The size of the global cruise tourism market was worth US$ 6.48 Billion in 2023. The global market is anticipated to grow at a CAGR of 10.5% from 2024 to 2029 and be worth US$ 11.79 billion by 2029 from US$ 7.16 billion in 2024.
The cruise tourism market is growing impressively and contributes over 150 billion dollars yearly to the world’s economy at the same time also supports more than 1.2 million jobs. Moreover, over 20 million people worldwide opted for a cruise holiday in 2022. Currently, Asia Pacific is quickly rising in this industry with China, Singapore, Japan, Indonesia, Malaysia and India collectively pushing forward the regional market size. On the other, several European countries have taken measures to deal with over-tourism and curb emissions of greenhouse gases by large vessels can benefit other regional markets.
Moreover, favourable governmental policies and regulations are also propelling the market growth. For instance, In January 2024, the Indian Ministry of Ports, Shipping and Waterways declared an investment of 45000 crores for the Maritime Amrit Kaal Vision 2047 to develop river cruise tourism to take advantage of the country’s inland waterways to boost the economy. The program involves growing this from eight to 26 waterways and expanding the cruise pathway with overnight accommodations from 17 to 80 along with the increase in river travel terminals from 15 to 185.
The transition to alternative fuels and the use of low-toxic gas-emitting materials for manufacturing like cold ironing is influencing cruise tourism market share. Similarly, the European industry is actively engaged in this process through its LNG terminals for sailing worldwide flawlessly and sustainably.
Additionally, the adoption of a visa-free entry policy or eased visa rules or restrictions is another factor accelerating the demand for cruise tourism. Like, China in May 2024 implemented visa-free entry for cruise tourists. It applies to the specified cruise ports in 13 different cities throughout the coastal provinces which consist of Xiamen, Shanghai, Dalian and Tianjin.
Energy expenses are an important expenditure for cruise companies and a surge in fuel costs has a major impact on the industry’s revenue. Moreover, the instability in the world’s financial market coupled with mass job loss or layoffs have severely affected the market growth. For instance, in December 2023, General Motor’s self-progressing subsidiary “Cruise” announced it will layoff around 900 workers i.e. one-fourth of its employee strength. Additionally, the Russia-Ukraine war, the Israel-Palestine war and the Red Sea crisis continue to impair the cruise tourism market in Europe and other parts of the world.
The younger generation’s growing interest, the increased adoption of visa-free entry policy and the rising demand for luxury cruises are giving prospective opportunities for marker companies to grow. As per the survey, more than 85 per cent Generation X and over 80 per cent millennial passengers have the desire to again go for a cruise after their first time. This can also be attributed to the growing spending power of middle-class people in India and other emerging countries.
Furthermore, several nations have doubled down their efforts to boost their tourism sector since it is one of the ways to spread its influence on other countries. The majority of developed economies worldwide like European economies, the United States, China and Singapore all have a huge tourism industry.
Additionally, the development of ecological propulsion and green fuel for long voyages is expected to accelerate the market value. For example, Lower-carbon liquified natural gas is being considered as a launch pad for fuel solutions.
Environmental damage is one of the major factors derailing the expansion of the cruise tourism market. Harmful air pollutants from cruise vessels near European ports are greater than the pre-COVID-19 levels which is increasing the city's air quality standard to a dangerous height. For example, Cruise ship travel along the western seaboard of Canada releases large amounts of toxic waste. According to an ecological study, it causes eight times more discharge of carbon dioxide on a routine basis than a land tourist in Seattle.
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REPORT METRIC |
DETAILS |
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Market Size Available |
2023 to 2029 |
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Base Year |
2023 |
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Forecast Period |
2024 to 2029 |
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CAGR |
10.5% |
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Segments Covered |
By Cruise Type, Tourist Type, and region. |
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Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview of Investment Opportunities |
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Regions Covered |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Market Leaders Profiled |
Ambassador Cruise Holidays Ltd., Compagnie du Ponant, Cosmos Tours Ltd., Genting Hong Kong Ltd., Kerala Shipping and Inland Navigation Corp. Ltd., MSC Mediterranean Shipping Co. SA, Norwegian Cruise Line Holdings Ltd., LaVista Travel, AmaWaterways LLC, American Cruise Lines, Carnival Corp., and Plc. |
The ocean cruises segment captured the maximum portion of the cruise tourism market. The growing demand for luxury and premium cruise experiences with exquisite facilities and large rooms. Moreover, the increased number of young as well as newly married first-time cruise travellers also influences the demand for this segment. Likewise, more than 73 per cent of Gen-x and millennials want a cruise vacation. Among them, millennials are the most interested ones. In addition, these ships offer private verandahs for fresh air, ambient lighting options, the finest toiletries, exotic food and dining and in-suite beverage & dining service and modern heating, ventilation and air conditioning systems all these are major attractive points for customers.
