ng cruise ships is expected to continue to rise, considering only ten percent of Americans have ever booked a cruise ship, “The cruise industry has experienced a 10 percent annual growth in passengers. In 1992, cruises attracted 4.4 million passengers and are projected to serve an estimated 8 million by 2000” (Brogan 1). Many cruise ship corporations have also upgraded or built new ships in the past few years, until the floating destinations have come to resemble entertainment resorts, offering everything from discos, gambling casinos, entertainment shows, whole decks devoted to children’s activities, gold courses, swimming pools, and other attractions from rock-climbing to hired dancers available to pair up with singles who book a cruise. The following trends are underway in the cruise ship industry, trends that are significant in helping corporations like Carnival plan a sound marketing strategy:
Yield management as a ship-filling strategy
Younger, more efficient fleets with multiple value-added consumer attractions that have been reengineered for better efficiencies (34 new ships, more than a quarter of the industry total, are scheduled to float within the next five years)
More aggressive marketing and fare discounting, with a heavy emphasis on the Internet as a marketing forum
Aggressive acquisitions and mergers (Carnival, Royal Caribbean and Princess own 75% of the market share)
Multiple brand competition (26 at the present time)
The creation of cruise ship dealerships
The unbundling of sea/air packages, offering cruise-only rates
The offering of cruise-loan programs similar to fixed-term car loans
New legislation being proposed that allows foreign-flagged ships to sail in U.S. ports if they agree to build a U.S.-flagged ship
Tougher fines, penalties and increased surveillance of ocean dumping by environmental authorities
Increased options and activities to entice more single cruisers and...