Cruise Tourism Market Is Estimated To Witness High Growth Owing To rise in tourism activities

The cruise tourism market is estimated to be valued at USD 9.88 Bn in 2024 and is expected to exhibit a CAGR of 5.4% over the forecast period 2024- 2031, as highlighted in a new report published by Coherent Market Insights ‘The cruise tourism market is witnessing high growth owing to rise in tourism activities and increasing disposable income.

Cruise tourism allows people to visit multiple destinations within a fixed budget and time that drives its demand. Cruise ships offer all-inclusive packages for lodging, boarding and travel which attracts more customers. Additionally, cruise lines provide various leisure activities like entertainment shows, swimming pools, gaming areas etc. onboard ships that enhances customer experience.

Key Market Trends: Europe cruises have gained popularity among tourist in recent years. Countries like Italy, Spain and Greece are top cruise destinations in Europe owing to presence of historic sites, natural beauty and cultural diversity. Luxury cruises catering to high-end customers are also gaining traction. Luxury cruise ships offer spacious suites, fine dining, spa and butler services. Adoption of digital technologies by cruise lines is another notable trend. Companies offer online booking facilities, mobile apps for access ship info, itineraries and entertainment. Some players provide virtual tours of cruise ships to help customers choose their preference. This drives customer convenience and boosts sales.

Cruise Tourism Market Opportunities: Transoceanic cruises represent a major market opportunity in the growing cruise tourism industry. These long-haul cruises connect passengers between different continents over extended voyage durations of 15-30 days. The unique experience of exploring multiple destinations across oceans while spending weeks onboard luxurious cruise liners is attracting more travelers. Cruise lines are launching new transoceanic itineraries between regions like Europe, North America, Asia and Australasia to capitalize on this growing interest from vacationers looking for one-of-a-kind trips.

Adventure cruises that explore remote, exotic destinations in nature-rich areas like the Polar regions, tropical islands and inland waterways are another key growth segment. These specialized cruise experiences offer activities like hiking, kayaking, snorkeling and visits to indigenous communities along with the usual cruise amenities. As travelers seek memorable trips with unusual settings combined with activities, adventure cruises catering to these interests will witness heightened demand. Major cruise companies are launching new ships tailored for adventure travel and adding more immersive itineraries.

Cruise Tourism Market Takeaways: The global cruise tourism market is anticipated to witness a CAGR of 5.4% during the forecast period 2024-2031, owing to growing ocean cruising popularity worldwide.

By type, luxury cruises are expected to hold a dominant position, accounting for over 30% market share by 2031 due to the expanding high-net-worth demographic seeking premium experiences.

By duration, transoceanic cruises will emerge as the fastest growing segment, registering a CAGR of close to 8% during the period.

Regionally, North America is expected to hold a dominant position over the forecast period, driven by strong cruise demand from the large US market. European and Asian markets are also growing swiftly.

Competitor Insights: Key players operating in the cruise tourism market include MSC Cruises, PONANT, Disney Cruise Line, Norwegian Cruise Line, Royal Caribbean International and Carnival Corporation. Industry consolidation through mergers and acquisitions is reshaping the competitive landscape.

Recent Developments: In 2023-2024, Hapag Lloyd Cruises will welcome two new Hanseatic-class expedition vessels – Hanseatic Inspiration and Hanseatic Spirit. Quark Expeditions is expanding with new icebreaker vessels Polar Quest and Arctic Quest. Luxury lines like Silversea also plan to grow their expedition fleets. With novel itineraries and amenity emphasis, this niche promises further gains. More information in full report.