An extract taken from "Cruising" by T. Zayn Al-Abidin, May 2001, Tourism Programme, School of Business, James Cook University.

Pleasure cruising is an industry that has developed rapidly since it’s conception shortly after the introduction of jet-engine aeroplanes in 1958. The cruise product has emerged as a highly successful pleasure travel product, enjoying spectacular growth especially in the 1980’s and 1990’s (Pearce et al, 1998). This growth has been fuelled partly due to the all-inclusiveness of the cruise package, which can satisfy the needs of relaxation, safety and social life (Ware, 2001, week 10).

The term ‘cruising’ originated from a Dutch word ‘kruisen’ which literally means ‘to cross’ (Q Online, 1999). Cruising is a unique tourism product, as it is a blend of transport, accommodation, entertainment and sightseeing (Pearce et al 1998, p 156), which is otherwise known as the “5 A’s”:

* Attraction
* Activities
* Access
* Accommodation
* Amenities (Ware, 2001).

The Fastest Growing Region

The fastest growing region, in terms of the cruise industry, is Asia. The centre point for cruising in 
Asia is Singapore, with the busiest port harbour in the world. 

In 1988, the Singapore Tourism Promotion Board (STPB) and Port of Singapore sought to attract cruise traffic by investing in a new US$20 million cruise terminal aimed at attracting Western lines to base ships there. This terminal was completed by 1991.

As the harbour is extremely busy, a strict control system is in place for ships coming into the harbour, where a Harbour pilot boards the ship and the ship is carefully towed and piloted by a tug boat.

This huge investment and strategic foresight by the STPB and Port of Singapore, has been extremely successful in establishing the port.

Two years after the terminal was completed, Singapore experienced 165,000 passenger visitors from 38 ships which made 344 calls during the year 1993 (Peisley, 1995). 

The number of passengers visiting Singapore in 1994 increased by 327% to more than 700,000 ([STPB, 1995] Pearce et al, 1998) with 49 ships having called in 986 times (Peisley, 1995). 1995 saw a record 54 ships enter with 933,249 passengers, of which 66% were from ASEAN countries ([Quininiquini, 1996] Pearce et al, 1998). 

Due to this sudden growth, the ASEAN nations have produced an ASEAN Cruise Directory. 

Star Cruises

The main player operating out of Singapore is Star Cruises. 

This cruise liner was formed in 1993 by the Lim Goh Tong family and has been the prime mover in opening up Asia. It has been very quick to move around Asia, targeting Asian markets.

It has a three tiered cruise product, with it’s Star series, aimed at first time cruisers from local markets, Megastar series, targeted at wealthier and more sophisticated passengers, catering for the MICE [Meetings, Conventions, Exhibitions] industry, and the Superstar series, which is the most luxurious and prestigious of them all. These cruises offer very high quality experience for their passengers and give them small tokens to remember the company by.

Star Cruises has invested in a U.S.$40 million port in Malaysia, at Port Klang. It is also seeking to develop a second Malaysian hub at Tanjung Pelepas in the southwest of Malaysia. Star Cruises has positioned ships in Hong Kong, Bangkok, and in several Japanese ports. The company is beginning to market with mainland China and has operated "Chinese only" cruises to Vietnam. 

In the year 2000, Star Cruises sent a second ship into the Japanese cruise market and also repositioned it’s newly acquired Norwegian Star, from Australian itineraries, to cruises in Asia. They believed it would earn more from the repositioning of the Norwegian Star (Peisley, 2000).

Star Cruises is currently looking to maximise the yields on board its existing fleet, while gradually adding new ships. In 1999, it carried 500,000 passengers, 50,000 of whom were Australian, which was a 10% increase. Star Cruises has said that it intends to position a Norwegian Cruise Lines ship in Australasia for winter 2001/2002, but Asia, purely in population terms, has much greater potential than Australia and is also at a much earlier stage of development (Peisley, 2000).

References:

Hess, Mark (1999) Smooth Sailing: A History of Cruising, The Central Group LLC, http://members.nbci.com/­_XMCM/airc/history/cruise.htm, 19/05/2001.
Pearce, Philip L., Morrison, Alistair M. and Rutledge, Joy L. (1998) Tourism: Bridges Across Continents, McGraw Hill Book Company, Roseville, NSW, Australia.
Peisley, Tony (1995) EIU Travel and Tourism Analyst No 2, Transport: The Cruise Ship Industry to the 21^st Century, The Economist Intelligence Unit Lmt.
Peisley, Tony (1999) Travel and Tourism Analyst No 2, The Cruise Business in Asia Pacific, Travel and Tourism Intelligence.
Peisley, Tony (2000) Travel and Tourism Analyst No 5, Cruising in Crisis, Travel and Tourism Intelligence.
Q Online (1999) The History of Cruising, 19/05/2001.
Starr, N. (1997) Viewpoint: An Introduction to Travel, Tourism and Hospitality – 2^nd Ed., Prentice Hall, New Jersey, U.S.
Ware, Christian (2001) Lecture Notes for TO2039 Week 10, James Cook University, Cairns Campus, Australia, 10/05/2001.

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