Market Intelligence
Britain's cruise line industry
In the March edition of Foresight from VisitBritain, the 'Market Focus' article takes a look at trends and prospects for Britain's cruise line industry, one of the most resilient global tourism sectors over recent years. Much of the article relates to cruises that begin or end at a UK port (with Southampton the dominant port) but the concluding section is very relevant to the cruise market for Wales.
The main challenge is perhaps the relatively small number of ports with deep water access able to cater for the ever growing size of cruise liners. Once again this tends to lead us to the conclusion that while Britain certainly has ports able to cater for the new generation of vessels setting out for far-flung seas, as a cruising destination in its own right the biggest opportunity sits with developing itineraries suitable for smaller vessels with smaller numbers of passengers who are enticed by discovering more of what Britain has to offer.
While the global trend is undeniably towards larger and larger vessels, which offer the cruise lines economies of scale, the balance of opportunity for Britain is weighed more heavily toward somewhat smaller vessels able to enter a greater number of ports dotted around our coastline.
The economic benefits from attracting smaller craft are likely to be geographically more dispersed across Britain than is the case for the very largest liners as the number of UK ports these can visit are fewer in number and more suited to be a ‘turning port’. The flip side of this coin is that more geographically concentrated benefits, for example those relating to Southampton, allow for a clearer recognition that the cruise line industry is a generator of economic activity to develop.
A definite risk for Britain being more favourably aligned to smaller than larger ships as a destination for cruise itineraries is that with cruise lines preference for ever larger vessels showing no sign of abating the number of 1,000 passenger craft ideal for touring the British Isles could diminish in the years ahead.
Growth prospects are indeed strong for the cruise line business in Britain but opportunities come at a cost; port authorities must ensure sufficient investment in the construction of berths capable of handling the latest vessels, as well as investing in ancillary port facilities. Cruise lines are looking to develop programmes designed to meet customer needs and deliver profitability.
It is not just ports that need to be top-notch in order to attract increased numbers of cruise ships and their passengers; local infrastructure must enable the efficient movement of passengers embarking and disembarking at ‘turn round’ ports, along with transportation of the provisions needed to service both the upkeep of the ship and to feed and water its payload. Moving inland it is necessary for local businesses and authorities to work with cruise lines to ensure that shore excursions are successful both in terms of operational efficiency and customer satisfaction.
Ports and their hinterland looking to benefit from the continued growth in the cruise line business face considerable competition so need to demonstrate that they can offer attractive shore excursions, are logistically feasible, and financially viable. Cruise line executives want destinations that deliver happy customers and a positive financial return. Only by delivering on these criteria will it be possible to further develop Britain as a cruise destination in the eyes of cruise line executives who currently see British ports primarily as a gateway for plying the Baltic or Mediterranean Sea.
Not many parts of Britain are far from the sea, so many local communities can benefit from a local port able to accommodate cruise liners, either as a ‘turn round’ or ‘port of call’ destination. With land-based excursions a crucial element of many cruises even localities not bordering the sea can still reap the benefits of a growing consumer desire to sample cruise holidays.
For example in summer 2009 Newport welcomed its first cruise liner with shore excursions visiting the Wales Millennium Centre, Cardiff Castle and Dyffryn Gardens in the Vale of Glamorgan.
Plenty has been written about the growing enthusiasm of tourists to discover ‘out of the way’ places, and the people and stories that bring life and legend to a destination. Cruising Britain’s coastline is the perfect way for both UK residents and overseas visitors alike to enjoy Britain from a different perspective.
According to the Passenger Shipping Association the number of UK residents taking a cruise in 2009 reached a record 1.55 million, that’s a 5% increase on 2008 despite the economic downturn, with a projected 6.5% jump in 2010 to 1.65 million. There are few sectors of the economy that have seen such resilience over the past eighteen months. The numbers embarking on a cruise at a UK port and opting for itineraries that visit a number of British destinations looks set enjoy continued growth in the years to come.
For the article in full, go to:- http://www.visitbritain.org/Images/Foresight%20Issue%2077_tcm139-184551.pdf
And visitors from cruise liners need guides
Train to be a Tour Guide! Cruise ship visits are on the increase into Pembrokeshire Ports and the Pembrokeshire Tourism Industry needs professional tour guides. A 12 week subsidised foundation course which may help one progress onto the Green or Blue Badge Tourist Guide scheme is being planned by Pembrokeshire College.
If you are outgoing and confident, possess good verbal presentation and language skills (preferably German), have a minimum of 5 years work/life experience, are dedicated and self-motivated and interested in becoming a tourism professional - apply for an application pack at www.pembs.ac.uk or call Pembrokeshire College's admissions team 0800 716 236; the closing date is 11 March.
Trends Update from VisitBritain
The latest tourism trends and news from VisitBritain:-
Transport news
- BAA’s six UK airports handled 3.1% fewer passengers in January than a year ago, although the operator estimates that were it not for the disruption caused by snow the decline would have been 0.3%. The only route sector to see growth was long haul traffic to Africa, the Middle East and Asia Pacific.
- The new owners of Gatwick Airport say they have no plans to develop a second runway at the airport.
- BA carried 8% fewer passengers in January than a year earlier, with declines across all geographic regions.
