CRUISE LINES INTERNATIONAL ASSOCIATION (CLIA)
The Cruise Lines International Association (CLIA) is one of the largest and most influential North American travel industry associations; with 27 member cruise lines and more than 22,700 travel agency affiliates.
Members benefit from valuable services including Cruise Training, Sales Aids, Special Fam Cruise Benefits, Consumer Awareness Activities, Access to Marketing Information, and Agency Bonds.
Training and education is offered via seminars, conferences and trade shows, Accredited Cruise Counselor Certification Program, Master Cruise Counselor Certification Program, Sales Institute and Management Institute. Sales Aids include the CLIA Cruise Manual, consumer literature, video tapes and ready-made TV commercials. Consumer Awareness campaigns such as National Cruise Vacation Month and the Sailabration Promotion help to make cruising today's fastest growing vacation category.
February is National Cruise Vacation Month
CLIA's new $15 million dollar advertising budget supports annual, multi-media campaigns designed to familiarize travelers with the cruise experience and drive them to buy a cruise from a CLIA cruise counselor. The National Cruise Vacation Month advertising program promises a minimum $20 million in market value, generating more than one billion North American consumer impressions. Highlights include 30-second television commercials aired prime-time, video news releases such as "High Tech on the High Seas"; a consumer sweepstakes offering 100 free cruises and a 28 page advertorial supplements to People, Conde Nast Traveler and Travel Weekly.
Market Profile & Cruise Prospect Segmentation Study
CLIA's biannual Cruise Market Profile Study estimates the size of cruise market potential investigates perceptions about cruising and reports cruising intent among key categories of cruisers and prospects. The study's Executive Summary has good news for you, job seeker. Market growth, market potential and customer satisfaction reflect cruising's continued good health - and steady job opportunities.
Key Highlights
The cruise market continues to represent a broad spectrum of the population. Men and women in a wide range of ages and income levels take cruises.
Satisfaction with cruising remains very high. Levels of satisfaction with cruise vacations continue to be higher that with other vacation types.
Most prior cruisers plan to cruise again within the next five years. Cruising is such a positive experience that it generates interest in repeating the experience.
Interest in cruising is highest among prior cruisers, but is not restricted to this group. Many of those who take other types of vacations intend to take a cruise.
The total cruise market potential, based on those with some interest in cruising, is rated as a $96 billion opportunity over the next five years.
Cruise Prospects
This research identifies five segments of cruise prospects, categorized by who they are in terms of household composition, age, education, marital status, and household income; what they expect from their vacations and what prevents them from taking a cruise. The profile studies demographics, psychographics, vacation history, "intent to cruise", and perceived barriers to cruising.
The five segments are Family Folks, Want it All, Adventurers, Comfortable Spenders, and Cautious Travelers.
EXECUTIVE SUMMARY
The cruise industry is the most exciting growth category in the entire leisure market. Since 1980, the industry has had an average annual growth rate of 7.6% per annum.
The cruise industry is young. Since 1970, an estimated 57 million passengers have taken a deep-water cruise, (2 + days). Of this number, 70% of the total passengers have been generated in the past 10 years. Nearly 40% of total passengers have been generated in the past five years alone. Of those who have cruised in the past five years, the average number of cruises per person has been 2.4 in this same time frame or one cruise every two years.
The cruise market potential is huge. Over the next five years, the cumulative market potential for the cruise industry is $54 - $87 billion. By the year 2000, we project that as many as 7 million passengers per year will cruise. Taking a cruise is a dream of nearly 60% of all adults, with the highest interest being exhibited by the emerging baby-boomer category.
The cruise product is incredibly diversified with literally a cruise vacation for everyone. Over the past 10 years, the industry has responded to extensive market and consumer research that has guided the addition of new destinations, new ship design concepts, new on-board/on-shore activities, new themes and new cruise lengths to reflect the changing patterns of today's market.
The cruise industry's product delivery delivers unparalleled customer satisfaction. Whether a frequent or first time cruiser, the cruise experience consistently exceeds expectations on a wide range of important vacation attributes, on a comparative basis versus other vacation categories, cruising consistently receives top marks. The on-going challenge for our industry is to convert cruise prospects into new cruisers.
Cruising is an important vehicle for sampling destination areas to which passengers may return. Over 85% of cruise passengers agree with this statement. Nearly 50% fully expect to return to the same geographical area/destination for another type of vacation. Cruisers are not exclusively cruisers; rather they are frequent vacationers who cruise as part of their vacation mix.
The North American cruise market is strong across all 50 states and Canada. Today's built-in air fares and streamlined port-processing have opened up cruising as a vacation alternative to more and more individuals.
CLIA Member Lines represent 97% of North American marketed berths. From a capacity standpoint, utilization is nearly 90%. The Caribbean represents the number one destination with over 50% of all passengers. The Caribbean is followed in popularity by Alaska, Mediterranean, Western Mexico, Trans-Canal and Bermuda.
