Global Cruise Market Expected To Be Worth $15 Billion by 2028

The global cruise industry is not only recovering from its pandemic-era slump, but is projected to hit new highs over the next six years, says a US-based research and intelligence firm.

The global cruise market is expected to be worth $15.1 billion by 2028, according to a new report from Grand View Research, Inc. This figure is based on a compound annual growth rate (CAGR) of 11 percent projected for the forecast period between 2022 and 2028. For comparison, the global cruise market valuation for 2022 is US$7.67 billion.

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Grand View Research found that this market growth is clearly being driven by the rising popularity of themed cruises, which are attracting a range of travellers. The onboard special interest program offered during themed cruises is likely to add excitement to the time at sea in addition to the destinations.

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Important results and insights

— North America dominated the global cruise market in 2021, accounting for about 50 percent of the total revenue share. Grand View cites the continent’s well-developed cruise sector, the presence of major players (e.g. Carnival Corporation & Plc. and Royal Caribbean Group) and higher consumer spending on travel and tourism as factors that contributed to its market dominance over the past year.

river cruises The highest growth rate is expected, with the average CAGR forecast from 2022 to 2028 being 13.3 percent. Analysts believe this increased growth rate is being driven by the increasing popularity of river cruise packages and the reduced operability of ocean liners as a result of the pandemic.

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Europe ranked second behind North America in 2021, claiming 25 percent of the revenue share. The market research firm said that the projected market growth during the forecast period will be fueled by rising demand in the region for sustainable tourism options, which should benefit small and medium-sized tour operators.

Growth trends in the cruise market

Cruise Lines International Association (CLIA) reports that Generation Z is likely to overtake Millennials as the largest consumer of cruise industry products over the forecast period. Generation Z travelers (born 1997-2012) are enthusiastically searching for voyages and unique or authentic experiences that should fuel growth in the cruise market. However, market expansion is likely to be constrained by the limited number of cruise lines and increasing concerns about pollution, particularly in the world’s oceans.

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The ocean cruise segment held over 80 percent of the sector’s revenue share in 2021. This is largely because the global ocean cruise industry is simply more developed than other cruise segments and more ocean cruise lines are in operation. Overall, vacationers continue to prefer ocean cruising because of the sheer volume of ocean liners with larger decks and cabins and more options for onboard entertainment, land based activities and intercontinental destinations.


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