(This is the duplicate of a guest article that I contributed to this month's TRAVEL RETAIL INSIDER) You can read the full Cannes special edition publication HERE
Imagine stepping onto a brand-new cruise ship, only to find that its retail shops are staffed by crew who lack the knowledge to provide an exceptional brand experience?
Before going over into the retail corner, let’s start this blog with one of the most mind-boggling numbers in the cruise industry.
20,000
This is the total number of new crew that will be needed to be recruited in 2025 alone, to simply fulfil the needs of just the new build ships coming into service next year.
Strap yourself onto the ride, because the cruise industry is gearing up for another major period of exciting expansion ahead. The major operators in the cruise industry are opportunity experts, and their business resilience is back once again doing what they do best, growing, and growing fast! The dark days of the pandemic are far gone now, and the confidence that the cruise industry has as being the vacation of choice means that there is real excitement in the period ahead.
OPTIMISM AHEAD
2024 looks like it will easily be a record year for the cruise industry with over 36 million passengers expected (source: CLIA) and a record level of occupancy across the global fleet particularly in the major source markets such as the U.S. Whilst we have been talking about ‘emerging’ markets being the growth engine for the industry over the past years, the data and expectations are really showing that the strongest potential currently remains in the traditional markets. And this is where the incredible rollercoaster growth potential is likely to remain for the next period. New ships, new experiences and ever accelerating innovation will mean that the cruise industry will continue to attract the core passenger but also bring in many new passengers looking for ever more exciting and dynamic vacations.
So, what does all this optimism mean for cruise retail?
Simply put, it means that we need to double down on what we know works and increase the focus where our attention must be: Our People.
As the latest amazing new ships enter service they will bring a huge array of differing market sectors, cruise itineraries and ever divergent guest profiles. The need for us to train and build a strong and engaged retail workforce across the sector has never been more important, but also never more challenging.
From the huge numbers of new staff entering the industry, the high volumes of staff turnover to the significant upskilling challenges needed for existing staff, the efforts needed to keep the sector motivated are never ending. At the recent cruise retail conference in June, the overriding topic from the major operators that continues to challenge the sector is that of the people. The simple infrastructure challenges of the cruise industry make it even more daunting – continually changing teams, ever moving ships, ever changing requirements.
To keep a consistent process in place to cover all these people and infrastructure particularities is not an easy one. Particularly for those who want to build success in the industry without necessarily investing significantly to do so.
So, with all these challenges, with nearly 40 million potential customers + huge growth expected in the next years, how do we best deliver a sustainable people development strategy for the cruise retail industry?
This is where the “rollercoaster” needs everyone riding on it. In an industry of so much global fragmentation, the more we work together, the more we can solve some of the most significant inherent challenges together. Challenges that all are facing – operators, brands, individuals alike.
This is the problem that I would like to do my best to support the cruise retail industry with resolving.
The Cruise Retail Academy is being developed as a platform for collaborative support. We want to help improve the proportion of the industry that is trained to a consistent standard, to support those new-to-cruise people to get a great understanding and basic training in the industry before they embark, and we want to connect brands to as many of the professionals as possible in a simple and effectively measured way.
To do this, Our aim is to provide a place where the delivering the tools to enhance the experience and differentiation to be done in a cost-effective and efficient way. The success of cruise retail will greatly depend on the skill, knowledge and passion of the onboard teams. It is something that is absolutely at the forefront of all operators, but it is also something that has been significantly challenging for all to deliver against consistently.
What will improved training deliver? It can deliver consistent brand certification and accreditation, improved empathy with guests, we can also deliver and higher sales across a greater number of ships for a greater proportion of the time. Delivering consistency in the people from new hires to experienced colleagues will be a great way the industry can work together as we go critical as the industry goes through another exciting growth period. It Consistency will also overcome some of the fragmentation that we see from the remote environments that where many staff are working in.
The optimism that exists in the cruise industry now has never been greater. The sheer incredible experiences and innovations that new ships are delivering has been nothing short of extraordinary. And the pipeline for all major operators to grow in the next years looks to be unsurpassed in both scope and ambition. It is a wonderful time to be part of the cruise retail industry, and we look forward to reaching the potential together.
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