2. Focus on key industry trends and explores the
potential of cruise tourism development in the BSR through
an intra-regional perspective.
Explores issues of international competition, emerging
markets, product analysis, and destination capacity in term
of both regulatory and infrastructural elements.
Aim to grasp the deeper value of transnational
partnerships including public authorities and organized
interest groups without ignoring challenges that arise from
the current economic climate, ongoing bilateral disputes and
the lack of a well-established brand for the whole area.
about the report
5. Latest Trends: General
Cruise tourism has enjoyed steady
growth throughout the emergence and
escalation of the economic crisis
from 2008 to 2011 the cruise industry recorded annual
increases of 8.7%, 7.4% & 9.7% per year
(European Cruise Council)
6. Latest Trends: General
Cruise industry
direct expenditures 2011
€15 billion - 3.3% increase
from 2010
Passenger & crew
spending in European
destinations 2011
€3.4 billion expenditure
(ECC, 2012a)
7. Latest Trends: General
General pattern of growth for
2013 in comparison with
2012
Ships are getting larger
increasing carrying capacity and efficiencies
But also requirements on port infrastructure
Luxurious cruise ships increase
And they tend to visit more destinations
8. Latest Trends: Source Markets
20.6 million
Cruise passengers
worldwide in 2011
(ECC, 2012a)
9. Latest Trends: Source Markets
Five-year Growth Trend
European-sourced passengers
have expanded by 77% from
3.4 million in 2006 to over 6
million in 2011
10. Latest Trends: Source Markets
But..
Penetration in new source markets a key issue
for the industry’s future.
11. The vast majority of cruise port calls in
Europe are at the Mediterranean and Baltic
ports.
Including the Black Sea and Atlantic Isles the
region as a whole includes around 250 ports
visited by cruise ships.
Latest Trends: Destinations
12. The top 10 destination
countries accounted for
84% of cruise
passenger visits in
2011.
The top 4 are in the
Mediterranean and
accounted for 2/3 of all
European passenger
visits
(G.P. Wild Int., 2012)
Latest Trends: Destinations
13. Destination plays
dominant role
among all cruisers
classifications,
before cost
Factors Influencing Cruise Selection
(CLIA’s 2011 Cruise Market Profile Study)
Latest Trends: Destinations
14. Cruise tourism industry
consolidated structure
4 companies accounting for 86% of
global market
Carnival Corporation and MSC
Cruises leading EU segment
Latest Trends: Market Condition
15. Rising trend affecting cruise tourism development
(e.g.) – the Danube has gradually contributed to Serbia visitation growth
More than 20.000 passengers from the UK river cruise market visited in 2012
- an entry market for new vessels with facilities for the main target segment of
baby boomers
Latest Trends: River Cruises
17. BSR appearance is quite recent in the
geography of cruise industry despite its
proximity to the major Mediterranean
market.
BSR Cruise Tourism Sector
New Kid on the Block
18. “the tourist destinations visited by
cruise ships are closely linked with
the zones in which cruise lines
operate ”
WTO 2010
19. Most BSTIP member countries are basically
preoccupied with the expansion of their sea cruise
destinations (Bulgaria, Georgia, Romania, Russia,
Turkey, Ukraine and Greece),
some countries are gradually making their path to the
market of river cruises (Bulgaria, Romania, Serbia,
Ukraine and Moldova),
and others examine how they can gain secondary
benefits from the expansion of cruises in the BSR
(Armenia, Azerbaijan).
BSR Cruise Tourism Sector
New Kid on the Block
20. BSR Cruise Tourism market share within the whole
Mediterranean has always been less than 1%
(European Commission, 2009; GP Wild International, 2012;),
BSR Cruise Tourism Sector
Market Share of Cruise Regions
Region 2005 2006 2007 2008 2009 2010 2011
Caribbean 48.0% 46.4% 43.5% 39.9% 39.5% 40.7% 40.4%
Mediterranean 15.3% 16.5% 18.9% 21.5% 20.9% 20.0% 21.0%
Northern
Europe
5.0% 5.3% 5.1% 5.8% 6.3% 7.3% 8.3%
Asia/Pacific 4.3% 5.6% 6.2% 6.7% 6.0% 7.1% 5.8%
Other 27.4% 26.2% 26.3% 26.1% 27.3% 24.9% 24.5%
Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
21. The new MedCruise Statistic Report, 2nd
edition 2011
Western Med Ports
are still hosting the
biggest number of
passengers but
Adriatic and East
Med increased their
shares in 2010
Black sea is still in low
position, but has a lot of
potential for growing.
BSR Cruise Tourism Sector
Passenger Movements – Cruise Calls
22. Black Sea shows
the largest % of
seasonality in
cruise traffic
BSR Cruise Tourism Sector
Seasonality Patterns
23. Evident Fall Peak in the
Black Sea
(MedCruise stats)
BSR Cruise Tourism Sector
Seasonality Patterns
24. majority of the UNDP BSTIP member countries have experienced
substantial increases of international tourist arrivals over the last
decade
and
offer a rich portfolio of attractions and products related to
alternative forms of tourism
BSR Cruise Tourism Sector
Positive Prospects
Rank 2012 Baltic Sea Destinations Change 2012 Vs 2011 Black Sea Destinations Change 2012 Vs 2011
1 Copenhagen 23.7% Istanbul 23.5%
2 Stockholm 4.0% Odessa 8.6%
3 St. Petrsburg (4.2%) Yalta 10.5%
4 Tallinn = Constantza 40.7%
5 Rostock 50.0% Sochi 16.3%
6 Helsinki (0.44%) Nessebar 29.2%
7 Kiel (7.9%) Sevastopol 24.7%
8 Oslo (0.29%) Varna (11.9%)
9 Gdynia 38.5% Trabzon 21.6%
10 Gothenburg 33.8% Sinop (4.7%)
25. BSR Cruise Tourism Sector
Positive Prospects
Great potential for the development of
17 cruise ports and their wider areas
across the six countries that surround
the inland sea (GP Wild International,
2012)
Overall growth trends in BSR Cruise
passengers despite identified
seasonality patterns
26. Istanbul and Ukrainian
ports including Odessa and
Yalta have the lion’s share
in port calls, but there is
also significant demand for
Nesebar and Constantza.
