Industry Insights: The Cruise Industry Sails Forward into a Very Bright Future

Recommend Standard Image TemplateThe Cruise Industry Sails Forward into a Very Bright FutureBy Paloma Villaverde de RicoThe cruise industry is standing on solid ground—that was the resounding message at the recent 2023 Seatrade Cruise Global. One of the biggest forecasts: Intent to cruise is higher than it was in December 2019, with 85 percent of cruisers saying they will cruise again (that’s 6 percent higher than pre-pandemic). The 2023 passenger forecast is set to surpass that of 2019, with 31.5 million passengers sailing this year; future forecasting sees 39 million passengers sailing by 2026. Cruise, in fact, continues to be one of the fastest growing sectors of tourism, and North America remains the largest source market. Sustainability is Front & Center“We’re back,” said Pierfrancesco Vago, executive chairman, cruise division for MSC Group and global chairman of CLIA, during Seatrade’s State of the Cruise Industry. “2023 will deliver the youngest, cleanest, most technology-advanced fleet ever, with CLIA welcoming 14 newbuilds this year.” Vago added that 60 percent of newbuilds scheduled to debut between 2023 and 2028 will rely on LNG fuel for their primary propulsion. “We know the path ahead,” he said, adding that “cruise is leading the way in responsible travel, with the intention of achieving net-zero carbon cruising by 2050. We’re sailing to a better world—it’s a responsibility.” Added Kelly Craighead, president & CEO of CLIA: “Our industry leads when it comes to environmental and technology advances and practices that are respectful to the air we breathe, the waters we sail on and the lands and communities we visit. Cruise tourism is managed tourism—it allows cruise companies and destinations to work together to manage traffic flows and educate cruise passengers to be culturally sensitive and environmentally aware.” In fact, cruise lines are utilizing LNG now as transitional fuel while they explore sustainable marine fuels and propulsion technologies, with 75 percent of the CLIA-member cruise line fleet able to utilize sustainable fuels once available at scale. And the number of CLIA-member cruise ships with shoreside power capability will more than double by 2028. That said, currently less than 2 percent of the world’s cruise ports have on-shore power; by 2025, 3 percent will have shoreside power. No Looking BackSpeaking to cruising in general and how it exploded back onto the world’s stage after a brutal two years, Josh Weinstein, president, CEO and chief climate officer of Carnival Corporation & plc, said, “If you think about us as an industry and the resilience we’ve had, I don’t think anyone ever lost hope or ever lost the belief that we would see our way through this with not just ourselves but with our partners around the world. During the pause, [they] saw the value of cruising, saw the economic and social benefit that we can bring to communities around the world. If there’s a silver lining that comes out of the pause and restart, it’s that we really understand what deep relationships we have [around the world].” And those relationships are important as CLIA cruise members introduce 44 new ships from 2023 through 2028, with an average capacity of 2,745. But there are also hurdles, as Craighead mentioned, noting that “some destinations around the world are reevaluating the importance of cruise to their economic and social wellbeing. That’s why it’s imperative that we really rally all of our supporters and start to sing from the same songbook. We need to ensure that cruise is heard and that our contribution is fully appreciated. We are an industry that is unbelievable dynamic, adaptable, responsible and demonstrates leadership is so many ways. Together we must correct misinformation and misperceptions wherever we find them. The actions we take now and the decisions we make over the next few years will define us for decades to come.”

SEABOURN COVERSEABOURN IFCCOVEREXPLORA JOURNEYSPALLADIUM HOTEL GROUPTable of ContentsTURKISH AIRLINESEditor's NotesSANDALSATLAS OCEAN VOYAGESIndustry Insights: The Cruise Industry Sails Forward into a Very Bright FutureREGENT SEVEN SEAS CRUISESAdvisor Speak: Travel Advisors Talk Luxury TravelHILTON HOTELSCaribbean/Mexico: What's New, What's LuxeCruise Happenings—New Luxe Ships, New Itineraries to MatchOnboard Review: A Marvel-ous Cruise on Disney DreamOnsite Review: W Fort LauderdaleNorth America: Alaska Railroad—New Packages, FAM OpportunitiesEDU.RECOMMENDSEABOURN IBCSEABOURN BC