March 17, 2006
Special Report From Miami Seatrade Conference
22nd Annual Seatrade Conference in Miami Deemed A Success
The 22nd annual Seatrade—a four-day conference and trade show dealing with all aspects of the ever-growing cruise industry—took place last week in Miami Beach. Cruise line executives and other industry policy makers, members of the media, and representatives of the world’s shipyards and destinations took part. ShipsandCruises’ Special Correspondent Marcia Levin was there and filed this report.
Myriad destinations including Oman and Malaysia, St. Lucia and Helsinki, Key West and Quebec all showed their stuff. A trade show featured vendors offering cruise lines everything for their passengers from cannoli on a stick, to mobile-phone providers, and linen purveyors to bowling-alley manufacturers. (Yes, the new Norwegian Pearl hopes to strike a popular chord when it debuts later this year with a bowling alley on board!)
In 2005, a banner year for the industry, more than 11.18 million passengers enjoyed a cruise vacation. The increase indicates an almost seven percent increase from 2004. Andy Stuart, chairman of Cruise Lines Association (CLIA) and executive vice president of marketing, sales and passenger services for Norwegian Cruise Lines, dubbed the year “an extraordinary success.” Ninety percent of those passengers sailed on ships belonging to the “big four” cruise lines: Carnival Cruise Line, Royal Caribbean Cruise Line, Norwegian Cruise Lines, and MSC Cruises. Nine new ships are on order for total of approximately $5.6 billion. Stuart also pointed out that “in 2005 and early 2006, the cruise industry has been in the public spotlight on issues of safety and security. While any incident in this vitally important area can represent a personal tragedy, it is quite clear we all work in an industry with a safety record to be proud of. The statistics, when objectively reviewed, will stand up to ANY level of public scrutiny,” he concluded, adding that “alongside shoreside statistics, you are ten times safer on a ship than on land.”
Typical of this big-bucks industry is Royal Caribbean Cruise Lines’ Freedom of the Seas, set to debut this spring. It will be home to about 3,600 passengers and will boast a surfing area, boxing ring and the popular rock-climbing wall RCI has incorporated into its Voyager Class ships. Royal Caribbean has also announced construction of a 6,000-passenger, 220-000-ton passenger vessel for 2009. It is the largest cruise vessel on order to date in the world.
Discussions at a “state of the industry” panel where Bob Dickinson, president of Carnival, Adam Goldstein, president of Royal Caribbean, Colin Veitch, president and CEO of Norwegian Cruise Lines, and Rick Sasso, president of MSC Cruises Inc. (USA) presented their unique view of cruising six years into the new millennium, including whether or not big is better—RCI’s Goldstein obviously feels it is—and what the future holds.
All cruise-ship honchos agreed the high cost of fuel will impact the way ships operate in an attempt to be fuel-efficient while not detracting or negating the services programs and security currently found on ships.
Another session dealt with small ships. They, too, have a positive outlook. These lines— approximately 40 brands such as Regent Seven Seas Cruises (formerly Radisson Seven Seas), Crystal Cruises, Silversea Cruises, Clipper Cruise Line, American Cruise Line and Cruise West—make up about $6 billion of the global cruise market. Charles Roberson, chairman and CEO of American Cruise Lines Inc. said “we predict the small-ship market will be the fast growing segment over the next 10 years.”
Destinations were covered as well, with talk of newer ports—such as Grand Turk in the Turks and Caicos, where Holland America visited for the first time in late February— and new and improved passenger terminals on everyone’s mind. A case in point is the Port of Baltimore where $13 million was spent on modifications to the building and a $400 million Portside Wharf at Brisbane, Queensland, Australia set to open later this year.
The convention, where some sessions offered standing room only, was considered a success.
-- Marcia Levin