BSR Cruise Tourism Sector
Passenger Movements – Port Calls
27. BSR Cruise Tourism Sector
Destination Portfolio Evaluation
Cruise lines building a destination
portfolio, examine:
1. local availability of adequate
infrastructure,
2. low tariffs, and
3. a plethora of on-shore activities
28. BUT additional factors ASSESSED
at a regional level are:
• favorable climatic conditions,
• security terms,
• reinforcement facilities, and
• the combination of different
types of attractions.
BSR Cruise Tourism Sector
Destination Portfolio Evaluation
29. BSR Cruise Tourism Sector
BSR Destination Product Mix
Contemporary metropolis (Istanbul) |
ancient sites (Burgas) |
UNESCO cultural & natural sites |
architectural combinations of old & modern elements
(Constantza) |
Danube Delta |
Royal & Baroque vibes (Odessa) |
Seaside resorts (Yalta) |
Eternal Cities of the World (Kerch) |
Spa Towns (Sochi) |
Picturesque natural settings (Amasra, Rize) |
Developing/transforming urban settings (Batumi) |
31. Challenges & Opportunities:
Ports Connections + Fly-Cruise Operations
Connection between ports
and airplanes across the
BSR; fly-cruise operations,
homeports, and the future
role of Odessa
32. The special role of Istanbul especially in the
light of new infrastructure investments and the
growing expansion of Turkish Airlines;
Challenges & Opportunities:
Role of Istanbul & Turkish Airlines
33. Legislative framework
and funding sources of
the important
investments that
currently take place in
many ports
(e.g. Burgas, Sevastopol,
Sochi, Batumi, etc);.
Challenges & Opportunities:
Legislative Framework & Funding Sources for New
Investments
Integration of infrastructure investments with urban
regeneration plans
34. Influence of Mega-events such as the
winter Olympics and the Formula 1
Grand Prix in Sochi in 2014
Challenges & Opportunities:
Mega-Events = Increased Destination Awareness
35. Challenges & Opportunities:
VISA Issues
most countries around the
Black Sea still practice old
regulations based on a set
of legal and administrative
barriers
Initiatives to simplify visa procedures via
bilateral agreements and lifting limitations on
particular categories
37. Development of on-shore
activities on the basis of
common quality standards and
with the aim of promoting
further the tourism product of
each locality and country.
Challenges & Opportunities:
On-Shore Activities Development
38. Challenges & Opportunities:
Multiculturalism as key competitive advantage
MULTICULTURALISM
the essence of BSR Competitive advantage:
“the Black Sea is one of the newest and underexplored
destinations that can offer such a diverse mosaic of experiences”
(National Cruise Manager of Intercruises), which are a
direct consequence of
“the very interesting mix of completely different cultures and
countries”
39. International tourism development through the
development of economic-political projects in BSR, has
been hindered due to bilateral disputes and ethnic
tensions over time.
Challenges & Opportunities:
Geopolitical Conditions
Multiculturalism does not only
summarize the BSR product
characteristics and brand but is also
the source of geopolitical tensions
intra regionally
(hindering tourism development).
40. Turkish travel market:
6.3 mil in 2011
Challenges & Opportunities:
Major Source Markets in the Region
Russian travel market:
40.8 mill in 2011
30% to Ukraine & Turkey
41. Challenges & Opportunities:
Intra-Regional Positive Developments
‘Working Group on Cooperation in
Tourism’ run by the ‘Organization of the
Black Sea Economic Organization’
(BSEC)
Recently approved by member states
Memorandum on Multiculturalism of the
Black Sea to “increase the support of
the projects towards co-creation and
promotion of common tourist products”
in the international tourism market.
42. Challenges & Opportunities:
Intra-Regional Positive Developments
Networking Development: The United Nations Development Programme – Black
Sea Trade and Investment Programme (UNDP BSTIP), currently funded by Greece
and Turkey, develops networking arrangements.
Ongoing deliberations among the Black Sea port authorities and other
stakeholders (e.g. MedCruise, Cruise Europe, Association of Black and Azov Seas
Ports (BASPA)
44. The incorporation of the BSR in future deployment
trends depends both
on private sector strategy AND
the flexibility of authorities at a regional and local
level to upgrade their territories, promote them in a
consistent manner, and negotiate effectively
partnership terms with cruise lines.
Flexibility is the Key
45. Cruise lines and emerging destinations
need to assess opportunities in order to
balance the distribution of available
resources and attract passengers
within, but also beyond the major
source markets.
Beyond the Known
World
46. An Intra-Regional
perspective to cruise
tourism as means of
dealing with
international
competition, emerging
markets and product
development
Regional Business = Regional
Partnerships
47. the future of Black Sea is in our
opinion tied up with its growth as a
whole destination joining the efforts
to strengthen wider Black Sea Itineraries
Giovanni Spadoni, President of MedCruise, during his
Burgas, 2011 presentation
48. Destinations need to:
set common targets
coordinate initiatives
assess the influence of geopolitical conditions
and institutional frameworks
Coordination at the
Core
49. 2013 seems to be the right time to
develop initiatives based on a flexible
network with a clear agenda and a
visionary mission
The Time is Now!
