By Sally French | NerdWallet
When the Grand Princess — a cruise ship that carried thousands of passengers bound for Mexico — instead sailed into an Oakland, California, port in early 2020, the ship quickly became a symbol of the COVID-19 pandemic. The vessel’s passengers were among the first documented cases of coronavirus in the U.S. And as they waited — quarantined in their onboard staterooms — the image of a floating city-state adrift in a sea of uncertainty became a defining image of the era.
Journalists, politicians and infectious disease experts have referred to cruises as “petri dishes.”
Yet, despite the early skeptics and pandemic-induced challenges, the cruise industry has not only survived but thrived. In fact, demand for cruises is now even higher than it was before the pandemic.
Cruises make a comeback
The number of cruise transactions worldwide in the first quarter of 2024, including bookings and onboard purchases, was about 16% more than the same period in 2019, according to a 2024 report from the Mastercard Economics Institute.
More money is floating into cruises, too. Mastercard found that, as of May 2024, nine out of the last 10 all-time record spending days in cruises occurred in 2024.
Spending on cruises is not just up pre-pandemic, but over the past year. According to Bank of America credit and debit card data from May 2024, spending on cruises is up 12% year-over-year.
Why are cruises so hot in 2024?
A few factors indicate why cruises are sailing toward growth:
Pent-up demand: Cruises are, in part, riding the general wave of pent-up demand for travel. People who skipped cruises (or trips as a whole) in the early years of the pandemic might now be ready to return.
Appeal to older demographics: While there are certainly great cruises for families or cruises for young couples, cruises tend to have special appeal to older folks. According to Bank of America’s internal data from January through May 2024, baby boomers, (which the company defines as people born between 1946 and 1964) make up around half of total spending on cruises.
Unique offerings: Cruises these days are appealing to younger demographics, too.
Disney Wish, which is the newest in Disney Cruise Line’s fleet, capitalizes on “Frozen” fandom with a one-of-a-kind “Frozen”-themed restaurant that includes an Olaf puppet, live music (performing songs from the film, of course) and technology such as invisible fiber optics embedded in the ceiling designed to look like Elsa’s magic.
That’s not the only example of unique experiences that can only be had at sea.
The Sun Princess by Princess Cruises offers a cruise line version of the Magic Castle, which is a famously tough-to-get-into, exclusive club in Los Angeles. The cruise line version, called Spellbound by Magic Castle, guides guests through magic-themed rooms and serves them clever cocktails. The biggest difference between the Los Angeles version versus the cruise version is that the latter is quite easy to get into. All you need is to book a sailing on the Sun Princess and reserve your spot, which means paying an additional $149 admission fee.
Other unique cruise line bars include the Skyy Vodka Ice Bar aboard certain Norwegian Cruise Line ships. The entire bar (including seats and glasses) is made entirely from ice.
More cruises on the horizon
As many of the biggest cruise operators are expanding their fleets, cruisers now have even more choices. Disney’s current fleet of five ships is an example of an operator in the midst of massive growth.
Among the new ships to join Disney’s fleet include a Japan-based cruise, which is expected to launch in early 2029. Then in August 2024, Disney announced four additional ships, which are expected to be ready between 2027 and 2031. That means Disney’s fleet of five will grow to 13 by 2031.
The first of those new ships, the Disney Treasure, will take its maiden voyage in December 2024. The Haunted Mansion Parlor, which is a bar themed to the iconic theme park attraction, is among the ship’s most-anticipated features.
Carnival Corporation, the world’s largest cruise company, also made waves this year when it announced a new ship would join its namesake Carnival Cruise Line brand. The ship, which is expected to be ready by 2027, marks Carnival’s first newbuild order in five years — suggesting the company is ready to invest after a pandemic-era lull.
Sure, the pandemic cast a long shadow over the cruise industry. But going forward, the industry appears to be full steam ahead.
Sally French writes for NerdWallet. Email: [email protected]. Twitter: @SAFmedia.
The article Why Cruise Demand Is Even Bigger Now Than Pre-Pandemic originally appeared on NerdWallet.
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