- The Port of Dover handled 15% fewer passengers in January than a year earlier
- Figures from the Department for Transport show that the volume of car traffic on Britain’s roads decreased by 1% in the final three months of 2009 compared with the same period of 2008.
Domestic Economic News
- UK consumer credit was 0.5% down on a year before during December.
- UK retail sales were reported to be very weak in January, largely due to snowy weather and the increase in VAT.
- The Bank of England warns that in the short-term UK inflation is likely to increase further.
Economic News
- The Spanish economy remained in recession in the final three months of 2009, with economic activity declining 0.1% on the previous quarter.
- The German economy failed to grow in the final quarter of 2009 compared with the previous three months.
- US unemployment falls in January to 9.7%, however the number of persons in employment remains 2.6% lower than a year ago.
- The Indian government says that the economy will have grown by 7.2% in the year to March.
Tourism News
- The latest TRI Hospitality Consulting Hotel Confidence Monitor found that hotel general managers are more cautious now than three months ago about the outlook, but remain considerably more optimistic than was the case a year ago.
- London Theatreland had a record year in 2009 with more than 14 million visits to 52 theatres, up 5.5% on 2008.
- UK government announces tighter controls aimed at reducing the number of student visa applications that are granted to non-EU citizens.
- The UK Government says that the risk of a swine ‘flu pandemic has now passed.
"Britain is alive with Pride!" campaign launches in US
VisitBritain has launched a LGBT Britain campaign with American Airlines in the US. The campaign aims to inspire and educate visitors to explore all that Britain has to offer, and the website (www.visitbritain.com/rainbow) features ten destinations in Britain, each with a range of experiences that appeal to every kind of LGBT traveler.
Cardiff is one of the ten destinations and the website includes the following introduction-
Cardiff has undergone a well-documented facelift over recent years, something its gay and lesbian community has benefited from hugely. The capital of Wales can now class itself as is a truly modern and cosmopolitan city, embracing diversity and growing at an impressive rate. Expanding from its traditional Charles Street roots, Cardiff's gay scene now has two districts and the city can be proud to count itself as one of The Out Traveler Magazine's Top Ten up-and-coming gay destinations.
With the development of the downtown and the expansion of its cultural hub, Cardiff Bay, the city is finally getting the recognition it deserves as one of the UK's premier - and most exciting - gay locations.
Brecon Beacons tourism businesses reach for the stars
More than 20 tourism operators turned up to the first ‘Diamonds in the Sky’ workshop, jointly hosted by Brecon Beacons National Park Authority and the University of Glamorgan, providing an introduction to astronomy to help them engage with the night skies and market their business to other keen star gazers.
With the remaining winter nights unusually clear, the eager stargazers were treated to a journey through time by Allan Trow from the University of Glamorgan, who spoke about the stars, lost civilizations and the myths and legends of the night sky. With Mars clearly visible in our skies at the moment a short film was also shown about the legends and myths surrounding Mars right up to the present day findings from NASA with discoveries of huge dust storms, volcanoes, giant valleys and polar caps.
Operators were treated to a journey around the planetarium constellations and were then asked to go outside and see if they could spot the constellations for themselves. Once outside, stargazers were able to see spectacular views of Mars, glimpses of Orion, Taurus, Ursa Major, Gemini, Sirius, Pleiades, Cassiopeia, and even a small meteor.
The next course is fully booked but another star gazing course is being planned for 11 May from 7pm-9.30pm at Llangors Community Centre and all tourism related businesses are welcome.
For further information on star gazing in the National Park, contact Carol Williams at carol.williams@breconbeacons.org or telephone 01874 620478.
Making the Most of Sporting Events
The Assembly’s Communities and Culture Committee have launched an inquiry into “Making the Most of Sporting Events”. This will examine the activities of the Welsh Government, its delivery bodies and other national organisations in relation to major sporting events, in particular:-
- The activities related to the Ryder Cup, the lessons learned to date, and how they might be used to maximise the benefits of the Olympic Games’ legacy activities;
- The structures, planning processes, coordination and organisation of activities across all Welsh Government portfolio areas and engagement with the wider stakeholder community;
- The limitations faced by the Welsh Government in maximising the benefits of major events such as the Olympic Games when the events themselves are held in the UK and therefore direct influence of Welsh Government policy might be limited;
- How the Welsh Government’s major sporting events work might affect lasting positive change in communities, such as through widening participation in sports and physical activity through major sporting events, especially in those sectors that usually face barriers to access sporting activity;
- How the Welsh Government can encourage major sporting events to take place in Wales
An initial evidence gathering meeting was held on 11 February with submissions from Ryder Cup Wales, the Football Association of Wales and The Welsh Sports Association. The next meeting on 4 March will here from the Welsh Rugby Union and Glamorgan Cricket.
The importance of holidays in life
In the March edition of VisitBritain’s Foresight, the 'Issue of the Month' showcases results from VisitBritain sponsored questions included in the 2009 Nations Brand Index Survey that quizzed respondents in 20 countries about the priority they place on holidays vis-a-vis other life issues and their attitudes towards holidays.
This was an online survey of 20,000 respondents spanning 20 countries around the world. One of these questions focussed on understanding the importance of holidays in people’s lives (relative to other priorities), and another focussed on understanding attitudes towards holidays.
For this article, go to:-
http://www.visitbritain.org/Images/Foresight%20Issue%2077_tcm139-184551.pdf