With coronavirus-ridden liners making all the wrong kind of headlines, the cruise industry may never be the same againBuses lined up to transport the first batch of passengers disembarking from the Diamond Princess cruise ship, in quarantine due to fears of Covid-19, in Yokohama, Japan. Picture: AFP/CHARLY BRIBALLEAU
For others, it conjures up a horror of claustrophobia, seasickness and way too much proximity to other holidaymakers. Headlines about passengers stuck on ships turned away from ports for fear there may be a deadly virus on board will only serve to reinforce their aversion. Richard Clarke, an analyst at Bernstein, estimates that most bookings for travel packages are down about 40% across the market. The drop-off in cruise demand may be even worse.
Alternatively, cruise operators could look to continue filling vessels with deep discounts. Analysts at Nomura have estimated that pricing could drop by at least 10% this year. That may encourage enthusiasts to take to the high seas, but at a lower profit. Yet as the pandemic spreads, and people around the world question how far from home they’re willing to travel, it’s unclear just how many takers there will be.
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