In recent months, the cruise industry has been buoyed by reports of a rebound in travel agency cruise bookings. Following a challenging pandemic period, the landscape is shifting back toward traditional booking methods.
Reversing the Pandemic Low
Back in 2021, travel agents faced a significant decline in cruise bookings, plummeting to a low of 52%. This was a stark contrast to the 70% share held in 2019, as direct bookings surged during the pandemic. A recent report by Phocuswright, titled the U.S. Cruise Market Report 2022-2026, suggests direct bookings may be short-lived. Analysts predict that by 2025, travel advisor bookings could return to pre-pandemic levels, potentially reaching 71% by 2026.
Michael Coletta, a research manager at Phocuswright and one of the report’s authors, noted that as cruise itineraries grow longer and more intricate, the complexity makes them less suitable for online booking.
The Cruise Industry’s Recovery
Cruise line executives also note a resurgence in travel agent bookings. Carnival Corporation's CEO, Josh Weinstein, reported during a recent earnings call that many of the company's brands have seen bookings through travel advisors surpass 2019 figures.
Weinstein’s sentiments reflect a broader recognition among cruise executives that a healthy travel agent sector is vital for the entire industry, especially with 75 new ships set to launch over the next five years.
Travel Advisor Resilience
In one example, a U.S. travel agent reports robust sales. Robin Sanchez, president of Montecito Village Travel, shared that her agency has already achieved $49 million in cruise sales this year, eclipsing the total sales for the entirety of 2019. Her team is back at full strength, having hired back all employees and onboarded over 100 independent contractors since 2020.
Phocuswright concludes that positive projections and evidence of a resilient market indicates the relationship between cruise lines and travel advisors is more critical than ever.
Travel advisors are pivotal in navigating the complexities of cruise travel, ensuring that clients receive tailored experiences that online booking simply cannot replicate.