The Package traveller segment has been rapidly growing in recent times in the cruise tourism market. This is due to the high demand for comprehensive tours and trips among Asian travellers to Europe and vice versa. The rising popularity of beautiful and clean oceans and seas in Austria, Croatia, Greece, etc. are driving the segment’s market share. The Cruise Lines International Association found that over 80 per cent of travellers will cruise again. This trend is surging the market share of package travellers since it covers more places with well-scheduled and attractive costs.
North America accounts for the maximum portion of the cruise tourism market share. The main driving factors are easy access to the Caribbean and the population’s preference for luxury travel and stays. People in the region are more inclined towards elegance, comfort and ease. Similarly, as per the latest reports, MSC Cruises, an established Europe-based cruise is expanding into this region. It will commence 7 vessels from 4 U.S. ports involving the newest one, Texas and its latest MSC World America ship which is customised for US and Galveston. All the vessels will sail in routes to a private island in the Bahamas or Caribbean cruises.
Europe is experiencing tremendous growth in the cruise tourism market. Currently, the regional industry is struggling with over-tourism which led to halting ships with high toxic emissions and millions of travellers. For instance, Barcelona’s new regulations restrict jumbo ships to dock at the World Trade Centre or the city’s Muelle Barcelona Norte northern docks. Additionally, as per the research, around 5.7 million people took a cruise holiday against 1.75 million travellers in 2021 that’s a 228 per cent rise. Destination-wise, the Mediterranean, Northern Europe and the Caribbean hold the top positions. In 2022, it contributed 56.4 billion euros in economic output and close to 370000 jobs.
Asia Pacific is expected to grow rapidly during the forecast period for the cruise tourism market. COVID-19 was the main accelerator that presented a larger share of the native population to cruising with cruise-to-nowhere voyages and the expansion trajectory has continued since then. Like, Singapore is the world leader with the maximum penetration of cruisers at more than 7 per cent. Moreover, there is a huge opportunity for regional companies to boost the Indigenous cruise industry to go past homeport sailings, considering further routes in Asian destinations. In addition, the rising interest in experiential travel is fuelling the region’s market size.
Latin America is driving forward at a steady pace and is anticipated to register a higher CAGR during the forecast period for the cruise tourism market. The regional industry is expanding due to the popularity of comprehensive tour packages with Antarctica and other destinations. In May 2024, Princess Cruises launched its 2025-26 South America and Antarctica season which provides passengers with economical prices and a wide variety of shore tours having numerous facilities and activities.
Middle East and Africa cruise tourism market is predicted to propel in the coming years. The increased investment in building infrastructure and growing partnerships by destination authorities encourage cruise demand and intra-regional tourism. The MEA market is aiming to become the perfect alternative to far locations like the Mediterranean or Miami. Moreover, the industry is expected to grow at a faster rate due to the Cruise Arabia Alliance between, Oman, Bahrain and Dubai. It also focuses on keeping the service quality standards high in the area. They are also exploring adding more partner countries to this alliance. Thus, the regional market size is believed to expand in the future.
Companies playing a prominent role in the global cruise tourism market include Ambassador Cruise Holidays Ltd., Compagnie du Ponant, Cosmos Tours Ltd., Genting Hong Kong Ltd., Kerala Shipping and Inland Navigation Corp. Ltd., MSC Mediterranean Shipping Co. SA, Norwegian Cruise Line Holdings Ltd., LaVista Travel, AmaWaterways LLC, American Cruise Lines, Carnival Corp., and Plc.
By Cruise Type
By Tourist Type
By Region
Frequently Asked Questions
The global cruise tourism market is expected to grow with a CAGR of 10.5% between 2024 and 2029.
The global cruise tourism market size is expected to reach a revised size of US$ 11.79 billion by 2029.
Compagnie du Ponant, Cosmos Tours Ltd., Genting Hong Kong Ltd., Kerala Shipping and Inland Navigation Corp. Ltd., and MSC Mediterranean Shipping Co. SA are the top key players in the cruise tourism market.
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