather slow cruise year because a lot of our groups were still concerned about COVID protocols and didn’t want to bother with the stress of making sure all were vaccinated or worrying about contracting it onboard. Since the cruise lines lifted these protocols, we’ve been seeing a large upswing in bookings for 2023.”
Cruise numbers are rising
According to the 2023 State of the Cruise Industry Report issued by CLIA (Cruise Lines International Association), ocean-going cruise passenger volume this year is forecasted to reach 106 percent of 2019 levels, with 31.5 million passengers sailing. It’s predicted that number will rise to 39.5 million by 2027.
As a reflection of the segment’s strength, cruising is rebounding faster than international tourism arrivals, which are expected to be 80-95 percent of 2019 levels, according to the United Nations World Tourism Organization (UNWTO).
Another positive note: The intent to cruise is higher than December 2019, continuing a trend that began in the last quarter of 2020. CLIA survey figures show that 85 percent of travelers who have cruised will cruise again, which is 6 percent higher than pre-pandemic.
Confirming the optimistic outlook, Marshall declares, “Cruising is back and better than ever. Europe cruises are really rebounding and getting a lot of focus from us for the future….We have several groups going to Hawaii in large numbers this year as well as a large group to Alaska. Next year is looking stronger with some of our groups already selling out of their group space for 2024 sailings.”
She adds, “I find it easier to sell cruises because the cruise lines release sail dates two years ahead of time, so it gives our groups more time to advertise and sell. Group leaders like having that extra time.”
Showing consistent double-digit growth
According to Phocuswright’s U.S. Cruise Market Report 2022-2026, the cruise market will show a consistent double-digit growth. Revenue, it says, is expected to grow 90 percent over 2022, a year dogged by the Omicron variant and COVID-era vaccination and testing requirements until cruise lines started dropping those regulations in August.
Says the Phocuswright report, “The industry is embracing a new normal as it moves forward with new ships, added destinations, increased marketing and a consumer base ready to travel.” (This year will see the debut of 19 new ships, with a total of 75 ships expected to be delivered through 2027).
Of new ships on the market, Marshall says Norwegian Cruise Line’s Norwegian Prima and Norwegian Viva are showing strong demand. “I have heard a lot of great feedback about Carnival’s new ships as well.”
Cruise vacations are spurring multigenerational travel
A key trend indicates that the future of cruising lies with the younger generations, with Millennials leading the way. The CLIA report reveals that 88 percent of Millennial and 86 percent of Gen-X travelers who have cruised say they will cruise again. And there’s more interest than ever before among those two groups to take their first cruise, with 73 percent who have never cruised saying they will consider a cruise vacation.
Cruise vacations also are spurring multigenerational travel, another hot trend. According to CLIA, 73 percent of cruise travelers are sailing with family members that represent at least two generations. Other trends reflect the increasing number of options for solo travelers and those who need wheelchair-accessible facilities.
When it comes to top cruising destinations, CLIA reports the Caribbean/Bahamas/Bermuda continues to lead the pack, based on passenger volume for 2019-2022. Ranking next are the Central and Western Mediterranean, Northern Europe, Alaska and the North American West Coast.
Miami, not surprisingly, is the most-visited port, followed by Port Canaveral, Cozumel, Port Everglades and Nassau.
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