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Cruises – an untapped opportunity

25 Jan 2024 - by Shanna Jacobsen
 Source: Cruises International.
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Understanding the value for money cruise experiences deliver and the cruise market’s enormous spending power is an attractive prospect for the retail trade. However, agents' perceptions of what cruise bookings entail mean that cruises are not reaching their full potential as a revenue stream for agencies in Southern Africa

Marco Cristofoli, CEO of Cruises International, told Travel News that those who aren’t au fait with selling cruises, particularly itineraries that are considered ultra-luxury, may not have the right approach.

“The perceptions of the travel agent are a challenge particularly after Covid-19. Many have never been on a ship and find it very complicated to plan travel around cruise experiences,” he says.

Cristofoli adds that having to ask the client to pay such a substantial amount upfront (compared with what’s needed upfront when booking airfares and accommodation), could also be an impeding factor. Travel arrangements such as flights to port terminals and visas for countries where cruises stop over add an additional layer of complexity.

It is for this reason that Cruises International has channelled efforts towards its online portal to provide travel consultants with the resources and necessary support to sell high-end cruises and increase their potential earnings.

 

Solos welcome

The demand for solo travel experiences across the board has resulted in cruise products tailored specifically for this segment, offering a more economical cruise, along with several other solo benefits.

Cruise lines have responded with special packages aimed at those opting to cruise alone, instead of the booking needing to be processed under a single supplement rule.

“The likes of Royal Caribbean and Celebrity Cruises have single rooms and have developed pricing for solo travellers,” says Cristofoli.

 

Repeat business

In its State of the Cruise Industry report released in September 2023, CLIA says that the demand for cruising reached 106% of 2019 levels, with an estimated 31,5 million people cruising last year.

The cruise industry is one that sees a lot of repeat business. While this is supported by stats that indicate at least a quarter of those on a cruise have enjoyed the experience before, it is also an important factor for why travel agents can and should be selling more cruises.

“Many people on cruises are repeat cruisers and they cruise at least every two years – saving for one year and cruising during the next. Most importantly, they are already a captive market,” says Cristofoli.

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