
Legend of the sea
Globally it has been projected that the average annual passenger growth rate of 7.9% per annum over the last 10 years outstripped the growth of the overall travel industry.
Cruising in Asia is rising on the back of growing traveler interest around the world as well as cruise lines expanding their offerings in the region.
Globally it has been projected that the average annual passenger growth rate of 7.9% per annum over the last 10 years outstripped the growth of the overall travel industry.
For 2014, Cruise Lines International Association (CLIA), the world's largest cruise association, projects global estimated sales revenue at US$33.8 billon and passenger numbers at 21.7 million. Asia/Pacific accounts for 9.1% share of passenger capacity.
This year, CLIA’s 63 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 China Cruise and Yacht Industry Association reported that passenger numbers in China grew by over 140 times over the past decade, from 10,000 in 2005 to 1.4 million in 2013. By 2017, it is expected to become the second largest global cruise market after the US. The Asia Cruise Association’s (ACA) White Paper found that passenger revenue hit US$2 billion in Asia in 2013.
Singapore has also seen healthy growth in cruises. In 2013, cruise passenger throughput saw a year-on-year growth of 13%, reaching 1.03 million passengers with 391 ship calls. Ships that made their maiden call in 2012 continued to return to Singapore, while other cruise lines are working to include the Republic into their itineraries.
For Asia and Singapore, there is an exciting line-up of cruises including Celebrity Cruises’ Celebrity Century and Celebrity Millennium that will see multiple deployments in 2015/16.
This year, CLIA’s 63 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.
Kelvin Tan, Commercial Director, Asia Pacific, Celebrity Cruises, said, “Our Asia team's key focus is to source affluent Asian guests to cruise with us in Europe, Alaska and Asia. Our 7-night cruises in the Mediterranean and Alaska are popular with our guests.
“As we are operating in the premium segment of the tourism industry, our team focuses more on market segmentation to source for guests. We have comprehensive distribution channels with the trade, with whom we foster close relationships. The travel agents who sell us love our brand, embrace our product and appreciate our trade support and services. We know this well because our travel agents choose to cruise with us on their own vacations.”
MSC Cruises will also make its maiden call in 2015/16. Royal Caribbean’s newest Quantum of the Seas will arrive in Singapore in 2015. Cruise lines making their first call in Singapore in 2014/15 include European cruise vessels such as the Paul Gauguin, Insignia, the AIDAsol and AIDAbella, which will begin their South-east Asian voyages in 2014/2015, according to the Singapore Cruise Centre (SCC).
With recently expanded berthing capacities and infrastructure, SCC is looking to tap into the region’s burgeoning cruise industry. Said CEO Christina Siaw, “Over the past few years, we have made numerous enhancements to improve the user experience at our various terminals. We have, for example, invested S$14 million in upgrading our Harbour Front cruise terminal by expanding our passenger holding areas, and streamlined immigration and baggage check-in infrastructure.”
SCC has also taken the lead in establishing the Asian Cruise Terminal Association (ACTA), a regional platform for cooperation and coordination. ACTA is made up of member port operators from Malaysia, the Philippines, Taiwan, Korea and Japan, and aims to raise the standards of terminal operations in Asia, and market the region as a premier cruise destination.
DID YOU KNOW?
In 2013, Singapore saw13% growth in cruise passenger traffic and 15% growth in ship calls over the previous year. (Source: STB)