The average price of a five-night Caribbean cruise for December has increased by 37pc compared to last year and 43pc compared to 2019, before the pandemic, according to a US consumer survey.
The two companies that dominate world cruising, Carnival and Royal Caribbean are considering further price increases next year, having experienced strong demand post-pandemic, surpassing 2019 booking volumes.
In a recent sales call Carnival CEO Josh Weinstein mentioned that their third-quarter net revenue per passenger reached a record high, and booking volumes surpassed 2019 levels. He believes they are well-positioned to increase prices for 2024, and Royal Caribbean is also considering higher prices due to increased demand.
The higher prices can be partially attributed to the comparison with high airfares and the added value of amenities like meals and entertainment included in cruises. Industry experts expect high prices to persist, especially in the Caribbean market, due to strong demand. Additionally, rising oil prices may factor into the cruise industry, but the main driver remains the high demand.
While ticket prices are increasing, Carnival, Royal Caribbean, and Norwegian Cruise Line Holdings cite the significant debts they have to repay from the pandemic, which presents further financial considerations for these companies.
