October is CLIA (Cruise Lines International Association) Australasia’s ‘Cruise Month’ (in case you didn’t realise), a chance to discuss, recognise and celebrate all things cruise in the lead-up to the peak summer cruise season Down Under. So at the midway point of the month, who better to give us a snapshot of where cruising’s at than CLIA Global President and CEO Kelly Craighead, who recenty dropped anchor in the centre of cruising in Australia, Sydney.
At a luncheon at the MCA around the theme, ‘Cruising’s Global Impact’, Craighead’s most serious message revolves around sustainability.
Cruising is made a bit of a scapegoat for the harmful effects of tourism, the CLIA boss argues, when in fact the sector leads the way in many respects with green practices.
“One of the biggest issues facing travellers, and this is not unique to cruise, is just the fact that more and more people are travelling – and mass tourism is a real issue,” she says.
“Cruise sometimes is the poster child for that, not because they’re actually the problem – because we’re a very small percentage of visitation – but because we’re so visible.”
So while images of pristine beaches can sometimes clash with cruise ships, it’s an unfair tag, says Craighead.
According to CLIA, cruising represents less than two per cent of global tourism. This also works to its advantage.
“One of the things that I love about the cruise industry is that it’s relatively small compared to other segments within travel and tourism, and it gives them a nimbleness,” Craighead states.
“The leadership of the cruise lines really are investing billions of dollars in technologies that are not only enhancing the passenger experience… but they’re also investing billions and billions and billions of dollars in technologies that have to do with fuel efficiency and our aims towards sustainability.
“And you see a public discourse that is starting to look for competitive advantages that are also sustainable. I think it just generates a buzz. And let’s face it, all this new product plays really well on all the social media that young people are looking at.”
Leading sustainable travel?
According to the CLIA boss, cruise industry leaders are committed to net zero carbon cruising by 2050, which is an “unbelievable aspiration”. And it will all be driven by ships that are leading the way in environmental design, says Craighead.
“I personally think the future of tourism can be seen in the makeup and the design of these ships,” she remarks.
“They recycle more than their counterparts. If you were to say they were a small city, I would tell you they recycle more than a small city.
“If we want to talk about water challenges, they have developed technologies… where 95 per cent of all the water that they need can be made on board. And [there are] just extraordinary advances in things like food waste and the ability to use AI to really kind of be determinative about what they’re purchasing and how [it can] be used.
“These are the tools that every city needs, whether you’re a hotel or a resort or a restaurant or a theatre.
“So I guess one view is, in the next five years, I’d like the industry to be recognised as having been the leader in these kinds of environmental sustainability efforts.”
As well as being incredibly nimble, Craighead says cruising’s “predictability” also puts it in a unique position – especially when it comes to managing mass tourism within destinations.
“We all need to be sitting at the table to decide what is the unique plan to this destination – and where cruise fits into that is…. we’re the most predictable,” she explains.
“Cruises are planned two years in advance. So to be an anchor at those tables, to help create the solutions on a destination-by-destination basis is really, I think, the promise of how we together look at tourism concerns because we have to do that.
“The more people see places, the better the world’s going to be. So figuring out how we do that together really is an obligation I think we all have. But cruise has a unique role of being at each of those tables to at least be the one factor you can predict.”
Cruising still strong
On the overall state of cruising, Kelly says the industry is “incredibly strong”. But Australia has even more to celebrate.
“We see the intent to cruise now higher than it was in 2019, and in fact, cruising has recovered faster than any of the other travel tourism segments,” she notes.
“And then unique to those of you in the room is, I think the Australian market recovered faster than even the rest of the cruise industry.”
When it comes to trends, Craighead highlights multi-generational travel, with cruise holidays providing a convenient and enjoyable way for everyone to travel together.
She also flags the growing popularity of expedition travel.
“One of most notable trends is an interest in expedition cruising. In fact, that’s the fastest growing area of cruise. It’s increased 70 per cent since 2019.”
Luxury cruising, like luxury travel generally, is also booming, as is river cruising, “which is gaining more and more popularity every year”.
“I think you see it worldwide, but cruising very much [delivers that luxury experience],” Craighead adds.
“The ability to have some of the highest quality service. It’s about design, it’s about the culinary experience.”
In addition, accessibility is becoming increasingly important in the industry, with cruise lines making significant strides to ensure that their ships are welcoming to all travellers, regardless of their abilities.
In terms of demographic trends, the CLIA CEO says Millennials and Gen Z are now leading the charge, seeking out unique adventures that go beyond the traditional beach holiday, for instance. And cruises offer just that, she says, with a wide range of activities and destinations to explore.
Also present at the Sydney event was keynote speaker, NSW Minister for Jobs and Tourism John Graham, CLIA Australasia’s Managing Director Joel Katz and its Chair Peter Little, representatives from Destination NSW, NSW Port Authority and cruise lines, and travel agency groups like Travellers Choice, itravel and Virtuoso.
Check out our latest Cruise Month story on expedition cruising and why it’s the fastest-growing sector of the industry.
