No Recession in Sight From the Deck of a Cruise Ship
For all the threats facing the economy, it’s hard not to project some cautious optimism about the US consumer when Royal Caribbean and Norwegian are reporting smooth-sailing quarters.
Cruise companies are back near record levels of passenger traffic.
Photographer: Joe Raedle/Getty Images
The cruise industry is booming in what seems — at least on the surface — like a stark rejoinder to economic doomsayers. After all, if consumers are willing to fill city-sized party ships to ride waterslides, gamble and drink Bahama Mamas, how bad could the economy be?
For the moment, not bad at all, actually. Cruise companies, which effectively closed their core businesses during the Covid-19 pandemic, are back near record levels of passenger traffic, and customers are spending briskly at bars, restaurants and slot machines once they climb aboard. Industry group Cruise Lines International Association projects that cruise passenger volume will rise about 6% above 2019 levels.