2. Assess the opportunities for outsourcing that exist within the cruise industry. Today’s ships are now marketing themselves as smart ships, the new Royal Caribbean cruise ship Quantum of the Seas (168,666 grt) is claimed to be the most technologically advanced cruise ship in the world, offering Internet access (getting away from it all means being connected) faster boarding using new technology and robotic bartenders. A unique feature on this vessel is the North Star observation tower, which is a glass-walled capsule that can be extended on a 41 m crane to lift passengers up above the ship. New contemporary tonnage is now offering surf pools, planetariums, on-deck LED movie screens, dodgems, golf simulators, water parks, multi-room villas with private pools and in-suite jacuzzis, ice-skating rinks, rock-climbing walls and bungee trampolines.

The cruise ship product now offers an array of feature-rich innovative facilities, amenities and services that exceed the expectations of a growing population of cruisers.

Nevertheless, while it is of the fastest growing leisure industry sectors, the cruise industry faces many challenges. While supply continues to grow at double-digit levels, demand struggles to keep pace. In 2008, the economic crisis led to a decline in passenger numbers, increasing again by 40% in 2011, which was encouraged by discounting on fares, but then falling again in 2012 to 36%, as a result of the Costa Concordia tragedy (CLIA UK &

Ireland Cruise Report, 2012). A marine tragedy, news coverage of cruise disruptions, breakdowns, norovirus scares (see Chapter 10 – Case Study: not so smart ships – is it safe to take a cruise?) and the reality of a mature market has not helped companies struggling to create new demand. However, despite these issues, an enduring problem is the negative perception that many still have of the cruise product. A big problem for cruise lines is that many people who have never been on a cruise vacation assume that they won’t like it.