‘Significant’ rise in cruises sold for under £1,000 reported

A “significant” rise in the number of cruises sold for under £1,000 has been recorded by rade body the Passenger Shipping Association.

The proportion of cruises for less than £1,000 went upby four per cent in 2007 to represent 38% of the total.

More cruises were sold for between £500 and £1,000 than any other price bracket.

At the same time, the average price paid for a cruise last year went up by three per cent to £1,334 over 2006. The average summer cruise cost was £1,277 but the winter cruise price fell by four per cent to £1,464 due to an “increasingly competitive” market, the PSA reported in its annual cruise review. 

Nearly one in five (18%) of cruises were booked more than a year in advance, up from 15% in 2006. Fifty three per cent of passengers booked at least six months ahead – the most advanced pattern in a decade, the report said. 

Travel agents remain as the major distribution network for cruise companies with many more specialising in cruise sales. 

The PSA confirmed industry projections showing that the number of British holidaymakers taking cruises is set to almost double to two million by 2012 over last year’s levels.

And they could be sailing on mega ships capable of launching a fleet of smaller vessels, according to futuristic designs revealed to coincide with publication of the report.

Fredrik Johansson, senior architect at Tillberg Design AB, the creators of QE2 and Queen Mary 2, Independence of the Seas, Crystal Serenity and many of the Disney ships, described the cruise ships and ferries of the future. 

“The new generation ferries and cruise ships will have a distinct identity throughout – from the exterior and interior design through to the on-board activities, food concepts and shore excursions,” he said.

“They are aimed at the next generation of youthful, design-savvy and environmentally conscious passenger who we now see entering the market.”

Johansson was speaking as the PSA confirmed that 1.33 million British travellers took a cruise last year, with the number predicted to increase to 1.5 million this year and to two million by 2012.

“There are 44 new cruise ships on order through to 2012 worth more than £12 billion so we expect more than two million British people will be enjoying cruise holidays in just four years,” said PSA director Bill Gibbons. “These new ship orders range from mega-ships through to small, intimate five-star ultra-luxury vessels.

“This diversity means the average age of cruise passengers has reached a record low and cruise holidays are attracting a greater range of travellers than ever before – from families, to ultra-luxury spa enthusiasts or adventurers.”

The average age of British cruise passengers fell to 53 in 2007 – compared to 55 a decade ago, the PSA revealed.

Cruise holidays in 2007 accounted for one in 14 foreign package holidays against just one in 29 in 1997.

The statistics showed a high level of repeat cruise passengers – more than half (51%) cruise once a year and 28% cruise more than once.

There were 38% of passengers who were new to cruising.

A record number of cruise lines (52) included UK ports in their 2007 itineraries, with 591,000 passengers sailing from British ports.

The number of “ex-UK” cruises, which leave and arrive back in Britain, have increased by 48% since 2004 – compared with a 22% increase in fly/cruises.

The growth in cruising from UK departure points is set to continue this year with P&O Cruises, Cunard Line and Fred. Olsen Cruise Lines all having new ships cruising out of the UK.

Additionally, Royal Caribbean International has introduced its largest ex-UK ship. Carnival Cruise Lines is offering its first ex-UK schedules and both Norwegian Cruise Line and MSC Cruises are dedicating ships to the UK for the first time this summer.

Ultra-luxury cruise passengers increased by 12% to nearly 22,000 last year, with passengers spending more than £350 a day – the increase primarily driven by a growth in winter cruising.

Alaska cruises alone increased by 9% in 2007 – 130% more than in 1997. There is now more variety in the specialist cruising market than ever before, with 17 cruise lines offering niche itineraries, according to the PSA.

Open Sea Cruise Passengers (000s) by main destination area, 1998-2007 (source: PSA)

Area :1998 1999 2000 2001 2002 2003 2004 2005 2006 2007  Change 06-07

Mediterranean :286  370  334  334  334  334  354  411  411  371  452 548 21

Caribbean :         166   149  150  146  171  188  235  215  210  224             7

Northern Europe :65   67   85   98   99   143  161  190  216  214             -1

Atlantic Islands  :  41   67   63   77   73    85    89   96    86   93               8

Other areas  :        105  93  122 121  125  137  133  199   240   261             9

Total                   663  746  754  776 822  964  1,029  1,071  1,204   1,337  11

by Phil Davies