global cruise industry's most challenging year in living memory. With
nations in lockdown, the vast majority of the global cruise
fleet is sitting idle, devoid of passengers with only their crews on board.
With such an unprecedented shutdown, the future of the cruise
industry is uncertain. A scary thought not just for the 30 million people who
take to the seas annually for a cruise holiday, but also for those who rely on
the cruise industry for their income. The $150 billion US dollar cruise industry
accounts for over $50 billion dollars in wages and salaries worldwide, employing
1.17 million people. And with ships sitting empty around the world, and no
end in sight, people are starting to ask where the cruising can survive.
But cruising is resilient. Throughout history, operators of passenger ships
have faced huge challenges ranging from shipwrecks to the unparalleled danger
posed to the global travel industry during both world wars. Yet through each
crisis, the cruise industry adapted to become stronger and more resilient. This
pedigreed goes some way to explaining why cruising executives seem so
confident that the industry will not only survive 2020 but thrive.
To discuss the resilience of cruising I spoke with Bill Miller.
BM: It's the best vacation on
earth in my opinion. It'll come back, slowly, and will revive.
CF: With over 100
books published and hundreds of cruises under his belt, Bill is considered one of
the foremost experts on passenger ships. Like me he is confident that cruising
will come back when the crisis passes.
BM: I would think that they will come back
slowly, I don't think they're gonna come back in an instant, record-breaking
numbers, you know I don't think they're gonna be lining up at the docks but they will
have to adapt to that as well by offering you know very reasonable prices
and incentives to get people to come back.
CF: While fleets and purpose-built cruise
ships were rare before the 1970s, steam powered ocean liners, the predecessors of
cruise ships, have been a mode of transport since the 1830s, with sailing
ships operating for hundreds of years before that.
In 1912 global passenger
shipping faced one of the most well known crises. The loss of the RMS Titanic,
which is an iceberg and sank during its maiden voyage, was a huge blow to the
industry. The Titanic disaster made headlines worldwide. A high death toll
aboard the Titanic led people across the globe to question the safety of ocean
travel, yet the industry quickly adapted. Inquiries into the disaster recommended
sweeping changes to safety aboard passenger ships, leading to the creation
of the Safety Of Life at Sea regulations, as well as installation of lifeboats on
board for all persons. Passenger confidence returned and even
the White Star Line, Titanic's operator, survived the aftermath of the disaster.
BM: People had no choice but to return to ship because they couldn't travel. If you
luxury between New York and London you've got to take a ship, at that
time, or if you're immigrating to America which millions of people were doing,
you had to take a ship. So it's a little bit different. But in the
Depression the 1930s passenger liners took a hit they returned, slowly
and they survived. After World War II they resumed. After the Achille Lauro
which was a devastating thing to the cruise business in 1985, you know several
Mediterranean cruise lines collapsed because the numbers of people fell.
They felt the Mediterranean was a hotbed of terrorism and all sorts of things and
it eventually came back.
CF: The Italian cruise ship Achille Lauro was hijacked
during a cruise in October of 1985. Overtaken by armed assailants, passengers
were held hostage by the hijackers who tragically killed one of the passengers
during the ordeal. The incident raised serious questions about the safety of
sea travel, which negatively impacted on the cruise industry. But cruise lines
learned from the incident and quickly adapted the safety measures aboard their
ships in response.
BM: Cruise lines intensified onboard security it used to
be you could just walk on ships in ports
there weren't security people, now it's much more different you know the back end of
the ship is much more secure where terrorists could get aboard you have to
you know sort of check in and check out every time. No visitors allowed, that kind
of thing has changed forever.
CF: Updated safety measures have gradually increased
over the years and in recent times cruise lines have faced the threat of
pirates leading to further improvements in onboard safety.
