The days of cruise ships as simple floating hotels are long gone, along with the era when travellers perceive that cruising are just bland vacations catering primarily to seniors or retirees.
Over the past few years, Asia has proved to be a resilient cruise market, steadily recovering and growing to higher figures since 2022. In all, Asia generated almost 2.4 million passengers in 2023, three times its 2022 volume, according to CLIA.
The opening panel at CruiseWorld Asia 2024, held on 9 October at Pan Pacific Orchard, saw cruise industry leaders expressing optimism about the sector's growth in the region. The discussion highlighted demographic trends, technological advancements, and untapped markets as key drivers for future expansion.
Shifting tides in cruise demographics
Chad Grospe, vice president & managing director, Asia Pacific, Royal Caribbean International, noted a significant demographic shift in the cruise industry.
"Gen Z and millennials really value experiences. They look at our ships and see that they are destinations in themselves, full of adventure, innovation, and exclusive experiences," he said.
Asian travellers are also showing an increased interest in thematic experiences on board, said Terence Lim, vice president - sales at Resorts World Cruises, highlighting that themed cruises such as the Bollywood music festival and International Lion dance competition have attracted both new and repeat customers. "We find that those very high energy theme cruises are quite appealing to consumers," Lim noted.
Expanding horizons and port calls
One key way cruise lines are keeping things fresh is by offering new destinations and itineraries, as highlighted by industry experts at CruiseWorld Asia.
While Resorts World Cruises continues to visit popular destinations, the cruise line’s vice president of sales, Terence Lim, emphasised the importance of introducing new ports of call to rejuvenate itineraries. “We’ve added ports like Kagoshima and Kumamoto in Japan, and soon, Melaka in Malaysia,” Lim shared.
Additionally, Resorts World Cruises will begin homeporting their Resorts World One ship in Dubai at the end of October. Lim expressed enthusiasm about the expansion, noting that the cruise line has adapted its offerings to the Gulf region’s market, including Arabic-language websites, announcements in Arabic, and enhanced Muslim-friendly services like halal meals.
"We are very excited to be entering the Gulf region for the very first time. We’ve done many things to adapt our onboard offerings for the local market.”
Cruise Leaders Panel Discussion (from left): MSC Cruises' Lorenzo Diamantini; Resorts World Cruises' Terence Lim; Royal Caribbean International’s Chad Grospe; YB Wong Hon Wai, Penang State EXCO for Tourism & Creative Economy; and Travel Weekly Asia’s Xinyi Liang-Pholsena.
Fly-cruise demand on the up
As more of Asia’s population gets introduced to cruising, more travellers are showing an interest to venture to farther destinations, whether it’s Mediterranean sailings, river cruising in Europe, or even expedition sailings in the Polar regions.
Royal Caribbean’s Grospe noted the popularity of “fly-cruise” travel among Asian customers. “We’re seeing a significant rise in demand for destinations like the Caribbean, Alaska, and Europe,” Grospe said.
With the addition of two new ships, Icon of the Seas and Utopia of the Seas, he also highlighted the surge in family and group bookings from Asia, particularly for Royal Caribbean’s Caribbean itineraries that include stops at their private island, CocoCay in the Bahamas.
MSC Cruises’ Lorenzo pointed out that while the brand already offers extensive itineraries in the Far East, with sailings in China, Japan, and Taiwan on MSC Bellisima, it continues to cater to the Asian market with a strong focus on Europe. “We offer 385 itineraries across more than 100 countries, but our Mediterranean roots are what set us apart,” Lorenzo added.
Unlocking Asia's untapped cruise markets
Industry leaders see enormous potential for growth in Asia’s cruise sector, especially as more homeports and ports of calls are established in the region. Penang State EXCO for Tourism and Creative Economy YB Wong Hon Wai highlighted the potential to develop the new-to-cruise population in Malaysia, Indonesia and southern Thailand, describing these as "untapped markets" where many people have yet to experience cruising.
Wong also shared hopes of making Penang a seasonal cruise hub, emphasising the opportunity in connecting southern Thailand, Sumatra, and northern Malaysia by cruise. “If we’re looking ahead to the next 10 to 20 years, we need to develop these untapped markets,” Wong said.
Royal Caribbean’s Grospe remarked, “I wouldn’t be here if I wasn’t extremely excited about the opportunity in Asia. The population density, economic growth, and unique destinations here make Asia the fastest-growing cruise market for us.”