Cruise Ships
Oasis of the Seas § http: //www. oasisoftheseas. com/video. php? ship=allure § Oasis of the Seas http: //watch. discoverychannel. ca/daily-planet/may 2010/daily-planet---may-20 -2010/#clip 287843 § http: //www. cruiseweb. com/RCI-OASIS-PHOTO-GALLERY 31 -9. HTM
2013 Trends in Deployment February 28, 2013 § Caribbean’s market share up for 2013 – as well as passenger arrivals (2013 Cruise Industry News Annual Report). § § Caribbean – 40% industry market share Mediterranean – 20% - down from 2012 Northern Europe - 9. 5 % up from 2012. Asia – 7. 6% - up from 2012
Alaska reduces head tax but is still 80, 000 passengers off its 2008 high (1, 004, 335). § South America (emerging market), is plateau & decline (some lines reducing capacity for the 2013/2014) § Australia’s #’s are up but is leveling off (have 3. 1 % share of the market. § Mexican Riviera down 50% from highs of 1 M. in 2008 – (now starting to rebound) § Red Sea #’s down § Canada/New England, Africa, Hawaii, Bermuda - flat
the industry is making new efforts to reach travellers using social media. § A new You. Tube channel, Cruise Industry TV, launched this month at http: //www. youtube. com/cruiseindustrytv. § Also new is Cruise. Forward, a website with a Facebook page, for showcasing stories from the cruise industry such as voluntourism efforts, https: //www. facebook. com/Cruise. Forward.
Worldwide Cruise Industry annual pax growth rate (compound annual) of 7. 67% (1990 – 2011) § Growth strategies - shorter cruises, - more local ports, more destinations - new on-board/on-shore activities meet demand - industry is expanding rapidly internationally - has yet to maximize its online potential. - “Mega-ship” building – increase # pax berths - “buzz” about lowering cost-of-sailing per pax (economies of scale).
Cruise Lines International Association Inc.
Click on this hyperlink http: //www. cruisemarketwatch. com/blog 1/articles/cruise -marketing-top-10 moments/
results of the 2010 Economic Impact Study of cruise passenger & crew spending in NYC § cruise pax & crew spent $144 M. in NYC in 2010 - est. (up from $93. 8 M in 2009) (Business Research and Economic Advisors) § Embarking pax - largest spenders $117. 9 M § crew spending - $21. 5 million § Transit passenger spending - $5. 2 million. § Pax with pre- or post-cruise overnight stays spent/pax on avg. $437 for 2 night stay.
Who Travels on Cruise Ships?
Who Travels on Cruise Ships? MNE’s of Passengers § Basic Needs are food and a place to sleep – choices and type help define a ship and a cruise line § Entertainment - expect a variety of on-board activity (shows, gambling, recreation, shopping) § Business/business executive - phone – fax – internet) § Attend religious services Special needs of physically challenged travelers § Shore Excursions – key education/adventure component
Popular Cruise Regions § § § § § Caribbean Mexican Riviera Trans-Canal Alaska Hawaiian Islands Eastern USA & Canada Mediterranean Northern Europe Repositioning Cruises
Vancouver-Alaska most profitable cruise route in the world
River Cruises (55+) § Mississippi River § St. Lawrence River § European Rivers 18
Excursions (unique selling points/demand generators)
Clelia II cruising Detroit River Toronto “Soo Locks" in Sault St. Marie Kajama Empire Sandy
http: //www. cruiseweb. com/CUNARDWORLDCRUISE-17 a. HTM
Cruiser Market § Majority of cruisers come from the US – Average of 49 years of age – Above average incomes ($104, 000 HH /yr) – Typically married (83%) – College educated (57%) – Employed full time (57%) – Understand the potential – Time and money and resources
Cruiser Market § Overall - limited awareness of Canada § Weaknesses are: – Lack of interest in visiting Canada – Unaware of what Canada has to offer – Lack of a compelling reason to visit/revisit – Nothing special/unique/different – Perception of cold/poor weather
The Ship as a Hotel Provides all services and amenities of a hotel What’s included? – – – Ocean transport Shipboard accommodations All meals On board entertainment Transfers from ship to shore § What’s not included? – – Shore excursions Medical expenses Laundry services, Port taxes Gambling, Alcohol i. e. Beer and Wind
Physical Layout of the Ship § Deck Plans – Duration, Season and Size § Impact ship profile, layout & pricing § To cover operating cost cruise lines must achieve 80 -90% occupancy § Cabins – Outside versus inside § Cost determinant – Sleeping arrangements § Requires a large crew – Ship’s crew versus hotel crew – Passenger – crew ratios
Cruise Ships Safety and Security
New Direction of the Industry § Theme Cruises – Disney
What is the Future of Cruising? 1
Career Opportunities On Board § Ship’s Crew – Captain – Officers – Engineers – Purser – Seamen § Hotel Crew – Manager – Cruise Director – Stewards – Food-service staff – Recreation – Doctor and nurses http: //news. bbc. co. uk/2/hi/uk_news/england/8175560. stm
Career Opportunities Ashore § § § § § Sales and Marketing Individual reservations Group reservations and sales Fly/cruise sales Ticketing Accounting Management Data processing System analysis
The “Freedom Ship” concept § § § 1. 4 km long, housing for 30, 000 people Features an airstrip Possible train or similar transport shops and restaurants. In 2002 the project estimated cost $11 B. in 2008 the corporation released details of difficulties for gaining financial backing.
On the positive side - they have received deposits § 1/5 of on-board living units have been pre-sold § 25 stories high § accommodate 40, 000 full-time residents and 60, 000 total occupants.
Cruise Ship “The World” http: //www. aboardtheworld. com § § § floating community with 165 residential units owned by residents from 40 different countries carries between 100 -300 residents & guests crew of 250 people. shopping facilities, casino, tennis court, gym, jogging track, restaurants, cinema, library § high-speed internet access.