Positioned for future opportunities, cruise and tour operators are set to capitalise on key growth markets.
- The pursuit of affluent older travellers emerges as a significant market in the coming years.
- Experiential and luxury travel sectors are identified as burgeoning markets.
- Industry leaders express confidence in continued demand and booking trends.
- Strategic planning is crucial for future growth in these sectors.
Cruise and touring operators have strategically positioned themselves to capture emerging growth markets, as highlighted in discussions at the recent Abta Travel Convention. PwC identified several promising markets over the next two to three years, including opportunities aimed at older and more affluent travellers. Additionally, the experiential and luxury travel sectors are emerging as significant areas of interest.
Celebrity Cruises’ vice-president for the UK & Ireland, Giles Hawke, participated in a panel discussion, underscoring the potential for the cruise industry to thrive within these identified growth areas. He confidently remarked, “They might as well have said cruise when talking about these growth areas.” According to Hawke, the cruise sector not only aligns with these growth segments but is also poised for considerable expansion, with full order books for the next five years.
Lesley Taylor, managing director of Cosmos and Avalon Waterways, echoed this sentiment, emphasising the importance of the older demographic. “Older customers are key to us. This market has served us extremely well. I think the stage of life they are at, having paid the mortgage, it’s their time to travel,” she stated. This demographic, characterised by substantial revenue bookings and a high rate of repeat business, is valuable to both travel operators and agents.
Giles Hawke further elaborated on the advantages of catering to customers in their 40s, 50s, and 60s, highlighting their available time and financial resources which facilitate their adventurous pursuits. “Our customers have an adventurous mindset. I think the fact 40-year-olds and above are looking for these sorts of holidays plays perfectly into our market,” he commented. His outlook on the industry’s future remains optimistic, with expectations for sustained growth far into the coming decades.
Cruise and tour operators are confidently advancing their strategies to harness key growth opportunities in the industry.
