This article first appeared in the Spring/Summer 2015 issue of International Cruise & Ferry Review. To read other articles, you can subscribe to the magazine in printed or digital formats
I recently assumed my new role as Cruise Lines International Association (CLIA) Chairman and am excited to be at the helm of the organisation during such an exciting time for the industry. Cruise lines are enticing travellers with nearly 1,000 ports of call in new, exotic locations, making the world more accessible than ever before for passengers. Additionally, member cruise lines are scheduled to debut 22 new ocean, river and speciality ships this year for a total investment of more than US$4 billion.
This is also a big year for CLIA as the organisation celebrates its milestone 40th anniversary. Over the past four decades, CLIA has been a part of the considerable progress, changes and incredible growth of the cruise industry. In 1980, when CLIA started collecting passenger data, there were 1.4 million US passengers and 41,000 berths. Today, there are more than 22 million passengers globally and the CLIA North American brands have more than 343,000 berths.
In that time, CLIA has become the unified voice of the global cruise community with 15 offices around the world. The Association has 62 global cruise line members that make up more than 90% of the global cruise capacity. CLIA represents, as well as advocates for and promotes, the common interests of the industry. The end goal – and that of the entire cruise industry – is to increase the number of people taking cruises and guarantee that they have an enjoyable, memorable, safe and environmentally responsible experience.
As CLIA celebrates this important milestone, it’s inspiring to look back on the past four decades but even more thrilling to look forward to the year ahead and share the 2015 State of the Cruise Industry.
The current and future success of the cruise industry is based upon the commitment of cruise lines to continue to exceed customer expectations. According to the recent Cruise Market Profile Study, the industry is on the right path. Travellers ranked ocean cruising as the best overall vacation experience (42%) ahead of land-based vacations (14%) and resort vacations (9%). Additionally, 84% stated they would recommend cruising to a friend.
The cruise industry will continue to have major economic impact globally. In 2013, the global economic output of the industry was more than US$117 billion. During the same year, the industry supported nearly 900,000 jobs and contributed to a total of US$38 billion in wages.
With new ships, global destinations and ongoing innovations, a cruise vacation is well positioned to become the best overall vacation experience this year, over the next 40 years and beyond.
CLIA’s seven outlooks for 2015
1. Travellers will continue to set sail – Cruise travellers are highly satisfied with their cruise experiences. In fact, the CLIA 2014 North American Cruise Market Profile Study showed that 9 out of 10 cruisers were highly satisfied with their cruise vacation and 86% of past cruisers would cruise again in the next three years. CLIA member ocean passenger volume is projected to increase to 23 million in 2015.
2. Size doesn’t matter – Five years ago, the largest cruise ship in the world was introduced with a 6,300-passenger capacity. With 22 new ocean, river and speciality cruise ships scheduled for debut this year, the focus is less on size and more on unique design and amenities.
3. Speciality cruises continue to thrive - CLIA’s speciality segments, which include sophisticated ships, luxury yachts, elegant ocean liners and the newest river cruise vessels, continue to experience double-digit passenger growth. In fact, speciality cruises grew by 21% annually from 2009 to 2014.
4. Caribbean will continue to be queen – The Caribbean remains crucial to the cruise industry with more than a third of the global deployment capacity market share in 2015. However, cruise travellers are expanding their horizons and the Mediterranean continues to grow as a destination, as do other regions, including China and Australia.
5. Oh, the new places we will go – The cruise industry is seeing an increase in passengers looking for global experiences. As a result, cruising has made the world more accessible than ever before for passengers. CLIA’s member cruise lines offer nearly 1,000 ports around the globe, including many areas that fall within a UNESCO World Heritage Site.
6. Travel agents are key to cruise travel – While the internet and mobile devices have changed how consumers make purchases, travel agents continue to be the most popular way to book a cruise and are used by seven out of ten cruise travellers. On the frontlines, 61% of CLIA-certified travel agents have already reported an increase in 2015 bookings over the last year.
7. Passengers are at the helm – When it comes to travel, consumers are in control more than ever before. The cruise industry is excited, motivated and responding with key innovations that are meeting the needs of today’s passengers, such as bow-to-stern wifi and phone connectivity, themed cruises, and new and innovative dining options.