Passengers willing to pay more for cruises?

Tuesday, 10 Feb, 2005 0

Rising cruise prices are not deterring travelers, reports say.

“Higher ticket prices and an insatiable demand among vacationers have the cruise lines basking in the smoothest sailing since the heavy discounts and tough times prompted by the 2001 economic recession and that year’s terrorist attacks,” reported the Associated Press.

Travel agents were quoted as saying passengers seem willing to pay an extra $1,000 for the same trip they took a year or two ago.

Passengers, in fact, are getting closer to spending as much on extras on board as they did in 1999, analysts said.

Carnival Corp. & plc, the world’s largest cruise company, had its most profitable year ever and expects to do even better this year.Cruise reservations in the second heaviest booking quarter of the year are increasing at a pace over last year.

Cruise.com, one of the largest online cruise travel agencies, says it has been selling trips at prices averaging about 20% higher than last year, according to managing director Anthony Hamawy.

Analysts say that with fewer ships being added this year, most vessels will be sailing with full passenger loads.

As for prices: analysts say they will go up this year.

Major cruise lines are now making it harder for low-cost Web sites to give passenger discounts. So many travel agents are passing on some of their commissions in the form of lower prices, said the AP.

“I think the days of cheap cruises that we saw after 9/11 are gone,” said Joe Canino, a travel agent based out of Hebron, Conn.

Report by David Wilkening



 

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