Cruise prices to swell as demand approaches 2019 levels
US cruise companies have suggested that itineraries will become more expensive over the coming months as occupancy levels approach pre-pandemic levels.
Reuters reported that cruise holidays, prior to the pandemic, were on average 15-20 per cent cheaper than a land holiday, but this gap has widened to 50 per cent, according to Truist hotel and cruise analyst Patrick Scholes.
Amid this, Josh Weinstein, the CEO of Carnival Corp said his cruise line is looking to close this gap over time.
Before the COVID pandemic, cruise operators lowered prices to entice passengers back to the seas with the hopes that onboard spending would help close the gap.
Compared to 2019 levels, NCL reported a 49.9 per cent uptick in onboard spend in the second quarter of last financial year, while Royal Caribbean reported a 36.8 per cent and Carnival reported a 17.2 per cent.
Norwegian Spirit returning to Australia after the pandemic
Many cruise lines site marketing, labour costs and port and freight expenses as driving factors in price rises as they offset gains from potential higher ticket prices and increased demand.
“We’re looking at growth with respect to price increases as we get to 2024, 2025 and 2026,” Weinstein said.
Travel Weekly awaits comment in regards to the Australian market from NCL and Carnival.
Email the Travel Weekly team at traveldesk@travelweekly.com.au
carnival corp cruise Cruise prices NCLLatest News
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