CLIA has become one of the largest and most influential industry associations. Today, it has 27 member lines and over 22,000 travel agency affiliates. It's the largest association in terms of North American travel agent representation and the number is growing.
Finally, the cruise industry has a very close working relationship with the travel agencies of North America. An estimated 95-97% of all passengers are booked through travel agents. Cruises are profitable to sell. The most successful and productive agencies are those that place a premium on selling cruises and training their personnel.
Note: In this report, North American market designates only U.S. and Canada.
HOT TIP: Ask your travel agent if you can read their office copy of CLIA's Annual Cruise Manual. This is an easy-to-read reference book with CLIA member line's fleet history, size/capacity, facilities and deck plans. Activity schedules, menus, port maps and shore excursion programs are also included. See the final pages of the manual for Key Sources of Information on the Cruise Industry.
For more information on CLIA or to become a travel agency affiliate, please write to: Cruise Lines International Association, 500 Fifth Avenue, Suite 1407, New York, NY 10110.
International Council of Cruise Lines ICCL
The International Council of Cruise Lines (ICCL) is a non-profit association formed in 199. ICCL focuses on the following areas: safety, public health, security, medical facilities, environmental awareness, passenger protection and legislative activities.
Internationally, ICCL serves as a non-governmental consultant to the United Nations International Maritime Organization, whose safety initiatives include Safety of Life at Sea, SOLAS; Standards of Training, Certification and Watch keeping, STCW; Marine Prevention of Pollution from Ships, MAR- POL; and International Safety Management Code ISM.
The Cruise Industry: A Partner in America's Economic Growth
ICCL commissioned a study of the economic impact of the cruise industry on the U.S. economy. Research was completed by Price Waterhouse. A summary of ICCL's findings follows.
The study shows that the cruise industry generates $14.5 billion in U.S. wages and $6.3 billion in domestic tax revenues, based on 1992 expenditures. Price Waterhouse projects an additional $4.3 billion in wages and $1.9 billion in taxes by the year 1996, based on estimated capacity growth of 6.8 percent annually.
"The $20 billion-plus impact of wages and taxes is a conservative estimate, because it only counts the Value added' component and none of the raw materials, such as fuel and agricultural products, that the industry uses," said Richard Fain, former Chairman of ICCL.
"Our expansion will help continue the growth with more jobs, more wages, and more tax revenues in the years to come," said Fain.
Price Waterhouse based its estimate of cruise industry impact on cruise line expenditure and employment records, surveys of passengers and employees, and interviews with industry executives to confirm spending patterns. Analysts used additional federal data, from the Commerce and Labor departments, to set up economic models and to project total impact.
The study focuses on the cruise industry's impact on the U.S. economy; however these findings may illuminate the industry's global impact. Following are some of Price Waterhouse's findings for 1992:
- The cruise industry created 63,168 core sector jobs and 71,612 supplier sector jobs, for a total direct impact of 134,780 jobs. Expenditure- induced (ripple effect) jobs numbered 315,386 for a total economic impact of 450,166 jobs.
- The industry created more than $2.2 billion in core sector wage and $2.3 billion in supplier sector wages, for a total direct impact of $4.6 billion in wages. Expenditure-induced wages were an additional $9.9 billion, for a total impact of more than $14.5 billion.
- Cruising generated $519.6 million in state and local taxes and $1.6 billion in federal taxes. Expenditure-induced taxes were $944.6 million for state and local governments, $3.3 billion for federal coffers. The total tax impact: $6.3 billion in federal, state and local taxes generated.
- Of the total impact of $20.8 billion in the U.S., seven continental U.S. port cities - Miami, Los Angeles, New York, Port Canaveral, Fort Lauderdale, Seattle and Tampa - share $2.7 billion ($1.9 billion in wages, $819.6 million in total taxes and fees.) the other $18.1 billion economic impact was spread throughout the economy, in every industrial sector. The industries affected include transportation and utilities; services; manufacturing; agriculture; mining and construction; finance, insurance and real estate and government.
International Council of Cruise Lines,
1211 Connecticut Avenue N.W., Suite 800, Washington, DC 20036.
NATIONAL ASSOCIATION OF CRUISE ONLY AGENTS (NACOA)
The National Association of Cruise Only Agents NACOA, members benefit from valuable services including training and education through seminars, conferences and trade shows; marketing and sales promotion and sales aids; and agency management and development training.
National Association of Cruise Only Agents NACOA, 3191 Coral Way,
Suite 630, Miami, FL 33145.
FLORIDA CARIBBEAN CRUISE ASSOCIATION
The Florida Caribbean Cruise Association will host the first World Cruise Tourism Summit in cooperation with the Sea trade Convention and the International Council of Cruise Lines in March, 1997. This summit will focus on emergency preparedness, port operations, environmental issues, shore excursions, maritime security measures and modem cruise ship operations.
Comprised of 18 major cruise lines, the FCCA promotes cruise tourism in the Caribbean. FCCA also sponsors education and recreation opportunities for Caribbean youth through fundraisers and grants.