BM: I remember once being
on the Queen Elizabeth and we were going through the Red Sea off of Somalia and
you had to stay off the open decks after dark, you had to close the drapes in
your cabin, less light of the ship and that there were crew members on the decks
with binoculars searching to see terrorist ships out there. And everybody
just adapted to that. And you know cruise passengers are funny they find - I know
this is going to sound silly - they find a little bit of excitement
in that you know we, we had to do this and we had to do
that, it's all stories to talk about, not only over dinner but when you get home.
CF: Today's global transportation shutdown is often compared with the aftermath of
September 11. While Airlines were perhaps the most
impacted, cruise lines also noted a marked decrease in trade, as travellers
opted to stay at home over safety fears in the post 9/11 world.
BM: The other problem
at that time was people didn't want to fly. There was great worry about terrorism
in the skies. And as you know very often you fly to the ships, you don't necessarily
pick them up in your hometown. So that was a big negative on the whole thing.
And people were just you know uneasy with travel in general.
CF: 2020s global shutdown
has been described as the biggest crisis since World War II. When
the war broke out in 1939, ocean liners were the only viable way to travel,
with pre-war air travel were not yet fast enough or efficient enough to threaten
the dominance of the ships. However with the world's oceans becoming battlefields
passenger shipping services were dramatically reduced. Yet even in war
times shipping lines were able to adapt, supporting their governments in the war
effort, fleets of liners including those from Cunard, P&O and the Orient Line
were requisitioned for use as both the troop ships and hospital ships, with the
government providing a subsidy to the shipping line to provide this vital
service. An income that saved many of them from bankruptcy. Today with
land-based hospitals overwhelmed in some countries, cruise lines have already put
their hands up to offer support during the 2020 crisis.
Modern cruise lines are no strangers to adapting the onboard product for medical
reasons. Norovirus is a contagious disease that causes vomiting and
diarrhea and while rare it is known to occur on board cruise ships. Because of
this, cruise lines adapted their procedures and passengers accepted the
new normal of cruising.
BM: As you know Chris, when they used to have
outbreaks of norovirus, we adjusted immediately to the fact that we had to
order only once from the menu, you know there wasn't the passing around, salt and
peppers were taken off the table, you couldn't do the buffet - or it had to be
done very systematically. We adapt to whatever has to be done in order to make
the vacation happen. And I'm sure that if we're gonna have to make changes, like
they're talking about boarding in groups now,
show rooms not being as full anymore, that sort of thing, we'll adapt to it.
CF: There's no doubt that 2020
will be the most challenging year in living memory for
many of us. And that has impacted business around the world. Cruise lines
have been particularly hard hit, however cruising is resilient and has
faced many major crises before. Cruising supports not only the income of those
working aboard the ship and at the cruise lines, but countless other
individuals performing a variety of different jobs all of whom will need
employment once his current crisis passes, and it is safe to travel again.
BM: You've got taxi drivers, bus tour operators, hotels all connected to
cruising. Dockers tugboats all of that,
fuel, getting fuel in local ports, all that is affected by this, absolutely,
it's a string effect that goes down and it's going to be very difficult to
do to not let these ships come back, they have to come back, and they'll want to
come back.
CF: The Cruise Lines International Association says that 82% of cruises are
repeat guests, meaning loyalty to cruising is high. In a recent poll on my instagram
channel, 95 percent of respondents said that they would cruise again once it is
safe to do so.
BM: They will have to modify the product as you and I know it
that will change but it'll come back.
CF: Maybe the future cruising industry will
look different to how it did it at the start of 2020. But it will survive.
Like countless past occasions, cruising will adapt and become safer and stronger as
an industry for the future.
Thanks so much for watching. I hope
you've enjoyed the video and if you did please give it a thumbs up. If you like
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for future videos.
If you're interested in maritime history why not check out
the history of the Carpathia, the ship that saved the Titanic survivors, or if
you're interested in the latest cruise news check out my 'cruise news playlist'.
Thanks again for watching and until next time I hope to see you onboard.
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