Future Market Insights spotlights rapid rise of cruise tourism market

ESOMAR-certified market research and consulting firm, Future Market Insights (FMI) has noted that the cruise tourism market has become the swiftest growing segment in the entire global tourism industry.

Several cruise companies now offer services such as in-room spa treatments, skydiving simulators, adventurous activities and water coasters to attract tourists and which are anticipated to escalate the share of footfalls in the future.

The cruise tourism industry held a market worth of US$ 5.3 billion in 2022, and it is anticipated that it will reach a market value of US$ 17.8 billion by 2033, growing at a CAGR of 12.1% from 2023 to 2033.

Cruise tourism is fundamentally a form of enclave tourism, and it incorporates all the aspects of the tourism industry such as transportation, accommodation, attractions, and hospitality

Cruise Tourism Market Historical Analysis (2018 to 2022) Vs. Forecast Outlook (2023 to 2033)
The global demand for cruise tourism market is projected to increase at a CAGR over 12% during the forecast period between 2023 and 2033, reaching a total of US$ 4.6 billion in 2018, according to a report from Future Market Insights (FMI). From 2018 to 2022, sales witnessed significant growth in the global cruise tourism Market, registering a CAGR of 8.3%.

The global cruise tourism market is said to grow exponentially during the forecast period due to the increasing disposable income of individuals along with the latest development in the cruises’ facilities and offers onboard.

What is primarily driving the Global Market for Cruise Tourism Market?

Remarkable Expansion of the Cruise Industry in Emerging Areas
One of the key aspects influencing the cruise tourism business is the expanding cruise industry. Several businesses are emerging, offering a range of amenities to draw clients to meet the need for maritime cross-border travel. The infographic claims that in December 2022, 239 ships entered commercial service, a 15-fold increase over December 2021.

The top 10 cruise brands account for 105 of the 239 cruise vessels that will depart in December. MSC Cruises, having 13 active ships along with 50,326 beds, is ranked first on the list, followed by Carnival Cruise Line having 17 ships along with 54,364 berths, and Royal Caribbean International having 20 sailing ships along with 71,800 berths. Immense growth in the sector as these is anticipated to open up new opportunities in the market in the years to come.

Others Factors that can have a Positive Impact on the Growth Curve
There is an increasing demand for cruise tours among individuals of all age groups, as there are multiple fun activities for every age group. New inventive ships are being launched with the latest technologies coupled with more onboard fun for tourists to attract larger crowd. These factors positively impact the cruise tourism market growth.

A sudden increase in the popularity of cruise tourism in emerging countries is anticipated to generate robust opportunities for all cruise service providers worldwide during the forecast period. Several cruise companies are planning to expand their business in these regions in order to capture untapped markets of developing economies. These companies launch exclusive offers and attractive discounts to drive the sales of their cruise businesses.

Severe Weather Conditions may have a Serious Impact on the Market
The cruise tourism segment is inspired by several macroeconomic factors, i.e., the consumer’s sureness is affected by the financial crisis. There are many natural disasters that cannot be controlled by humans. These factors pose a threat to the global cruise tourism market. A possible reason which affects the growth of this market is the presence of pirates in the Gulf of Aden and several other areas.

Another crucial factor that affects the cruise tourism market is the condition of the crew members. Passengers are given best privileges and facilities at the crew members’ expense. This leads to low social security, and low salaries for the crew onboard a cruise ship.

River Cruises are anticipated to hold a Significant Market Share in 2023

In 2022, the river cruises segment by tourism type was estimated to hold over 35% market share. It is projected that river cruising, which allows passengers to take in the landscape along the banks, would have a beneficial effect on the market during the course of the projection period.

Onboard features on river cruises are many. Staterooms are often river-facing and have hotel-style beds, private bathrooms, refrigerators, individual climate controls, safes, and TVs. Higher cabin grades may have French balconies, verandas, and separate bedroom and sitting rooms. A room can range in size from 150 to 600 square feet. The crew members onboard deliver exceptional, customised service to visitors. Additionally, ships provide free WiFi, eating options, pubs, and lounges. There are stores, sun decks, swimming pools, and libraries on certain ships. The aforementioned amenities draw a sizable number of visitors, fuelling the market expansion of the river cruise segment.

These insights are based on a report on cruise tourism industry by Future Market Insights

Image. Murray River Cruises