The State of the Cruise Industry in 2014

As the cruise line industry continues to strengthen its global presence and with the economy in an ongoing recovery mode, Cruise Lines International Association (CLIA) and its cruise line members are looking forward to a positive year of growth with a 2014 passenger forecast of 21.7 million worldwide guests on CLIA’s 63 member lines, according to data released in the association’s annual State of the Cruise Industry findings. To meet demand, these member lines will introduce 24 new ships in 2014-2015 adding a total passenger capacity of 37,546, representing a capital investment of approximately $8 billion in ocean going and river cruise categories.

“The global cruise industry is at an exciting juncture with strong consumer interest in cruising and significant cruise line investment in a diversity of exciting ships that travel to the most exotic locations in the world and offer one-of-a-kind vacation experiences,” said Christine Duffy, CLIA President & CEO. 

Industry Growth 

CLIA 2013 global passenger numbers are estimated at 21.3 million, with a 2014 forecast expected to reach 21.7 million passengers. North America is the world’s biggest cruise market (55.1 percent passenger source share) – with significant growth of internationally sourced passengers – especially Europeans at 6.4 million. 

Global Passengers

While North America remains the dominate source for cruise passengers, international source markets are demonstrating accelerated passenger demand for cruising:

2013* Top Ten CLIA Cruise Passenger Source Market Overview *2013 Passenger estimates (ooo’s)
Country	2013 Passengers	Global Passenger Share	5 Year % Change	2013 Passenger Source Rank
United States	11,016	51.7%	15.1%	1
UK & Ireland	1,719	8.1%	16.4%	2
Germany	1,637	7.7%	80.5%	3
Italy	860	4.0%	26.1%	4
Australia	760	3.6%	130.3%	5
Canada	734	3.4%	1.3%	6
Brazil	732	3.4%	84.8%	7
Spain	600	2.8%	20.7%	8
France	520	2.4%	67.7%	9
Scandinavia & Finland	350	1.6%	184.6%	10

Cruise Ship Deployment    

The leading cruise destination in terms of ship deployments remains the Caribbean, accounting for 37.3% of all global itineraries followed by the Mediterranean (18.9%), Northern Europe (11.1%), Australia/New Zealand (5.9%), Alaska (4.5%), Asia (4.4%) and South America 3.3%).

In 2014, markets experiencing increased ship deployments include the Caribbean (+12%), Northern Europe (+5.2%), Asia (+31.6%) and Australasia at +22%. 

New Ships

Globally, the 2014 CLIA fleet is comprised of 410 ships, up from 393 ships last year, and includes a wide variety of vessels – from large- and mid-sized to small and intimate.   The fleet covers all line categories: contemporary, premium, niche and destination focused, river cruises, expedition and adventure. Additionally, in 2014 and 2015, CLIA lines will introduce 24 new ships, representing a total capital investment of approximately $8 billion. Twelve additional new CLIA global and regional ships (Confirmed Orders and Options) for 2016 to 2018 represent an additional 33,192 passenger capacity and an investment estimated at $7.9 billion in ship development. 

New CLIA Global and Regional Member ships include:

Ships Launching in 2014: 16 Ships - $3.9 Billion Investment

Cruise Line	Ship	Passenger Capacity
AMA Waterways	AmaReina	164
AMA Waterways	AmaSonata	164
Avalon Waterways	Avalon Illumination	166
Avalon Waterways	Avalon Impression	166
Avalon Waterways	Avalon Poetry II	128
Costa Cruises	Costa Diadema	3,700
Norwegian Cruise Line	Norwegian Getaway	3,969
Pearl Seas Cruises	Pearl Mist	210
Princess Cruises	Regal Princess	3,560
Royal Caribbean International	Quantum of the Seas	4,180
Scenic Cruises	Scenic Gem	126
Silversea Cruises	Silver Discoverer (Pre-Owned)	120
Tauck River Cruising	ms Inspire	130
Tauck River Cruising	ms Savor	130
TUI	Mein Schiff 3	2,500
Uniworld Boutique River Cruise Collection	S.S. Catherine	159
TOTALS		19,540

Ships Launching in 2015: 8 Ships - $4.1 Billion Investment

Cruise Line	Ship	Passenger Capacity
American Cruise Lines	TBD	150-200 (2X)
AIDA	Prima	3,250
Compagnie du Ponant	Le Lyrial	265
Norwegian Cruise Line	Norwegian Escape	4,200
P&O	Brittania	3,611
Royal Caribbean International	Anthem of the Seas	4,180
TUI	Mein Schiff 4	2,500
TOTALS		18,006

Ships Launching in 2016-2018: 12 Ships - $7.9 Billion Investment

Cruise Line	Ship	Passenger Capacity
AIDA	TBD	3,250
American Cruise Lines	TBD	TBD (2X)
Carnival Cruise Lines	Carnival Vista	4,000
Holland America Line	Pinnacle Class	2,660
Norwegian Cruise Line	Norwegian Bliss (Breakaway)	4,200
Regent Seven Seas Cruises	Seven Seas Explorer	738
Royal Caribbean International	Oasis Class 3	5,400 (2X)
Royal Caribbean International	Quantum Class	4,180
Seabourn Cruise Line	TBD	TBD
Star Cruises	TBD	3,364
TOTALS		33,192

Cruise Industry Trends

Top 2014 cruise trends identified by CLIA, its member lines and travel agents include:

Improved technology to lower the cost of onboard communications and provide more efficient passenger servicing

First-time passenger growth coming from younger generation travelers – especially Millennials

More luxury cruising (luxury category ships, onboard upgrades) stimulated by an improving economy and increased consumer confidence

Growth of multigenerational  and celebration travel as well as social/affinity groups

More all-inclusive options and packaging in accommodations, services and amenities

Active vacations at sea with extreme and soft-adventure excursions, longer stays in ports for added sightseeing and high-energy onboard facilities

Exotic locations driving new itinerary competition and cruise ship deployment    

Hot destinations for 2014 according to CLIA cruise line members include:  Trans Pacific, World Cruises, U.S. Rivers, South America, Antarctic, Middle East, Canada/New England, Africa and Exotic Rivers

CLIA Globalization

After its first successful year as a global association, CLIA, serving as the voice and advocate of the worldwide cruise industry, has increased its presence in Europe with additional associations established in German and Spain, with Italy to follow later in 2014.

“The primary objective then and now is to support a ‘One Industry, One Voice’ approach to policy development, advocacy, communication, issues management and industry promotional activities,” said CLIA President & CEO Christine Duffy. “CLIA global lines continue to bring to market an exciting offering of vessels that are stimulating an impressive interest in cruising as well as securing the cruise industry as one of the most in-demand sectors of the vacation market worldwide.”  

New for 2014 is the formation of a CLIA Global Ports Committee comprised of itinerary planning and port development executives of the cruise lines and chaired by Giora Israel, Senior Vice President of Ports and Destination Development for Carnival Corporation. The committee will focus on creating opportunities to develop dialogue with port operators, port authorities, government, and port-related service providers on issues of mutual interest.

“Ports are making major commitments to the success of the cruise industry with significant capital improvement in modernizing existing ports and building new ones that are technologically and environmentally advanced, while also being very cruise and passenger friendly,” said Duffy. “This committee will help to more fully integrate port development and operations with the larger picture of the cruise industry.”