Royal Caribbean looks to the future with millennial cruisers
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Royal Caribbean looks to the future with millennial cruisers

Cruises are still seen as a luxury aimed at retirees and families with young children – but one cruise line is hoping to change that perception. Royal Caribbean is making a concerted effort to attract more millennial travellers, spending $120 million to refurbish its Miami-based Mariner of the Seas. The 15-year old ship now boasts more rides and activities aimed at attracting young adults and thrill-seekers.

Royal Caribbean’s share price has appreciated by 4% over the last three months

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Source: Yahoo Finance

Royal Caribbean’s managing director for Asia-Pacific says: “we are trying to change the way cruising is viewed, trying to break the mould and push the boundaries on what millennial travellers can expect on cruise ships through new innovations to provide the best holiday experience for all of our guests.” She added that upgrades to the Mariner of the Seas included “a bigger range of water and dry slides, a surf simulator and even an escape room,” as well as much more.

Interestingly, despite being targeted at millennials, these updates have proved popular with Royal Caribbean’s existing clientele as they provide “many photo-worthy moments at sea.”

The company is also looking directly to Asia to increase the number of millennials on board – although it has yet to send one of its ‘millennial-facing’ ships into Asian waters. In Singapore, the company launched a competition ‘Brainwaves: Reimagining the Future of Cruising’ last August. Ms. Stephen said: “this has enabled us to see what millennials in Singapore are interested in and also serves as an opportunity for Royal Caribbean to introduce them to cruises.” Results will be announced soon.

Asia is the next piece of the puzzle when it comes to finding future cruisers. The region contributed 4.052 million travellers last year – a 20.6% increase on 2016’s figure. However, 60% of this growth comes from China, Royal Caribbean’s biggest and fastest growing market. As other Asian countries embrace the trend, Royal Caribbean is hoping to clean up.

Disclosure
Dominion holds Royal Caribbean in its Global Trends Luxury Fund.


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