Expedia Research Finds Cruise Demand On The Rise

Image: Watching the sunrise from a cruise deck. (photo by Codie Liermann)
Image: Watching the sunrise from a cruise deck. (photo by Codie Liermann)
Bruce Parkinson
by Bruce Parkinson
Last updated: 6:30 AM ET, Mon December 6, 2021

While new travel measures in the wake of the Omicron variant might put a damper on short-term demand for sea-going vacations, new research from Expedia Group reveals that travellers are eager to get back to cruising.

Expedia Group data revealed a more than 20% month on month increase in demand in Canadian cruise searches for travel in Q4 2021 and Q1 2022.

Additional demographics research by Environics Analytics measured a sample of approximately 3,000 post-pandemic 'early adopters,' defined as those having booked trips after March 1, 2021 that depart between July 1, 2021 and March 31, 2022.

Findings revealed that passengers making up the largest group tend to be upper-middle income North Americans aged 65 or older, an encouraging sign for the cruise industry as its key customer segment is clearly eager to return to the seas.

The Environics Analytics research also revealed significant differences in the characteristics of U.S. vs. Canadian passengers.

The data showed a higher percentage of total Canadian passengers ages 30-49 (29%) cruising in Q4 2021 compared to the U.S. (22%) for the same time period.

In addition, nearly half of Canadian passengers in Q4 2021 (46%) have children at home, compared to only 21% of American passengers, suggesting that cruises appeal to a slightly younger, family-based audience for Canadians. Expedia suggests that this group may feel that cruising is a safer option than other types of vacation at the moment.

"At Expedia Group, we're pleased to see the increased desire for cruises post-pandemic," said Matthew Eichhorst, President of Expedia Cruises.

"Travellers are eager to sail again as too are our cruise partners. We can see that warm destinations are topping the list once again as people look to relax and recharge after a challenging two years."

In terms of current destination preference, Expedia Group search data for Canada showed that the Caribbean (40%), the Bahamas (5%), Mexico (5%), and Europe (5%) accounted for nearly 75% of all Canadian searches. In a year-over-year comparison, the Caribbean remains the most sought-after destination for North American cruise travellers.

The data also revealed that search windows have shortened since travel restrictions have been lifted. Around 25% of Canadian cruise travellers' search windows are less than 30 days, 20% are between one-to-two months, 15% are between two-to-three months, 30% are between three-to-six months and 10% are for six or more months.

The two-to-three month search window, in particular, has seen an upsurge of demand with growth of more than 140% within a month-over-month period.

"These insights will be critical in helping our cruise partners assess demand, ensuring the necessary processes are in place to continuing to provide the safe and stellar services cruise travellers expect in today's evolved landscape," Eichhorst said.

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