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Cruise bookings slipping?
Traditional agency share of cruise bookings will shrink from 90% to 60% by 2006, while supplier direct sales by Web and phone will reach 25%, says a new study.
Web based sales will account for 15% of cruise sales by 2006, the study predicted.
Cruise lines are gearing up to take more share of bookings, said the study conducted by PhoCusWright.
Agencies currently book 95% of cruises, but the three top online travel sites of Travelocity, Expedia and Orbitz should take over 10% of the market within the next year, the study said.
Carnival Cruise Lines, which has a new website, is trying to support and capture the 93% of North American who have not cruised, according to Daniel Alpert, a marketing strategist for SBI. Razorfish, the company that redesigned the new site.
“Travel is the fastest-growing segment. Fewer people are using it solely for research because the technology allows the process to be more comfortable,” Mr Albert was quoted in miamitodaynews.com.
The key for Carnival is not so much to generate online sales, but to provide options, Mr Albert said.
Carnival’s new site allows consumers to book directly, through the travel agent of their choice or with the help of an in-house vacation planner.
The study, “Changing the Channel: A White Paper on Shifting Cruise Industry Dynamics,” was published by Credit Suisse First Boston for its investors.
Credit Suisse said cruise lines could increase their profits by increasing direct sales.
Report by David Wilkening
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